How do people get rich?

While this is a recommended goal, if this is not possible.

Simply save what you can, with the goal being to add something to your savings each month.

Create a budget. A solid budget is the first step on the path to wealth.

It helps you to identify all your expenses

And therefore control and reduce them. This, in turn, allows you to save your money which gives you capital to invest with.

On a sheet of paper or in a word processing document

List all your income for the course of a month in one column.

List all your income for the course of a month in one column.

At the bottom, add up the sources to determine a total.

In another column, do the same for expenses.

Make sure to include everything.

One helpful way to do this is to examine

One helpful way to do this is to examine

Your bank statement and credit card statement.

Add all the expenses in the column together to determine the total monthly expenses

Add all the expenses in the column together to determine the total monthly expenses

Identify areas where you can reduce spending.

Look closely at the expense column to find areas to reduce spending.

Your goal should be to create more "space"

Between the total number in the income column

Between the total number in the income column

Between the total number in the income column

And the total number in the expense column.

One way to do this is to examine the difference between "wants", and "needs".

One way to do this is to examine the difference between "wants", and "needs".