Getting rich slowly is the safest way.
Getting rich slowly is the most reliable way. It may be the only realistic way.
Waiting to win the lottery is waiting to be chosen by a universe that’s indifferent to our existence.
Day trading only makes the banks and brokers rich.
Working at a startup is much better but still involves time, risk and hard work. There are no guarantees.
How do you get rich slowly? Earn more than you spend and put the difference to work in a compounding machine. Then repeat until rich.
How do we earn more? We have to give the world more of what it wants and is prepared to pay us for.
Some of that is inspiration but mostly its perspiration and good old fashioned hard work (e.g. dentistry, plumbing, engineering). Helping other people solve their problems, showing up consistently and doing what we say we’re going to do.
How do we spend less? By breaking the link in our minds between spending and happiness. Do you think you’d be happier if you spent more money? Why?
Maybe you would be happier if you had more freedom and more control over your life?
Learning is good and action is better. I don’t know if everyone can become rich. But I’m pretty sure that everyone can learn to get better with money.
Behold the J curve of compound growth:
Did I mention that £15,000 saved between 18-25 turns into >£1,000,000 at age 65 if invested in the stock market at a 10% return?
The hard part is sticking to The Path. The first 6/7 years may feel B-O-R-I-N-G…so it helps to have other stuff going on in your life to fill the time. Family, friends, fitness and fun.
After 6/7 years of compounded growth, things start to get interesting. And after 20 years of compounding, money is falling from the sky like rain in Manchester. Money becomes undramatically abundant.
Where should we start? We have no choice other than to start from where we are. You should not wait until you have money to start managing it. That’s the wrong way around. Start to manage it now.
But you do need a process. Outcomes are the results of processes. Being rich is an outcome. Earning, saving and investing are processes. Focus on your process.
Think long term. Phil Collins sang “You can’t hurry love” but he could have been talking about building wealth. You can’t control the outcome, you can only control the process.
When should we start? Well, the best time to plant a tree was 20 years ago. The second best time is now.
Get rich slowly, get started quickly.