Make It

Jen Sincero: This Common Habit Can Make Building Wealth So Much Harder

DimaBerlin | Twenty20

If you struggle to make your money work for you, you are not alone.

In fact, many people make the same mistake that keeps them from being able to build wealth, says Jen Sincero, entrepreneur and New York Times best-selling author of "You Are a Badass at Making Money." Sincero also recently published "Badass Habits: Cultivate the Awareness, Boundaries, and Daily Upgrades You Need to Make Them Stick." 

Sincero knows a thing or two about building wealth: She went from making $28,000 to earning seven figures a year as a success coach and author.

The biggest mistake people make is not taking scary steps, she says. It comes down to your mindset.

"The biggest fear is that the people around you aren't being supportive and that you're going to be abandoned," Sincero says. "That is very primal and often very subconscious."

When you decide to take big risks, there will always be people who are not supportive. But it is important that you do what you think is best for your finances regardless of what others say, Sincero says.

"I think one of the biggest mistakes is not having good boundaries around doing what's right for you instead of trying to please everybody around you," Sincero says.

You shouldn't turn away from starting your own business or taking a risk just because other people are discouraging you. They might not know the whole picture.

"If it means hiring a finance coach, quitting your boring job and starting the business of your dreams, or doubling your prices, all of those things can be terrifying because they're unknown," Sincero says. But if you're not scared and you're not trying to transform your life, you're doing something wrong, she adds. You're just staying in your familiar comfort zone.

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For Sincero, the key to changing her life was finding "a viable income stream," she says. By setting up an online business to help entrepreneurs write and sell book proposals, she was able to triple her income in just three months.

As a freelance writer, Sincero was only making $28,000 a year, but she was working extremely hard. Now, she works less but makes more money, she says.

It was a scary transition, but she stuck to it.

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Disclosure: NBCUniversal and Comcast Ventures are investors in Acorns.

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