Almost everyone unless a billionaire is looking for money tips to become rich. Whatever is your present level of financial success, you will be happy to know that it is quite possible to increase your level even higher. In other words, with the right tips and guidance you can always increase your Earnings, Wealth, Savings and ROI (Return on Investment) etc.
Even if you are just able to meet your both ends meet with your present earnings, there still exists some scope to improve the financial aspect of your life. Not only can you turn it around but can become rich or richer over a period of time with regular and focused efforts.
Maybe there is a need to take first right step to get right things moving in your favour. But you need to break your current vicious circle, come out of comfort zone and that that first step which sometimes the hardest part.
Money Tips To Become Rich
For you dear readers, we have shortlisted a long list of Money Tips to Become Rich. These tips cover almost all aspects of the mathematical equation which is tips to increase earnings, how to save better, tips to cut down on unnecessary expenditure, investments planning, improving your karmic balance and much more.
Of course, we know that not all the money tips can be worked on at the same time. Therefore, you have to pick and choose what suits you best after going through the complete article. Secondly, these tips to make you rich are not magic wands on their own. But you have to put in a bit of regular effort. Over a period of time, your efforts will begin to make a difference, but you have to work on at least a few of them together.
What we guarantee is that these suggestions are incredibly simple – anyone can do them. Some of these tips may take a few minutes while others could take a bit longer and more efforts. But be regular and pick up at least 15 tips to work with.
Soon may discover that you’re saving / earning more money than you ever thought possible.
1. Set a Goal
After you have set your noble intention of becoming rich or more rich, it must be known that what exactly your destination, in how much time and through which way you want to reach there. Before a ship that leaves the port, its master decides on the next port of call – which is the destination, knows or tries to learn about the route and calculates the time to reach there.
In the same way, you should also set SMART goal. It is the acronym for Specific, Measurable, Achievable, Results-Focused, and Time- Bound.
Simply put, you may decide to increase your net worth by $ 100,000 in next 12 months by increasing your income and savings. Another example could be that you want to increase your income by 15% and cut down on your monthly expenses by 10% in the next 1 year.
2. Budget and Smart Planning
After you have decided on your specific goals, working smartly on your budget is the first logical step. You may begin by understanding that what are your (a) Total Earnings (b) Total Expenses (c) Savings (d) Current Investments and Return of Investments and ( e) Liabilities over Monthly or Annual time frame.
Don’t be scared or hesitant of doing the balance and checking of your account. This is essential for number crunching. So begin with a basic budget. Don’t let lethargy or any hesitation discourage you from making a budget. You’ll know where you stand right now and what needs to be done to reach your cherished goal. It’s all about taking baby steps.
(Note: Point numbers 1 and 2 above are more of necessary steps rather than tips, which follow now.)
3. Shift Bank Account or Investments to take advantage of free perks and earn more interest
Recently one of the Banks where I have an account renewed my Fixed Deposit automatically for a period of 3 years. After a few days when I was dong checks and balances that the amount of interest was 10% lower than many other banks were offering. Since the amount was substantial, the differential interest was something I could not afford to ignore. Naturally, I had to make efforts to retire the invest premature and move the funds to another bank which gave better rate of interest but also gave me a credit card with no annual fee and no membership fee.
Therefore, if you are being charged a monthly fee or onetime fee for normal services on your savings account, you’d better do some research and benefit by shifting your account or investments to a new bank which offers better rates for investments and charges less for its services. Not only do some banks offer attractive interest rates to new customers on sign-up but offer some services free as well.
4. Switch off the Television
I read somewhere that Rich people own big libraries while poor own big televisions. It is true that knowingly or unknowingly we tend to spend hours before the idiot box. Watching TV mindlessly has many disadvantages. First the time is spent on an unproductive activity and secondly there are very cleverly made ads which influence you to buy items making you spend more and thirdly there is extra expense of electricity and cable perhaps ( if you subscribe to lesser number of channels).
By cutting down on TV time, you get more time to focus on better things in life — such as a side business, skills upgrading, planning etc. Is it not a rather interesting tip ?
5. Make Good Reading a regular habit
For centuries reading is and hopefully shall be one of the best, cheapest and most beneficial hobbies. Most cities have a public library available – so just go there and check out some books, periodicals and newspapers that serve your interest the best. In addition, you can subscribe to some newspapers and magazines which you can read in you free time in the cosy comfort of your house or while on the move. Besides, there is so much of information available at the click of a few buttons on internet – all free!
This way you’ll acquire some new or additional knowledge, learn some new skill, improve your professional ability, update on financial news and economic scenario, enjoy yourself, and that too without have to spend even a cent.
6. Cancel unused club memberships
I know a few people who boast of being member of a few prestigious clubs, expensive gyms, golf club or associations but do not have time to go there. This is double damage if you analyze. By not going to the gym you are denying the exercises to your body but wasting money on the gym membership.
Do not get into the trap of paying dues at a club or gym that you never use? If you’re not using them regularly, cancel them. Remember, you can always renew the membership at a later date if it turns out that you actually do need it.
7. Entertain friends and relatives at home instead of going out
It is good to socialize. Sometimes you attend parties and sometimes you host them. Next time you want to entertain friends or relatives try cooking at home and invite them home. Eating out at good or fine dining restaurant can be expensive making a big blow to your budget. More than the food sometimes, it is the drinks which burn a hole in your pocket.
Remember, it is always works out to be much cheaper to party with friends at home. Even more, if it is pitch in dinner, where each guest family brings along a dish or a bottle becomes more involving exercise, making it still cheaper. So next time you are hosting a party, do it at home, play cards, dance on your favorite music, or watch movies. You’ll all save money and have a blast too.
8. Believe in power of CASH
It is well researched and proven fact that with credit cards, generally people tend to shop more and buy things which could have been avoided or delayed. So the best remedy is to use cash to shop and keep credit cards only for emergencies or where carrying cash is not safe or convenient.
Psychologically, when you use cash you are more mindful as you see yourself parting with your hard earned money. Hence you tend to shop carefully and seek better price / discount / value for money before deciding to purchase. On the other hand, use of credit card or debit card is less painful as you never get to see the money going out of your hands at the point of purchase.
Thus quit using credit cards.
9. Never do stress influenced spending
Once I met a rich owner of restaurants on a golf course, who bragged that whenever he feels low or under stress, he goes for big shopping at blows up around 2,000 to 3,000 dollars and then he feels very good. It may be easy to justify spending money just to wind down from a stressful condition. This is a very expensive purchase of happy mood and it is not a very good idea. Instead of buying things you don’t need or you may not use regularly, it might be wise to find other ways to make yourself feel better. Try other tips given here (such as reading, partying at home, singing or exercising to alleviate your mood than buying happiness temporarily).
10. Ask for a Deal
“Ask and get it” should be your motto. It is your hard earned money and before saying yes to the purchase of a product or service, there is no harm in asking the seller “is there a discount” or “do you have a deal” or “do you have a better offer”. I am not advocating that you squeeze the profit of the seller by insisting on a lower price. But there could be a win – win situation. For example, if you pay the subscription for 12 months in advance for your favourite magazine, you not only get a great prize but often a free gift too.
Don’t hesitate to take care of yourself first. The problem is that so many of us put others first and then aren’t able to save money.
11. Become an Entrepreneur
Starting your own business is the most effective and proven way to become rich. As an employee, you get the raise only once or twice a year. That too is subject to a ceiling and is influenced by so many external and internal factors such as profits made by the company, condition of the industry and economy. As a head of your own business, you call the shots and are the direct recipient of the profits as a result of your work in the right direction.
If you have the skills, dynamism, perseverance and diligence of an entrepreneur then go ahead start your own business. If at some stage, you do not wish to continue for any reason you can sell it at a profit. The potential rewards of starting your own business are good and this is how many of the rich and wealthy did it. Recommended Article: Secrets of becoming a Successful Entrepreneur
12. Increase your Karmic Balance
Although you are taking care of your time and money at first, you may also want to be helpful to others and a philanthropic in your attitude. The wealthy entrepreneurs, rich industrialists, industry leaders just give liberally to the society and focus on helping others. By doing so, more money comes back to them in return. May be it is one of the laws of nature. So why not do something good for others and increase your karmic balance. Relevant to read: How to Align with the Source of Abundance
13. Become your own Money Manager
In North India, there is a saying which roughly translated reads, “you can’t go to heaven without dying yourself”. Funny – as it may sound but is quite applicable in the subject matter of our discussion. Unless you know your money, budget, risk appetite, investment style, investment avenues and risks associated, you can’t hope for another person to customize the best deal for you.
Also you can’t ask for or fix what you don’t know.
So the most important tip is to become completely aware of your finances and where your money is going and how much is coming in.As soon as you start to understand your current situation in detail, you will be able to identify leaks and simple solutions that will help get you on your way.
Always bear in mind that nobody will care more about your finances than you do (not even an investment planner), so the final responsibility is on you to take control of your financial future and direct it to where you want to go.
Become your own CFO and refer to How to Manage Money Intelligently
14. Exercise Regularly
A Healthy Mind in a Healthy Body. So why not make your body and mind healthy and stronger rather than doing nothing or wasting your time over gossiping or watching TV. You may go for a morning walk or jog every day, practice yoga or light stretching exercises or weight training. This can be done at home, park or at a beach if near your house.
You will thank yourself for adopting this habit as not only your body will become healthy and mind smarter but you save money on possible medical bills.
Towards the beginning of becoming Rich
If you want to become rich in an ethical and legal way then tell yourself that it is going to be a long process. Remember – Rome was not built in a day. It is not possible to become rich over night unless these are rare cases of Inheritance, Big Lottery Winning or Winning in a Casino etc. We all know that these are not the regular paths for normal persons. Therefore, it is better to get up, be ready to sweat it out intelligently and patiently wait for the fruits of success.
It is also possible that sometimes due to slow results or someone flashing his wealth may dishearten you temporarily. But you should Never Give Up.Whenever you find yourself against such odds, go on internet, read a good personal finance blog or a motivating article and get inspired to keep going, no matter what.
Remember that there are a lot of people out there fighting the same situation.
Other articles you may like on this website:
- Secret Habits Which Can Make You Rich Faster
- How to become a Millionaire – Core Principles
- Keys to achieve Financial Freedom
- Evergreen Rules of Wealth Building
- Powerful Meditation for Manifesting Money
- How to Attract Abundance in Life
- Our Relationship With Money