Can you really build wealth automatically?
The answer is yes...you just need to acquire a new wealth building habit.
You are going to love this habit because you do not even have to remember it....a banking computer remembers the habit for you! How is that possible? Read on and you will soon see.
Here is how the automatic wealth building habit works. It is based on the miracle of compounding interest and the amazing banking technology that is available to virtually all of us today.
Step 1
If you do not have a bank account with "Bill Pay" go to a bank that has it and open a new account. Ask them how many checks can be sent per month, can it be managed via the internet, what are the costs. Many banks now offer this service for free as a promotion to get more customers.
Step 2
Decide who it is that you want to help build wealth. Yourself, your child, a grandchild, or even a friend. This habit also works for building spiritual wealth...more on that later.
Step 3
After you open the account you now have the ability to select any amount of money that you want sent to any person or organization and at almost any time interval. Some banks even offer an unlimited amount of bills that can be sent. The banks will then mail checks at regular intervals to the people or organizations you have designated...you do not have to do anything.
The real power of this habit is that you are not going to be sending bills in most cases...you will be sending wealth building payments....automatically!
OK, before we get to step 4 let's look at the amazing power of compounding interest to see how much wealth can be built over time with this habit.
Here is an example of how much wealth you could build by having your billpay send just $50 per month into an account (mutual fund, IRA, etc) that has a 5% yield.
1 Year = $615
5 Years = $3,400
10 Years = $7,764
25 years = $29,775
You can learn more about compounding interest by doing a Google search on the internet. Obviously the amount of wealth you can build varies with the amounts and frequency of bill payments sent to your wealth building accounts and your rate of interest.
This is where research can help you, it is beyond the scope of this article to show you all the amazing possibilities that exist.
The beauty of the bill pay system is that it is very easy to adjust your recurring amounts up or down based on your current financial situation. As an example, you could set up your bill pay to send $12.50 each week into an account (Equals $50 per month) or change it to $15 per week for a few weeks and then back down to $12.50 at a later time. You decide exactly who gets the money, how much, and how often....you have complete control at all times. It is amazing wealth building power.
Step 4
Now it is time to set up your automatic wealth building habit using your banks billpay system. Get the address of the person or organization you want the money sent to including the account number. Go online and set up a new account with this information. Set frequency and amounts. Note: I have been doing this since 1992 and have multiple accounts (Charities, IRA's etc) that have received money from me every month for 14 years and I have never written or signed a single check! I know from personal experience that the system works and I have never had any problems.
You can get very creative with how you build wealth and who you help build wealth.
* Set up an automatic bill pay to fund a child’s college education. There are many states that have plans that start with low monthly fees when the child is born or still young.
* Set up an automatic bill pay to fund a child’s savings account, just have the money be sent to the child’s bank with their account number listed on the check memo "Deposit to account ######"
* Set up an automatic bill pay to send a charity a payment every week. Remember that I said earlier that this habit can help you build spiritual wealth? If your church receives an automatic charity payment every week you are helping to support your church every week, even when you miss a Sunday service.
* Set up an automatic bill pay to send money to someone in need.
* Set up your bill pay to actually pay bills that you have paid late in the past....you may be able to save enough in prevented late fees to fund your wealth building payments!
The possibilities are endless.....you just need to take action and make it happen!