In August 1999, the ABC network asked America, “Who Wants to Be a Millionaire?” and received a loud “we do” in response. Almost every American will tell you that they want to become a millionaire, but they can’t tell you how to become one.
Millionaires have mastered the art of investing their money wisely and spending it in a frugal manner. Most millionaires don’t drive large imported cars or wear the latest fashions by top designers. They know to invest their money where it will grow and earn interest.
Millionaires, in most cases, live simple lifestyles, spend wisely and invest well. Most Americans give their money away on such a regular basis, that they’re stuck living life paycheck to paycheck.
Many Americans may not even want to become a millionaire; they may just want to find financial independence. Living a simple life will help Americans do just that. Americans just need to stop the spending.
Here are a few tips that will help you embrace the “millionaire lifestyle.”
1. Ask yourself, “Do I really need this?” How often do we find ourselves purchasing an item and feeling sick about it at the same time, because we know we really don’t have the money for it? Also, cut up your credit cards. If you can’t afford to pay for it right now, you probably can’t afford to pay for it later with interest.
2. Make saving money an automatic thing. Make sure you automatically take money from each paycheck and put it into some type of savings.
3. Don’t keep up with the Joneses. According to Stanley and Danko, most millionaires believe that financial independence is far more important than showing a high social status. Think about it, when a friend or neighbor gets a new expensive car, the first thing you wonder is how much their monthly payment is.
4. Be sure to spend your time, energy and money in efficient ways that will help you make money. Maybe instead of planning a quick trip to Vegas, plan a trip to visit a financial planner or spend time researching what kind of investment options best fit you and your family.
5. Parents, let your kids work. Most millionaires don’t supplement their adult children’s income. Teaching your children financial responsibility will not only help them become financially independent, it will help you to become financially independent as well.
6. Finally, it may not sound nice, but be a tight wad. Remember, you are your favorite charity. Keep a close eye on your money and where it’s going.
Most Americans want to feel financial independence. They want to be free from credit card debt. Many of them believe that this is a dream, but in reality it’s not. Americans just have to be willing to live a simple life and not a frivolous one.
Eric Heckman is president of Heckman Financial & Ins. Contact him at www.WealthCreator.com or 297-9800.
