What are some concrete steps I can take to become wealthy?
June 16, 2010 9:23 PM Subscribe
What are some concrete steps I can take to become wealthy? More details inside.
posted by st starseed to Work & Money (29 answers total) 47 users marked this as a favorite
Having just hit 30, my wife and I finally have our house in order, so to speak - very stable jobs in industries with bright futures, a new house back in our home state, and a financial life that is healthy. My question, and then I'll share some background: How can I make our financial situation even healthier to the point where we are out of the middle class mold and (trying not to sound crass) doing very well for ourselves? I don't want to be Scrooge McDuck, diving through coins, but it'd be nice to have some waterfront property and eventually a large nest egg to leave to our future children.
Here's the thing: I've read most of the popular financial literature. Dave Ramsey. David Bach. The horribly-written purple and black book by the guy from Hawaii. I know the drills: Don't buy lattes. Max out the 401k. Put money into a Roth. Don't buy what you can't afford. Work hard. Etc.
The problem is...all of the literature seems to fall into four camps:
1. Philosophical issues, i.e. Think And Grow Rich
2. Uber-practical stuff like Dave Ramsey
3. Overly technical books about stock trading and mutual funds
4. The piles of books that explain how to build wealth so you have a million dollars when you retire.
What none of these books seem to address, and what I haven't been able to find, is the key to becoming wealthy BEFORE you retire. I don't want to retire in 10 years - when I'm 40 - but I'd love to have a million dollars in the bank at that point.
How can one create wealth that one can enjoy before gray hairs start popping out? Obviously, there's no magic bullet, and I'm quite confident no get-rich-quick scheme has ever worked. Is self-employment the way to go? Is owning/renting real estate really all that magical?
I'd love some opinions.