There is a difference between “rich” and “rich”.
It’s all in the mindset. It’s the difference between the Rockefellers and Kid Rock.
If you are rich, you now have the money to buy what you want. Do you want a jet ski? You are rich, buy one, get out.
However, if you are rich, it means you are building something sustainable that should last for generations. Wealthy people know how to keep their money and make more money – and how to make their money work for them.
Here are five ways to teach yourself how to be rich:
1. Investing wealthy people
Investing is how you build generational wealth. If you feel that you don’t have enough money to invest, you are not alone. But guess what? You really don’t need that much – and you can even get free shares (worth up to $ 200!) If you know where to look.
Whether you have $ 5, $ 100, or $ 800 left, Robinhood is your investment.
Yes, you’ve probably heard of Robinhood. Both beginners and professionals love it because it has no commission fees and you can buy and sell stocks for free – with no limits. Plus, it’s super easy to use.
What is the best? When you download the app and top up your account (it doesn’t take more than a few minutes), Robinhood will put some of the free shares in your account. It’s random, however, so stocks can be valued between $ 2.50 and $ 200 – a nice boost to help you build your investments.
2. Passing on wealth to the next generation
Here’s another way to pass wealth on to the next generation.
Have you thought about how your family would do without your income after your death? How are they going to pay the bills? Send children through school? Now is a good time to start planning for the future by looking at term life insurance.
You’re probably thinking: I don’t have the time or money for it. However, your application can take minutes – and you can leave up to $ 1 million for your family with a company called Bestow.
Prices start at just $ 16 per month. Knowing that your family is being looked after is invaluable.
If you’re younger than 54 and want to get a quick quote on life insurance without a medical exam, or even get off the couch, get a free quote from Bestow.
3. Protect your property – the smart way
You are probably wasting money right now. And it’s probably due to something you would never expect – your homeowner insurance.
This is not something you actively think about – you just know you have to have it.
The problem is, You pay too much. Fortunately, an insurance company called Policygenius makes it easy to find out how much you’re overpaying. You can find cheaper policies and special discounts in minutes.
In fact, it saves users an average of $ 690 per year – or $ 57.50 per month. It will even help you break up with your old insurance company. (You can cancel your policy at any time, and your company should issue you a refund.)
And just because you’re saving money doesn’t mean you’re saving on cover. Policygenius makes sure you have what you need.
Just answer a few questions about your home to see how much money you are wasting.
4. Add up to 300 points to your credit score
When it comes to your credit score, staying organized and on top of things is important. After all, it plays an essential role in any major purchase you want to make – whether it’s a house or a car.
So, if you’re looking to get your credit going back – or even if it’s on the right track and you want to improve it – try a free website called Credit Sesame.
Within two minutes, you’ll have access to your credit history, all debtor accounts, and a handful of personalized tips to improve your credit score. You can even spot bugs that are holding you back (every fifth report has one).
Would you like to check it out yourself? It’s free and only takes about 90 seconds to sign up.
5. Grow your money 16x faster – without risking any of it
You’ve probably heard that the best way to grow your money is to put it in a savings account and keep it there forever. That is bad advice.
But maybe you’re just looking for somewhere to safely stow it away – and still make money. You won’t get anything under your mattress or in a safe. And a typical savings account doesn’t do much better. (Um, 0.06% is nothing these days.)
However, with a debit card called Aspiration, you can earn up to 5% cashback and up to 16 times the average interest on the money in your account.
Not too shabby!
Enter your email address here to receive a free Aspiration Spend and Save account. After you’ve verified your email address, securely link your bank account so you can get extra cash. Their money is FDIC insured and they use military grade encryption which is nerd-talk for “this is perfectly safe”.
Being rich is great. But don’t just be rich.
Mike Brassfield ([email protected]) is a senior writer at The Penny Hoarder. He’s neither rich nor rich, but he’s working on it.