5 Steps to Build Real, Lasting Wealth
(Without Losing Your Mind or Skipping Lattes)
Building wealth as a mom doesn’t mean grinding 24/7, obsessing over the stock market, or giving up everything fun. It’s about being intentional, smart, and consistent with your money—even when life feels like a never-ending loop of “what’s for dinner?” and sock-matching marathons.
5 Essential Steps to Build Real, Lasting Wealth
Step 1: Max Out Your Company Match (Free. Money. Alert.)
If your job offers a 401(k), 403(b), 457, or TSP with an employer match and you’re not contributing enough to get the full match—pause and fix that immediately. It’s literally free money.
It’s like your kid asking if you want a break and a snack and you say no. WHY?
What to do: Find out how much your employer matches (e.g., 100% of the first 3%, 50% of the first 6%, etc.) and make sure you’re contributing at least that much. If your employer gives you free money… say thank you and take it.
For example, let’s say you make $70,000 per year and your employer will match 50% of the first 6%. If you contribute at least 6% of your salary, or $4,200 per year, and your employer contributes 50% of that, or $2,100 (free money), that’s $6,300 you’re saving and investing each year for retirement.
Step 2: Save a 3–6 Month Emergency Fund
Cars break down. Kids get sick. Appliances die at the worst possible moment. That’s why you need a rainy-day fund—so an unexpected expense doesn’t send you spiraling into credit card debt.
An emergency fund is like having an extra set of clothes in your diaper bag. You hope you won’t need them—but when disaster strikes, you’re the prepared queen.
What to do: Open a high-yield savings account and put 3–6 months' worth of essential expenses inside (mortgage/rent, groceries, bills, childcare). Start small and automate monthly contributions until you’ve reached at least 3 months’ worth.
Note: High-yield savings accounts are special savings accounts that pay you (much) more interest than a regular one.
For example, a regular savings account might have an APY (Annual Percentage Yield) of 0.01%, meaning, having your cash in there only gets you an additional 0.01% per year. A high-yield savings account might have an APY of 4%, so your money is making (free) money just by sitting in the account.
$10,000 in a regular savings account at 0.01% APY would earn $100 per year
$10,000 in a high yield savings account at 4% APY would earn $400 per year
Step 3: Pay Off All Non-Mortgage Debt
It’s time to say goodbye to high-interest debt (we’re looking at you, credit cards and car loans). Debt keeps your money working for someone else—instead of for you.
Think of debt like glitter. It seems small at first, but it sticks around forever and somehow multiplies. Time to clean it up for good.
What to do: Make a plan to knock out non-mortgage debt with intention. My recommendation is the debt avalanche method (pay off highest interest loans first).
If you’re juggling multiple debts with high interest rates, debt consolidation might be worth exploring. Some lenders allow you to combine your balances into one simplified monthly payment – ideally with a lower interest rate. Just be sure this strategy makes sense for your budget – you want to have extra cash each month to aggressively pay down your debt.
Now, if your debt has an interest rate below 7%, here’s a surprising twist: you might be better off paying just the minimums and using any extra cash to start investing.
Why? Because historically, the stock market has returned around 7% annually after inflation. That means your money has the potential to grow faster in the market than it’s costing you in interest.
Step 4: Max Out Tax-Advantaged Accounts
Once your high-interest debt is gone, it’s time to start building serious momentum. And that means making the most of tax-advantaged investment accounts like:
Health Savings Account (HSA, if eligible)
Roth IRA or Traditional IRA
401(k), 403(b), 457, or TSP beyond the match
What to do: These accounts grow your money while giving you tax perks—either now or later. Each one has an annual contribution limit set by the IRS (Internal Revenue Service). Prioritize maxing them out each year.
Step 5: Invest in Low-Cost Index Funds
You don’t need to become a stock-picking genius to build wealth. In fact, trying to beat the market often backfires. Instead, invest in low-cost index funds which give you broad market exposure, steady growth, and minimal fees.
Index funds are like a charcuterie board—you get a little bit of everything, it’s efficient, and it saves money. Win-win.
What to do: Open a brokerage account and choose an index fund(s) that tracks the total stock market or a specific stock index (e.g. S&P 500, NASDAQ, Dow Jones). Look for expense ratios under 0.10% and low distribution fees. Automate monthly contributions and leave it alone. Your future self will thank you.
Slow, Steady, Smart
Building wealth isn’t about overnight success or winning the financial lottery. It’s about small, consistent steps that compound over time—kind of like raising kids. Some days are messy, but when you zoom out, you're building something beautiful.
So, whether you’re a budgeting beginner or just trying to feel more in control of your finances, remember this:
Spend less than you earn.
Prioritize consistent investing.
Stay the course.
Want a daily reminder of how to build wealth (between brushing teeth and wrangling toddlers)?
Print the SheWealth 5 Steps to Build Wealth Infographic from the Resource Garden and stick it on your bathroom mirror. Your future deserves a front-row seat in your morning routine.