8 Millionaire Habits That Changed My Financial Life
1. Investing in my jobs retirement plan. I learned early on to not rely on the "get rich quick" method. The most reliable way to get rich is to strategize, plan, and invest in a methodical automatic way over a long period of time. It's not fancy and it's not sexy, but it works.
The 401(k), 403(b), or whatever your jobs retirement plan, is ideal for this. Don't forget to take advantage of the free match (free money) that is offered. I can't begin to explain to you how crucial this is.
Click the link at the end of this blog post for a compound interest calculator to see how your money can grow over time.
2. Focused intentional intensity on net worth. This one took awhile for me to grasp. I stopped focusing so heavily on making more money and started focusing on keeping more money. I started focusing the little money I did have, on assets that appreciate in value.
On a blank piece of paper, put a line down the middle. On the left write down your assets, and their value, and on the right write down what you owe. The difference is either your net worth or net loss. This one quick exercise will change your life.
Click HERE for help on where to start to focus on growing your net worth!
3. Made "debt" a bad word. I adopted the mentality that despises debt. I started living by the mantra that you can't borrow your way to wealth. A house or a long term rental home with a large down payment, ok, but anything else, buy it cash.
I don't care what the "wealth gurus" tell you about "good debt" vs "bad debt". I put all debt in a "bad" category. For the last 12 years, I haven't borrowed money on anything. Cars were bought with cash and credit cards were a no no.
If getting wealth were as simple as borrwing money, we'd all be rich!
One of the best ways to steer clear of debt is to spend less than you earn. This sounds simple and basic, but you'd be surprised how many people don't follow this rule. Are there uber-rich people that borrow money, sure, but there are also people who get struck by lightening.
4. Developed additional streams of income. I created ways to make money outside of my 9 to 5 job. After you have mastered the art of managing your money, it's ok to look for ways to make additional income. Go for it!
There are ways to make money online everywhere you turn! If you are solely relying on a job for your income, you are taking a big gamble. Wealthy folks do take calculated risks, however, they usually don't gamble.
Click HERE to check out 115 Side Gigs to Make Extra Money.
Check out 20 Things Wealthy People Don't do in the link at the end of this blog post.
Check Out the 7 Types of Income That Lead to Wealth HERE
5. Started volunteering. I got involved with volunteering my time, my money, and my efforts. I joined the Planning & Zoning Commission in my city, the Executive Board of Habitat for Humanity in my city,and volunteered at my church, and other community-minded organizations.
I begin putting in the work that exemplified the fact that success is truly a team sport. Giving back is a small price to pay for the many blessings we have.
This led to meeting new people and some amazing networking opportunities, which led to growth that otherwise wouldn't have happened. It also opened the door to learning opportunities and personal growth. You won't go broke giving!
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Check out the video below on habits to become a millionaire.
6. Invested in real estate. In 2000, I began buying single family homes. I ended up losing a number of properties in the 2008 market crash, but I held on to two of them, and now have substantial equity in both of them.
Real estate is great to have in your portfolio, and is a proven way to build wealth.
7. Stopped hanging my hat on charity as a means to "come up". Too many people think getting something from the government, or getting something for free, is a wonderful thing. Sure, it can help, but it should only be temporary.
Yes, I grew up in a family that received assistance and food subsidies, but we didn't stay there. And yes, I received food subsidies from the state government for 1 year in college, but I didn't stay there. I'm not against help for those who need it most, but it should be a last resort and shouldn't last long.
Developing an understanding that what you become is based on what you do, not on what someone else does or doesn't do for you.
Thinking like this is not arrogance, it's confidence. There is a difference.
"I don't control the future, but I control my habits, and my habits help dictate my future" Myles Munroe