Our relationship with money determines much of our lifestyle and choices. Most people desire to have more money. They want to break free from the cycle of living paycheck to paycheck and the burden of debt. Instead, we want to have a healthy savings and investment portfolio. As we learn to save money, invest and create wealth, a world of possibilities opens up to us. If you want to learn how to become a money magnet, consider these five ways to save money and create wealth.
5 Ways to Save Money and Create Wealth
1. Godly Mindset
You have probably heard the often misquoted scripture, 1 Timothy 6:10, “money is the root of all evil.” If you read the verse in its entirety, you will notice that the “love of money is the root of all evil.” (italics added) This misperception causes many good people to consciously or subconsciously not want money. They don’t want to be evil and incorrectly believe wealth will make them bad people.
I believe that God wants to bless good people financially. Money is the great multiplier, and when good people have more of it, they can do even more good! Think of how horrible the world would be if only evil people had all the money!
Who do you think dwells on money more often- someone living paycheck to paycheck, often with mounting debts, or a wealthy individual who has plenty of money to pay all their bills and excess to use in fun ways and make generous donations? Of course, the person who is constantly worried about how to pay the next round of bills will be more consumed with money. If we want to think about money less often, we need more of it!
Consider this Godly money mindset: “I use my wealth as an influence for good and support causes close to my heart. The Lord loves to bless me financially because I am a good steward of money and use my money to bless others.”
If you recognize that you have a money mindset that is repelling money, I invite you to borrow my mindset and repeat it often. Repetition is a great way to rewire your brain and create an improved mindset.
2. Learn the Habits of the Wealthy
Do you know wealthy individuals have different habits and experiences with money? It makes sense, right? For example, healthy people have different eating and exercise habits than unhealthy people. The same goes for wealthy individuals.
The great news is that the habits, attitudes, and “secrets” of the wealthy are readily available and easy to learn. With commitment and time, anyone can change their financial situation!
I recommend two books to learn new habits around money. They are both enjoyable to read and teach similar principles. They are great study companions, and I suggest getting both.
The first book is by Richard Paul Evans, “The 5 Lessons a Millionaire Taught me for Women“. Evans shares his story about overcoming his childhood experiences and learning how to create wealth by sharing the five lessons he learned as a 12-year-old boy. He shares inspiring stories and practical tips to have a prosperous life.
I love his closing remarks, “Life is not about money. It’s about God. It’s about love. It’s about family and relationships.” When your finances are in order, you can focus on what is most significant and meaningful in life!
The second book is “The 4 Laws of Financial Prosperity” by Blaine Harris and Charles Coonradt. This book is written as a fictional narrative that makes it an easy read while still thorough in covering the financial principles. I invite you to follow Paul Smith as he learns from his mentor, Mary Sessions, and transforms his life. If you can commit to the same steps as Paul, you can create wealth too!
3. Track Expenses
No matter where you learn about wealth creation, you will see that every method requires tracking. In today’s electronic financial world, it’s easy to just log into your account to see where you stand instead of keeping a personal record and accounting. Unfortunately, most people do not pay attention, creating leaks and fees.
If you don’t control your money, your money will control you.-Richard Paul Evans
Leaks happen when someone does not track every expense, and it can take months for them to notice an erroneous charge. Leaks also occur when a person is careless in using credit or debit cards and can quickly run up frivolous charges. Once a person tracks every expense, they are often shocked at how much money they are wasting. They find it’s easy to create new habits to save money where it was previously spent thoughtlessly.
Fees often occur when a person is not tracking expenses. These oversights result in overdraft fees, late fees, and interest charges. A small purchase plus the added fees cause regret once discovered, but it’s too late. When people track their expenses, they know where they stand and avoid these costly fees.
Tracking each and every expense is critical to wealth creation! This simple yet effective habit is the first law taught by Mary Sessions in the book mentioned above. It’s the first step that Paul takes to transform from living paycheck to paycheck with lots of debt to helping others and creating wealth for himself and his family.
4. Save Money
Another key to creating wealth is to save everywhere you can! I have several practices that add up. First, I create a weekly meal plan and then make a grocery list for the items we need. I recently asked on Facebook to find out how much families are spending on groceries. I was pleased to find out that for our family of 7 with four adults, we do a pretty good job keeping our food expenses down. I attribute this to my meal planning habit.
Next, I group my errands together when I am already picking up or dropping off a child. This not only saves on fuel expenses, but it saves wear on my car and tires. To give you an idea of the savings, the IRS allows businesses to deduct 58.5 cents for each mile. If you save 100 miles a week by driving around less, that adds up to over $3000 for the year!
My new favorite way to save money is the cash-back app called Rakuten. I use it for everyday expenses like food from Sam’s Club and larger purchases like Christmas gifts. I first learned about Rakuten in September 2021 from Lori. I’ve since used it almost weekly and have earned $261 from purchases that I make anyway. Most of my rebates are from small amounts ranging from 7 cents to around $2.
I’m most proud of the savings I got on my husband’s Christmas gift! He lived in Italy for two years and still enjoys drinking carbonated water. Carbonated water is quite expensive. After doing a lot of research, I opted to give him a DrinkMate carbonator. Using the Rakuten app, I found it 20% off and later received 18% back! The original price was $165, and after my savings, I only paid $108.23! That’s in addition to all we’ve saved over the past five months by not purchasing carbonated drinks at the store!
Right now, when you get the Rakuten app from our link, you will get $40 back after your first $40+ purchase in the first 90 days! It’s totally worth it! My family uses it most at Walmart, Sam’s Club, Target, and Shoe Carnival. As a business, Choosing Wisdom gets money back from our Canva account each month. We hope you’ll use our link and start saving for your personal use or business purposes!
I would again recommend the books above to learn even more ways to cut expenses and compound your money to create wealth. The savings add up!
5. Heal Childhood Trauma around Money
No matter your upbringing, you inherited your parents’ views about money or created ideas about money based on what you experienced as a child. A few people create healthy relationships with money, but most of us have some trama or distorted views about money. If you grew up in a poor household, you might have learned to hate money because it caused so much stress and contention in your home. If you had wealthy parents, you might resent that money was more important to your parents than spending time with you. Most religious homes have a distorted money mindset, as mentioned in #1 above.
Once you realize you have inherited some bad programming from your parents or upbringing, you can change it! My favorite course to heal childhood money trama is the Money Cure course by Carol Tuttle. It’s a four-week online program that combines affirmations, journaling, daily scripts, and clearing techniques to rewire your brain for abundance and prosperity. It is available online anytime, but I highly recommend joining the group experience that kicks off on May 16th! I love that the course is only $69! Sharee and I will participate, and we’d love to have you join us!
New Habits Create Hope
These are just a few of the success principles and techniques I teach in my private and group coaching. If you’d like to work with me, please sign up at my website.
I’m rooting for you and your success!