How to become rich with no money ?

how to become rich with no money

Although it sounds complicated to figure out how to become rich with no money, there are different ways to achieve that goal. Here are 5 steps to get there :

Do not live beyond your means

Limit yourself today so you don't have to count tomorrow

Being aware of your financial capabilities is a key to achieving wealth despite having no money.

This is the first step to progress.

If you spend without counting, without checking your budget, you are bound not to become rich.

Think about it : the future of your financial situation depends on how you spend your salary and your money. Are all your expenses justified ? Wouldn’t it be better to treat yourself less today for a happier life tomorrow ?

There are simple ways to save on a daily basis, such as the 5-pounds challenge: a fun way to save without worrying.

Limit yourself today so you don't have to count tomorrow

Beyond not living beyond your means, you must even be able to live below your means ! That’s how you’ll free up extra income to save more.

This advice is applied by people who have already succeeded in achieving wealth ! Enduring millionaires are those who know how to manage their money and income to always save some of it. They never spend more than they can afford.

Living below your means also allows you to face more difficult financial periods : if a big outflow of money or an urgent need arises, you will not be in trouble.

This is quite logical : if you have lived soberly for several years and accumulated a substantial amount of money you will be able to cope with this unexpected event.

Learn to save money to get rich

Now that you are able to limit your spending of money, you need to learn how to save it. Even if it seems obvious, this is the most important step if you want to start a rich life.

We insist on this point : succeeding in saving every month is the starting point for all people with no money who want to become rich.

How do we do it ?

A rich person, and who remains rich, is above all a good manager of his budget.

If you don’t believe it, read the stories about the people who won the lottery overnight and squandered all their fortunes in a few years. What they have in common is that they don‘t know how to manage their money.

Before you can even think about managing potential wealth, you need to be able to manage your current small salary, no matter how small.

You’ll ask us how I can expect to get rich with so little money in my account ? That’s what we’ll see.

How to save with no money?

Several techniques exist to learn how to save money despite having none, you can try two methods : the 50 30 20 rule or the use of a kakebo.

The 50 30 20 rule

The method helps you to distribute your monthly income properly.

How does it work?

It’s very simple :

  • 50% of your money for compulsory expenses (rent, insurance, utilities…).
  • 30% of your money for recreation.
  • 20% of your money for savings.

Read the full article to learn more about the 50 30 20 rule.

 

Using a kakebo

A kakebo is a small account book of Japanese origin.

Its use is rudimentary and ideal for someone with no money : each day, you must note all your expenses.

This way, you can keep track of all your cash outflows and identify unjustified expenses and eliminate them.

Discover our article on the kakebo

kakebo 2023

"Follow our method carefully and save up to 30% of money every month ! This is thanks to the organization brought about by note-taking"

Cash back : spend more to earn more

Behind this slogan, which sounds presidential, is a well-known way of consuming in the United States : cash back.

What is cash back? Simply a way to recover a part of your expenses when you make a purchase, and this, in an automatic way!

For example : you order an iPhone on Amazon, if you use a cash back solution for your order, then a certain amount can be recovered.

The amounts seem small at first glance, but I can assure you that after a few months of getting money back for every expense, you will realize that cashback is a great ally in your race to wealth.

How to become rich with no money : investing

This is the logical step after you’ve succeeded in saving : your money shouldn’t just sit in your bank account.

The goal is to find profitable investments where you can make it work.

What does this mean?

Putting your money to work means investing it to generate capital gains, without you having to do any extra work.

For example : investing your money in real estate is such an investment. You buy a property, you rent it out, and every month you get an extra income without having to work.

Successfully finding the right investments is an essential condition for your financial freedom and your path to wealth.

The best entrepreneurs : Jeff Bezos, Warren Buffet, Bill Gates… are all well-informed investors and know how to allocate their capital to the most interesting vehicles.

Here are the best investments to put your money into in 2023 :

  • Real estate
  • Stock Markets
  • Cryptocurrencies
  • Life insurance

The purpose of an investment is to realize a capital gain in order to reinvest it again, so that it can in turn generate another capital gain.

This is the famous compound interest : all the money you earn will be used to earn more money, without any additional effort.

Any good investor who wants to become a millionaire must understand the mechanics of compound interest.

Investment requires preparation

Be careful and don’t dive into the first investment or product you hear about.

There are many scams and dream sellers, many claiming to know how to become rich even without money. Don’t believe them, the road to wealth requires discipline and hard work.

Every investment requires thought and preparation: you need to be sure that the investment you select and the associated risks match your investor profile.

To avoid losing money foolishly, educate yourself ! We’ve collected the best books on financial education here.

Carrying out a secondary activity

You watch your expenses, you save money every month, you invest part of your savings… So how can you get even richer?

In this case, there is no miracle solution: you will have to increase your income and work more!

You may not accept this advice and rely on your small salary to hope to achieve wealth, but the fastest route is this. The more money you take in, the more attainable your goal of wealth and financial freedom will be.

The idea with a side hustle is to earn enough money to make a new investment, and further increase your passive income from these investments.

Ideally, you should find an activity that does not take too much physical or psychological effort: you already have a main activity that requires energy, the goal is not to exhaust yourself completely by becoming a working machine.

Several ideas for secondary activities are presented.

Check out our article on how to multiply your sources of income.

Setting up an online business

It’s another way to make money, but it takes more time, much more time.

Indeed, starting an online business will require the development of several expertises, in particular in sales and marketing : creation of a website, distribution of advertisements, management of social networks… etc.

However, building an online business can be an effective way to get rich if you are patient and diligent.

The first few months you will probably earn nothing or only a few bucks, but little by little, with practice, your financial situation will improve.

Think of it as an investment in yourself !

Some online business ideas to start :

  • Start an e-commerce and sell products
  • Monetize your blog
  • Become an SEO consultant
  • Become a traffic manager
  • Doing micro-influence

All these activities can bring you a lot of money if you are good at what you do : you can then forget about your small salary.

However, as we explained above, unless you are self-taught, it will be difficult to become rich with this type of business without a good training to accompany you.

Starting your company

The last step to achieve wealth despite your small salary : starting a business.

You work only for yourself, all the turnover generated goes to your company and no longer to a boss.

Beware : you don’t make a fortune with a business overnight. Becoming an entrepreneur and launching a business requires a lot of time, energy and a basic investment in the activity you are launching.

You must also develop professional skills in a variety of areas :

  • Legal
  • Accountant
  • Sale
  • Marketing
  • RH

Eventually, you will hire employees for all these functions, but when you start your business you will have to master all these operations to a minimum.

Our advice : starting a business is not an easy task, especially if you have a small income, which means you will probably need to take out a loan. The best thing you can do is find a mentor : someone who has started a successful business. Even if they only have a few hours a week or a month to give you, their advice will be invaluable and will save you from making many mistakes.

The road to financial independence is long and full of pitfalls ! More than being truly difficult, achieving wealth is mostly a matter of consistency and discipline : it is little by little that you will change your habits and start acting like a rich person. All of this takes time, which is why you should start today if you want to become rich with no money.

Jordan Houi
Article by

Jordan Houi

Passionate about savings and investment topics. I modestly try to offer you simple, sometimes not so simple, solutions to beat inflation.

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