5 Great Ways to Become Rich

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You can never become rich if you break some of the fundamental rules of managing your money. These rules are not just limited to your investments, they also apply to your daily habits and attitude towards money. Here are tips you can use to become rich.

1. Don’t part with your hard earned money easily

If you want to become rich, you should stop letting go of your hard earned money easily. This has wide implications including bargaining for discounts, looking for better options while making purchases and being a hundred percent sure about being aware of what you are paying for. Don’t be shy of double checking or questioning the charges on an invoice for any goods or services. Learn to cultivate this habit so that in your entire lifetime, you will end up saving a lot of money.

2. Invest money when markets crash

Whether you like to invest in stocks or you like to play it slightly safer with mutual funds and other market based investment instruments, you will always make good money if you invest when the market crashes. Situations like these come maybe a couple of times in a decade but when they do, you must be cashed up to take maximum advantage of the rock bottom stock prices so that you can double or triple your money when the opportunity arises.

3. Identify and stop wasteful expenditure

You will be amazed to learn that even the smallest of wasteful expenditures on an everyday basis can spiral into big costs on a monthly or yearly basis. As an example, you may be in the habit of buying lunch from your favorite cafe every day. You may think that this is only $5 more than what it would cost to make your own lunch and carry it to work. However, it will amount to an extra expense of $150 in a month and $1,825 in one year. Over a period of five years, it will nearly become $10,000, which is enough to buy you a decent second hand car.