6 Habits of Financially Successful People
Many people lament that they weren’t born with a silver spoon in their mouths and think the absence of that proverbial spoon prohibits them from having financial success. However, it’s not the “silver spoon,” that sets an individual on the right path, it’s the attitude and perseverance that make the difference. Here are 6 habits to incorporate into your lifestyle to get you on the right track of becoming financially successful.
1. Develop financial confidence.
You need to shift your perspective from one of doubt to one of determination to achieve financial success. Instead of lamenting the fact that perhaps you weren’t born into a wealthy family, accept the fact and then have the confidence that you can achieve anything you set your sights on (saving money, building wealth, etc.).
2. Have a good relationship with money.
Often the subject of money isn’t talked about as we grow up. Parents think children should be sheltered from this “adult” topic. Throwaway this antiquated concept! Make money a part of your everyday life. Think about it, talk about it, create budgets, track things on spreadsheets, plan for worst case scenarios, and dream big.
3. Live within your means.
In other words, don’t try to keep up with the Joneses. The Joneses likely are not living within their means. If temptation is too much, create a budget and live by it. Drive your cars until the wheels fall off. Don’t succumb to pressure to upsize your home. Read “The Millionaire Next Door”, if you haven’t already. Moreover, always remember that high spending is not linked to financial success, and usually it’s quite the opposite.
4. Create your own opportunities.
People won’t just walk up and hand money to you. Even to win the lottery and have a chance at millions, you must exert effort to go to the store to buy a ticket. Money doesn’t grow on trees. Therefore, this is where the onus is on you. You create your own path to financial success. It can be trying to negotiate for a better salary at your current job, finding a side gig for extra income, or switching companies to increase your compensation.
5. Set goals.
Moreover, it’s great to have good intentions when it comes to money, but you must walk the walk and not just talk the talk. When working with a fiduciary financial advisor, you can develop a financial plan that includes short-term and long-term goals. It is important to realize that any plan is dynamic just like life. Your savings goal might change as your cash flow situation changes. You need to challenge yourself to meet these goals.
6. Ask questions.
Finally, if you didn’t major in Personal Financial Planning in school, you have plenty of company. There is a plethora of resources at your disposal. The internet alone is filled with people, tools, calculators, and research at your disposal. Ask multiple people the same question and then ask why. Use multiple calculators/tools and try to figure out why the results differ.
The key is remembering that everyone started somewhere and that somewhere for most, wasn’t with a silver spoon in their mouth. Old fashioned grit, determination, and resilience contribute to being financially successful.
Have more questions? Contact Us
Missie Beach, CFP®, CDFA®
Senior Financial Advisor
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