How to Build Greater Wealth
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KEYS to Wealth ... Self Employment & Debt Reduction

Build wealth by being self employed and eliminate debt

Date Published Friday, July 31, 2015 Weight Loss in your 50s is possible - Negative thoughts limit our success in life Author: Kim D.

A common goal that many people have is to build their wealth and improve their level of happiness. Many are worn out and unhappy working at jobs they do not like for managers or bosses who are overbearing. You may wish that you could spend less time fighting traffic and sitting in meetings. Spending more time with family and friends may be a priority. However, you need to earn income to pay bills, and you may have some financial goals that you want to meet, so you feel tied to your job. If you can relate to this, you are not alone. However, there are a few steps that you can take to transform your life and to begin building the wealth that you desire in the process.

Be Self-Employed

When you work for another person, you are spending those long days away from your family working to make someone else money. With most positions, there is little to no incentive to work harder or longer. You can put forth your best effort, and you may still only get the same amount of income. There is no benefit for you to be creative or innovative. You may feel frustrated with the feeling that you are spinning your wheels and never getting ahead. The key to changing this is to be self-employed and be your own boss. You can pay other people to work for you, and you can benefit from their efforts as well as your own. When you are self-employed, you essentially change this process to make it work for you rather than against you.


Do What You Love Doing

If you are dreaming about a life that provides greater wealth and more self-fulfillment, a critical element relates to doing what you love for a living. You must find something that you are good at, and this may not even be something that you are currently doing. Instead, it may be a hobby or a side job. You also need to find a career that you will love doing. When you do what you love doing, you will spend your days feeling happier and more fulfilled. Of course, you need to find a way to make money doing what you love doing. This may require you to brainstorm and think creatively. However, there are many intelligent ways to turn a great profit at something you are good at if you think about it. While your goal may be to become a self-employed individual, choose your career path wisely so that it is both profitable and enjoyable and so that you have the skills or knowledge to be great at what you do.

Cultivate a Support Network

After you have decided on a career path that you want to follow as a self-employed individual, you should take time to cultivate a support network. This may be a professional mentor or a business partner. These are individuals who you may be able to bounce ideas off of and who may give you honest, helpful advice. Generally, these are positive forces that can support you in different ways as you strive for success. In addition, spend time with your family and friends who are more supportive and encouraging. These may be people who are honestly interested in your efforts and who may provide emotional support for you. Starting your own business can be challenging and stressful, and there may be times when you want to give up or when you are frustrated with certain aspects of running your business. Your support network will get you through the rough patches and may even provide helpful advice to improve your efforts in different ways.


Reduce Your Debts

Of course, being self-employed is not all that it takes to build wealth. Reducing your debts is one of the most important steps that you can take to build wealth. Consider that your debts are costing you extra money each month, and this is because you are paying down the principal balance on your accounts as well as paying an interest charge to the lender. In some cases, you may be paying double-digit interest. While the principal may be applied toward something you have purchased, the interest simply inflates the purchase price of that item. Instead of paying this interest to a lender or bank, consider how different your financial situation would be if you saved the money or purchased assets that would increase in value for you. Essentially, debts work against your financial wellbeing while assets work for you. However, if you are like most people, reducing debts sounds like it would be hard. If you are living on a tight budget, it may even seem impossible. It is important to understand that reducing and ultimately eliminating debts is not something that is accomplished overnight. You need to develop a plan, follow the plan and have the patience and motivation to benefit from your plan.

When looking for an effective way to reduce your debts, the first step is to develop a budget. You need to stop relying on debt for purchases. Making new charges to your accounts will work against you rather than for you. Therefore, develop a realistic budget that ensures you are not reliant on debt. Second, if you do not currently have a rainy day fund, you should develop one. Savings and debt are correlated, and those with more money in their savings account generally carry less debt. This is because if you have money in your rainy day fund or savings account, you will not need to turn to credit cards for unexpected expenses or financial emergencies. Third, develop a debt reduction plan. List all of your debts, including the outstanding balances, interest rate and minimum monthly payment. Select the account with the highest interest rate or the lowest balance, and pay only the minimum payments on all debts except the one account that you have selected. Work on making extra payments to this account until it is paid off. Then, move on to the next account. This is a faster, more effective way to reduce your debt balances.

Have a Positive Attitude

While your attitude may be something that seems relatively unimportant when you think about being successful and building wealth, this is actually not the case. Life is not perfect, and everyone will have hardships and struggles. How you choose to respond to those challenges can ultimately steer you on a different path. Some people dwell on feelings of self-pity, worthlessness and doubt. Others choose to be self-encouraging and self-motivating. The good news is that your attitude can be changed with some effort. The first step is to be more aware of your attitude and how you react to things. Then, take a step back and consider how you want to react to it. Changing your reactions and attitude can take time, but things like daily affirmations, visualization and choosing positive words and statements can ultimately be life changing.

You could continue to drive back and forth to work at a job you dislike and to spend your days unhappily away from your family and working for the profit of someone else. On the other hand, you could say that today is that day that you start changing your life. You have control over the direction of your life, and the first step is to develop a plan of action that will bring about the change that you desire.

 


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