We only make so much! That is reality. Most of us will not be high paid actors, sports figures, lawyers or trust fund babies. We have to carve out a career day by day, probably making an average salary.
Here is the good news. To quote The Rolling Stones, “You can’t always get what you want, but you get what you need.” I have heard over the years from several self made millionaires that it is not about how much you make, but about how much you save and invest for compound growth.
Study after study has shown that our happiness and contentment with life is not tied to money after we make a certain amount. The good news is that number is not a million a year, it’s about $70,000.
Even if one does not make $70k, there are countless inspirational stories of people that make far less, yet build great wealth and live a decent life.
Here are the big things to get right:
1. Have some percentage of your income placed in a low cost index fund, for example a Vanguard 500 type fund, each and every paycheck. Obviously everyone gives this common advice. But what is often misunderstood is that just a small amount can get a person on the right path. The important thing is to start this automated process and not stop.
2. Control Debt. Debt can quickly get out of control because we live in a system where a debt trap is around every corner. And all one has to do is “desire” something and then sign their name. Think about that trap. Making people desire things is easy, people are very controllable animals with weaknesses. Our weaknesses are exploited against us every day.
3. Appreciate the beautiful simple things in life. I bet one of the wealthiest billionaires like Sir Richard Branson enjoys the simple things like family and friends and good work like you and I.
It is nice to make more money. But sometimes we need to start with what we already make and have to achieve True Wealth.