8 Ways You Can Go From Broke to Rich in 2024

Trying to get to a place of financial stability when you’re broke can feel like an uphill battle. But according to experts, you shouldn’t give up hope. With the right mindset and strategies, you can dig yourself out of financial struggle and significantly grow your wealth this year.

Here are some ways you can get ahead in 2024.

“In my experience as a finance expert, I have gathered that there are two major reasons individuals are broke and living paycheck to paycheck,” said Mafe Aclado, general manager of Coupon Snake.

“It is either they are not earning enough, or are like so many others who bring home a pretty decent income, but neglect to budget their expenses,” she explained.

“Without first identifying why you are broke and why you always blow through your earnings before the next paycheck arrives, it would be next to impossible to make any significant strides in your finances, much less go from broke to rich in 2024.”

She said finding out what aspect of your finances, or spending habits is limiting and hindering your financial growth, is the first step toward going from broke to rich this year. 

That said, she noted that one way to tremendously improve your finances this year is to become dedicated and ready to put in the hard work that is required. 

“You would just have to realize and be ready to make the necessary changes both in your spending and saving habits,” she added. “You would also have to be realistic and adopt a growth mentality because your money mindset is crucial to how much financial success you are able to achieve within one year.”

“I would say one of the best, and perhaps only, ways to go from broke to rich in a single year would be through making lucky picks when it comes to investments,” said David Kemmerer, CEO of CoinLedger.

“I have seen some of these types of results from crypto investments, but these do tend to be riskier and you should never be investing money you can’t afford to lose,” he noted. 

“However, if you’re looking to accrue wealth and improve your financial situation through passive income, I would highly recommend investments as one way to grow your money and escape the paycheck-to-paycheck cycle in 2024.”

Ethan Keller, president of Dominion, also recommended you start investing as soon as possible to take advantage of the compounding growth. 

“In order to reduce the amount of risk you are exposed to, you should diversify your portfolio and investigate low-cost investment options such as exchange-traded funds (ETFs) and index funds.”

“Make the decision to live a frugal lifestyle and fight the urge to spend more than you can afford,” Keller said.

By living below your means, he said you’ll be able to save and invest more money, which ultimately speeds up the process of reaching your goal of becoming financially successful. 

“It is possible to find new opportunities by networking, such as better employment, business collaborations, or investment partnerships,” Keller noted.

“Networking can open doors to new prospects,” he added. “Develop partnerships that are valuable to you and have the potential to favorably affect your financial journey.”

According to Harrison Tang, co-founder of Spokeo, one effective approach for transitioning from financial hardship to affluence is to look for job opportunities around the world. 

He said this strategy is especially beneficial for those who live outside of the United States since it allows them to obtain higher-paying jobs in areas where their abilities are in high demand.

“Even those living in the United States can profit from looking for chances abroad, which may lead to more lucrative careers.”

Tang noted that in today’s economic climate, having side hustles is critical for managing bills and saving. 

“It’s important to explore projects with future growth potential rather than investing in endeavors lacking long-term viability.” 

He said this will give you job security and enable you to make investments to secure a better financial future.”

Melanie Musson, finance expert at Clearsurance, also suggested picking up a side gig. 

“Earning more money can help you pay off debt, build your savings, and start investing.”

When it comes to reaching your goals, Musson also recommended moving to a cheaper house this year. 

“You have to be willing to make sacrifices to build wealth if you’re used to living paycheck to paycheck,” she said. “One of the quickest ways to lower your cost of living is to move somewhere cheaper.” 

She noted that you might have to live in a smaller house or apartment, but if you can free up money in your budget, you won’t be in that position forever. 

At the same time, she also suggested getting a roommate. 

“You can put the rent money directly where you need it to go to reach your financial goals sooner.”

“My company works with people all the time who live paycheck to paycheck and we tell them all the time the best strategy to break out of a financial rut is to refinance their existing loans,” said Mike Thompson, vice president of Hyperlend. 

“Our company offers auto equity loans to people across the U.S., and you’d be stunned at how many people have outstanding loans with rates over 40%,” he explained. “Most customers don’t even know they can significantly reduce their interest rates and get a better payoff time, and often all it takes is a quick phone call.”

“The current economy can be difficult for anyone, especially in this high rate environment, but take a few minutes to call your lenders and to renegotiate your interest rates.”

He said that by doing so, you can pay down your loans quickly and use the money you saved for an investment or other noble cause.