10 Habits of Self-Made Millionaires
Do you want to be a self made millionaire? Do you want to achieve financial freedom so you can spend more time with loved ones? Then you should know that most self-made millionaires don’t achieve success accidentally. There are certain traits and habits that almost all self-made people have in common. By following in their footsteps, perhaps we can find success as well!
Self-Made Millionaires Avoid Debt at All Costs!
The number one rule of becoming a self-made millionaire is to avoid debt like the plague! It is nearly impossible for you to be accumulating debt and wealth at the same time. Perhaps you have heard of people using debt to create wealth? This is definitely the exception and not the rule when it comes to becoming a millionaire. If you are relying on debt for your daily living, the dream of being a self-made millionaire will remain just that, a dream!
First things first, you need to start a budget! With a budget, you can start to bring in more than you spend, and stop the painful debt cycle you have gotten yourself into. If this means you have to eat PB&J sandwhiches for dinner for the next year, then so be it. It will be well worth the sacrifice! Once out of debt, never look back! Debt is the last thing you want in your life if you want to become a self-made millionare!
Self-Made Millionaires Invest
The second trait all self-made millionaires have is, they invest as much as they can. What you think of when you think of millionaires is probably completely wrong. Yes, the richest people in the world have private jets and drive high-end sports cars. But, the normal self-made millionaire sacrifices buying things that depreciate and instead invest their money.
There are multiple ways to invest your money, and they all have their pros and cons. All that matters is that you are routinely investing your money in a proven strategy. These include real estate, the stock market, or a profitable business. By regularly investing you take timing the market out of the equation and can focus on building wealth.
Self-Made Millionaires Ignore what Everyone Else is Doing
For people who are doing well, staying focused can be the hardest thing of all. It can be difficult to not look around at all the nice things your friends, family, and co-workers are buying and not feel envious. Especially for people who have started to build wealth, it can seem as if you “deserve” those same things. This is where setting a goal and sticking to it will be of paramount importance. If your goal is to be the first millionaire in your family, then make that your main focus and block out all the noise. Doing what everyone else is doing will only do one thing, make you poor, just like everyone else. Too many people in America are living paycheck to paycheck, and you do not want to be included in that statistic.
Self-Made Millionaires Keep Their Cars Longer
Does it seem like all of your friends have a new car every 2-3 years? Does it seem your friends struggle with their finances? Most self-made millionares have another thing in common when it comes to car owernership. Firstly they are more likely to buy a new car than lease one. Did you ever notice that commercials for new cars tend to suggest leasing over buying? Do you think that is for your benefit or theirs? If you said it is for their benefit, not yours, you would be correct!
The other thing self-made millionaires do is they tend to pay cash for their cars. This frees up their income for wealth producing endeavors. If that is not an option for you then the next best option is to finance the car and pay it off as quickly as you possibly can. This puts more money in your pocket each month to save and invest. Along with paying cash they also keep their cars for longer than most people. The longer you can keep your paid-off car, the longer you have to put money into investments each month, really increasing your net worth!
Self-Made Millionaires have Multiple Income Streams
Having multiple income streams is what really separates the rich from the not-so-rich. Creating a side hustle or business that makes money is not an easy thing. It will probably take multiple attempts and many hours of your time, but once successful your personal wealth will explode! Now if creating a side hustle or business isn’t for you, there is some good news!
Investing can become your side hustle
If you follow along with the steps laid out so far, multiple income streams are already backed into what we are doing. By investing all of your excess money, you are creating another income stream. Once you have over $100,000 invest, you should be getting a decent return each year. This isn’t money that should be used for monthly expenses. What you should be doing is reinvesting your returns to build up your nest egg even faster. By using the power of compound interest you will be creating wealth much faster than you could alone.
Self-Made Millionaires are Lifelong Learners
Most self-made millionaires are avid readers and lifelong learners. By keeping their mind engaged, they are always on the lookout for new ways to make money and build their wealth. For many people who are highly motivated, being stagnant and wasting time can cause crushing anxiety. I believe this response is probably the biggest thing separating successful people from the rest of the pack. Have you ever felt the knot in your stomach at the endo f the day when there are still things left on your to-do list? This is your mind pushing you to be better than you were the day before, don’t ignore it!
Self-Made Millionaires Aren't Afraid to Ask for Help
Self-made millionaires know when and who to ask for help. Being a lifelong learner teaches you plenty of new skills, but it also teaches you what you don’t know or what is better left for professionals. Instead of wasting time learning everything about everything, that time is better used producing wealth, or even better, spending time with loved ones! Of course, asking for help usually comes with a price tag, but the price paid can be worth the time saved. Knowing how much your time is worth can go a long way in knowing when it is worth paying someone else, and when it is better to do the research yourself.
Self-Made Millionaires Sleep At Least 7 Hours a Night
We have all heard of the small percentage of people that can get by with limited sleep each night. Also, we all wish we were one of those people, but the odds aren’t in your favor. So quit pretending you don’t require sleep and get to bed early, as the most productive popele tend to wake up at 4 am, and they get about 7 hours of sleep.
Self-Made Millionaires Take Care of Their Health
Everyone knows eating healthy and exercising are an important part of your physical health. What some forget is it has a lot to do with your meatal health as well. Most self-made millionaires do 30 minutes of cardio on average 5 days a week. This helps with energy and longevity, which are very important to self-motivated, self-made people. If you are a little strapped for cash don’t run out and join a gym. Start by making a daily habit of taking a walk each morning. If you are able to maintain that, use our newfound motivation to continue on your journey to a more health, and more wealthy you!
Self-Made Millionaires Surround Themselves with Like-Minded People
Do you have friends that are never excited for you? Are some of your friends “one uppers”? Well, then you are hanging out with the wrong people if you want to be a self-made millionaire. Most millionaires have friends who want the best for them, and also who have similar goals. Surround yourself with like-minded people who can support your endeavors or who can mentor you on new ways of wealth production. These people won’t be jealous of your success because they will be celebrating their own success along with you. So ditch the friends who are holding you back and get out there and meet some people who want the same things out of life as you. Financial freedom and more time to spent with loved ones!
