Overcoming Barriers to Building Wealth

Overcoming Barriers to Building Wealth

Do you aim to grow your financial reserves? Wish to rid yourself of debt and the worries associated with financial insecurity? Interested in ensuring that your current comfort is bolstered by a growing nest egg that will provide for you and your loved ones in the future?

The creation of wealth is the key to fulfilling these desires. You may assume wealth comes from inheritance or high-income jobs, but it’s actually more about financial behavior than the amount you earn or receive.

To build wealth, start by transforming your mindset. Trust in your capacity to accumulate wealth and commit to actionable steps toward that end. A cornerstone of wealth-building is achieving a positive cash flow—earning more than you spend.

A common pitfall is underestimating discretionary spending. Income is usually straightforward to monitor—often as simple as tracking paychecks. Yet many lose sight of their outgoings. Keeping a detailed record of all expenses, possibly via a written log or an app, can be beneficial. If your outgoings surpass your income, you’re cash-flow negative, a state that needs to be addressed by curbing expenditures to pave the way to wealth accumulation.

For additional guidance on growing your wealth, consider exploring the resource provided.

Infographic created by Skyline Advisors, personalized financial planning in Bellingham, WA

David Robertson