to become a multimillionaire.
While you may think a million dollars will give you financial security, it
will not. Given the volatility in economies, governments and financial markets
around the world, it's no longer safe to assume a million dollars will provide
you and your family with true security. In fact, a Fidelity Investments' study
of millionaires last year found that 42 percent of them don't feel wealthy and
they would need $7.5 million of investable assets to start feeling rich.
This isn't a how-to on the accumulation of wealth from a lifetime of saving
and pinching pennies. This is about generating multimillion-dollar wealth and
enjoying it during the creation process. To get started, consider these seven
secrets of multimillionaires.
No. 1: Decide to Be a Multimillionaire -- You first have to
decide you want to be a self-made millionaire. I went from nothing—no money,
just ideas and a lot of hard work—to create a net worth that probably cannot be
destroyed in my lifetime. The first step was making a decision and setting a
target. Every day for years, I wrote down this statement: "I am worth over
No. 2: Get Rid of Poverty Thinking - There's no shortage of
money on planet Earth, only a shortage of people who think correctly about it.
To become a millionaire from scratch, you must end the poverty thinking. I know
because I had to. I was raised by a single mother who did everything possible
to put three boys through school and make ends meets. Many of the lessons she
taught me encouraged a sense of scarcity and fear: "Eat all your food; there
are people starving," "Don't waste anything," "Money doesn't grow on trees."
Real wealth and abundance aren't created from such thinking.
No. 3: Treat it Like a Duty - Self-made multimillionaires
are motivated not just by money, but by a need for the marketplace to validate
their contributions. While I have always wanted wealth, I was driven more by my
need to contribute consistent with my potential. Multimillionaires don't lower
their targets when things get tough. Rather, they raise expectations for
themselves because they see the difference they can make with their families,
company, community and charities.
No. 4: Surround Yourself with Multimillionaires - I have
been studying wealthy people since I was 10 years old. I read their stories and
see what they went through. These are my mentors and teachers who inspire me.
You can't learn how to make money from someone who doesn't have
much. Who says, "Money won't make you happy"? People without money. Who says,
"All rich people are greedy"? People who aren't rich. Wealthy people don't talk
like that. You need to know what people are doing to create wealth and follow
their example: What do they read? How do they invest? What drives them? How do
they stay motivated and excited?
No. 5: Work Like a Millionaire - Rich people treat time
differently. They buy it, while poor people sell it. The wealthy know time is
more valuable than money itself, so they hire people for things they're not good
at or aren't a productive use of their time, such as household chores. But
don't kid yourself that those who hit it big don't work hard. Financially
successful people are consumed by their hunt for success and work to the point
that they feel they are winning and not just working.
No. 6: Shift Focus from Spending to Investing - The rich
don't spend money; they invest. They know the U.S. tax laws favor investing over
spending. You buy a house and can't write it off. The rich, in contrast, buy an
apartment building that produces cash flow, appreciates and offers write-offs
year after year. You buy cars for comfort and style. The rich buy cars for
their company that are deductible because they are used to produce revenue.
No. 7: Create Multiple Flows of Income - The really rich
never depend on one flow of income but instead create a number of revenue
streams. My first business had been generating a seven-figure income for years
when I started investing cash in multifamily real estate. Once my real estate
and my consulting business were churning, I went into a third business
developing software to help retailers improve the customer
Lastly, you may be surprised to learn that wealthy people wish
you were wealthy, too. It's a mystery to them why others don't get rich. They
know they aren't special and that wealth is available to anyone who wants to
focus and persist. Rich people want others to be rich for two reasons: first,
so you can buy their products and services, and second, because they want to
hang out with other rich people. Get rich -- it's American.
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