As a financial advisor for many years, my journey has taken me from working at a regional company that was later acquired by a bank to co-founding an investment business and eventually establishing my own wealth management firm. Throughout these 16 years, I have been guiding clients on wealth growth and money management strategies.
One key realization in my work is that most financial advisors receive similar training, leading to similar advice being given. Recommendations like saving for retirement, investing in individual retirement accounts (IRAs), maximizing 401(k) contributions, and taking a long-term view on investments are common in the industry.
While these recommendations are not wrong per se – I still believe everyone should consider a Roth IRA – solely focusing on traditional advice may cause you to overlook opportunities for true wealth creation.
A valuable lesson I learned from a close friend, a photographer, emphasized the importance of investing in oneself and one’s business over solely relying on traditional investment vehicles. This shift in perspective challenged me to reconsider the conventional wisdom I had been taught and opened my eyes to alternative paths to wealth creation.
It became clear to me that the path to wealth is not solely about steady retirement preparation but also about making unconventional choices that traditional advisors may not suggest due to their training or lack of personal benefit from such recommendations.
Here are nine points on money-making and wealth-building that most financial advisors won’t tell you:
– Cars can be one of the biggest wealth drains. The average monthly payment for a new car was $745 in the first quarter of 2025, while for a used car, it was $521.
– Many people end up overstretching themselves to afford homes they actually cannot sustain financially. Only a third of households (33%) can afford a median-priced home without committing over 25% of their income to mortgage payments.
– Renting does not equate to failure; waiting until you are financially stable to buy a house may be more prudent.
– Excessive spending on unnecessary items gradually erodes your financial freedom. Every unnecessary expense chips away at your future wealth.
Financial Independence, Retire Early (FIRE) advocates often save a significant portion of their income (30%, 50%, or even 70%) to achieve financial freedom at a young age.
While most advisors recommend saving for retirement through traditional means like 401(k) matching contributions, few will encourage you to invest in your own education and personal growth, which can lead to higher returns.
Starting a business can be one of the fastest ways to build wealth, although it comes with its risks and challenges.
Real estate, when managed astutely, can provide significant wealth-building opportunities that many advisors might overlook due to their lack of expertise in this area.
It’s essential to break free from conventional methods to establish long-term wealth by:
– Refraining from purchasing new cars on loan and continuing to drive older vehicles.
– Buying or renting a property within your financial means.
– Avoiding mindless consumerism.
– Saving a substantial portion of your income.
– Working diligently, especially in your younger years.
– Investing in education and personal growth.
– Seriously considering entrepreneurship and real estate ventures.
By making uncomfortable yet strategic choices, you can set a solid foundation for long-term wealth accumulation, which many financial advisors may not guide you toward.