Mark Cuban’s 9 Steps for Efficiently Building Wealth? Easy steps for earning money
It always seems like we never have enough money or time. If only we had more money would we then have more time. It’s safe to say trading our time for money at corporations won’t make the majority of us rich — unless you’re the CEO.
You have to find different ways than just a transaction of time and money to amass the fortune you’ve long been searching for.
Fortunately, you can learn from billionaires like Mark Cuban on how to grow your bank account.
Let’s start
1. Live like a Student
This one is pretty easy. You have to pretend like you don’t have any money. No cars, fancy watches, high-end fashion, etc. Don’t waste your money on material goods.
Most people buy into materialism just to impress people they don’t even like. Stop acting rich before you are rich.
Save that old iPhone, clunker car, clothes, shoes and you’ll see spending go way down.
2. Minimize Credit Cards
We all see consumer debt rising by the second thanks to the easy accessibility of credit. You should only use credit to build your credit score not extend your purchasing power. We all need a score to buy a house etc. but minimize purchases only to maintain a high score.
Only buy with cash or debit cards. If you don’t have the cash to buy it don’t buy it.
3. Save 6 Months of Income
It’s important to have a blanket for emergencies. At some point, you might be laid off, fired, have to move, incur medical expenses, and so on. Having a net to pay the bills for a few months will dramatically lower your stress during difficult times.
4. Savings into SPX Mutual Funds
Putting your savings into a low-cost S&P 500 Index fund allows you to begin to grow your money at low risk. With some research, you’ll be able to invest in the stock market and pile your money over the long haul.
Investing from a young age is important. Most Americans don’t start saving for retirement until they are in their 40’s. Investing 10% of your salary every year from age 23 to 65 with annual returns of 10% puts you at $3,000,000 upon retiring. (Salary starting at $40,000 and rising 3% each year.)
5. Invest up to 10% in High-Risk Investments
He recommends risky investments such as Bitcoin and Ethereum. If you can buy while it is low and another bubble appears then you might luck out with some high returns.
He warns that you must consider this 10% already lost because of the volatility of these investments. For only 10% its worth it.
6. Buy Consumables on Sale in Bulk
Everybody needs toothpaste, shampoo, conditioner, cleaning supplies, paper plates, etc on a monthly basis. When you see these items on sale, buy then in bulk. You will eventually buy them anyways so save some money while they have percentages off.
Say toothpaste is $5 and on sale for 50% off. Buying a year’s supply puts you at $30 instead of $60 at full price. Now, take those $30 savings and multiply that across the board for your consumables. Not to mention, every few months products increase in price as well. That’s a lot of savings.
7. Negotiate Using Cash
This can be tricky depending on where you shop. This system won’t work at grocery stores, bix box stores, etc. Good places to negotiate prices would be roadside markets, garage sales, yoga classes, food vendors, and so on. This also works well with services such as grass cutting, mulching, snow removal, painting, the list goes on and on.
Give it a try, the worst they can say is no.
8. Read Books
Learning from others’ experiences is a great way to search for ideas. Whether you run a business and snag a marketing book for $15 to help propel your advertising or a $20 cookbook to give you ideas for your YouTube channel. Your return in profit will greatly outweigh the cost of the book.
If you don’t have an idea for a business or side hustle then maybe reading more books will help you find one.
9. “Nice Works.”
This one is simple. Be nice to everyone. The nicer and more empathetic you are towards people the more likely they are to help you. Whether they help you run a business, invest in you, become a friend, etc. You should always give people the benefit of the doubt and show you care and you’ll get more results.
Mark ends with a quote saying, “The one thing that you can control in life is your effort… work hard.”
When a billionaire tells you how to make more money, you should probably listen. I have implemented most of these steps into my life and am already seeing dividends.
Hope you see the same!
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