New Year is perfect for new habits to build wealth.

The New Year is just starting so let’s talk about something that a lot of people discuss at this time of year. WEALTH. People what to know how to save, where to find the money and how much to save to be wealthy.

So let’s start. Wealth is the difference between what you earn and what you spend. Spend everything and you end up with a big fat zero. Spend more and ?????. You know. Spend less than you make and you start to build wealth. It does however need to be a conscious decision because wealth doesn’t just happen. You need to make it happen.

When it comes to retirement savings, if you start in your twenties about 6% savings will probably do. In your thirties you will need 10% and your forties 18%.

So where do we get the money from? Spend less! Don’t eat out as much, don’t take those lavish holidays or cut back on gift giving. How about cutting your taxes and expenses related to driving ETC.

The issue is a lot of us have kids and mortgages and car payments and those savings aren’t there at the end of the month. The government gets upset when we don’t pay our taxes. What are we to do?

That is why I started a home based business. I use the extra income to pay down my debt and add to my savings. I use the business expenses (which are allowed in my country) to reduce my taxes. I work a little harder now to enjoy my life latter and it truly is worth the effort. As I said earlier it is a conscious decision to create the new habits that will change your life.

What to know more?   Click here.

Courtesy: Lloyd Brunton