Get Rich Slow E-Book

Sarah Riegelhuth

• Herausgeber: John Wiley & Sons
• Kategorie: Fachliteratur
• Sprache: Englisch

Seitenzahl: 279

Veröffentlichungsjahr: 2012

Beschreibung

How to build wealth the smart way--slow and steady This book will show you how to take control of your finances and grow your wealth using nothing more than a few key principles and commonsense wisdom. It shows you how to let go of easy excuses, stop waiting around for magically simple solutions, set intelligent financial goals, and design an action plan that you can follow through to completion. Using a storytelling approach, it shares the financial experiences of the author and her clients, guiding readers through the tools and tactics necessary to effect positive financial change in their lives. Although focused on personal finance goals, the lessons here easily translate to life itself.

Leseprobe

Get Rich Slow: Start Now. Start Small. Achieve Real Wealth.

Table of Contents

About the author

Acknowledgements

Preface

Part I - Let's get real

What are you waiting for?

An ancient lesson

Common mindset traps

Accepting responsibility

My wake-up call

Life lessons

Being financially independent

Moving forward

Get rich slow

Striking gold?

Luck plays no part

The formula that will work

We’ve been doing it all wrong!

Aiming for ‘nothing’?

The debt spiral

Your age favours the bank

Dreaming of zero

Counting the cost

Minimum repayments don’t shift debt

Shift your thinking, shift your debt

My brush with debt

Making it happen

Getting it under control

How does credit history work?

Pay those bills!

Good debt, bad debt

Borrowing effectively — the basics

Borrowing thumbs-up

Gearing up

The 30 per cent benchmark

Sustainable debt

Borrowing to build wealth — home loans

First save the deposit

Set your borrowing limit, and stick to it!

Borrowing for shares

Keep gearing levels low

Borrowing thumbs-down

Do you deserve it?

Using a credit card effectively

Beyond financial benefits

Beware of the annual card fee

Using interest-free finance

Using credit card balance transfers effectively

Borrowing to purchase a car

The never-ending car loan

So what’s the alternative?

The right debt

Start yesterday

Now is the time

The power of time

High-interest savings accounts

Share portfolio or managed funds

We have the power!

Part II: Let’s get smart

Many roads to wealth

Understanding investing

Capital

Income

Risk versus return

Liquidity

Investment 101: asset classes

Investing in cash

The bonus of interest

Volatility and risk

The effects of inflation on cash

The power of compound interest

Ways to invest in cash

Fixed interest

Investing in shares

Active versus passive investing

Value versus growth investing

Volatility and risk

Starting small

Dollar cost averaging

Ways to invest in shares

Investing in property

Capital gains tax

Renovator’s delight

Volatility and risk

Ways to invest in property

The only way is up

Investing in you

Invest in knowledge

Ask for a pay increase

Review your pricing model

Start a business

Get a second job

Sell stuff

Follow your passion

What about tax?

The great tax return debate

Preparing in advance

Salary sacrifice

You are the reason to love your money

Don’t forget about retirement

Superannuation 101: what is it?

Types of funds

Basic industry funds

Standard industry or retail funds

Comprehensive retail funds

Self managed superannuation funds

We get what we pay for

Tax benefits

Did someone say tax-free?

Don’t plan too late!

Superannuation contributions

Limitations of superannuation

Increasing your retirement savings

Government co-contribution

Salary sacrifice

Non-concessional contributions

Part III: Now . . . let’s get going!

Psychology of money

What makes us tick?

Family values

Approaches to money

Learning from experience — some advice for parents

Ideally, lead by example

Failing that, do as I say, not as I do!

Some age-specific approaches

Bad habits

My bad habits

Identify your bad money habits

Some common bad money habits

It’s my shout . . . always

I never bother to check the bill

What parking signs?

I’ll pay them when I have time

Overdrawn again

Missing out on early bird specials

A timely validation

The swapping strategy

My secret weapon

Take stock

Where are we now?

The golden rule

Completing a budget

Looking for something more tech-savvy?

Choices and compromises

Completing a financial position assessment

Assets and liabilities

Outcomes

Effective cash management

Goal setting

Setting goals keep us motivated

Start daydreaming

Reaching for our goals

Option 1: If we have the discipline to repay our credit card and not use any more credit

Option 2: If we don’t think we have the discipline needed to get our credit card spending under control

Allocating savings to each goal

Prioritising our goals

The bucket approach

Protect yourself

The problem of underinsurance

So what could Claire have done differently?

About personal insurance

Life insurance

Trauma insurance

Total and permanent disability (TPD) insurance

Income protection insurance

Putting a quality plan in place

Remember, you are ‘applying’ for insurance

The Black Saturday tragedy

Seek and share advice

What is your time worth?

Experts add value

Keeping you accountable

Selecting an adviser

Involve your friends — open up

Share your wealth creation journey

Just do it!

First published in 2013 by Wrightbooks an imprint of John Wiley & Sons Australia, Ltd 42 McDougall St, Milton Qld 4064

Office also in Melbourne

Typeset in ITC Berkeley Oldstyle Std 11/13

© Sarah Riegelhuth 2013

The moral rights of the author have been asserted

National Library of Australia Cataloguing-in-Publication entry:

Author: Riegelhuth, Sarah.

Title: Get rich slow: Start now. Start small. Achieve real wealth. / Sarah Riegelhuth.

ISBN: 9781118406168 (pbk.)

Notes: Includes index.

Subjects: Finance, Personal.

Dewey Number: 332.024

All rights reserved. Except as permitted under the Australian Copyright Act 1968 (for example, a fair dealing for the purposes of study, research, criticism or review), no part of this book may be reproduced, stored in a retrieval system, communicated or transmitted in any form or by any means without prior written permission. All inquiries should be made to the publisher at the address above.

Internal design by Peter Reardon, pipelinedesign.com.au

Cover design by Paul McCarthy

Author image © Karen Woo

Printed in China by Printplus Limited

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Disclaimer

The material in this publication is of the nature of general comment only, and does not represent professional advice. It is not intended to provide specific guidance for particular circumstances and it should not be relied on as the basis for any decision to take action or not take action on any matter which it covers. Readers should obtain professional advice where appropriate, before making any such decision. To the maximum extent permitted by law, the author and publisher disclaim all responsibility and liability to any person, arising directly or indirectly from any person taking or not taking action based on the information in this publication.

For Finn (my love) and Mark (my best mate) for both always, always believing in me.

About the author

Sarah Riegelhuth is the co-founder of award-winning financial advisory firm Wealth Enhancers and the highly successful League of Extraordinary Women, an organisation supporting the development of young female entrepreneurs nationally. She is passionately committed to helping women realise their potential, both financially and in all aspects of their lives.

Named as one of Melbourne’s Top 100 most influential, inspiring and creative citizens by The Age in 2011, Sarah is recognised as one of Australia’s leading female entrepreneurs. An accomplished keynote speaker, Sarah is also a popular blogger, writer and columnist for several online and print publications including Women’s Agenda and Money Management.

In 2010, Sarah became the youngest board member in the history of the Association of Financial Advisers (AFA) and helped the association launch the inaugural Female Excellence in Advice Award. The award has been more successful than any other award established by the AFA.