The Surprising Signs You’re Actually Building Wealth (Without Realizing It!)

Let me share what irks me about these young YouTube millionaires showing off their dream lifestyles and flashy cars. Now, I’ve got a bone to pick with this because, truth be told, it’s making a bunch of us feel like financial failures.

But hang on, don’t get me wrong. I give major kudos to these young guns; they’ve pulled off some seriously cool stuff. But, let’s face it; they’re not your average Joes, not even close.

Building wealth? Well, that’s a marathon, not a sprint.

Practicing patience and finding contentment are necessary for building wealth. It took me a solid decade of grinding to hit that millionaire status.

Setting the Money Scene: Average Salaries and Savings Secrets

In the US, the average salary hovers around $56,140, and in the UK, it’s closer to £38,000. But wait, that’s just the surface. When we talk averages, we’re talking about a mix of sky-high earners and folks probably rocking more candles on their birthday cakes than you.

Let’s dig deeper, shall we?

Now, over in the UK, your average under-25-year-old is stashing away a humble £2,533. Bloomberg spills the tea, revealing that your typical first-time home buyer is rolling in at a whopping 36 years old.

And here’s a kicker – the average net worth of someone aged 18 to 20 is actually in the negative zone. Yeah, you read that right, most are in debt. So, when it looks like every 20-year-old is “killing it,” the stats tell a different story.

Social Media FOMO: The Scroll Trap and Unrealistic Comparisons

Average TikTok user in the US spends a mind-blowing 95 minutes scrolling through the app every day. That’s more time than binge-watching your favorite show!!

With all this scrolling, the temptation to compare ourselves to others is practically tattooed on our brains.

This comparison game has two sides: downward and upward.

Downward comparison involves when you stack up against those worse off – your mates, for instance. Sure, it might give you a short ego boost, but watch out; it can make you lazy and kill your motivation to improve. Imagine if they end up outshining you down the road? Total bummer.

Flip the coin, and you’ve got upward comparison. Picture this – you measuring up to those 20-year-olds zipping around in Lambos, jetting off to Dubai like it’s a weekend getaway, and rocking watches that cost more than your entire home. It fuels envy, anxiety, and unrealistic expectations.

Unveiling Social Media Realities

Here’s the curveball – most of those flashy videos you’re glued to are as staged as a Hollywood set. According to the social status theory, even your closest buds might be hiding stuff from you just to feel superior.

Ever caught yourself thinking about someone while watching one of these videos? Time to ask yourself – where are the receipts? Do they offer any concrete evidence of their success? Often, the answer is NO.

Their entire online persona could be built on borrowed cash or carefully crafted illusions. Remember, folks only show what they want you to see.

The Grind behind the Scenes and Responsible Decisions

While you’re caught in the comparison trap, no one sees the hustle you’re putting in behind the scenes.

You’re building an emergency fund, investing for the future, and maybe even juggling family responsibilities.

These are all steps towards financial security, even if they don’t involve Lamborghinis.

Sell Results, Not Time

Now, let me drop some wisdom. First up, focus on your own hustle and figure out how to maximize those earnings.

Quick tip: sell results, not your time.

If you’re generating extra profits, your boss should be offering you more. If not, it’s time to find a gig that values your worth. This is where selling results comes in. Don’t let yourself be undervalued – negotiate based on what you bring to the table.

Guilt-Free Living: Money Rules and the Level-Up Game

Most influencers in this space might guilt-trip you for enjoying small pleasures like grabbing a Starbucks or hanging out with friends.

But here’s my take – you shouldn’t feel financially guilty for indulging in what you love.

That guilt can distort your reality and make you feel worse off than you actually are. Remember, living like a hermit and hoarding every penny won’t magically make you rich.

It’s all about finding a balance between sensible saving and enjoying life.

Living the Level-Up Rule: Balancing Life and Money

One of my golden rules is leveling up each year. It’s about striving to be a better version of yourself every 12 months.

This year, for example, it’s skiing in France with my family and crew. The coach transfer? A whopping four hours – longer than the entire flight from the UK! So, I did the unthinkable – booked a helicopter ride for everyone.

Life’s about creating memories, and sometimes, it’s okay to swap cash for experiences, especially when you’ve worked hard for it.

Remember, true financial progress isn’t just about the numbers in your bank account; it’s about building a fulfilling life for yourself and those you care about.

Money Moderation: The 50/30/20 Rule

If moderation isn’t your strong suit, try the 50/30/20 budgeting rule.

Allocate 50% of your income to essentials like rent and groceries, 30% to future goals (investing is my jam – tax-free, baby!), and 20% for fun.

Whether it’s grabbing pints with mates or taking a weekend getaway, it’s your call. This is where finding the right balance between saving and spending comes in. Don’t deprive yourself, but stay mindful of your financial goals.

Side Hustles: A Boost When Needed

If your current earnings don’t quite align with those percentages, that’s where side hustles come in. You can explore many amazing side hustle ideas here on MoneyMarsh.com.

But hey, before you dive in, remember the most important takeaway – cut yourself some slack.

My kid worked minimum wage from 18 to 20 while his friends earned more. But he knew his true pay was in something more valuable – experience. Two years later, he left them in the dust and is now a millionaire himself.

Proud dad moment, right?

Remember, everyone’s journey is different, and building wealth takes time and effort. Focus on your progress, not just the paycheck.

Unfair Advantages: Your Secret Superpower

Think about what you’re learning and honing in your current job or side gig. Even if the cash flow isn’t a river yet, you’re likely building your unfair advantage.

This is your secret superpower, the skill that sets you apart.

My dyslexia, for example, forced me to develop quick decision-making, problem-solving, and practical design skills. These strengths only emerged in a challenging environment.

Embrace your challenges and turn them into your personal advantages.

When to Stay and When to Bail

So, if your job is pushing you to level up, it’s worth more than just the paycheck.

But if it’s all pain and no gain, make like a tree and leave.

Remember, men change jobs an average of 12 times in their lifetime, so don’t let your university degree trap you into a one-job wonder. Finding the right career fit is crucial for both your financial and personal growth.

Don’t be afraid to explore and find what truly sparks your passion.

Setting Goals: Your North Star

A North Star is like an end goal, a goal that’s so high in the sky that you question its reach, but you know that with effort and determination, you can get there.

Studies show that people who don’t have a North Star are far more likely to compare themselves to others rather than just focusing on their own journey, leading them to feel further behind financially than they actually are.

My first-ever North Star was becoming a millionaire. I didn’t know how or when I was going to get there, but eventually I did. And once I achieved this goal, I knew I had to find a new North Star, one that was harder to reach.

So my next challenge became building a family legacy, and this is still something I’m dedicated to, and it motivates me every day.

Once you’ve decided on your North Star, make sure you write it down somewhere or even put it on your phone wallpaper. Studies show that this makes you 10 times more likely to reach it.

Remember, more effort in equals more progress, and the less you’ll care about what others are up to. So, lace-up those boots, set your sights high, and let the journey roll!