At first glance, the building of wealth seems to be as easy as putting away a few dollars each month. You work hard, you save, you invest, but you don't do all the things that financial experts tell you do do to grow your investments. You don't worry about it until it's late in the game and then you start trying to make up for lost time. You worry about whether you will have enough put away for your retirement years and that is a valid concern.
It would be great if you look into a crystal ball and see what the future holds, but we all know that is wishful thinking. What you should have done is paid attention to what was going on in the economy, plan for the future, and then made wise decisions with your time, your money, and your investments.
In reality, there are many pitfalls, many barriers, and many self inflicted mental roadblocks that keep most people from realizing their full wealth building potential. The most pronounced barriers to building wealth is fear, living beyond our means, and our tendency to follow the Joneses.
Fear keeps most of us at bay. We often listen to the negative feelings of our friend, relatives, and co-workers. We listen to the news and read about all that is wrong with the world. We hear so much about how bad the economy is, how the world is in a recession, and how so many people are losing everything they own through foreclosure and bankruptcy.
What that does is throw up mental barriers and cause us to hesitate when we need to get moving. We often lose sight of the bigger picture. Some of what you hear are justifiable reasons to be cautious with our money, but it shouldn't stop you in your tracks. You can't let the naysayers keep you from moving ahead with your plans.
This is not to say that the naysayers are always wrong because sometimes they are right and sometimes you should listen. In the end though, it's your money and your future so it's left solely up to you to tear down any wealth building barriers that you run into.
You have to make your own decisions and determine how to make your investments work for you. You should always be cognizant of the pros and cons of the marketplace and thoroughly research any investment opportunities that you decide to partake in.
More so, you should leave the Joneses to their own makings. Don't follow others blindly and don't try to keep up with their lifestyles unless you are 100% sure that you can do it without falling on your face. The Joneses are the downfall of many people who find themselves in financial trouble. You should always live within your means and always remember, the Joneses are not always the great investors they pretend to be.
As an investor, you should make informed decisions and never let yourself be fooled by your own emotions. In other words, you should invest with your head and not your heart. Most barriers can be overcome, but you have to be informed and know how to maneuver around them.