10 Habits That Drive Your Financial Growth

Having multiple income streams is a powerful wealth-building tool. Ghing/Shutterstock

By John Rampton

Unless you’re in the small percentile of people who have received a large inheritance or trust fund or won the lottery, you need to build your wealth from scratch. And, that’s not the easiest of goals. Between stagnating wages, growing debt, and a considerable increase in the cost of living, this seems futile. However, if you develop the following 10 habits, you will be able to drive your financial growth to the finish line.

1. Establish Life Goals

“What is financial freedom to you?” asks Matt Danielson over at Investopedia. “A general desire for it is too vague a goal, so get specific.” Jot down “how much you should have in your bank account, what the lifestyle entails, and at what age this should be achieved,” he suggests. “The more specific your goals, the higher the likelihood of achieving them.”

“Next, count backward to your current age and establish financial mileposts at regular intervals,” adds Danielson. “Write it all down neatly and put the goal sheet at the very beginning of your financial binder.”

2. Live Within Your Means

Living below your means doesn’t mean being a “cheapskate” or missing out on life experiences. Rather, it “simply means that you’re spending less or equal than you’re making each month,” explains Deanna Ritchie, a financial editor at Due. “As a result, you aren’t putting yourself into debt by living off of plastic. And more importantly, this will help you create a more stable financial future.”