💰 How to Build Wealth

Once I started a side hustle and it started to generate some income, I was unsure of what to do with my new found ‘wealth’. Fortunately, I have been able to learn a lot from Medics’ Money regarding how to build wealth and put it towards gaining ‘financial freedom’ (to some extent).

I think the most common pieces of advice we all receive is to save and invest in the S&P 500 or other similar ‘safe’ stocks and shares. However, the best piece of advice I picked up was not letting your lifestyle costs rise in line with increasing income, as that is the easiest way to build up wealth quickly.

And this was something I began to notice quite frequently at the start of my journey because I would be more keen to go out with friends for a meal or treat myself better etc. but as a student it was not sustainable and probably not the best use of my extra income. The trick is to keep your costs as similar to pre-side hustle income and work on increasing your income. I also applied a hack I learned from Sahil Bloom to this as time has gone by to mitigate for impulse buying.

If I like something or feel like I ‘need’ something - I add it to my cart and leave it there for 24 hours. If I return in 24 hours to purchase it then fair enough, however, if I don’t - I have just avoided impulse buying.

And this tactic of ‘living within your means’ comes up all the time, be it Naval or Ramit Sethi. But is often harder said than done.

Just a little reflection on my journey so far that I hope helps other solopreneurs building their side hustles! That said, I am still learning and I am sure there are other handy tips and tricks that I am yet to discover to make your money work for you best.