TORONTO -- Over the years, I've learned that financial rituals drive financial discipline. and financial discipline leads to wealth.

The wealthy do things differently and they often think differently. In many cases, they are prepared to do what others are not - for example, working on designated vacation time, weekends, or even simply putting in really long hours. They tend to be ferocious readers, invest in relationships and care little about brand names. Being frugal is simply one aspect that many have embraced, along with eating well at home and spending little on lavish dining experiences.

I've observed those who are wealthy for decades. They don't wait for permission to move forward they just do it. They play into their strengths and follow their passion, while having few financial regrets. They don't talk about paying down debt - they pay it down by making it a priority and getting the job the done.

When it comes right down to it the financial rituals you embrace can change your financial trajectory in life.

1) The wealthy always know where they stand financially; how much they owe, how much they own, and a complete net worth statement at least once a year. A net worth statement is key but only represents a moment in time. However, it is the annual ritual of the exercise that can help you identify areas requiring improvement, such as paying down debt or ramping up your investment holdings. Your financial goals can clearly be established for 2021 by dissecting line by line your net worth statement.

We have completed our net worth statement annually for 26 years. Our goal has always been to improve our net worth annually. Some years we paid down debt, others we ramped up our savings. The process allows us to see where we stand financially and get aligned on the goals that matter to us.

2) The wealthy are frugal not cheap - there is a difference. They are generous, often give financially to others and to charity, but they save more than they spend and live way below their means.

3) The wealthy have ditched the budget. They don't need to budget because they have financial discipline. They would rather invest in real estate or the markets than in stuff they don't need. They always pay themselves first. Money comes right out their account at pre-determined times and goes directly into an investment or savings vehicle or towards debt repayment.

4) The wealthy know 2020 has been tough on many levels, but somehow manage to keep moving forward with a focus toward financial independence.There will always be financial speed bumps that slow you down or even take you temporarily off course, but being conscientious and taking corrective action gets you back on course. Every household needs a little financial flexibility.

5) The wealthy have embraced life long learning and are up to date on what is driving market performance. They will invest in themselves, stay current and always be on the look out for opportunities to grow.

Creating wealth isn't about doing one big thing right. It is about doing a lot of little things right. Developing financial rituals and adopting financial discipline can help set you on an upward financial trajectory in 2021.

Let the new financial year begin.

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Pattie Lovett-Reid: The 5 financial rituals that drive wealth - CTV News