With Millionaire Women Next Door, he now focuses on one of the least understood but increasingly rich demographics. “Why write another book that profiles millionaires?” Stanley asks. “The vast majority of the millionaire respondents (92 percent) in The Millionaire Next Door were men………… I felt that it was indeed time for successful businesswomen of the self-made variety to be heard.” And heard they are in this book that is every bit as informative and inspirational as the author’s earlier works. Stanley’s thoroughly researched findings and conclusions will fascinate readers everywhere. They’ll .
The Surprising Secrets of America’s Wealthy You want to someday be a wealthy person who’ll live in an affluent neighborhood and drive a Rolls Royce? Nice dream you have there! But how can you be sure that you’re doing the right things to turn it into reality? Well, join and William D. Danko to meet “” and learn a trick or two. Who Should Read “The Millionaire Next Door”? And Why? Judging by its title, “The Millionaire Next Door” may sound like one more in the long line of .
And if you add to this the fact that, actually, it is just one more book in a series of related similar studies by Stanley – which extends the “Affluent” series (“Marketing to the Affluent,” “Selling to the Affluent,” “Networking with the Affluent”) and includes “” and “Millionaire Women Next Door” – you can be excused for thinking right off the bat that you may be better off without ever opening this book.
However, you’ll be wrong! Thomas J. Stanley is a serious financial theorist, and “The Millionaire Next Door” is everything the think-and-grow-rich books aren’t. in fact, at one point, the authors even explicitly state that they are offended by authors who say something along the lines” Just buy my educational/study-at-home kit, and your new business venture will be a success.” Because, in Stanley’s and Danko’s opinion, such things just don’t exist.
And “The Millionaire Next Door” is more of a sociological study than a get-rich manual. Using real-life data and examples, it analyzes the habits of the wealthy and wheedles out their common attributes, practices, and ways of life.
So, the book, in essence, should be much more interesting to social scientists who study affluent people than the regular Joe, right?
Well yes – and no. Because if it’s its wealth of real-life cases which makes “The Millionaire Next Door” a social scientist’s wet dream, it’s the conclusions which give the book its popular appeal. After all, if you investigate the habits of a thousand millionaires and see what they have in common, you can always reverse engineer the equation. But, “The Millionaire Next Door” will not be attractive merely to people who want to adopt the lifestyles of the rich and famous to become part of them.
It’s also about the rich and famous. So, if you are one of them, this book may feel like a great helping hand in your struggle to hold on to your money and your status.
About Thomas J. Stanley and William D. Danko was an American business theorist and author of seven bestselling books. Among them: “The Millionaire Mind” and “The Millionaire Next Door.” He died in an accident caused by a drunk driver in 2015. Find out more at . is the co-author of “The Millionaire Next Door” and a Professor of Marketing at the School of Business at the State University of New York in Albany. He has also co-written “Richer Than A Millionaire” with Richard Van Ness.
“The Millionaire Next Door PDF Summary” You may think that becoming a millionaire is something rather impossible. However, in “,” and William D. Danko reveal that it’s not even difficult. You just need to follow a certain set of rules. Start with separating the facts from the fiction. Ousting the fantasy of the luxury-loving Gatsby who spends thousands of dollars in a single day is step one of the “” mission.
Simply put, the majority of millionaires are actually modest. That’s how they became rich in the first place, in fact. For every 100 millionaires who are reckless, there are at least 120 who are careful with their budgets! Saving for retirement and avoiding to spend money on things you don’t actually need is such a commonsense strategy because it has worked for many.
In fact, are not in it for the money in itself; they just want to be financially independent. And financial independence doesn’t mean driving a Rolls Royce. It means being able to maintain your lifestyle even after you retire. Think of it this way: even if you manage to earn a million dollars, buying a Rolls Royce will cost you about a third of that.
And, , buying three cars in a day may even result in a call from the bank! Millionaires, however, are usually much more clever. First of all, they don’t live in a status neighborhood and would never buy a Rolls Royce to be the center of attention.
Instead, they usually spend their money investing. Moreover, investing the . In other words: only in spheres, they understand. One mistake millionaires can sometimes make is spoiling their children. This results in some devastating statistics: almost half of the wealthy Americans send their adult children at least $15,000 yearly!
The problem, however, runs much deeper. These adults don’t know how to take care of themselves, because, as children, . So, they usually become the irresponsible millionaires. The self-made ones – know full well that money doesn’t grow on trees. And that, as they say, “money saved is money earned.” And, in general, all of them share these seven traits, or as the authors of this book say, “common denominators.” No point in beating around the bush anymore: here they are – and in the words of the authors.
So, what do the wealthy do to become wealthy? 1. They live well below their means. 2. They allocate their time, energy, and money efficiently, in ways conducive to building wealth. 3. They believe that financial independence is more important than displaying social status. 4. Their parents did not provide economic outpatient care. 5. Their adult children are economically self-sufficient. 6. They are proficient in targeting market opportunities. 7. They choose the right occupation. Key Lessons from “The Millionaire Next Door” 1.
If You Want to Get Rich – Just Spend Less Than You Earn 2. Status Items Are for Showoffs 3. Calculate if You’re a UAW, AAW or PAW If You Want to Get Rich – Just Spend Less Than You Earn There’s a formula for success, and it’s fairly simple: “a penny saved is a penny earned.” Or, in other words: if you spend less money than you earn, your net worth will increase over time.
And if you plan it well enough, by the time you reach your retirement age – you may be a millionaire even on an average income. Status Items Are for Showoffs Buying status items is a big “no-no” for most self-made millionaires.
After all, if you’re spending your money on something you don’t need, how are you going to earn the money for the things you need it? In “,” Thomas J. Stanley and William D. Danko reveal that many unassuming millionaires are probably living around you. They just don’t show it – because they have found smarter ways to use their money than on designer clothes and expensive cars.
In fact, half of the millionaires surveyed by Stanley and Danko spent less than $400 on their last suit, $235 for the last wristwatch they purchased, and no more than $140 on the last pair of shoes.
Few of them were gourmets eating caviars and drinking high-quality Bordeaux wine. As a matter of fact, when Mr. Bud, one of a group of examined millionaires, was offered the latter one, he replied quite wittily that he merely drink “scotch and two kinds of beer – free and Budweiser!” Calculate if You’re a UAW, AAW or PAW There’s a simple formula to calculate if you’re on the right path to becoming a millionaire. Multiply your age by your annual salary and divide the result by ten.
If you’ve saved less than the amount you’re getting, you’re an Under Accumulator of Wealth (UAW); if you’ve saved about the same, you’re an average accumulator of wealth; finally, if you’ve saved twice as much, you’re a prodigious accumulator of wealth (PAW).
So, in practice, if during the last 12 months, you’ve earned $30,000 and you’re about 50 years old, by now, you should have saved about $150,000 to be an AAW.
If you’ve saved more than that – congratulations! You’re doing quite a good job! Like this summary? We’d like to invite you to download our free , for more amazing summaries and audiobooks. “The Millionaire Next Door” Quotes Our Critical Review “The Millionaire Next Door” fully lives up to its appealing subtitle: “The Surprising Secrets of America’s Wealthy.” Because the moral of the book is indeed quite astonishing and even counter-intuitive.
Namely, that the wealthiest around you may be the ones least suspected to be wealthy. Those who do seem affluent and prosperous, on the other hand, are, quite probably, only temporarily wealthy. So, another paradigm shifter! Who would have seen this coming? Apparently, it doesn’t mean that one is not wealthy if, instead of a Rolls Royce, he/she drives a “Toyota”; in fact, it may be the other way around: not driving a Rolls Royce may be the common-sense indicator that a person is on his/her path to becoming a millionaire!
However, as Nassim Nicholas Taleb explains in the eighth chapter of “,” Stanley and Danko somewhat miss the main point. “I see,” Taleb writes, “no special heroism in accumulating money, particularly if, in addition, the person is foolish enough to not even try to derive any tangible benefit from the wealth (aside from the pleasure of regularly counting the beans).” In other words – what’s the point in earning money if you don’t use them to indulge in your favorite habits?
Money should not be an end in itself but means to achieve some other end. And what if that end is a Rolls Royce? Well, then, don’t you think you’d be happier as a poor driver of a Rolls Royce, than a rich one driving a “Toyota”? Yes, we think so too.
best dating a millionaire woman next door book club questions - Book Club
Contents • • • • • • • • • • • • • Bullet Summary • Self made millionaires are frugal • Millionaires invest instead of spending • Millionaires value independence over status symbols Full Summary Stanley & Danko say there are 7 common elements among millionaires.
Millionaires: • Spend much less than what they earn • Focus time, energy and resources on accumulating wealth • Value financial independence more than status display • Didn’t have parents who lavished gifts on them • Teach their children to be economically independent • Target good market niches • Choose occupation conducive to wealth accumulation 1. Meet the Millionaire Next Door Stanley & Danko define millionaire as someone having a net worth of one million USD or higher.
The book however focuses mostly on people who have a net worth of between one and ten millions, which is a level of wealth attainable by most in a single generation.
I find their list of most common millionaire type quite interesting. The typical millionaire is: • Older man with children • Self-employed (2/3 of American millionaires) • In a dull business line (from rice farmer to pest controllers to coin and stamp dealers) • Has a non employed wife (or teacher) who is a careful planner and budgeter • Has a college degree or an advanced degree • Cares -and spends- for his children’s education • Works between 45 and 55 hours a week • Invests almost 20% of his income through own investment decisions • 20% of wealth in stocks / mutual funds, 20%+ in pension plans and 21% in his business • Would recommend account and law as ideal occupations 2.
Frugal Frugal Frugal Stanley & Danko say many people could be wealthy but are not because of their mindset around spending.
They are on the and believe that not displaying wealth is like not having any. For these people, you are successful when you can show and consume, so they maximize their income around consumption.
And some of them even take up debt to fuel their consumption (this is the definition of the sidewalk people in ) Millionaires don’t have such mentality. Millionaires are not interested in showing off. The authors say media and newspaper tell us the wrong story: millionaires don’t buy the highest priced items.
For every luxury “most expensive” item a millionaires buys, there are 8 non millionaires who buy it. Instead the millionaires budget and control their expenses. The typical millionaires in Stanley & Danko survey has an annual income of less than 7% of their total wealth.
When your wealth is so high compared to your income you maximize your tax as well because only 7% of your wealth is subject to taxes. The authors say many of the millionaires they interviewed have a total taxable annual income of less than 80.000 USD! 3. Time, Energy, and Money Stanley & Danko say wealthy people use time, energy and resources to accumulate wealth. They know how they spend and they plan their investments. It’s because millionaire care about their wealth because it’s important for them.
The authors suggest you do the same and record what you buy and how much you spend for each category of product and service you consume. You can do either by yourself or you can use the help of your accountant.
Once you know how much you’re spending you should budget in a way that allows you to save at least 15% of your income. 4. You Aren’t What You Drive Stanley & Danko say 25% of millionaires didn’t buy a car in the last four years, and only 23.5% of them owns a new car.
Half of the millionaires don’t spend more than 29,000 USD on cars… In their whole life! The authors say that car-buying behavior show very well why some people accumulate wealth while others don’t. And while most millionaire spend little on cars, they are also more likely to hunt for bargains and negotiate the price that non millionaires.
They are not loyal to a specific dealer indeed but go with the one who can offer the best price. Based on categories, if millionaires display this same behavior across most products they buy, they are maximizers. I would warn you though that maximizers are also more regretful and on average unhappier than satisfiers. 5. Economic Outpatient Care Chapter 5 of The Millionaire Next Door explains that the biggest indicator of productivity among offspring is whether and how their parents support them.
The authors’ findings confirms what most people knew intuitively when they say that there is a higher propensity to spend inherited money than self-generated money. The biggest problem though is that freely given money changes people’s behavior and character for the worst. Many children who inherit an easy life from their families are often very well versed in spending money but ineffective at generating any.
The authors say it often starts with helping children buy a house. The parents would think that’s OK and the kids won’t need any more help after that. But they’re often wrong. The “lucky” children who receive a lot from their parents, or ECO as the authors calls them, . They: • Consume more than they save and invest • Don’t distinguish between their wealth and their parents’s wealth • Are significantly more dependent on credit 6.
Affirmative Action, Family Style Stanley & Danko go even deeper on how parents’ wealth influences children. They say it’s not necessarily bad to give to your children as long as they are disciplined and they can generate their own income. It’s very uneducative and damaging though when the children can only survive on parents’ handouts.
Here are a few rules on how wealthy parents can grow smart, independent kids: • Don’t let them know you’re wealthy (at least until they’re professionally established) • Teach them discipline and frugality • Emphasize their achievements, not their material status symbols • Teach them values beyond money 7.
Find Your Niche The authors say most people never produce high incomes -including self employed and business owners-. But professionals servicing the high income individuals instead often get wealthy themselves. And the next decades there will be a large number of wealthy individuals who will need specialists to serve them. Some in-demand specializations the wealthy spend on are: • Medical • Asset experts such as appraisers, liquidators • Investment professionals • Legal services • Educational products 8.
Jobs: Millionaires versus Heirs Most of the affluent are business owners and self-employed professionals. Business owners and self employed are four times more likely to be wealthy than people working for others. But that doesn’t mean you should have your own business: most businesses fail. And there’s no magic industry because you can be a millionaire in any profession.
At the end of the day, the most reliable way to becoming a millionaire is to work on yourself. Because the character is more important than the business. Real Life Applications Prioritize Financial Independence The biggest, biggest, biggest takeaway I would like anybody I care for to take away from this book is this: prioritize your financial independence.
If consumption is costing your freedom, you are spending money to imprison yourself. Get your freedom first, do what you like, and then use your money to buy whatever you want. Don’t Give Too Much To Children Giving too much, too freely, is a terrible education for your children. You are teaching them to be dependent and… Poor. CONS No Case Studies There are no hard cases of the households making 80k and becoming millionaires.
Those would have been interesting. Where do they live, what are they giving up, how did they invest, what did they inherit from their parents? Little Data The research is probably solid, but the data the authors present is not always scientific. I enjoy a well written book, but a few more numbers wouldn’t have hurt.
Average, Dull Lifestyle makes fun of The Millionaire Next Door because wealth is supposed to be enjoyed, he says. And indeed as other reviewers have pointed out, The Millionare Next Door lifestyle makes for a life of many sacrifices. Review Overall The Millionaire Next Door is a good book and I recommend it.
Read below for a deeper reflection on the main topics and the implication on a happy and meaningful life. Security or Independence? The authors say millionaires value independence. But I wonder how do they know that for sure. I would wonder instead if the millionaires they portray value security the most (the most important need according to ).
And if that’s the case, I would wonder if spending more on life experiences would actually make them happier. Spending on experiences has been shown to be the best way money could possibly buy happiness, so it’s an important question. And at this point I would ask: is your goal becoming a millionaire or is it living a great life (or both)?
Meaning of Life Having a meaning for your life is important for a significant, satisfactory and happy life. And I would wonder if people spending so much effort on wealth accumulation have any time or space left for any other meaningful pursuit. Because, usually, wealth accumulation doesn’t provide a strong enough meaning for a beautiful life (also read for Viktor Frankl’s take on what makes a meaningful life.) Independence: The Best Insight The main concept of this book is revolutionary for many people who were never taught any better.
That concept is that high expenditure sells your freedom away. And often cheaply. If the new car toy, big house and 5 stars hotel is nice, they are also keeping you chained to your job. So the next question is: do you like your job? Because if yes, great.
If not, you are imprisoning yourself. Definitely something to think about. or
This post contains my personal notes from the book Wealth is not the same as income. If you make a good income each year and spend it all, you are not getting wealthier. You are just living high. Wealth is what you accumulate, not what you spend. Wealth is rarely due to luck, inheritance, advanced degrees or intelligence. Wealth is usually due to hard work, perseverance, planning, and self-discipline.
There are seven common denominators among those who build wealth: 1. They live well below their means. 2. They allocate their time, energy, and money efficiently, in ways conducive to building wealth. 3. They believe that financial independence is more important than displaying high social status. 4. Their parents did not provide economic outpatient care. 5. Their adult children are economically self-sufficient. 6. They are proficient in targeting market opportunities.
7. They chose the right occupation. MEET THE MILLIONAIRE These people cannot be millionaires! They don’t look like millionaires, they don’t dress like millionaires, they don’t eat like millionaires, they don’t act like millionaires-they don’t even have millionaire names. Where are the millionaires who look like millionaires? Millionaires do not own expensive suits, watches, cars or other status artifacts.
They usually do not lease their motor vehicles.They live well below their means. They have married once and remain married. Their wives usually do not go to work. Their wives are conservative with money and budget and plan well.
They live in middle-class neighbourhoods. Many of them are self-employed( entrepreneurs or self-employed professionals). Most of them work in dull-normal business. They usually own their home and did not receive an inheritance. They are well educated, spend good amounts of money for their children’s education and work hard(50 hours a week). They invest 15-20% of their income. They invest in stocks.
They buy and hold and do not trade a lot. They share their wealth with their daughters also. They encourage their kids to go into professions that pay well. They are tightwads. They define wealthy as owning substantial amounts of appreciable assets than from displaying a high-consumption lifestyle. Wealth is your net worth. Net worth is defined as the current value of one’s assets less liabilities (exclude the principle in trust accounts).
A person’s income and age are strong determinants of how much that person should be worth. So higher-income people who are older should have accumulated more wealth than lower income producers who are younger. How much should your net worth be? Multiply your age times your realized pretax annual household income from all sources except inheritances.
Divide by ten. This, less any inherited wealth, is what your net worth should be. • PAW, or prodigious accumulator of wealth : Net worth > 2 x expected net worth for income/age • UAW, or under accumulator of wealth: Net worth < ½ x expected net worth for income/age UAWs, have a higher propensity to spend than do the members of the PAW group.
UAWs tend to live above their means; they emphasize consumption. And they tend to de-emphasize many of the key factors that underlie wealth building. Most people who become millionaires have confidence in their own abilities. They do not spend time worrying about whether or not their parents were wealthy. They do not believe that one must be born wealthy. To continue to remain wealthy, you future generations should also adopt these habits. If not, they will end up consuming a lot and lose wealth.
FRUGAL, FRUGAL, FRUGAL THEY LIVE WELL BELOW THEIR MEANS. Webster’s defines frugal as “behavior characterized by or reflecting economy in the use of resources.” The opposite of frugal is wasteful. We define wasteful as a lifestyle marked by lavish spending and overconsumption. Being frugal is the cornerstone of wealth-building.
Millionaires are frugal. They do not waste a lot of money on suits, shoes or watches. Their parents were also frugal. Their spouse is also frugal. The foundation stone of wealth accumulation is defense, and this defense should be anchored by budgeting and planning.
They became millionaires by budgeting and controlling expenses, and they maintain their affluent status the same way. Have you ever noticed those people whom you see jogging day after day? They are the ones who seem not to need to jog.
But that’s why they are fit. Those who are wealthy work at staying financially fit. But those who are not financially fit do little to change their status. Do you wish to become affluent and stay affluent? Can you answer “yes” candidly and honestly to four simple questions? QUESTION 1: DOES YOUR HOUSEHOLD OPERATE ON AN ANNUAL BUDGET? They create an artificial economic environment of scarcity for themselves and the other members of their household. They invest first and spend the balance of their income.
Many call this the “pay yourself first” strategy. These people invest a minimum of 15 percent of their annual realized income before they pay the sellers of their food, clothes, homes, credit, and the like.
QUESTION 2: DO YOU KNOW HOW MUCH YOUR FAMILY SPENDS EACH YEAR FOR FOOD, CLOTHING, AND SHELTER? QUESTION 3: DO YOU HAVE A CLEARLY DEFINED SET OF DAILY, WEEKLY, MONTHLY, ANNUAL, AND LIFETIME GOALS?
Financially independent people are happier than those in their same income/age cohort who are not financially secure. And goals help you become financially independent QUESTION 4: DO YOU SPEND A LOT OF TIME PLANNING YOUR FINANCIAL FUTURE? Millionaires spend a lot of time studying and planning investments. Although millionaires have much more experience in making investment decisions, they allocate significantly more hours than do nonmillionaires in an effort to become even better investors.
That is one of the main reasons that millionaires remain wealthy. There are four more rules if you want to become wealthy: 1. If you earn to spend, you can never save enough. To build wealth, minimize your realized (taxable) income and maximize your unrealized income (wealth/capital appreciation without a cash flow). 2. What if your goal is to become financially independent? Your plan should be to sacrifice high consumption today for financial independence tomorrow. Every dollar you earn to spend is first discounted by the tax man.
3. It’s easier to accumulate wealth if you don’t live in a high-status neighborhood. 4. If you’re not yet wealthy but want to be someday, never purchase a home that requires a mortgage that is more than twice your household’s total annual realized income. TIME, ENERGY, AND MONEY THEY ALLOCATE THEIR TIME, ENERGY, AND MONEY EFFICIENTLY, IN WAYS CONDUCIVE TO BUILDING WEALTH. PAWs allocate nearly twice the number of hours per month to planning their financial investments as UAWs do.
PAWs, on average, spend less time worrying about their economic well-being. Begin earning and investing early in your adult life. High-income PAWs are significantly less likely than UAWs to hold graduate degrees, law degrees, or medical degrees..The reasons why this is true is because: • When you have a lot of education, you have spent a lot of time learning and hence you start earning late. This does not mean parents should not suggest that their children drop out of college and start a business • Another reason very well-educated people tend to lag behind on the wealth scale has to do with the status ascribed to them by society.
High-grade doctors, lawyers, accountants, and so on are expected to live in expensive homes. They also are expected to dress and drive in a style congruent with their ability to perform their professional duties. They assume a professional is likely to be mediocre, even incompetent, if he lives in a modest home and drives a dull car.
• They are also conned by so-called investment experts easily. • They are also generally unselfish, do not receive inheritances and spend a lot of time working and do not plan their finances well. Planning and controlling consumption are key factors underlying wealth accumulation.
They consume at the same level as the average family that earns about one-third as much as they do. They purchase quality clothing, but not at full price and never on impulse. Their spouse’s orientation toward thrift, consumption, and investing is a significant factor in accumulating wealth. On the other hand, it is very difficult for a married couple to accumulate wealth if one or both of them are spendthrifts. A household divided in its financial orientation is unlikely to accumulate significant wealth.
Do you know exactly how much your family spent last year for each and every category of product and service? Without such knowledge, it’s difficult to control your spending. If you can’t control your spending, you’re unlikely to accumulate prodigious amounts of wealth. A good start is to keep an accurate record of each and every expenditure that your family makes each month.
Then work with her to develop a budget. The goal is to enable you to set aside for investing purposes at least 15 percent of your pretax income each year. By the way, this “15 percent method” is Mr. Gifford’s simple strategy for becoming affluent. There is an inverse relationship between the time spent purchasing luxury items such as cars and clothes and the time spent planning one’s financial future.
Time, energy, and money are finite resources, even among high-income generators. PAWs in general, on the other hand, allocate their spare time to activities that they hope will enhance their wealth (see Table 3-6 later in chapter). Such activities include studying and planning their investment strategies and managing current investments. Conversely, UAWs work hard to maintain and enhance their high standard of living. Many aggressively shop for bargains, but not for bargain stocks but bargain luxury goods.
It is difficult to accumulate wealth if you spend much of your time, energy, and money for a so-called dealer cost price on an extremely expensive motor vehicle.
The concerns and worries of PAWs and UAWs are also different as shown in the figure below: Children of PAW are accustomed to living in a much more frugal and disciplined environment. They are less likely to have a perceived need for major doses of economic outpatient care.PAWs are not worried about taxes, government spending, federal deficit, inflation and government regulation of business and industry.Both PAWs and UAWs want to increase their wealth, but PAWs do things on a regular basis which help them to increase their wealth.
UAWs on the other hand, say it, but don’t do it. Planning and wealth accumulation are significant correlates even among investors with modest incomes.PAWs have a regimented planning schedule, start planning at an earlier age. They do a little planning each and every month. PAWs build wealth slowly. They do not live a spartan existence, but they do have a regimen when it comes to balancing working, planning, investing, and consuming.A lot of PAWs are self-employed.
They have seen both good and bad times and do not take things for granted. Hence they plan well. PAWs hold their wealth in stocks, real estate and businesses while UAWs hold their wealth in cash and cash-like instruments. But PAWs do not actively trade. They buy and hold generally for the long run. They choose a financial advisor who is endorsed by an enlightened accountant and/or his clients with investment portfolios that in the long run outpace the market.
YOU AREN’T WHAT YOU DRIVE THEY BELIEVE THAT FINANCIAL INDEPENDENCE IS MORE IMPORTANT THAN DISPLAYING HIGH SOCIAL STATUS • If your goal is to become financially secure, you’ll likely attain it. … But if your motive is to make money to spend money on the good life, … you’re never gonna make it. • In most of the cases we have examined, PAWs love working, while a large proportion of UAWs work because they need to support their conspicuous consumption habit.
• Money should never change one’s values. … Making money is only a report card. It’s a way to tell how you’re doing. • Building wealth is not something that will change your lifestyle.Even at this stage of life, I don’t want to change the way I live. • True millionaires recognizes that many status artifacts can be a burden, if not an impediment, to becoming financially independent.
Life has its own burdens. Why add excess baggage? • More than 80 percent of millionaires purchase their vehicles.If and when more than 50 percent begin leasing, we will change our recommendation..They usually buy good quality moderately priced cars and keep them for a long period of time( many years or decades).
• It’s much easier in America to earn a lot than it is to accumulate wealth. To accumulate wealth one needs to be frugal and consume less. ECONOMIC OUTPATIENT CARE 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. The problem with economic outpatient care is this: It is much easier to spend other people’s money than dollars that are self-generated.
Adults who sit around waiting for the next dose of economic outpatient care typically are not very productive. The reasons for this are: • Giving precipitates more consumption than saving or investing. • Gift receivers in general never fully distinguish between their wealth and the wealth of their gift giving parents.
• Gift receivers are significantly more dependent on credit than non receivers. • Receivers of gifts invest significantly less than non-receivers. The more dollars adult children receive, the fewer dollars they accumulate,while those who are given fewer dollars accumulate more.The gifts that will help your children become wealthy are education, creation of an environment that honors independent thoughts and deeds, cherishes individual achievements, and rewards responsibility and leadership.
Teach your own to live on their own. It’s much less costly financially, and, in the long run, it is in the best interests of both the children and their parents. Do not strengthen the strong child and weaken the weak child. Make a commitment to overcome the handicap of the weak child. Webster’s defines courage as “mental or moral strength to resist opposition, danger, or hardship.” It implies firmness of mind and will in the face of danger or extreme difficulty.
Courage can be developed. But it cannot be nurtured in an environment that eliminates all risks, all difficulty, all dangers.If you provide economic outpatient care, children do not develop the courage to risk and be successful and wealthy. AFFIRMATIVE ACTION, FAMILY STYLE THEIR ADULT CHILDREN ARE ECONOMICALLY SELF-SUFFICIENT.
If you are wealthy and want your children to become happy and independent adults, minimize discussions and behavior that center on the topic of receiving other people’s money.
• Never tell children that their parents are wealthy. • No matter how wealthy you are, teach your children discipline and frugality. • Assure that your children won’t realize you’re affluent until alter they have established a mature, disciplined, and adult lifestyle and profession. • Minimize discussions of the items that each child and grandchild will inherit or receive as gifts.
• Never give cash or other significant gifts to your adult children as part of a negotiation strategy. • Stay out of your adult children’s family matters.
• Don’t try to compete with your children • Always remember that your children are individuals. • Emphasize your children’s achievements, no matter how small, not their or your symbols of success.
• Always strive to be the best in your field. … Don’t chase money. If you are the best in your field, money will find you. • Tell your children that there are a lot of things more valuable than money. Good health, longevity, happiness, a loving family, self-reliance, fine friends .
.. if you [have] five, you’re a rich man.. . . Reputation, respect, integrity, honesty, and a history of achievements! Money [is] icing on the cake of life. … You don’t ever have to cheat or steal . .. don’t have to break the law . .. [or] cheat on your taxes. It’s easier to make money honestly than [dishonestly] in this country.
You will never exist in business if you rip people off! Life is the long run. You can’t hide from adversity. You can’t hide your children from life’s ups and downs. The ones who achieve do so by experiencing and conquering obstacles, . . . even from their childhood days. These are the ones who were never denied their right to face some struggle, some adversity. Others were, in reality, cheated. Those who attempted to shelter their children from every conceivable germ in our society .
.. never really inoculated them from fear, worry, and the feeling of dependency. Not at all. And remember “The King’s rules” • Be tough … life is. In other words, there is no promise of a rose garden. • Never say “poor me” … [or] feel sorry for yourself. • Don’t walk on the back of your shoes…. Waste not, want not. In other words, don’t abuse your belongings.
They will last longer. • Close the front door…. Don’t waste your parents’ money letting the heat out. • Always put things back where they belong. • Flush. • Say “yes” to those who need help before they ask.
FIND YOUR NICHE THEY ARE PROFICIENT IN TARGETING MARKET OPPORTUNITIES The following are some of the market opportunities that can make you potentially wealthy. • Law: Estate attorneys, immigration attorneys, tax attorneys • Medical and dental care specialists- dentists, plastic surgeons, dermatologists, psychologists, psychiatrists, allergists and chiropractors • Asset liquidators, facilitators and appraisers: appraisers and auctioneers, coin and stamp dealers, pawn brokers, real estate management professionals • Educational institutions and professionals: proprietors and teachers at private schools and specialized areas • Professional service specialists: accountants • Housing specialists: Home building contractors, mortgage lenders, remodeling contractors, Renovation contractors, Residential real estate developers, Residential real estate agents, • Retailers of paint, wall coverings, and decorating products, Marketers of alarm and security systems and security consultation services, Providers of interior design and decorating services • Fund raising counselors: Professionals who conduct philanthropic research, develop targeting strategies, and counsel foundations and educational institutions • Travel agents and bureaus and travel consultants: Marketers of family-oriented vacation resorts, Marketers of cruises, tours, worldwide vacations, and treks and safaris JOBS: MILLIONAIRES VERSUS HEIRS THEY CHOSE THE RIGHT OCCUPATION Most of the affluent are business owners, including self-employed professionals.
You can’t predict whether somebody is a millionaire by the type of business he is in. The character of the business owner is more important in predicting his level of wealth than the classification of his business.But most businesses do not succeed. The other way to become wealthy is to become a self employed professional.
But you to be careful that you don’t spend too much on consumption items.
🤗 FEEL THE FEAR AND DO IT ANYWAY 🤗 - SUSAN JEFFERS - ANIMATED BOOK REVIEW