Finance Quick Answers
Do you have any suggestions on how I can build wealth?
Achieving wealth does not happen by accident. You need strategy, patience, and discipline. The simple act of developing a financial plan can put you on the road to greater wealth.
A recent study by Economists found that so-called
high planners, those who demonstrate a greater
willingness to plan, have nearly a 20% higher net worth
on average than low planners. Andrew Caplin, an
Economist from New York University says," There seems to
be a connection between the mental habits of monitoring
your saving and spending, and increased wealth."
Gloria Steinem once said, " Rich people plan for four
generations. Poor people plan for Saturday night." It's
tough to set goals and make a budget to reach them, but
you can do it. Start today!
"You've seen those charts that say if you put away
$500 a year starting at age 20, by the time you're 50
you'd have a gazillion dollars," quips political adviser
James Carville. "It just makes you ill that you didn't
do it. You almost want to grab young people and shake 'em
and say, 'Please don't make the same mistake I did,"
Learn to set goals now, and budget to reach them.
Cynthia E. Crawford, Ph.D., Consumer & Family Economics Specialist, University of Missouri Extension
Last update: Sunday, July 20, 2008