Having a "High Income" and being wealthy or "Financially Free" are two different things. Many people make "High Incomes" in America but live paycheck to paycheck because they lack the formula for building wealth.

Building wealth is easier than you may think if you can discipline yourself. Here are Five steps you can implement now to start building "Financial Freedom."

Step 1: Disconnect From "Flex Culture"

"Flex Culture" is terrible for wealth building because it encourages a high-consumer lifestyle where you're spending all of your disposable income on things that don't produce cash flow, such as expensive cars, clothes, and places to live, like high-rise apartments and "big homes." These things may get you likes and follows on social media but don't bring you much financial value.

In fact, they bring you more financial harm than you know because they allow you to feel like you're further along in life than you currently are, which creates complacency. Ask yourself if you would rather walk around looking like you're worth millions or truly be worth millions. Which would make you happier?

Step 2: Create A Budget

Many people either believe they don't need to do this because they either make a "High Income," and this is for "Broke People," or they don't feel like taking the time to do it because of everything else they have going on in their life. However, this is a great way to track how much money you spend on your "lifestyle" and how much you have to go towards investments.

According to the book "The Millionaire Next Door," this is something that 100% of Prodigious Accumulators of Wealth (PAWs) practice and almost 0% of Under Accumulators of Wealth (UAWs) practice.

If you're stuck in "Flex Culture," this will be hard because you'll always break your budget by overspending.

Step 3: Get Rid of Liabilities & "Bad Debt"

Reducing the amount of "Bad Debt" you have is very important while building wealth. Debt from car notes and credit cards falls under "Bad Debt" when improperly utilized. Buying a car 2-3 years older than the current year model at a fair price is much more financially efficient than driving off the lot with the newest model vehicle.

Your credit cards should be used for emergencies only or to purchase something that will bring value to your business. They should not be used to cover your current lifestyle. You should only buy it if you can afford it with your income.

Accumulating high amounts of debt to fund your lifestyle places you in bondage to the company providing you the debt for little in return.

Step 4: Be More Frugal

In truth, you don't have to be a millionaire to be "Financially Free." By reducing your expenses and increasing your income, you will create extra money to invest in assets that will add to your Net Worth and provide Cash Flow in some cases, thus elevating you to a Millionaire.

Think about it this way: Would you sacrifice your financial future for some clothes or other things from Louis Vuitton?

Surprisingly, millions of people do, which is why Bernard Arnault is currently the "Wealthiest Man in World," according to Forbes. He's not reaching that status just off the backs of the "Top 1% of earners in America," his biggest customers are people who own very little to no assets.

Step 5: Invest In Assets

This is the most efficient way to turn your "High Income" into a "High Net Worth." Investing in Assets like Real Estate, Stocks, & Commodities all add to your net worth. Real Estate will pay you cash flow while you benefit from the Appreciation of the property or properties you're invested in.

If you're currently netting 200k+ a year in your business or career, investing in Apartment Buildings as a Passive Investor or Limited Partner is an excellent option if you want to avoid doing the hustle part of finding deals and managing the buildings yourself.

Summary:

By first escaping the influence of "Flex Culture," you will be able to do the things that are necessary to go from an Under Accumulator of Wealth (UAW) to a Prodigious Accumulator of Wealth (PAW). It's a mindset change in how you think about money and assets versus liabilities. Shifting your mindset from a consumer to an investor will pay you now and in the future.

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