With the global economy in its present state, millionaire dreams have morphed into multimillionaire aspirations.
A million dollars no longer equates financial security. 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 in 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 secrets of multimillionaires.
Decide to Be a Multimillionaire — You first have to decide you want to be a self-made millionaire. Even if you start from nothing—no money, just ideas and a lot of hard work— make a decision and set a target.
Abolish Poor Thinking —Â 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 poor thinking. A lot of us are raised with 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 are not created from such thinking.
Make It A Duty — Self-made multimillionaires are not just motivated by money, but by a need for the marketplace to validate their contributions. While you may want wealth, be driven by a need to contribute that is consistent with your 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.
Associate With Multimillionaires —Â I’ve concluded that I 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?
Work Like a Millionaire —Â 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.
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.
Create Multiple Flows of Income —Â The truly rich never depend on one flow of income but instead create a number of revenue streams.
