Building wealth is a process which starts with saving money and then investing. Saving money is not restricted to rich people only, anyone can save, and it is more of a habit and your attitude towards money which ultimately decides the growth rate of your wealth. By adopting certain habits and personality traits, anyone can grow and build wealth.
If you make habit of making a compulsory saving every month and invest the amount even in a bank scheme, this small amount in due course of time, because of the effect of compounding, will become sufficient enough to support you at the later stage.
(2) Goal oriented
You cannot achieve success without setting a goal howsoever talented or intelligent you are. Make short term and long term goals and then take small steps on daily basis to achieve your goals. If you are planning to have 20 lakhs in 10 years, then you need to invest Rs.9, 000 every month at the rate of 12% annually. Now, you have to save 9,000 every month to reach to the goal or we can break the target into daily basis, then you need to save 9,000/30 = Rs. 300 daily.
So, when we break our long term goals into smaller short term goals then it appears manageable and achievable.
(3) Think twice before spending
Guys, have you ever noticed that how many times in a month we spend on aerated drinks or junk food? Well, I am not saying that you should not spend on food but rather spend judiciously. An amount spent on aerated drinks or junk food could give you future health problems and will ultimately lead to more expenses. You can spend that amount to buy a piece of apple, few bananas or an orange, these food options not only provide you nutrition but also keep you healthy.
Imagine a situation, you have money but you are not enjoying because of health problems that too are created because of your own wrong food habits which could actually be avoided for better. Always remember that health is wealth.
(4) Aptitude to learn and explore
Make a habit to explore new ideas, learn new things, and know about businesses. This habit will give you an added advantage and an opportunity to invest in new businesses. Remember, in early 1990s in India, there started IT boom and those who knew about this development and actually participated in the growth story through investment in growing companies, benefited immensely. In 1993, Infosys came out with an IPO at Rs.95 per share, if you had purchased 100 shares @ Rs.95, your total investment at that time would be Rs. 9,500 and the present value of your investment in year 2015 is 25,600 shares of Infosys @ Rs.2240 i.e. approximately Rs. 5.7 crores plus dividends of around Rs. 50 lakhs in 22 years. You can calculate the rate at which this wealth is generated.
(5) Taking the calculated risk
You cannot grow rich without taking risk. The risk is not limited to the financial world; actually it is the intrinsic characteristic of our existence. A mother giving birth to a child is risking her life and a child leaving the protective womb of mother and entering the world, full of risk, to explore new things. So, the risk is universal in nature. Therefore, we should take calculated risk to invest the amount in new projects and growing companies with due diligence.
(6) Be organized
I remember, few months back I somehow forgot to pay my internet bill on due date and on account of this, I paid 10% extra of my monthly billed amount as a penalty. I lost that amount straightforward because of my silly mistake. In a nutshell, pay your utility bills, and other bills that can affect your finances, in time.
(7) Take action
We all are blessed by the God with the power to think, we usually make lot of plans in our mind but implement very few. The thoughts will become reality only when you implement them into actions. Try to keep resonance between your thoughts and the action, that is, the more you implement your thoughts into actions, the more productive and effective you become.
(8) Develop a hobby
Develop some hobby like reading, cooking, and gardening or playing etc, it will make you creative. Please, don’t give excuses that you have no time to develop a hobby. All of you must be knowing about Mr. Rockefeller, he is considered the richest person of his times on this planet earth, he was a voracious reader. If the richest person could afford to take out time for his hobby, then why not us? Developing a hobby will rejuvenate our lives and will make us more productive.
(9) Keep patience
Patience is one of the important keys to the success. There were few investors who had patience to keep the Infosys shares for 22 years. Also, during market fall in 2008, most of the investors sold their good stocks at very low prices in panic. A habit of patience gives you an extra edge which gives you a sound mental frame of mind to decide, analyze and evaluate under difficult situations.
The personality that will evolve out by adopting these habits will be so attractive that nature will itself support you and the wealth will automatically starts flowing towards you; Friends, this is also called the Law of Attraction.