Greetings and welcome to another Vizions article brought to you by the Wealth Builder. This month, we focus on traits that self-made millionaires share, helping them grow and perpetuate their wealth. Here are the 8 “secrets” that they employ:
1. Be frugal not cheap
Being frugal means spending your money WISELY. Frugal spenders make a habit of buying the HIGHEST QUALITY PRODUCTS or SERVICES at the LOWEST price possible. They focus on QUALITY first and COST later.
2. Keep your spending in check
Use this breakdown for your take-home pay monthly:
Housing-25% or less (the wealthy tend to buy, not rent)
Cars-5% or less. This includes the monthly payment, insurance, gas, tolls, registration fees and maintenance
Clothing-5% or less
Vacations-5% or less
Entertainment-10% or less
That’s 50% of your income. If you save a minimum of 10%, invest 20%, that leaves your debt payments at a max of 20%.
3. Surround yourself with fellow Saver-investors
Habits spread like wildfire throughout your social network. If your inner circle includes too many spenders, you’ll eventually become infected with their spending habits.
4. Understand NEED vs. WANT
If you overvalue your wants, you’ll surrender to instant gratification, eschewing saving in order to buy things you crave right now. Want spenders routinely incur debt in order to finance their standard of living. They are UNDISCIPLINED with their money and create their own poverty.
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Thank you for reading Kinji Ridley’s article on scoopnewsusa.com. For more on “Entrepreneurship 101: 8 Most Common Secrets of Self-Made Millionaires”, please subscribe to SCOOP USA Media. Print subscriptions are $75 and online subscriptions (Print, Digital, and VIZION) are $90. (52 weeks / 1 year).
