The idea of beingrichis something that many of us dreamed about as kids. If youworkhard, do well in school and in your career, you’ll certainly end up wealthy! Right? Well,adulthoodoften confronts us with harsh realities, one of which being the fact that getting rich isnoteasy for the vast majority of us. Today, I simply aspire to be able to provide a comfortable life for my cat, forget about owning a home or driving a fancy car.But according to some, it is possible to accumulate wealth if you take the right advice. Redditors have recently beensharingtips for realistic ways that the average person can become rich, so we’ve gathered some of their insights below. Enjoy reading through, and be sure to upvote all of thefinancial tipsthat you plan to try for yourself!This post may includeaffiliate links.
The idea of beingrichis something that many of us dreamed about as kids. If youworkhard, do well in school and in your career, you’ll certainly end up wealthy! Right? Well,adulthoodoften confronts us with harsh realities, one of which being the fact that getting rich isnoteasy for the vast majority of us. Today, I simply aspire to be able to provide a comfortable life for my cat, forget about owning a home or driving a fancy car.
But according to some, it is possible to accumulate wealth if you take the right advice. Redditors have recently beensharingtips for realistic ways that the average person can become rich, so we’ve gathered some of their insights below. Enjoy reading through, and be sure to upvote all of thefinancial tipsthat you plan to try for yourself!
This post may includeaffiliate links.
RELATED:
The best advice I ever received in my life:“Get good at doing something wealthy people need, and you will always have work.“The guy who told me this fixed air conditioning on yachts. No one who can afford a yacht is going to put up with the a/c not working on it, no matter what the current economic situation is like.
Find a job that nobody wants to do and then make a business out of it.
Start a course telling others the secret to success.
Inheritance.
Right place right time.Everyone gets 2-3 chances to become super rich in their life time. In my time, it was Bitcoin. After that it was Dogecoin. After that it was Nividia.I missed every single one of them.Will there be more? Probably. Do we know what they are? Probably not.
Winning the biggest jackpot at the lottery is genuinely the most realistic way for most people.Earning and investing will get you, at best, a comfortable middle-class lifestyle.
Marry a rich person or someone from a rich family.It’s the most important financial decision you can make.
Spend less than you earn, invest from an early age.
Reinvest earnings from investments.
Embrace frugality. Reducing unnecessary spending can help increase savings.
Realistically it takes a long time. You’re gonna need a job that allows you to make more money than you spend. Invest at least 20% of that money into index funds, high-interest savings accounts, certificates, etc. consistently and frequently and let it grow over decades. If you do this and max out your 401k contributions you’ll eventually become a millionaire and have enough to retire.How do you become rich sooner as an average person with an average job? Have rich parents that pass away.
Explore opportunities in emerging markets.
Set clear boundaries with finances.
Stay consistent with your financial strategy. Regularly reviewing goals can help keep you on track.
“Compound interest is the eighth wonder of the world. He who understands it, earns it. He who doesn’t, pays it."- Ben FranklinEdit: This comment got some traction and I’m seeing a lot of people disagree or downplay compounding in the thread so I want to address some of what I’m seeing -1. Compound interest alone won’t make you wealthy, it’s just one of the tools (arguably the most important one) that helps along the way. You need to continually save and contribute to the investment and do it over a long time span of 30-40 years. It’s important to start as early as possible and keep doing it consistently.2. “Interest” in this quote can be interchanged with “returns”. There are very few fixed interest rate investments these days that will give you proper returns. Low cost index and bond funds while reinvesting your dividends provide compound returns which gives you the same benefit. The “compound” is the important part of the quote, not “interest"3. Take advantage of tax advantage. Tax advantaged accounts are some of the best tools available to the everyman to help grow your balance. IRAs, 401k, 403b, HSAs, learn about all of them and which you can leverage to help you get to your goals4. Diversify your investments so nothing will totally wipe you out. You will have up years and down years but the most important thing is always being able to play.5. Pay attention to and control your expenses. The two components of being able to save is your earnings rate and your expenses. The net of that is your possible savings rate. It’s much more difficult to control and grow your earnings rate than it is to simply lower your expenses. Learning to live off less than you make and controlling your expenses will help you with every aspect of your life6. Avoid debt as much as you can. Don’t finance a car, don’t use credit cards if you can’t pay off the balance in full every month, don’t use any BNPL services, pay off your mortgage as fast as you canIf you do all of this and CONSISTENTLY SAVE over a decades long time frame, compounding will take care of the rest, I promise. This is all stuff the average person has access to and can use that will get you wealthy in your life.
It depends on how you define being rich.If you’re looking at it from being financially secure where you’re comfortable, you have to earn more than you spend.If you’re looking at it from becoming financially independent, then you’ll need to save, invest, and work.If you’re looking for FU money, start a business.
Share financial tips with friends. Teaching others reinforces your knowledge and may open opportunities.
Evaluate your risk tolerance. Understanding your comfort level can guide investment choices.
Stay disciplined with savings. Regularly contributing to your savings can lead to financial stability.
Be proactive about financial planning. Creating a budget can help guide your spending and saving.
Get involved in your community. Local connections can lead to business collaborations and job opportunities.
Live below your means. Keeping expenses low allows you to save more and invest in your future.
See Also on Bored Panda
Invest 25% of your income in broad stock market index funds and wait 30 years.
Explore entrepreneurship. Starting your own business can be risky, but it also has the potential for high rewards.
Read personal finance books. Knowledge can empower you to make better financial choices.
Seek multiple income streams.
Continue reading with Bored Panda PremiumUnlimited contentAd-free browsingDark modeSubscribe nowAlready a subscriber?Sign In
Continue reading with Bored Panda Premium
Unlimited contentAd-free browsingDark mode
Unlimited content
Ad-free browsing
Dark mode
Subscribe nowAlready a subscriber?Sign In
Stay engaged with financial news. Keeping up with trends can help you make informed decisions.
Assess your time management skills. Better time allocation can lead to increased productivity and income.
Stay engaged with financial podcasts.
Join online communities related to your interests.
Assess your financial habits regularly. Identifying areas for improvement can enhance your wealth-building efforts.
To just get really, really lucky. That’s literally it.Anything anyone responds do you is still going to depend almost entirely on luck in regards to making you RICH.Working hard, starting a business, investing, spending under their means, gaining skills: people do all this stuff and do it correctly without getting rich. Most just do okay.
So let’s keep it real simple:You ever heard of a big snowball rolling down a hill? The ball starts small but gets bigger as it rolls and grabs more and more snow. The bigger it gets the more snow its grabs. That’s what you’re gonna do.1. Start saving and investing some money. Even 5$ a week adds up over 40+ years.2. Pick an investment vehicle (what you use to invest the money) I suggest a Roth IRA (7k a year max can be put in). You pay taxes on way in but not way out (if you are older than 62 years old)3. Invest in something using your vehicle. I’d suggest a broad market index fund (SPY/QQQ/VTI - pick whatever).4. Start investing money in the fund you pick using the vehicle you pick.5. Maximize your contribution every year6. Profit - stonks only go up.
Start saving aggressively as early as possible. 20s ideally. Put your money in an index fund. Buy a house and pay your mortgage. Drive Japanese cars and keep them as long as possible. Wait 30 years. You won’t be crazy rich, but you will be wealthier than 90% of the people in this country because the people here generally lack the discipline and brains to play the long game.
Get a job at Costco at a young age, work hard for 30 years climbing the ladder and take full advantage of their 401k, retire a millionaire.
There’s slow money and there’s fast money, fast money isn’t realistic for most people. If you actively seek higher paying positions, live below your means, and invest in low-risk stocks, you’ll be wealthy in 10+ years.
Learn about real estate investing.
Sacrafice.There’s a great little antidote that I experienced first hand2002 at good old Pasadena city College. I took a finance class. Day one, my instructor walks in in a pilots uniform. We didn’t know what was up until he explained. He just got his pilots license. In the process he sold his car, moved back in with his mom, and began eating cheap college kid food on campus and immediately adjacent. He didn’t have time to go back to his mom‘s and change, he came straight from LAX to the classroom. And we all laughed because we said what is the pilot here doing teaching. And he said I’m not a teacher. I’m a pilot. I just used teaching to help me get to becoming a pilot. It provided me flexible hours where I could work nights while going to pilot school during the day. And I had to sell off my car. I couldn’t date anyone. Life was generally tough. But now I’m a pilot, I can afford to move out, I’ll buy a nice house with a sports car. And I’m sure I’ll find a woman who is attracted to me.Temporary sacrifice!
Don’t have kids, live off half your income, put the rest into bonds.
I know I might get hate for this but any time in the past 15 years if you bought bitcoin and held it for more than 4 years you did very well.
Stock markets are the greatest wealth creators of all time.Lots of people here talking about jobs or businesses, which isn’t a bad thing but there are a lot of people out there who make lots of $$$ and are flat “broke”.It’s not always how much money you make but what you choose to do with that money is what matters, now obviously if you have more and use it accordingly it is easier but doesn’t stop average person from doing it.
Build a diversified skill set over time.
Most of those I know who came into wealth did so through 4 ways1. They inherited real estate which had gone up tremendously in value and sold it2. They got lucky. No perseverance or cleverness or whatever. Just something worked out in a way that put them on the right path.3. They married someone who had money or went on to inherit it.4. They pulled immoral or illegal things. Like, say hypothetically, they spent years working for a small business gaining skills, insights, and experience while stealing supplies from their employer to then open an identical business and undercut them in price to steal away all their business until former employer is forced to close and then raise prices.
Buy a fixer upper and fix it up. Buy another and fix it up and rent it. Sell one. Buy two more. 30 years later and no bad luck and you’ll be a multimillionaire.
Participate in group investments.
Modal closeAdd Your Answer!Not your original work?Add sourcePublish
Modal close
Add Your Answer!Not your original work?Add sourcePublish
Not your original work?Add sourcePublish
Not your original work?Add source
Modal closeModal closeOoops! Your image is too large, maximum file size is 8 MB.UploadUploadError occurred when generating embed. Please check link and try again.TwitterRender conversationUse html versionGenerate not embedded versionAdd watermarkInstagramShow Image OnlyHide CaptionCropAdd watermarkFacebookShow Image OnlyAdd watermarkChangeSourceTitleUpdateAdd Image
Modal closeOoops! Your image is too large, maximum file size is 8 MB.UploadUploadError occurred when generating embed. Please check link and try again.TwitterRender conversationUse html versionGenerate not embedded versionAdd watermarkInstagramShow Image OnlyHide CaptionCropAdd watermarkFacebookShow Image OnlyAdd watermarkChangeSourceTitleUpdateAdd Image
Ooops! Your image is too large, maximum file size is 8 MB.
Upload
UploadError occurred when generating embed. Please check link and try again.TwitterRender conversationUse html versionGenerate not embedded versionAdd watermarkInstagramShow Image OnlyHide CaptionCropAdd watermarkFacebookShow Image OnlyAdd watermark
Error occurred when generating embed. Please check link and try again.
TwitterRender conversationUse html versionGenerate not embedded versionAdd watermark
InstagramShow Image OnlyHide CaptionCropAdd watermark
FacebookShow Image OnlyAdd watermark
ChangeSourceTitle
You May Like30 Things Crazy-Rich People Purchase That No One Else Would Even Think They Actually NeedDominyka30 Nightmarish Financial Decisions That Left People Broke, Broken, And BewilderedGabija Palšytė28 Totally Random And Absurd Ways People Got Rich, From Pure Chance To Pure StupidityMonika Pašukonytė
Dominyka
Gabija Palšytė
Monika Pašukonytė
Work & Money
