Wealth Accumulation: How to Get Rich and Stay Rich

Getting rich is the door to staying rich. They are two different stages, the latter is more important than the former. 

Here, I tried to shortlist some of the things the rich do that keep making them richer. 

This list is in no particular order but to start with any of these lifestyles, you need to set your goals right.

Spend Less Than Your Earnings.

The rich live below their means. This practice of being prudent in spending helps the rich to save for "emergencies" 

It is tempting to lavish money on luxuries when you have it but I advise you to restrain from it if your goal is to stay rich.

Investment is What Makes Them Richer

The rich invest in smart assets that appreciate in value, such as real estate or stocks. They get their saved money to work for them. 

Leaving the money in the bank lying idle will not give you financial freedom. To accumulate wealth that grows, the rich diversify their investment portfolio to spread risk and maximize returns.

To stay rich, create multiple streams of income, such as starting a side business.

Learn, Re-learn and Unlearn

Apart from setting financial goals, the rich continuously educate themselves about personal finance. 

They bring out time to study people's biographies, financial books and related resources. They use every relationship, interaction and transaction to learn because they have the mindset that there is a lesson in every action.

Staying Informed

The rich listen to the news and are always aware of activities happening locally and internationally. They imbibe that habit because issues and policies can affect their money. 

For instance, they are mindful of taxes and take advantage of changes in tax deductions or credits which may be available to you.

Taking Calculated Risk

They have a long-term perspective and avoid impulsive or emotional financial decisions.

They are not gamblers. The key to staying rich is taking decisions that draw you nearer to your set goals. 

Accumulating sustainable wealth cannot be achieved by reckless decisions and unhealthy competition. Succumbing to peer pressure is not part of the plan to stay rich and successful.

Learn How To Budget

They have plans for their money and stick to them, including budgeting. When you fail to plan, you plan to fail. 

Budgeting puts you in check in terms of overspending. It gives you a sense of direction and helps you stay focused on your goals. Planning for the future is one of the fastest ways of obtaining financial freedom.

Leverage on Other People

The rich surround themselves with successful, financially-savvy people and learn from their experiences and strategies. 

No man is an island, according to John Donne. To succeed, the rich use other people's money, talent, expertise and tools. They are good at replicating success stories and improving on them.

So you have it, Ways to accumulate wealth and stay rich forever.

Note, This article is for informational purposes only. What is written here is purely my conviction. It should not be considered Financial Advice. Do your research or better consult your financial professional adviser before making any major financial decision.