Patience is Key when it comes to building long lasting, sustainable wealth. Many times you will hear the term “Get rich quick” But oftentimes those methods don’t really pan out, and if they do it’s never over the long term.
Things that interest me are things that can build sustainable wealth, even when factoring in my time to build that wealth. If I can make so much money but I am working 20 hrs a day. Then that is not sustainable for the long term.
In case you need some convincing I am going to list the main reasons why you should want to build your wealth slowly. It’s not impossible, and good things come to those who wait.
Building Foundation
For me in this stage of life I am really trying to build a great foundation. The foundation in the home is the most important thing. A great foundation will help you weather the different storms and hardships that life throws at you.
In your 20s (18-29) You are in the foundation building stages of your life. Many people don’t build a good foundation until they are in their 30s. But if you start earlier you will gain more wealth and it will be easier.
The last thing about foundation is once you perfect this, it is easy to scale it up. The foundation that you built will carry you throughout life.
Low Risk Investments
When you are finding a good asset mix to have in your portfolio, you usually have some low risk investments in there as well as high risk items. Usually as you approach retirement age you will have more low risk investments than not.
You have to ask the age old question: what am I willing to risk? A Lot of times those high risk investments lose you money. And you really need one of them to come to fruition for you to strike gold.
The chances of you hitting the lottery are slim, but the chances that the government is going to be able to pay their bonds back are super high. And over the span of 60 years you will have a safe allocation of money from lower risk investments.
Haste Makes Waste
If you are rushing to make a 1000% return on your investment by the end of the year, then you will make simple and avoidable mistakes with your money. You are always looking for your next big break and are consistently chasing.
If you had the understanding that “it’s going to take time for your money” to grow then you wouldn’t be in such a rush to flip your money. It takes a while to build up a nest egg and with the power of compound interests you will double and triple your money in no time.
Mindset
Which leads me to my last point and probably the most important step. Your mindset determines everything. And if you have a poor mindset then you might as well throw your money away.
If you have a strong mindset then you will have the will power and understanding that building your wealth will be a slow process but it will be worth it when you get to that FIRE number. I will have more posts on mindset because it is vital to building wealth.
Rob’s Opinion
Personally, I am always thinking long term. I am a forward thinker always have and probably always will be. So right now I have this cushy engineering job with good pay, benefits. Etc.
And this is the most money I have seen coming in at one time. I could go out and splurge on a lot of things because I deserve it. But I am not. I live below my means (or at least try to) and I put money away in 401k and investments.
I am playing the long game, and I’m looking for other streams of income. I will become a millionaire around 30ish even If I keep doing what I am doing now. If I don’t do anything else with my life I will be able to retire in about 30 years just from 401k.
It’s a delicate balance of mindset, and foundation plus I didn’t have a blog like this to tell me what to do in each stage of my life. But here you are with something that is giving you the road map to not have to worry for money the rest of your life.
