7 Habits of The Millionaire Next Door

The book The Millionaire Next Door was written by authors Thomas Stanley and William Danko and originally published in 1996.

At the time, the research for the book was the most comprehensive ever conducted on who the wealthy are in America and how they got that way.

The authors found that 80 percent of millionaires are ordinary people who have accumulated their wealth in one generation. They did it slowly, steadily, without signing multi-million-dollar sports contracts, without winning the lottery, and without becoming a famous actor or musician.

So, who becomes wealthy? In the course of their investigations, Stanley and Danko discovered seven common denominators among those who successfully build wealth and they are as follows:

1. They live well below their means.

Some people judge others by their tastes in consumer goods, and the amounts they spend. However, the three words that define the lifestyle of the affluent are: frugal, frugal, and frugal.

Frugal is the opposite of wasteful, which is a way of life marked by lavish spending and hyper-consumption.

The common belief encapsulated in the phrase “if you don’t show it, you don’t have it” simply isn’t true. The people who build wealth are hardworking, frugal, and not glamorous whatsoever.

2. They allocate their time, energy, and money efficiently, in ways conducive to building wealth.

They budget, track expenses and know how they spend their money and they prioritize their time to engage in investment planning.

3. They believe that financial independence is more important than displaying high social status.

The authors discovered that self-made millionaires spend less time on social status and more time on making wise financial decisions.

This includes taking the extra time to shop for a well-maintained used vehicle rather than buying the latest year or model of your favorite vehicle.

4. Their parents did not provide economic outpatient care.

Economic outpatient care refers to the substantial economic gifts and acts of kindness some parents give their adult children and grandchildren.

Interestingly, the more dollars adult children receive from their parents, the fewer they accumulate, while those who are given fewer dollars accumulate more.

5. Their adult children are economically self-sufficient.

The affluent who have successful adult children have given the authors much valuable information on how they raised them. Three of the ten guidelines most notable to me are as follows:

-Never tell children that their parents are wealthy
-No matter how wealthy you are, teach your children discipline and frugality
-Tell your children that there are a lot of things more valuable than money

6. They are proficient in targeting marketing opportunities.

Most millionaires are self-employed, small business owners or sales professionals who get paid a commission.

They are often selling products or services to the wealthy.

7. They chose the right occupation.

Finally, a common denominator among the many interviews and studies of millionaires in America is that they choose a profession where the ability to make money is apparent.

Such as in the areas of business, finance, real estate, healthcare, consulting gives you a much higher chance of building a career where you can make a good income to grow your wealth to millionaire status.

SUMMARY:
The authors discovered in their research that mainly, building wealth takes discipline, sacrifice, and hard work. If you are willing to make the necessary trade-offs of your time, energy and consumption habits, you can begin building wealth and achieving financial independence.

FOR MORE INFORMATION PLEASE VISIT:
https://www.maywealthstrategies.com


****Audio licensed and paid for through Audioblocks.com. All audio licenses are available upon request.