Smart Decisions Today That Build Wealth Tomorrow

By John Alexander - Jul 15, 2009

We all aspire to have a better future. The truth is that when it comes to your future financial well being, the decisions you make today are going to have a profound impact on what kind of savings you have the future. I believe that good financial habits and decisions are what’s need to ensure a prosperous tomorrow. It’s not exactly rocket science, but the cardinal rule when it comes to securing you financial future is to spend less than you earn, save, and invest. It sounds very simple and a no brainer, but people really struggle at it. I personally believe there are certain character traits that help people be better with money. The first character trait I’ll discuss is contentment. Learn to be content. We are a society that always hopes for the bigger and better and demand instant gratification. If you learn to be content, you will not have desires to splurge. The second characteristic is to avoid “Hail Marys.” For those who are not football fans, what I meant by avoiding Hail Marys is to avoid unnecessary risks or gambles for the hope of big gains.  Wealth is built over time; step by step, brick by brick. Remember when you were in elementary school, you heard the story of the race between the tortoise and the hare. Although the hare was much faster, the tortoise was steady and consistent. You’re not going to be a millionaire over night, but if you consistently and steadily invest and save, you will be closer to reaching your goal with each passing week.  No matter what financial situation you’re currently in today, it is possible to correct yourself and move towards a more prosperous future. When I finished college, I was neck deep in debt and had a rising credit card balance because my expenses didn’t agree with my income. To ease my financial burden and put myself on a path to financial success, I consolidated my student loans and was able to lower rate by 3 points. I completely stopped using credit cards and closed my credit card. I made it a goal to save 10% of my income and invest 15%.  When other people were spending tax return money at the mall, I decided to set it aside each you for a down payment on a house. These small changes allowed me to start to become financially stronger.