Are you in your early 20s to 40s and looking to get serious about building wealth? If so, you’re in the right place. Today, we’re going to discuss the G.R.O.W.T.H. method that can help you make your first $100,000, a strategy proposed by Mark Tilbury. The quicker you get to your first $100,000, the faster you'll reach your next $100,000 and on and on through the power of compound interest. Let's dive in to see why it's so important to get to that first $100,000 as fast as possible.

G: Gain Control of Your Finances

The first step towards building wealth is gaining control of your finances. This means understanding where your money is coming from and telling every dollar where to go. Start by tracking your income and expenses. Create a budget and stick to it. Remember, every dollar counts when you’re on your journey to your first $100,000. You'll need to be very intentional about this. If you have a significant other, you'll both need to be on the same page that you want to do this together. Teamwork makes the dream work!

R: Root Your Investments

Investing is a crucial part of wealth building. It’s not enough to just save your money in a high interest savings account or with a certificate of deposit. You need to make your money work for you. This could be through stocks, bonds, real estate, or even starting your own business. Do your research and choose investments that align with your financial goals and risk tolerance. We recommend using M1 Finance to grow your investments the fastest and with the lowest risk.

O: Optimize Your Tax Management

Taxes can take a significant chunk out of your earnings. That’s why it’s important to optimize your tax management. This could involve contributing to tax-advantaged accounts like a 401(k) or an IRA, or taking advantage of tax credits and deductions. Consider consulting with a tax professional to ensure you’re not paying more than you need to. The goal is to avoid paying taxes where you don't have to, not evade them. We want to stay legal here! If you have a business, use the deductions you are allowed to take to your advantage to reduce your tax burden.

W: Weed Out Your Debts

Debt can be a major obstacle on your path to financial freedom. High-interest consumer (think bad) debt, in particular, can keep you in a cycle of living paycheck to paycheck. Americans average $21,800 in debt! Make a plan to pay off your debts as quickly as possible. This might involve cutting back on non-essential expenses like un-used subscriptions, picking up a side job, or refinancing your loans to get a lower interest rate. Consider using the "snowball method" to pay off debt. Start with the smallest debt you have and pay it off as quickly as you can, then tackle the next one so that you build momentum and motivation to get it all paid off. Once one is down, you'll feel terrific and motivated to keep at it.

T: Tap into Additional Income Streams

Consider tapping into additional income streams. This could be anything from starting a side hustle, investing in rental properties, or even writing a blog or a book. 50% of Americans have a side hustle even if they are earning over $100k/year. The more income streams you have, the faster you’ll reach your goal of $100,000 saved to allow compound interest to snowball your investments even more going forward.

H: Heighten Your Discipline

Last but certainly not least, heightening your discipline is the final step in the GROWTH method. This is arguably the most important part of the process. Without discipline, it’s easy to stray from your financial plan and fall back into old habits. Heightening your discipline means sticking to your budget, even when you’re tempted to splurge. Using cash instead of credit will make you feel the money going out of your hands. It means consistently investing, even when the market is down (the best time to buy!). It means continuing to save, even when you feel like you have enough. Discipline also means educating yourself about personal finance. The more you know, the better decisions you’ll make. Read books, listen to podcasts, attend seminars, or even hire a financial advisor. Never stop learning! Discipline is the currency of success. The more of it you mint, the wealthier your future will become.

Remember, building wealth is a marathon, not a sprint. It takes time, patience, and discipline. But with the GROWTH method, you’ll be well on your way to making your first $100,000. So why wait? Start your journey to financial freedom today!