Money Talks News: The Golden Rules of Retiring Rich

When it comes to retiring rich, you might think it's all about luck. As in, the only way I'll retire rich is by winning the lottery.

I've been watching people create wealth for more than 35 years, and I can tell you: There are rules anyone can follow that make retirement look less like this and more like this.

Golden rule number one? Never spend more than 90 percent of what you make. The 10 percent you save is like bill, and it always gets paid first.

Golden rule number two? Start early.

You want to have a million dollars when you retire? If you start at age 25, and earn 8%, all you have to do is save $11 a day. But if you wait until you're 45, you're going to have to save $60 a day.

Rule number 3? No guts, no glory. Although investing in things like stocks and real estate does involve risk, never taking risks means taking a different risk: not retiring rich. And that leads to Rule number 4...

Take advice, but take control. Investing isn't rocket science. Before you invest in stocks, real estate, or anything else, invest some time and learn about these things. For example, Dwight Matlack chose real estate, and ...

"It's enabled me to buy a bowling center. It's enabled me to buy a house on the beach and I have some other very good investments in real estate as well."

And Golden Rule number 5? Don't follow the crowd. In other words, maybe you should be buying when other people are selling. For example, buying stocks in 2009. Buying houses in 2011.

Those are five of the Golden Rules of Retiring Rich, but that's really only half the story. I've got 5 more waiting for you at Just do a search for "Retiring Rich."

For Money Talks News, I'm Stacy Johnson.