When it comes to building and maintaining wealth, it’s not just about how much money you make — it’s about what you do with it.
High-net-worth individuals (HNWIs) tend to follow a consistent set of habits that help them grow their fortunes and keep them intact for the long haul. These aren’t necessarily secrets, but they are practices that require focus, patience and intention.
Here are seven habits wealthy people swear by to create lasting financial success.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more – straight to your e-mail.
Profit and prosper with the best of expert advice – straight to your e-mail.
1. Pay yourself first
(Image credit: Getty Images)
Paying yourself first simply means setting aside money for saving and investing before spending anything else.
Rather than saving what’s left over at the end of the month, rich individuals often automate a fixed percentage of their income or a flat amount to go straight into retirement accounts, brokerage accounts or other savings vehicles every month.
This strategy involves treating saving and investing like a non-negotiable expense, right alongside rent or mortgage payments, groceries and other necessities. By prioritizing their future, they minimize the temptation to overspend, build financial security, fund long-term goals and create opportunities for compounding growth.
2. Live below your means
Living below your means isn’t about being frugal for the sake of frugality — it’s about maintaining discipline and avoiding lifestyle inflation.
Many wealthy people adopt modest lifestyles even when they can afford to spend much more. They understand that excessive consumption erodes long-term wealth, while mindful spending creates room for investment and freedom.
This mindset often flies in the face of public perception. While the media focuses on flashy cars and luxury homes, many millionaires quietly choose used cars, modest houses and simple pleasures.
That restraint allows them to build cash reserves, take calculated investment risks and weather financial challenges without needing to rely on debt.
3. Invest regularly and early
Compounding is often referred to as the eighth wonder of the world, and the wealthy know how to use it to their advantage.
HNWIs often don’t try to time the market or chase investing fads. Instead, they prioritize consistent investing over long-term horizons. They take full advantage of retirement accounts like IRAs and 401(k)s, maximize tax-advantaged opportunities and often automate regular contributions to diversified portfolios.
Starting early is key because the earlier you invest money, the more time it has to grow. A dollar invested in your 20s can easily be worth multiples more than the same dollar invested in your 40s.
Explore some of today’s best savings account options with the tool below, powered by Bankrate:
4. Diversify your income streams
Wealthy people often don’t rely on a single paycheck or investment. Instead, they diversify their income sources across a range of assets, such as real estate, business ownership, stocks, side ventures and more.
This diversification not only provides financial stability but also accelerates wealth-building. If one income source slows down or dries up, others can help maintain cash flow. Additionally, many HNWIs look for scalable income streams that grow without demanding their constant labor.
Passive income, in particular, is a key theme among the wealthy. Rental properties, dividend-paying stocks and automated online businesses are just a few tools rich people use to make their money work for them, even while they sleep.
5. Continually educate yourself about money
The wealthy tend to spend time improving their financial literacy and staying informed about markets, trends and opportunities. Whether through books, financial media or online courses, they make a point of sharpening their money skills.
Many also seek out advice from professionals, such as financial advisors, accountants and attorneys, who can help them build tax-efficient strategies and protect their assets.
Continual learning helps rich individuals make smarter decisions, avoid financial traps and adapt to changing economic environments.
6. Preserve what you build
Wealthy individuals don’t just focus on growing their money. They also make sure to protect it.
That means having the right insurance, setting up estate plans and creating legal structures like trusts or LLCs to shield assets from risk. They also consider tax strategies that preserve more of what they earn and pass on.
Asset protection may not be flashy, but it’s essential for maintaining wealth across generations. One unexpected lawsuit, medical emergency or tax misstep can derail decades of careful planning.
Wealthy people think long term, and that includes planning for the worst — even as they hope for the best.
Need help building your path to wealth? Use the tool below, powered by Bankrate, to connect with a professional:
7. Build a strong network
(Image credit: Getty Images)
HNWIs tend to surround themselves with other motivated, forward-thinking people, including entrepreneurs, mentors, investors, professionals and peers who challenge and inspire them.
These networks are often more than social circles — they’re communities of opportunity where they can trade ideas and share deals with trusted connections that help them grow. In return, they build relationships rooted in trust and reciprocity.
The bottom line
You don’t have to be wealthy to act like the wealthy. By adopting the habits that help high-net-worth individuals succeed, you can take meaningful steps toward building your own lasting financial foundation.
Potential strategies you can pursue include paying yourself first, spending wisely, investing regularly, diversifying income, continually learning, preserving what you build and building a strong network. You may also discover other approaches as you better understand your financial situation and goals.
Ultimately, it’s crucial to discover what you want out of your financial plan and take steps to work toward your objectives.