Becoming a millionaire is a common goal amongst people of all ages. Although it may seem like a dream at first, becoming a millionaire can be more attainable than people think. In an article from Money Magazine titled “19 Secrets Your Millionaire Neighbor Won’t Tell You”, author Len Penzo sheds light on certain traits that a millionaire may possess. As Penzo suggests, it takes great commitment and work to get there. Below, Thrive suggests a few broader “guidelines” on what it takes to become a millionaire:
- Have a Vision: In order to become a millionaire, you must dream big to achieve your goals. Becoming a millionaire doesn’t just happen overnight. It takes commitment and a certain desire to reach your goal. When keeping your vision in mind, it is important to be patient and work towards your goal at a young age Envisioning yourself as a millionaire when you are 25 will make it that much more possible to be one at age 45 after the required work is put in.
- Keep it Simple: As you get older and make more money, don’t feel the need to suddenly live a “Hollywood” lifestyle. You should spend less than you earn and rely on the important things in life rather than the materialistic items.
- Realize Risk: As we all know, life has a way of throwing unexpected turns at us in the most unlikely times. It is important to realize that stuff happens which can ultimately affect your finances. Take a deep breath and realize this is natural. Also, don’t be afraid to make mistakes. Learn from your mishaps and capitalize on them in future financial/life situations.
- Save, Save, Save: The basic practice of “saving” money is key in reaching a million. Diversify your savings in different types of accounts and markets and take advantage of retirement accounts before it’s too late. Make sure that you have some sort of money managing technique that generates income outside of your job. Also, start saving at a younger age in order to have a compounding effect on your investments.
- Pursue Happiness: It will be much easier to become a millionaire if you actually enjoy what you do. Find your niche and work your tail off to achieve your goal. At the same time, take notice of the little things in life that matter and use your happiness to thrive financially.
Heading into the weekend, realize that becoming a millionaire is an obtainable goal and if taken seriously, can certainly be achieved. It is crucial to constantly manage your money and keep your goal in mind. Just like anything in life, having a diligent work ethic and approach to your finances can serve as a daily reminder that you are that much closer to achieving your goal. Use these guidelines from Thrive as a reminder that reaching a million is possible!
To read more into the Money Magazine article, please click here.