How to Use Money As A Tool To Build Lasting Wealth

This topic is inevitably a favorite. So many people don’t have enough money, spend too much money, don’t make enough money to cover what they spent, take on too much debt, and couldn’t spot an investment if it spits in their face.

There are a lot of books on money management too. A lot of GREAT books. Yet, the financial education of most people is lacking.

To tell what I know and believe about the use of money will take many posts. This article will act as a center point for many of them, but mainly this article will discuss the philosophy of money, wealth, and consumption.

Part I: There Are Only Four Ways to Build Wealth

Yep. Only four.

• Earn more money
• Spend less money
• Pay off debt
• Invest

Every imaginable way you can think of to build wealth can be boiled down into one or more of these four areas.

Let’s skim the surface of each.

Make more money

If you have one source of money, you are doing it wrong. You are doing it wrong because you are trusting that your employer will keep paying you.