Subscribe to Entrepreneur for $5
Subscribe

9 Ways to Build Wealth Fast Your Financial Advisor Won't Tell You

If you want to build wealth, invest in a Roth IRA. But if you want to grow wealth quickly, explore other options.

By
Opinions expressed by Entrepreneur contributors are their own.

Jeff Rose worked as a financial advisor for 16 years. During that time, he learned that investing in financial products for long-term growth isn’t the only, or best, way to build wealth. To become a wealth hacker, you need to invest in ways that aren’t mutual funds and S&P 500 — beyond what a financial advisor recommends. Here are nine ways to build wealth that most financial advisors don’t recommend.

1. Save money on vehicles

Rose advises against unnecessarily spending money on your automobile. He inherited his first car, so he made no car payments as a first-year financial advisor. That savings allowed him to start funding his Roth IRA and put money towards his 401K. He estimates that driving that car earned him $10 million in redirected allocations.

2. Don’t buy “more” house than you need

Similarly, Rose advises against buying a house that is more than you can afford. Make a sensible purchase or keep renting.

3. Stop buying so much stuff

In general, Rose advises avoiding unnecessary purchases — whether that be a new truck or an over-the-top kid’s birthday party. 

4. Save a percentage of your income

Though all financial advisors recommend saving a portion of your income, few suggest extreme savings of 30, 50, or 70 percent of income. But saving at these levels can help you gain financial freedom at a young age.

5. Work as much as you can now

Rose tells Gen Yers, in particular, to put time into their professions — either working overtime to build their careers or starting side hustles to generate extra income. This is contrary to what financial advisors typically recommend, but a side business could lead to future opportunities.

6. Invest in your education

Investing in a college degree, additional degrees, an MBA, or online certifications will help you earn more money.

7. Invest in yourself

Rose explains that he spent $8,900 for a year-long coaching program, an investment in himself that led to business opportunities, strategies for outsourcing, and smarter decisions to improve his efficiency and profitability. He says the coaching program, specifically, has had a greater rate of return for his investment than Facebook stock he bought early on — hundreds of thousands of dollars earned based on his initial investment.

8. Venture into entrepreneurship

Rose encourages you to have side hustles, especially when you’re younger. He suggests starting an online business like a blog or ecommerce site.

9. Invest in real estate

Financial advisors typically promote financial products they make a commission from or manage and are unlikely to recommend real estate as an investment. But Rose says investing in a complex or flipping houses is a way to grow wealth, too.

Related: 6 Ways to Invest When You’re Broke

 

Latest

How to Lead Calmly and Effectively While Your Business Experiences Growth

The co-founder and CEO of Komodor discusses his company's journey and his advice for entrepreneurs who find themselves in the spotlight overnight.

This Meta Leader Has Interviewed More Than 300 Job Candidates. Here are Her Pro Tips to Help You Nail Your Next Job Interview.

Meta's head of Global Environmental, Social, and Governance Business shares her dos and don'ts when it comes to the phases of a job interview.

This No-Code Platform Just Closed a $55.5 Million Round B

The co-founder and CEO of EasySend shares how his company creates digital customer journeys and his advice for entrepreneurs looking to break through the noise.

This SaaS Founder Sold His Business to Oracle for $9.3 Billion

In November 2016, NetSuite was acquired for $9.3 billion. Founder Evan Goldberg explains how it happened.

These Founders Started Their Company With a $300 Investment. They've Now Done $1 Million in Profits.

Watch this exciting episode of 'Entrepreneur Elevator Pitch' to learn about Canadian legging company Rose Buddha and see which hopefuls are able to land investor capital.

This Digital Campaign Celebrates the Fast-Growing Workforce of Web Creators

Elementor's VP of Marketing discusses the company's digital campaign and how web creators fit into the larger creator economy.

Watch the 60-Second Pitch That Landed a $500,000 Investment

Find out which companies impress our investors on another exciting episode of 'Elevator Pitch.'

Why This CEO Believes Entrepreneurship Is as Important to Learn as Geometry

Ayele Shakur shares her bold plan to make entrepreneurship education a requirement for high-school students and explains why business leaders should get on board.

How this Healthcare Entrepreneur is Disrupting the Fertility Space

The Founder and CEO of Inception Fertility shares how his family's road to parenthood inspired a brand that's making fertility treatment more accessible and the patient experience at the heart of what they do.

Can a Sex-Enhancement Product Score a $100K Deal in 60 Seconds?

Don't miss the new 'Entrepreneur Elevator Pitch' episode. Watch now!

Why This Company Is Providing Financial Services for the Blockchain Space

The co-founder and managing partner of Nexo shares how his company has expanded from a lending service to a 360-degree financial management platform.

This Doctor Uses Machine Learning to Identify Overlooked Causes of Infertility

The founder of Pregmune shares how his company is revolutionizing the treatment of fertility care.

Discover Entrepreneur Series

Whether you need advice on how to get your business off the ground or you’re just looking for inspiration, our video series have something for everyone. Browse our library below to find a series that speaks to you and your interests.

  • An original series streaming weekly where you can Click-to-Invest while you watch. THEIR JOURNEY. Your decision.
  • Your favorite pitch show is back with new entrepreneurs pitching Entrepreneur's investors.
  • Host Nicole Walters interviews small business founders to discuss their unique challenges and experiences running and growing a business. 
  • Jessica Abo covers the causes people care about, the powerful work they do and how they got to where they are in the first place.
  • Bestselling author, Ben Angel, takes his audience on a journey into the entrepreneurial mind to uncover why we do what we do through his powerful short films and educational videos so you can unleash your ideas and potential.
  • Watch our staff interview top entrepreneurs and report on location in these Entrepreneur.com exclusive videos.