Become Wealthy Without the Lottery

by Ryan Yates

Are you $640 million richer yet?

I would absolutely love to win the lottery . . . but I haven’t yet.

Instead of staking your future on winning the jackpot (which may never come), rely on yourself instead.

That’s right, I’m saying you can become wealthy without the lottery. You might not accumulate $640 Million, but you can definitely improve your financial life.

First Things First, Losing Isn’t So Bad

For the rest of us who didn’t win the jackpot last week, take solace in the fact history has shown us most lottery winners can’t handle their new millions. I’ve always been intrigued by the televisions shows and news reports about lottery winners squandering their fortune.

It’s just as frustrating as hearing about pro athletes going bankrupt 4 years after they retire. Impossible!

But it’s absolutely true, winning the lottery doesn’t automatically teach you wise money skills. You cannot deny the difference between working for your wealth and winning it. So, instead of relying on the lottery, take control of your financial life, find ways to stop bleeding money, and start hustling to make more income.

Redefine Wealth

No, this isn’t some ploy to make you feel better about living so close to the poverty line. But it’s important, as you set your financial goals, that you get a clear picture of what being ‘wealthy’ will actually look like for YOU.

If you never define wealth, you’ll continue chasing financial satisfaction your entire life no matter what amounts you accumulate.

Money Goes Missing All of the Time

How much more money per month or per year would it take for you to be happy? The funny thing is, numerous surveys tell the story that your answer will be about $10,000 to $20,000 more per year – no matter what you’re currently making.

The statistics show that, whether we make $30,000 a year or $130,000 a year, we always think we need more to be comfortable. Why is that? Because we always want more and our spending always grows with our income.

This has got to be the primary reason why lottery winners can’t handle their new bank account; their spending increases without any solid foundational financial habits.

If you’re making $30,000 a year and you somehow increase your income to $45,000, it will usually take 12-18 months before you’re missing the extra income. In that time, you’ve probably increased your spending enough to ‘lose’ the extra.

First Steps Toward Wealth

In my opinion, there’s no secret or special fast track to getting wealthy. Whatever system you may employ to eliminate your debt, control your spending, and increase your income, it’s all going to take self control, hard work, and plenty of determination.

It’s important to remember that wealth doesn’t come just by reducing or eliminating your debt. It’s not going to hurt if you research ways that you can increase your income.

This can come by increasing your current income through a promotion or a raise, and it can come by finding a second job or some other type of hobby that you can turn into a money-maker.

You’ve Got Some Money, Now Keep It

When you turn your financial ship around and start heading for a bright future, it’s tempting to take the extra money you’ve got and spend like the big boys. Vacations around the world, high-class restaurants 5 times a week, bigger house, luxurious car, expensive wardrobe . . . STOP!

Those are the exact reasons why pro athletes and lottery winners lose their money – they don’t know how to be smart with it or hold onto it for any amount of time.

When you find yourself approaching the upper class bracket, it’s important that you have a plan for keeping and growing the money you’ve worked so hard to earn. Instead of immediately buying a bigger house, think about securing your retirement.

Instead of the matching pair of luxury cars, take a look at college savings plans for your children. Instead of instantly blowing your dough on fine dining and new clothes, consider high-yield savings accounts, CDs, or even investing in mutual funds.

The point is, we shouldn’t be trying to make more money just so we can get rid of it as quickly as possible. No matter if you’re wealthy or not, find ways to make your money work for the most important things in your life before you spend it on ‘excess’.

Photo By jmoneyyyyyy

{ 1 comment }

Jeremiah August 17, 2013 at

It really is so true that no matter how much we make, we always want more. Thanks for your thoughts here. I am trying to find ways to increase our income, but truth is we need to find ways to control our consumption as well.

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