Wealth originates from the old English word "weal", which means "well-being". The term was originally an adjective used to describe the possession of great qualities.

In economics and business, wealth of a person or nation is the value of assets owned net of liabilities owed to others (to foreigners in the case of a nation) at a point in time. The assets include those that are tangible (land and capital) and financial (money, bonds, etc.).

Steps Towards Building Personal Wealth

Personal wealth creation is everybody’s goal in life. Through proper budgeting, saving and investing, you can pay off your debts, send your children to college, buy a comfortable home, start a business, save for personal retirement and put money away for a rainy day. All these financial goals can be within your reach through proper planning. A sound wealth-building exercise by you should comprise the following steps :

* Educate yourself about different asset classes.

* Establish financial goals.

* Create a budget.

* Save each month, using automatic deduction.

* Take advantage of compound interest.

* Take advantage of tax-deferred investments.

* Research and learn about the best investments for you based on your financial goals, time horizon and tolerance for risk.

* Control your debts.

* Start budgeting, saving and investing today. Every day counts in building personal wealth.