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How to become a millionaire
#business How to become a millionaire ?
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Bob’s Answer
Becoming a millionaire is, to a great extent, a mental process. You have to decide that you will order your life to become a millionaire or multimillionaire. In my twenties I decided that I would become a multi-millionaire. The goal was not reached until my fifties. Certainly successful entrepreneurs do it faster.
I made the assumption that wealth would be completely dependent upon my ability to drive my earnings, savings and investments. I assumed that I would never inherit nor would I ever receive Social Security. My ultimate goal was to find ways to reach a net worth each year $100,000.00 times of my age in wealth. So, by fifty, I would have five million dollars or more.
To do this, I worked sixty to seventy hours per week, sought out and worked for rapidly developing tech companies in fast growing industries - resulting in rapid promotions as the companies grew. Every day I would learn and contribute, but would change companies if I saw an opportunity to substantially increase earnings as well as garner stock options. In other words I constantly balanced risk versus reward.
My wife and I moved frequently, while seeking the best investment and return on my labor. Every house we purchased was considered as an investment. So, we had specific goals as to location, schools, rapidly growing areas of the country. We built in items, even though we did not want them, because others would pay more for the house when we sold it.
Every item we purchased for our home, was looked at as an investment. So, we paid a few dollars more for each item we placed in the home. It was to last thirty years or more and increase in value. We studied antiques and purchased prudently. We lived on substantially less money than we made and invested in equities, oil, gas, bonds and currency. We purchased German cars because their currency values offered an opportunity to later sell the car
for more than we paid for it.
It is not easy. It takes tremendous discipline. Think in terms of future value. You must consider what you spend to buy something today, if invested instead, it will be worth significantly more ten-twenty-thirty-forty years from now.
Speak with people who have successfully become millionaires and multi-millionaires. They are living all around you.
Learn what items you will purchase may have a significantly higher value in the future.
Be willing to take chances/risks to work for companies that are growing rapidly in fast paced industries.
Study those in management-how do they think-what mental process do they use in solving problems-how can you help them to succeed?
Read books, like the Millionaire Next Door.
I made the assumption that wealth would be completely dependent upon my ability to drive my earnings, savings and investments. I assumed that I would never inherit nor would I ever receive Social Security. My ultimate goal was to find ways to reach a net worth each year $100,000.00 times of my age in wealth. So, by fifty, I would have five million dollars or more.
To do this, I worked sixty to seventy hours per week, sought out and worked for rapidly developing tech companies in fast growing industries - resulting in rapid promotions as the companies grew. Every day I would learn and contribute, but would change companies if I saw an opportunity to substantially increase earnings as well as garner stock options. In other words I constantly balanced risk versus reward.
My wife and I moved frequently, while seeking the best investment and return on my labor. Every house we purchased was considered as an investment. So, we had specific goals as to location, schools, rapidly growing areas of the country. We built in items, even though we did not want them, because others would pay more for the house when we sold it.
Every item we purchased for our home, was looked at as an investment. So, we paid a few dollars more for each item we placed in the home. It was to last thirty years or more and increase in value. We studied antiques and purchased prudently. We lived on substantially less money than we made and invested in equities, oil, gas, bonds and currency. We purchased German cars because their currency values offered an opportunity to later sell the car
for more than we paid for it.
It is not easy. It takes tremendous discipline. Think in terms of future value. You must consider what you spend to buy something today, if invested instead, it will be worth significantly more ten-twenty-thirty-forty years from now.
Bob recommends the following next steps:
Updated
Kim’s Answer
Work at a job with lots of hours and overtime/ or a job that pays really well.
Spend less than you make. Live frugally. Modest car. Modest home.
Find a way to get someone else to pay for all or some of your education - employer tuition assistance, military, scholarships
Go to a school that will give you a good education - not one known primarily as a party school -
Save and invest. Have an Emergency Fund. Use cashback credit cards. Make wise investment choices. Don't pull your money out every time the market has a little hiccup.
Don't give in to "lifestyle creep" (where you start spending more because you are making more)
Have adequate insurance coverage - especially including disability coverage and if you have pets, pet insurance
Don't believe that love is eternal. Use prenup agreements. Don't trust that your partner would "never" take you to the cleaners.
alright, that about covers it. What do you plan on doing with all your money?
Spend less than you make. Live frugally. Modest car. Modest home.
Find a way to get someone else to pay for all or some of your education - employer tuition assistance, military, scholarships
Go to a school that will give you a good education - not one known primarily as a party school -
Save and invest. Have an Emergency Fund. Use cashback credit cards. Make wise investment choices. Don't pull your money out every time the market has a little hiccup.
Don't give in to "lifestyle creep" (where you start spending more because you are making more)
Have adequate insurance coverage - especially including disability coverage and if you have pets, pet insurance
Don't believe that love is eternal. Use prenup agreements. Don't trust that your partner would "never" take you to the cleaners.
alright, that about covers it. What do you plan on doing with all your money?
Updated
Philip’s Answer
There are probably as many ways to become a millionaire as there are millionaires. Outside of having family money or winning the lottery, a few ways to help grow your wealth:
- Consistently spend less than you make. Consider the full cost of buying something, not the just the payments.
- Pick a career that combines good earning potential with your abilities and interests.
- Make a plan for what you want your money to do for you. Simple and achievable is better than complex and unsustainable, especially at the start. Consider breaking big goals into smaller goals to make progress more tangible.
- Periodically review how you are doing versus your plan. Make adjustments as needed. Do not beat yourself up if not everything goes right as it never does. Reward yourself along the way.
- If used properly debt can be a useful tool but even the typical good debts (mortgage, student loans, etc) can backfire if too large of an amount is taken on.
- Educate yourself but be aware that there is a lot of bad advice out there too. If you have them in your life, ask other people questions about their journey to financial success. Some of the steps you are looking to take can be less scary with reassurance from someone that has walked the path first.
- Ignore the naysayers. Do not waste your time on people that just bring negativity. However, legitimate criticism from someone with your best interests in mind can help you avoid big mistakes.
- Get started. The first step can be the hardest to take. Make it something easy and build momentum for a better financial future.
- Consistently spend less than you make. Consider the full cost of buying something, not the just the payments.
- Pick a career that combines good earning potential with your abilities and interests.
- Make a plan for what you want your money to do for you. Simple and achievable is better than complex and unsustainable, especially at the start. Consider breaking big goals into smaller goals to make progress more tangible.
- Periodically review how you are doing versus your plan. Make adjustments as needed. Do not beat yourself up if not everything goes right as it never does. Reward yourself along the way.
- If used properly debt can be a useful tool but even the typical good debts (mortgage, student loans, etc) can backfire if too large of an amount is taken on.
- Educate yourself but be aware that there is a lot of bad advice out there too. If you have them in your life, ask other people questions about their journey to financial success. Some of the steps you are looking to take can be less scary with reassurance from someone that has walked the path first.
- Ignore the naysayers. Do not waste your time on people that just bring negativity. However, legitimate criticism from someone with your best interests in mind can help you avoid big mistakes.
- Get started. The first step can be the hardest to take. Make it something easy and build momentum for a better financial future.
Updated
Will’s Answer
Hi Angel,
The fastest way is to exchange USD into another currency with lower unit value, e.g., 1USD = ~1,150KRW.
The luckiest way is to win a huge lottery.
Seriously, based on the business hashtag you picked, a more realistic way is to own a business which
- you are good at
- can solve others' problems
- people are willing to pay for the fix
Also found some tips online:
https://www.ramseysolutions.com/retirement/how-to-become-a-millionaire
The fastest way is to exchange USD into another currency with lower unit value, e.g., 1USD = ~1,150KRW.
The luckiest way is to win a huge lottery.
Seriously, based on the business hashtag you picked, a more realistic way is to own a business which
- you are good at
- can solve others' problems
- people are willing to pay for the fix
Also found some tips online:
https://www.ramseysolutions.com/retirement/how-to-become-a-millionaire