2) 20% to Save/Invest

With the next 20% you're going to create wealth. How? Well, there are lots of ways to create wealth with this 20%.

Let your imagination roam.

• Evaluate the skills you’ve developed at work or through your hobbies and consider how you can convert them into a profitable business.
• Learn to buy a product at wholesale and sell it for retail. Ebay makes it very easy to do this.
• You can purchase a piece of property and improve it.
• Hire a financial planner and invest in stocks (make sure the financial planner is wealthy – don’t take financial advice from someone more poor than you).
• Speak with your banker and find a tax-free retirement program and you can accumulate a princely sum over the years through compounding interest.

Poor people spend their money and save what's left. Rich people save their money and spend what's left.