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If you are one of those who dreams about joining the ranks of Azim Premji or Bill Gates, who likes to be seen roaming around in a Lamborghini, enjoys taking a break to cruise around the world in the most luxurious liners and prefers to be put up in a 7 star hotel for most part of the year you better wake up to face reality.

Who wouldn't like to become wealthy you'd ask. True. After all what are we all working for? To earn a decent living, to better our lifestyle, to enjoy a better standard of living - well is that all? Perhaps more than that, depending on how you look at it.

If becoming the wealthiest person in town is your dream, know that those wealthiest people around you who have amassed unbelievable wealth have worked their way up through hard work, determination and by managing their money most prudently.

But how can I become wealthy? I am earning a pittance compared to what the top shots have been earning.

You are highly mistaken if you think that the person with the fattest paycheck is the most wealthiest of all. For all you know he may be earning a sizeable amount as salary no doubt, but if he lives paycheck to paycheck is he getting anywhere?

Such a person has no savings at all, has not heard of investing, building wealth wisely, retirement planning etc. Now all you could do is pray that he realizes his folly early in life.

So what is it that will make me wealthy and how soon can I become wealthy? Do you really want to be wealthy? Its simple. Just follow the rules given below and before you'd realize you would be working your way towards becoming one of the most revered and richest persons in town.

Just give it a thought. Can a few rules actually make you wealthy overnight? Is it so simple?

In order to become wealthy you need to firstly understand how money works. Money is like a seed that is sown and will reap rewards for you. This may be in the short run or in the long run depending on what goals you have set for yourself.

You need to value and account for each rupee you have earned. And understand that every rupee counts. Just as drops of water make the ocean so also each rupee depending on how you invest and where you invest will work towards creating and building wealth for you.

It may be a tad difficult initially to be penny wise if you have been a spendthrift all your life. A sudden shift may not be easily possible. But that again, depends on your determination. Ask yourself each time you think you may go off track. Are you determined to become wealthy? …to be continued. Check the following article

Getting closer to becoming wealthy

Your reading this article is reason enough to believe that you are strongly determined to be wealthy. So what should be your first step?

Inculcate in yourself the saving habit:

A penny saved is a penny earned. You need to inculcate in yourself the saving habit. Put off unnecessary spending and impulsive buying for good. Spend when you think it is required and if it is a purchase decision you need to make, think twice and scout for better deals before you narrow down on one. Also check out for any value additions on offer.

Such a practise will pay off well in the long run and help instill that hard-to-come-by saving habit in you sooner or later. Also know that your neighborhood post office has some fantastic schemes on offer. You may consider parking your savings there. Post office schemes will reward you well with returns and additionally offer you tax benefits too. So don't underestimate the power of small savings.

Secondly pay up your credit card bills now

Postponing credit card payments can only cost you dearly later. And that small part amount that you are offered to pay on your huge credit card bill for now, is only a ploy to extract the maximum out of your money. Mind you, the credit card company will charge you interest for the balance that is due to them and over a period of time you would have paid 3 to 4 times or even more the sum you actually owe them. In short make credit card payments asap (as soon as possible).

Taken a loan? Pay it off at the earliest.

Whether it is a home loan or a personal loan, borrowings in whatever form they be must be paid off at the earliest. They are a painful liability. Also when you sit down to assess your assets and liabilities know that your liabilities must be extracting more than the required amount from your pocket through interest. The interest rates on personal loans are high and earlier they are settled the better.

Don't let money lie idle

Why let money lie idle when there are investment options that can contribute substantially to increasing your wealth. Why not make each rupee work and earn more for you through the magic of compounding.

Buy insurance now

Have you ascertained your insurance needs? If not, do it now. Insurance is important since as the breadwinner of the family it is your responsibility to ensure that your family continues to receive all the comforts that they are so used to forever and that means even in your absence. A systematically worked out Insurance plan can not only cover risk, bring in money at regular intervals but also pay up for your children's education, fulfill their career ambitions and take care of your retirement planning. So buy insurance at the earliest. The premium amount you have to fork out will also be lower.

What about Retirement planning? Given a thought to your pension requirements? If not do it now while you are young. That way you will have time on your side and flexibility too.

Most individuals believe retirement planning should be considered only when he is approaching retirement and they realize later how terribly mistaken they were. But by then its too late. By starting off early creating a sizeable kitty for yourself will be child's play. By the time you approach retirement you would be tension-free, relaxed and have a substantial amount to your credit to spend your retirement period lavishly. Take retirement planning seriously. And as part of your investment portfolio try the equity route to start off with. When you are young dabbling in stocks is easier and less risky than when age catches up. Besides you also have the benefit of compounding - something that can pay you rich dividends leaving you richer than ever as years pass.