When BLACK ENTERPRISE unveiled its Declaration of Financial Empowerment nearly a decade ago, the idea was to create a program to help African Americans build wealth. Since then, the dynamics of wealth building (and perhaps more importantly in these times, wealth preservation) have changed significantly. To that end, we unveil in this issue the next step in the evolution of wealth creation: the Wealth for Life Principles. The 10 Wealth for Life principles are meant to serve as a step-by-step guide to responsible saving, investing, and spending in order to build wealth and pass it on to future generations. Wealth preservation goes hand-in-hand with wealth accumulation. Consequently, the new principles place greater emphasis on financial discipline. Through consistent application of these principles, you and your family will be well on your way to establishing a financial legacy that will survive the test of time. We resolve to give you the tools you need to not just survive but thrive, regardless of what the economy and financial markets look like. Former Olympic sprinter Derrick Adkins outpaced the competition and ran away with the gold medal in the 400-meter hurdles at the 1996 Olympics in Atlanta. As an international track and field star, Adkins enjoyed a whirlwind lifestyle that included plenty of cash, first-class travel to exotic locations, a nice house, and a fancy car. But after his career ended, so did the posh lifestyle and lavish living. Now, more than 10 years after his last official top-level competitive race, Adkins is applying his winning ways from his track and field days to managing his personal finances. During his storied career between 1991 and 1999, Adkins' speed and agility kept him ranked as one the best hurdlers in the world. At the peak of his career, the now 38-year-old earned an annual salary ranging from $200,000 to as much as $350,000 through a combination of endorsement contracts, appearance fees, and other financial rewards for winning international sprint events. Now that the glitz and glamour are in the past, Adkins has learned to live a lifestyle that is in step with his present salary. Adkins is currently the director of track and field at the New Balance Track and Field Center at the Armory in New York City–an indoor track and field complex that caters to mostly urban student athletes. Adkins has held the position since 2006 and, among other duties, is responsible for hiring coaches and overseeing the track and field program at the athletic center. He now earns about $70,000 a year, and additionally earns up to $7,000 for speaking engagements. Prior to this job, Adkins was a track coach at Columbia University. "I live a modest lifestyle and seldom splurge on the expensive things I did when I was on the international circuit,†he says. "I rarely eat out and I take the train to work instead of driving.†Last year, the former Olympian moved back into the house he grew up in with his mother in West Hempstead, Long Island, after deciding to sell his co-op in The Bronx. Adkins says he made the move back to his childhood home to save money and to care for his mother after his father passed away in 2006. The house sits on a street named in his honor–Derrick Adkins Lane. The township renamed the street after he won the gold medal in 1996. Adkins says he is fortunate that he has managed to avoid the financial pitfalls and disasters that have befallen other athletes–both current and former. Despite having multimillion-dollar contracts and product endorsements, many athletes make headlines succumbing to home foreclosures and even poverty. Adkins vowed that he would run a different race. He made a promise to himself that he would be more responsible with his money. Single, with no children, Adkins says some of the financial hardships that former athletes have endured come from spending foolishly and not planning wisely for the future–long after their days as superstar athletes have ended. "I don't understand why a single man or woman needs a mansion with 50 rooms or five luxury cars,†he says. "It's impractical and makes no sense.†Adkins says that many superstar athletes often come from humble backgrounds, where buying and spending freely wasn't an option. Consequently, they engage in destructive spending habits. "I have made some risky investments in the past and have lost and wasted some money,†he says. "Now I invest in CDs and similar modest and low-risk investments.†Adkins credits his agent as well as his family for schooling him in the basics of sound money management and living within his means. Adkins, who holds a degree in mechanical engineering from Georgia Institute of Technology, says the allure of working in a corporate environment with a big salary and perks was an option he only briefly considered pursuing once his professional track and field days ended. "I would have made a lot more money than I am now,†he says. "I chose to work with urban youth for a not-for-profit, and I have no regrets.†Rein in poor spending habits. One of the first steps toward financial stability is learning to develop and maintain good money management skills. Smart money moves such as devising and sticking to a budget are vital for a secure financial future. Adkins says he made it a priority to spend less. For tips on how to improve money management and cut costs, visit blackenterprise.com and click on the Wealth for Life tab. Live below your means. The old adage, "it's not how much you make, but how much you keep,†still holds true today. Even if you have a million-dollar budget, you don't have to spend like it. Spend only what you need, and commit to socking away at least 10% of your take-home pay in a high-yield savings account. Once Adkins' career as a track and field star came to a close, he began to see the truth held within this adage and made the decision to live a simple lifestyle. Separate needs from wants. Before you purchase an item, ask yourself if you really need it or if it's merely a fleeting want. For example, do you really need another car or are you just trying to keep up with your friends, colleagues, and neighbors? When buying big-ticket items, give yourself at least one week to think about whether you really need to make that purchase. Adkins makes an effort to buy things only within reason. For example, he has made a conscious effort to cut out excess by not following in the footsteps of his single peers who have purchased multiple cars and houses. Use cash whenever possible. By using cash instead of credit, you'll be more aware of how much you spend and what you spent your money on. With credit cards, on the other hand, it's a lot easier to lose track of your spending. For big shopping trips, it's best to keep the cards at home and bring cash instead. The 10 Wealth For Life Principles 1. I will live within my means. 2. I will maximize my income potential through education and training. 3. I will effectively manage my budget, credit, debt, and tax obligations. 4. I will save at least 10% of my income. 5. I will use homeownership as a foundation for building wealth. 6. I will devise an investment plan for my retirement needs and childrens' education. 7. I will ensure that my entire family adheres to sensible money management principles. 8. I will support the creation and growth of minority-owned businesses. 9. I Will Guarantee My Wealth Is Passed On To Future Generations Through Proper Insurance And Estate Planning 10. I Will Strengthen My Community Through Philanthropy This story originally appeared in the January 2009 issue of Black Enterprise magazine.