At some point, most of us have wondered how to become wealthy. We want all those tips and tricks used by millionaires but trust me there are no such tips and tricks which would help you become a millionaire overnight. Becoming a millionaire is a journey and this journey starts with understanding how to master finances. Self-made millionaires have a growth attitude. A growth attitude means they are always looking for ways in which they can make more money and enhance their capital. Here are some Secrets Self-Made Millionaires know that you don’t.
If you weren't born rich but still have a dream of getting there someday, it's good news my friend because "Dreams do come true". According to Thomas J. Stanley's bestseller book, The Millionaire Next Door, 80 to 85% of millionaires are self-made.
This is very interesting because most millionaires earned this tag with hard work, consistency, perseverance, determination, calculated risks, and maybe luck but definitely not inheritance.
80 to 85% of millionaires are self-made. Are you still not convinced?
Okay! Let me give you some examples.
Janice Bryant Howroyd, Warren Buffet, Barbara Corcoran, Phil Knight, Steve Ballmer, and Carl Ichan, these people were not born into wealth. They worked their way to riches and so can you.
We all know that each of them is an individual but they tend to share some common traits. I want to tell you that common people and millionaires have different relationships with money. Wealthy people have a very unique relationship with money. Millionaires know very well how to make money work for them. The difference between normal people and millionaires is "Normal people work for money while millionaires make their money work for them".
We all save money and take control of our finances but my friend that is not the correct way to become a millionaire. If you know a millionaire, just do yourself a favor and ask him/her a very interesting question. What is the worst financial advice you have ever received? Chances are their answer would be saving your money.
At some point, most of us have wondered how to become wealthy. We want all those tips and tricks used by millionaires but trust me there are no such tips and tricks which would help you become a millionaire overnight.
Becoming a millionaire is a journey and this journey starts with understanding how to master finances.
Self-made millionaires have a growth attitude. A growth attitude means they are always looking for ways in which they can make more money and enhance their capital. Here are some secrets self-made millionaires know that you don’t.
1. Have Various Sources Of Income
How many sources of income do you have? Let me guess! Two or three, four? Don't say just one. Self-made millionaires have various sources of income. They believe that one stream of income is never enough.
65% of self-made millionaires have three or more three income streams. Making millions from one source is very hard, but it’s much easier to make a million from different sources.
I am not saying leave that 9-5 job but in your spare time, you may start freelancing or maybe start selling things online. Use your creativity to make more money.
2. Millionaires Are Frugal
There is this perception that all millionaires live the most luxurious and lavish lifestyles. Yes, they can afford the best but they are smart, not frivolous. Do you know why?
One of the biggest secrets of self-made millionaires is that they are frugal. Yes, I mentioned frugal, not cheap. There's a big difference.
Sometimes, we buy cheap things because we think what's the point of buying something expensive if I am getting it for fewer dollars if you are saving money by choosing the lowest-quality option, then you are wasting money not saving. Try to buy the highest quality product at the lowest price possible.
First, Focus On Quality And Then Cost.
3. Invest, invest and invest
If your goal is to be rich and make a million dollars and buy a Bugatti La Voiture Noire, trust me you won’t be wealthy for a long time. Millionaires know this very well and that's why they believe in investing not spending.
4. Change your mindset
Millionaires know what they want and they set a target and plan to achieve their goal.
Stop thinking negatively that I can't be rich because your mindset matters a lot.
Believe in yourself, stop making excuses for yourself, be patient, get comfortable with learning and focus on your goals.
Also read: 3 Investments That Help You To Achieve More
5. Never chase the money
You must be thinking, If I want to be a millionaire, how never chase the money is good advice. My friend chasing money doesn’t get you anywhere.
Chase anything but not money and the money will come.
When you have passion, a great idea, and a good purpose money will automatically come. Don't make money your motivation.
6. Work Hard
Yes, they work really hard. The typical millionaire works around 60 to 70 hours each week. The hardest part of becoming a self-made millionaire is getting started so ask yourself what's stopping you to work hard.