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Do you or someone you know want to build wealth? I DO!
After observing and researching several millionaires that I admire, I noticed several common strategies they use to build or sustain their wealth. The great thing about these strategies is that they were simple and something that anyone could implement. Here are the top three common millionaire strategies that can be easily implemented with modest money to build wealth.
Don’t Just Buy Stuff … Buy Stock
Most consumers consume products that may not produce income. Instead of my buying stuff, consider buying stock in the company that produces the “stuff.” For example, instead of buy a new tablet for $599, purchase $600 worth of stock in the company who manufactures it. Keep in mind that the key to investing is to think long term and not get scared when the stock goes down. When the price is low, that is the time to purchase more stock. Remember to buy low and sell high.
A great exercise to do with the entire family is to have Everyone identity the companies that make everything that is in your house, then go to websites like ShareBuilder.com to find out if they have stock. You can do your research on the site and decide as a family what company and how much you will collectively invest. Buying stock is also a great gift to give anyone. Instead of paying hundreds of dollars on stuff that they may not have in a few years, give them the gift of ownership in a successful company.
Have Multiple Streams of Income
Only having one source of income, like your paycheck, may leave you vulnerable to financial hardship if something happens to that income stream. Create multiple streams of income by starting your own business selling your own products and services. Network Marketing is also a great way to become a business owner. The right network marketing organization will have the products or services and marketing resources established and can be very cost effective to get started.
Build Legacy Wealth
Proverbs 13:22 says “A righteous man leaves an inheritance to his children’s children.” Building Legacy Wealth is a long term prosperity strategy to ensure your family has a legacy of wealth. This legacy of wealth can begin with you by creating “Trust Fund Babies” with Life Insurance. Instead of leaving the life insurance benefit to someone who may not be savvy with managing large sums of money, assign a Trust Account as the beneficiary and make that person the beneficiary of the Trust.
A Trust is simply an agreement in a document that spells out the rules that you want followed for property held in trust for your beneficiaries.” A Will tells WHO to give your property to, but the Trust tells HOW to give it to them. For example, “$50,000 will be disbursed after beneficiary reaches the age of 25 years old.” Consult with your financial institution, your insurance agent or investment advisor for more information about Trusts and other legacy wealth building options.
Just remember, you don’t have to be a millionaire to build the wealth you want. You just have to do what millionaires do with what you have.
What is another Millionaire Strategy that people with Modest Money can easily implement? (comment below)
For more information about how to implement these and other millionaire strategies by creating your financial plan, contact Tarra Jackson at info@tarrajackson.com.
