How to Grow Wealth Consistently: Simple Steps to Financial Freedom

We all want to grow our wealth and secure financial freedom, but many people find it confusing or overwhelming. The good news? Growing your wealth is actually straightforward when you understand the core principles and have a clear plan. In this post, we’ll break down the essential steps to consistently build your wealth, based on a proven blueprint from The Book of Wealth: 10 Steps to Financial Freedom. Whether you’re just starting out or stuck in a financial rut, this guide will give you practical, no-nonsense advice to get you on the right path.

Understanding Your Financial Journey: The Driving Analogy

Imagine you want to drive from St. Louis to New York City. When you start driving, you could be doing one of three things:

Moving closer to your destination
Moving farther away from your destination
Driving in circles and going nowhere

Wealth building works the same way. Every financial decision you make either moves you closer to financial freedom, pulls you further away, or keeps you stuck in the same spot. Being honest with yourself about where you stand is the first step to making real progress.

The Three Financial Paths You Could Be On

1. Destroying Your Wealth: Spending More Than You Earn

The fastest way to lose wealth is by spending more than you make. This often means dipping into your savings, selling assets, or taking on debt just to maintain a lifestyle you can’t afford. If this sounds familiar—maybe you’re draining your emergency fund or racking up credit card balances—you’re moving backward financially. This is a dangerous place to be, and the sooner you recognize it, the sooner you can start to change direction.

2. Getting Stuck: Spending Exactly What You Make

This is a common scenario many people face. You make money, but it all disappears by the end of the month. No savings, no investments, nothing left over. You aren’t losing money per se, but you aren’t building wealth either. It’s like running on a financial hamster wheel—lots of effort but no forward movement. To break free, you need to create a surplus.

3. Growing Your Wealth: Spending Less Than You Earn

This is the magic formula: spend less than you make and save or invest the difference. The surplus money you set aside will grow over time, thanks to savings interest or investment returns. You do not need a high income to do this; you just need to consistently spend less than your earnings. This is how you move toward financial freedom.

The Blueprint to Building Wealth: 3 Simple Steps

Step 1: Track Your Money (Not Budget)

The first and most important step is to track your money. I want to emphasize: this is not about budgeting. Budgeting feels restrictive and often leads to guilt over spending on things you enjoy. Instead, tracking means carefully recording every dollar that comes in and goes out to get an honest picture of your finances.

Know exactly how much you make
Know exactly how much you spend
Write it down or use a simple tool to keep track

Personally, I use a simple spreadsheet to track my income and expenses. It’s free, easy, and gives a crystal-clear view of my money flow. You can download a free template from my website—no email required.

Tracking monthly is ideal because it’s frequent enough to catch problems early but not so frequent that it overwhelms you.

Step 2: Review Your Results

After tracking your income and expenses, take a close look at the numbers.

Are you consistently generating a surplus? Great, you’re on the right path!
Are you breaking even? That means you’re stuck and need to find ways to save.
Are you running a deficit? Don’t panic, but it’s time to make changes.

Knowing where you stand is empowering. It removes confusion and gives you a clear starting point for improvement.

Step 3: Make Improvements

If you already have a surplus, look for ways to increase it. Even small increases can accelerate your wealth-building journey. If you’re in the red, focus on cutting expenses or increasing income to close the gap.

Remember, building wealth is a marathon, not a sprint. You don’t need to cut out every treat or make drastic changes overnight. Start small, build momentum, and stay consistent.

Why I Don’t Like Budgeting (And What Works Better)

Many people swear by budgeting, but for me, it feels like a cage. Budgeting often leads to guilt—guilt for spending money on things that bring joy or relaxation. I prefer accounting over budgeting because it’s about knowledge and freedom, not restriction.

By tracking income and expenses monthly, I can see exactly where my money is going. This awareness helps me avoid unnecessary spending without feeling deprived. It’s a flexible approach that makes it easier to stay on track without stress.

For big purchases like a car or house, I do set a budget with a spending limit. But for day-to-day expenses, I focus on living within my means and making mindful choices.

Common Questions About Growing Wealth

How much surplus do I need to build wealth?

Even a small surplus, like 5-10% of your income, can grow significantly over time thanks to compound interest and smart investing. The key is consistency.

What if my income is low?

You don’t need a huge income to build wealth. You just need to spend less than you earn and consistently save or invest the difference. Focus on increasing your income gradually while controlling expenses.

Should I invest or save?

Both have their place. Start by building an emergency fund in a savings account. Once you have that safety net, consider investing in assets that appreciate over time to grow your wealth faster.

How do I stay motivated?

Tracking your progress monthly and celebrating small wins can keep you motivated. Remember, wealth building is a journey, and every step forward counts.

Final Thoughts: Your Wakeup Call to Build Wealth

To wrap it up: right now, you’re either building your wealth, destroying it, or stuck going in circles. There’s no neutral ground. The good news is that once you track your money and understand where you stand, you gain the power to change.

Focus on moving in the right direction, not the speed. Small, consistent steps add up to big results over time. Financial freedom is within reach if you start with these simple principles:

Track your income and expenses monthly
Create a surplus by spending less than you earn
Save and invest that surplus to build wealth
Review and adjust regularly without guilt or overwhelm

If you want to dive deeper, check out The Book of Wealth: 10 Steps to Financial Freedom on Amazon—this guide will walk you through the full journey.

Thanks for reading, and here’s to your financial freedom journey!

Additional Resources

Free money tracking spreadsheet template on my website
Recommended books and tools for investing and saving
Links to beginner-friendly investing platforms

By adopting this mindset and approach, you’ll find that building wealth isn’t complicated or intimidating—it’s just a matter of consistent, mindful money management. Start today, and your future self will thank you!