pro finance blog
Menu
  • About Me
  • Hire Me
  • Contact Me
  • Submit a Guest Post
    • Privacy Policy
    • Disclaimer
Menu
Become Rich

How Do I Become Rich?

Posted on August 30, 2016November 25, 2020 by Tina Roth

Last month I was interviewed for a personal finance podcast. The interviewer asked me a question that really got me thinking about what is my long term goal. He asked me “what is financial freedom to you”. My site, is called multimillionaireroad as I started the blog to chronicle my thoughts and feelings on my path to riches. 

Become Rich

However, I realise that the blog name can be a little misleading. It wasn’t that I wanted to become a multi millionaire per se, I wanted to live a very comfortable life with my family. The name of the site was meant to be aspirational, desirable (if a little long to write out!). The question that I was asked was: 

What is financial freedom to you? 

Now most people will respond saying “loads of money!”. However, I think that you need to explain what you mean by this. What do you mean by “loads”? Surely, enough money to be considered rich within your social circle. Some people will take “rich” to mean that they have enough. Others will have a specific amount of money in mind. There will also be a third group who think of the term “rich” to mean unlimited wealth – think billions! My definition of “rich” isn’t any of those listed previously. 

Rich and financial freedom 

For me the definition of rich is intrinsically linked to financial freedom. This means that I consider myself “rich” to be the point at which my monthly outgoings are covered by passive income. Passive income is income that is earned without requiring further additional time (following some time and effort upfront). Passive income will include income from sources such as interest, dividends, rent, and business income. I plan on retiring in modest luxury so this passive income needs to be large enough to cover my dream of being able to travel, living several months abroad each year. You need to consider what your monthly outgoings will be and what you would need to cover these. I think my passive income will need to be roughly £4,000 after tax each month in real terms (ie ignoring inflation) – this should be more than sufficient for food, bills, entertainment, holidays, shopping etc. 

How do I reach financial freedom and become rich? 

Reaching financial freedom is simple on paper but difficult in practice. The way to reach financial freedom is to build assets. You need to earn an income, push to grow it, save a large proportion of that income, invest savings into a range of assets such as property, Companies, businesses and bonds, and then reinvest the interest earned from your investments. 

You’re probably thinking: seems simple but sounds like it would take a long time and a lot of effort and sacrifice. You’re right! It is simple but hard. But don’t fret. The only reason why you’re not on the road to your fortunes is that you don’t yet have the discipline for it. To really succeed you need to have the goal of financial freedom or becoming rich in mind and aim for it the whole time. Every purchase, every time you earn, every time you think about saving and investing, you need to be considering what you can put away into assets. Why?! Because assets create cash flow and with cashflow you create a non-reliance on work for income. Then you are rich.

The article is by Mr. MoneyBanks from multimillionaireroad.com. He is a trained accountant who works in the city (London) building cash flow models for investors. He has been blogging about personal finance since he was in his final year in University nearly five years ago.

Category: Personal Finance

1 thought on “How Do I Become Rich?”

  1. Steven Goodwin says:
    September 23, 2016 at 12:35 pm

    I think everyone aspires to be well off in some way. We all are working to the best of our ability (hopefully) to grow our net worth and reach the ever elusive title of financial freedom. I believe that I will be working my whole life, and I’m definitely ok with that as long as I have the option to do what I enjoy doing. The real financial freedom is in the choice to do what we want rather than working to just bring home a paycheck.

    We have worked to build enough margin in our family’s finances that I am actually able to stay at home with our 2 girls at this time (they are 4 and 2) and I’m working to build up my online presence so hopefully, I can continue following my passion (teaching others about personal finance) well after they are in full time school.

    Log in to Reply

Leave a Reply Cancel reply

You must be logged in to post a comment.

About Me

finance blogger

The idea of starting a blog has been hitting me for long; I took it seriously after falling into a spiral of debt and recovering from it.

I have been anxious all through the financial difficulties. I see that same anxiety in the eyes of people, whose ill fate has put them at odd with financial repose.

It makes me compassionate. Out of this compassion and goodwill, I started this blog. I wanted to help all those, who are facing financial distress..




  • Stock Market
    Understanding the Gov Tech MarketFebruary 16, 2023
  • Phuket Real Estate
    Why You Should Invest in Phuket Real EstateJanuary 24, 2023
  • Corporate Governance
    Corporate Governance: What Are the 3 Core Principles of Good Corporate Governance?December 17, 2022
  • Successful Retirement
    How To Plan For Successful Retirement At 50: 5 Steps To Get Started OnNovember 4, 2022
  • Online Money Transfer
    Do You Still Transfer Money Internationally With Your Bank? There Are Better Online Solutions For ThatOctober 14, 2022
  • finance
    Important Roles of the Minister of FinanceSeptember 16, 2022
  • Avoid for New Businesses
    5 Forecasting Faux Pas to Avoid for New BusinessesSeptember 16, 2022
  • Affecting Pensions
    How Inflation Is Affecting PensionsSeptember 2, 2022

    ProFinance Blog is dedicated to help people who are struggling with their personal finances. We have learned the lessons first hand and know how real the struggle is. Being compassionate about the personal finances and blogging about is our way to help people know more about different situations and how effectively they can handle it. So take control of your finances now and take actions towards gaining financial freedom and security. Join us in the mission to self-educate, learn and help others by sharing valuable information on finances. Here you will find information, tools and techniques on various aspects of finances and learn how you can use the information and implement it to make your financial life better than ever.Join us in our mission to financial freedom.

    • Stock Market
      Understanding the Gov Tech Market
    • Phuket Real Estate
      Why You Should Invest in Phuket Real Estate
    • Corporate Governance
      Corporate Governance: What Are the 3 Core Principles of Good Corporate Governance?
    © 2023 ProFinance Blog | Powered by Minimalist Blog WordPress Theme