Wealth and luck
There is a strange belief that to be wealthy you have to be really lucky. When someone does well in business, makes their fortune, or is honored for their wealth, people comment on what a great deal of luck they must have. When someone makes money in the stock market, it is always attributed to luck. There are many instances when luck is credited with luck acquisition. However, luck has absolutely nothing to do with wealth.
Wealth is not just obtaining money, but keeping it and growing it. You may get lucky and win the lottery, a high stakes game of poker, or come into money in some other luck inspired way. However, unless you have mastered sound financial principles, that money you won or gained through luck will soon be gone, and you will be no more wealthy then you were before you won, you will just have more stuff. So, luck does not bring wealth, mastering financial principles brings wealth.
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People come into money different ways, but even though the colors and circumstances vary some, the true reasons behind real financial success are always the same. Long term financial success is always principles of money management. Whether the person made their money in technology, food, science, or sports, you expand it, and grow it using the same basic principles of wealth, money, and financial planning. There are people who make big six figure incomes and still have to file for bankruptcy, are in tremendous debt, and are wallowing in poverty because of poor financial choices. Many people making over a million dollars a year end up in bankruptcy, with little to show for their money.
Money is governed by laws, and those who understand those laws will have it in abundance. The grocery store clerk can acquire wealth just as readily as the fortune 500 CEO, as long as the grocery store clerk is applying the fundamental rules of doing so. Those rules are as follows:
- Pay yourself first, and pay yourself at least ten percent of your income. Most people have given their income away, to the designer clothing label, to the car dealership, to the custom home builder, grocer, etc. what is left for them?
- Let your money earn for you. You will not find wealth through your own man power alone. There are simply not enough hours in the day, or salaries high enough to earn you wealth. You have to let your money earn for you. You do this through investing it. So, invest it and do so wisely.
- Protect the money you save and invest by controlling your spending, curbing your expenditures, and avoiding debts at all costs.
