In the realm of wealth generation, it’s not uncommon to find yourself searching for answers, typing furiously, “How can I achieve real-world wealth?” The ease with which some accumulate riches in this economy may leave you curious about their secret. Well, wonder no more, as I’m about to unveil a strategy that many employ—my very own “Real World” Personal Strategy. With its practical approach and proven effectiveness, it holds the key to unlocking your financial success.
Fortunately, I’m not here to hoard the secrets of real-world wealth success. I won’t claim to possess all-encompassing knowledge, but rest assured; I’ll provide you with valuable insights from the trenches of the “real world.” Unlike those who may be disconnected from the everyday challenges we encounter, I understand the hurdles you and I face right here and now. So, grab a pen and paper as we delve into actionable strategies to help you attain tangible riches with urgency.
What is Michael Dolezal’s “Real World” Personal Strategy?
Learning to be content in all circumstances is the foundation for generating real wealth, especially in this economy.
As part of my role, I assist individuals in navigating the financial storms that come their way. Through this experience, I’ve observed a distinct contrast between those who effectively manage these challenges and those who struggle. Now, if you’ve come across the concept of generating real-world wealth, you might believe it’s exclusively reserved for the rich.
The truth is that relative to their income, rich people are frugal. They save and invest. They spend less than 65% of their take-home pay on day-to-day expenses. They save at least 10% in their retirement accounts and another 5% in taxable savings. They direct another 10% toward unknown big purchases. And they even live frugally enough to give another generous 10% to charities.
To put it simply, generating wealth without being rich right now is completely attainable.
Clarify Your Wealth Goals
Before we delve into the intricate details of the strategy, it’s crucial to establish a clear destination for this wealth journey of yours. If you’ve encountered difficulties in attaining wealth in the past, it could very well be due to a lack of well-defined goals.
Recall when I mentioned that this guide would be rooted in the “real world”? I understand that you might not be anywhere near the figures I previously mentioned, and it’s possible that feelings of guilt may arise at this point. Rest assured; I have no intention of burdening you with such emotions. Instead, let’s focus on actionable steps you can take as early as this week to set yourself on the right path. Begin by directing your household finances toward the following areas:
3) short-term (big purchase like a car or furniture) savings
By choosing and moving money to one of these categories, you’ll start to see the light at the end of the tunnel, and you’ll find that taking a positive direction in one of these areas – even if it’s just five bucks – will go a long way to increase your peace of mind and improve your quality of life.
The Only Strategy You Need: Moving Your Household Money Around
Perhaps I played a little trick on you because we’ve already tackled the important task of setting aside money to generate the wealth you desire. Wasn’t that surprisingly easy? High-five!
Embracing good financial habits brings a sense of fulfillment, doesn’t it? Now, let’s harness that positive momentum and explore what other items we can swiftly check off our list.
Real-World Personal Strategy Part #1: Be consistent with saving
The wisdom of saving money is widely recognized as a cornerstone for building long-term wealth over time. By depositing your funds into a savings account and refraining from accessing them, you create an environment where your money can flourish over time. This straightforward yet powerful strategy allows your savings to grow steadily. Think of it as planting seeds and witnessing them sprout into a prosperous harvest. The more money you save, the greater your potential for accumulation and financial abundance in the future.
Consistently setting aside even small amounts of money will grant you the satisfaction of witnessing your savings accumulate and grow over time. Remember, there’s no harm in gradually adding to your savings. In fact, feel free to establish your own personalized savings goals that align with your aspirations. This allows you to chart a course toward the financial destination you desire.
Real-World Personal Strategy Part #2: Stop putting off your retirement
If you’ve faced challenges when it comes to contributing to your retirement fund since entering your career, fret not. The task of saving for retirement doesn’t have to feel overwhelming. Remember, every small contribution makes a difference. By commencing with modest amounts and progressively increasing your contributions, you’ll witness your retirement savings steadily grow. So, set aside any worries, muster the courage to take that initial step, and commence your savings journey today. Your future self will thank you for it!
Real-World Personal Strategy Part #3: Make room for short-term savings and giving
Short-term savings are vital for emergencies. Save a small amount monthly to build a safety net. Cut back on non-essential spending, like dining out or unnecessary purchases, to make room for savings.
Apart from saving for yourself, it’s crucial to allocate space for giving. Giving back enables you to make a positive impact on the world around you. Whether it’s making charitable donations or volunteering your time, even simple acts can create a meaningful difference in the lives of those in need.
By incorporating short-term savings and giving into your financial plan, you strike a harmonious balance between self-care and making a difference. This win-win situation allows you to prioritize your own financial well-being while fulfilling your innate desire to contribute to the betterment of others.
Are you beginning to feel more confident about embarking on your wealth generation journey? That’s fantastic! I derive immense satisfaction from aiding individuals like you in achieving their financial goals and fostering positive shifts in their financial mindset.
It’s disheartening when misconceptions lead to the belief that wealth generation is exclusively reserved for already “wealthy people.” As someone with extensive experience in accounting, there’s nothing I enjoy more than sharing my insights and strategies with you. I aim to empower you to attain your financial aspirations and experience a sense of financial security.
Where Do I Start?
If you have any queries regarding managing your finances or optimizing your monetary resources, feel free to reach out to us. We’re here to provide assistance and address any questions you may have.
Speaking of accounting assistance, have you had the opportunity to explore my blog post on the topic “What a CPA Can Do for Your Small Business?” It’s specifically tailored to individuals like yourself who may be uncertain about where to begin or seek additional guidance. It offers valuable insights and advice to help you navigate the intricacies of financial management for your small business.
Michael Dolezal & CO, CPAs & Business Advisors
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