Jaspreet Singh: His 10-Step Formula for Becoming a Millionaire
Written by
Katie Wudel
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Do you want to become a millionaire? It’s possible to grow your wealth and make real money. Financial YouTuber Jaspreet Singh revealed his 10-step formula for attaining this goal. Here’s what he had to say.  Â
1. Understand the Wealthy Mindset and Money Rules
The journey begins with a mindset shift. Singh emphasizes the importance of overcoming negative associations with money rooted in one’s upbringing. He argues that wealth creation is about managing finances and fostering a positive relationship with money. Believing in the abundance of wealth and one’s ability to achieve it is key.
2. Work to Save Your First $2,000
Singh advises starting with a tangible goal– saving $2,000. This step is important for building an emergency fund, safeguarding against unforeseen expenses without resorting to high-interest debt.
3. Pay Down High-Interest Debts
High-interest debt, particularly from credit cards, is a significant barrier to building wealth. Singh suggests prioritizing its repayment, as the guaranteed return from clearing these debts often surpasses potential investment gains.
4. Build a Financial System
Adopting a structured financial plan, like Singh’s 75/15/10 plan, is vital. This strategy involves allocating 75% of income to spending, 15% to investing, and 10% to savings, ensuring a balanced approach to financial growth and security.
5. Pay Down Non-Credit Card Debt
Singh recommends addressing lower interest-rate debts next, excluding mortgages. This step focuses on eliminating liabilities that, while not as urgent as high-interest debt, can still hinder financial progress.
6. Decide Between Paying Down a Mortgage vs. Investing
Investing or paying down a mortgage early depends on several factors, including the interest rate and personal risk tolerance. Singh suggests a balanced approach, weighing the potential returns of investments against the benefits of reducing mortgage debt.
7. Increase Cash Flow from Investments
The goal here is to generate enough cash flow from investments to exceed expenses. Singh advocates for investing in assets that provide regular income, such as dividend-paying stocks or rental properties, to achieve financial freedom.
8. Work to Double Your Income
Singh encourages ambitious goals, like doubling your income, through self-improvement, skill acquisition, and potentially starting a business. This step is about expanding your earning potential to fuel further investment.
9. Build Asset Protection Systems
As wealth grows, protecting it becomes increasingly important. Singh advises seeking legal and financial advice to safeguard assets from lawsuits and other risks, emphasizing the need for insurance, estate planning, and tax optimization.
10. Leave a Legacy
Singh touches on the importance of legacy, encouraging the wealthy to give back through philanthropy, mentorship, and other means. This step is about using wealth to make a positive impact on the world.
Bottom Line
Singh’s formula is not just about becoming rich but about transforming your financial life through discipline, education, and a positive mindset. By following these steps, you can start your journey toward millionaire status.Â
Editor's note: This article was produced via automated technology and then fine-tuned and verified for accuracy by a member of GOBankingRates' editorial team.
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