Posted on 02/07/2019 8:40:47 AM PST by simpson96
Anyone can become rich if they know the right steps to take.
But if you possess a certain set of characteristics, you may be more likely to become wealthy, according to Sarah Stanley Fallaw, director of research for the Affluent Market Institute. She co-authored “The Next Millionaire Next Door: Enduring Strategies for Building Wealth,” in which she surveyed more than 600 millionaires in America.
To identify characteristics most predictive of net worth, Stanley Fallaw conducted two studies that included a group of individuals with a net worth ranging from $100,000 to $1 million and a group of high- and ultra-high-net-worth individuals.
She found that six behaviors, which she called “wealth factors,” are related to net worth potential, regardless of age or income: •Frugality, or a commitment to saving, spending less, and sticking to a budget •Confidence in financial management, investing, and household leadership •Responsibility, which involves accepting your role in financial outcomes and believing that luck plays little role •Planning, or setting goals for your financial future •Focus on seeing tasks through to their completion without being distracted •Social indifference, or not succumbing to social pressure to buy the latest thing
Frugality came up several times during Stanley Fallaw’s research—many of the millionaires she interviewed stressed the freedom that comes with spending below their means. Being frugal was one of three key ways they achieved financial independence.
It also takes confidence to invest properly — instead of making investing decisions with your emotions, you should leave your investments alone and focus on a long-term investment plan, certified financial planner Shelly-Ann Eweka previously wrote for Business Insider.
But you can’t invest — or manage your own money — without accepting responsibility for the outcomes.
“[Millionaires] don’t count on anyone else to make them rich, and they don’t blame anyone else if
(Excerpt) Read more at finance.yahoo.com ...
LOL.
Classic.
...but I started with a big fortune
Study 600 millionaires to learn something Dave Ramsey says on your radio every night.
What???!! The list is missing:
• Attending all “RESIST” and “WOMEN’S” marches.
How an that be?
Discovered “gold digger” vids on youtube. They are hilarious.
You might wanna go read the book. The stats show that most millionaires didn't get that way via inheritance.
The vast majority of today’s American millionaires inherited no money from family. Read “The Millionaire Next Door”.
There are hundreds of thousands-maybe even millions—of high income low net worth individuals/couples in this country. Their problem is they blow their high income on things like McMansions, BMW’s, designer clothing and accessories, and they never really increase their net worth.
Then there are the “millionaires next door”, usually middle class income, but they live comfortably below their means.
Mr RooRoo and I graduated from college with essentially nothing but the clothes on our back. We have lived below our means, but we are not frugal freaks nor cheapskates. We’ve lived a nice comfortable lifestyle in a nice 2000 sq ft home in a nice upper middle class neighborhood. We have ALWAYS saved money and invested wisely. We’re in our early 60’s, our house is paid off and our net worth is closing in on $2 million (does not include the equity in our house).
It’s possible to be a self-made millionaire. Self-discipline and patience over time is the key.
Was that picture taken on halloween?
Most of those can be found in the 1926 classic on investing, “The Richest Man in Babylon”.
It starts with the simple: “A portion of all you earn is yours to keep”.
Frugality Frugality Frugality
I grew up with parents who had survived the Depression. Frugality must be in my DNA. In other words, I am cheap! It’s downright annoying at times that I find myself fretting over a few cents difference in products when I now can afford not to care.
My son works for a young millionaire. He doesn’t fit the frugality part but definitely all the rest, especially confidence.
He started investing in the stock market when he was 12 and had already made his first million a year out of college.
He has no fear.
Sometimes it does, sometimes it doesn't. I can think of a couple of upper-class to borderline rich fellows who are at best lower middle class. Why? They were waiting to inherit, and never learned how to handle money, or to become more than moderately skilled in any area. Then, either the family fortunes they were banking on, or the family relationships (e.g., later marriages, estrangement) changed.
Ardent Democrats, both.
You’re right - that’s a low bar for 2019
I would say being your own boss should be tops on that list.
I don’t think millionaire potentials work for minimum wage for very long.
In my life frugality has led to success.
She found that six behaviors, which she called “wealth factors,” are related to net worth potential, regardless of age or income: •Frugality, or a commitment to saving, spending less, and sticking to a budget •Confidence in financial management, investing, and household leadership •Responsibility, which involves accepting your role in financial outcomes and believing that luck plays little role •Planning, or setting goals for your financial future •Focus on seeing tasks through to their completion without being distracted •Social indifference, or not succumbing to social pressure to buy the latest thing
...
No wonder Democrats want to tax away their wealth.
These are the type of people who hold politicians accountable.
But having $1 million still beats having no money at all, like many people out there.
“Was that picture taken on halloween?”
Probably more like HO-lloween.
“We have ALWAYS saved money and invested wisely. We’re in our early 60’s, our house is paid off and our net worth is closing in on $2 million (does not include the equity in our house).”
Thanks for sharing. What you’ve achieved is my goal ... and I am on target. My wife and I started out just like you and your husband too :-).
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