I’m thinking that many people share our goal to retire comfortably without taking a vow of poverty now. It’s definitely possible, but sacrifices will have to be made. There’s no free ride, it takes work.

The trick is to decide what you’re willing to cut back on so you can save for the future. That’s for everyone to work out on an individual basis, but there are some universal concepts to follow.

How to Plan for a Wealthy Future

• Attack your credit card debt. This debt is the worst to have, as they typical have high interest rates. Have a plan to eliminate your balance and use your credit card wisely.
• Live like college kids for a couple of more years. I’m not saying eat ramen and spaghetti everyday, but learn to live on a little. It does feel great to get a good paying job compared to your college jobs. Don’t spend your paychecks on getting new furniture and fancier clothes right away though. Instead use your better paying paychecks for family savings and investing first and slowly upgrade your home furnishings.
• Put money into your retirement fund(s). Have it automatically taken out and you’ll never miss it. Ten percent is good, but if you’re limited on funds, at least go for what your employer matches. It’s basically free money. Starting early in your life is to your advantage since you’ll be utilizing compound interest.
• Pay your bills on time and keep an eye on your credit scores. A huge part of your FICO score is determined by your payment history. Don’t be late and check your scores annually. When you two decide to buy a house, the diligence will pay off with lower interest rates and a lower mortgage.
• Automate bills and paychecks. It’s one of the best things to do and will make your life so much easier. Our bills are usually consistent and we have bill payments automated. If the amount is different for a particular month, it just takes less than 5 minutes to change that.
• Have health insurance. It would be a shame to lose all the money you saved because a hospital visit sucked it all up. The reality is if you don’t have any health insurance, you’re charged even more.  I’m not saying health insurance covers all bills, but it reduces it but a huge amount.

Well, that’s about it. It’s not rocket science, but it’s not a walk in the park either. Managing your money is an ongoing process. It’s up to you to decide if you want to build wealth or fight to stay on top of bills.

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