Remember the Legend of the Leprechaun? Any kid who grew up eating Lucky Charms, (or just picking out the marshmallow bits), knows that at the end of the rainbow you’ll find the leprechaun’s pot of gold. As adults, we build our own pot of gold. Building wealth is not easy, but it is easier than finding a leprechaun or the end of the rainbow.
Better’s Best: Financial Keys for Building Wealth:
Don’t forget about the Income Side of the Money Equation. Career progression is a key to building wealth. If you haven’t yet, think about a few years in the future and determine what is the next step in your career progression. Then take specific steps that will make you more suitable for that position. For example, 1) Take on increased or unique responsibilities to display your leadership skills. 2) Seek out a mentor who has been successful and apply their guidance. 3) Ask for or take the opportunity to attend relevant training or education. If there is not a way to advance within your current company, begin looking for opportunities elsewhere. Remember: It is best practice to never leave one job, until you’ve secured the next one. –Marjorie McLean, MBA, AFC®
Take the First Step and Walk the Path to Wealth Building When working with clients, the first step we take toward building wealth is establishing automatic savings. This can initially be to create an emergency fund, but can in time, be for investment purposes. The second step is to eliminate debt as much as possible. Every penny you pay in debt is a penny you don’t get to keep for yourself! There may be some tricks of the trade and behavioral modifications that need to be established. It is one reason working with an AFC is such a good idea. Our job is to teach you the best way to cut costs, mitigate tax liability, understand the value in you as a human resource, how to set and create wealth goals and best of all, keep you accountable to them. Accountability is key in building wealth! –Terri Bailey, MS, AFC®:
Find the Wealth Building Blind Spot. Wealth building opportunities usually exist all around us! As Accredited Financial Counselors, we enjoy meeting with clients and helping them unpack the often overlooked yet simple ways to build wealth. A common but overlooked wealth building path is employee 401k (or similar) matching contributions. Many employer-sponsored retirement plans offer matching contributions that, when maximized, significantly contribute to the growth of an employees retirement account. By understanding their employer-sponsored plan, many clients are positioned to increase their annual retirement account contributions by merely meeting the contribution requirements that offer maximum matching contributions. If you need help understanding your employer-sponsored 401k plan (or similar) or would like to talk with a financial counselor to identify your Wealth Building Blind Spots, reach out to Better Financial Counseling…we’d love to help you reach your financial goals. –Shari D. Evans, EML, AFC ®:
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