1. Set Life Goals
Write down what your lifestyle entails, and at what age this should be achieved.
The more specific your goals, the higher the likelihood of achieving them.
2. Make a Budget
Making a monthly budget is the best way to guarantee that all bills are paid and savings are on track.
It’s also a regular routine that reinforces your goals and bolsters resolve against the temptations to splurge.
3. Pay Off Credit Cards in Full
Credit cards and high-interest loans are toxic to wealth-building.
Make it a point to pay off the full balance each month.
4. Create Automatic Savings
It’s wise to have an automatic withdrawal for an emergency fund, which can be tapped for unexpected expenses.
Ideally, the money should be pulled the same day you receive your paycheck, so it never even touches your hands, avoiding temptation entirely.
Many people are hesitant to negotiate for goods and services, worrying that it makes them seem cheap.
Overcome this handicap and you could save thousands each year.
Small businesses, in particular, tend to be open to negotiation, where buying in bulk or repeat business can open the door to good discounts.
6. Continuous Education
Review all applicable changes in the tax laws each year to ensure that all adjustments and deductions are maximized.
Keep up with financial news and developments in the markets and do not hesitate to adjust your investment portfolio accordingly.
Knowledge is also the best defense against those who prey on unsophisticated investors to turn a quick buck.
7. Proper Maintenance
Taking good care of property makes everything from cars to shoes to last longer.
As the cost of maintenance is a fraction of the cost of replacement, it’s an investment not to be missed.
8. Live Below Your Means
Mastering a frugal lifestyle by having a mindset of living life to the fullest with less is not so hard.
Indeed, many wealthy individuals developed a habit of living below their means before rising to affluence.
This isn’t a challenge to adopt a minimalist lifestyle or a call to action to head to the dumpster with things you’ve hoarded over the years.
Making small adjustments by distinguishing between the things you need and the things you want is a financially helpful habit to put into practice.
9. Take Care of Your Health
The 7th principle above of proper maintenance also applies to your body.