Is it possible for anyone to become a millionaire? The results of a recent study suggest that, within the developed world, it certainly is. So, if that is the case, why isn’t everyone doing it? The answer to this question turns out to be fascinating. It all boils down to attitudes and behaviours.
Here are the 4 Traits of the Millionaire Mind:
1. Live Beneath Your Means
Quite simply, this means to spend less than you earn and put the excess into investments that return additional revenue. This is quite profound in its simplicity.
2. Spend Your Money in Cash
Just think of what most people are doing and you will realise that they are, in fact, doing the exact opposite i.e. spending more than they earn and making up the shortfall in their income by spreading the financial burden using credit which means they need to earn more and more to cope with their ever-demanding financial situation.
3. Plan, plan, plan (Research all purchases)
Always make sure you are getting the best deal on every purchase or transaction. Why buy a T shirt for $30 when there is an equally good one available for $15? Why take out a current account with a bank that gives no interest on your current account when there are others that do? Take this thinking into every purchase and it will soon add up to a significant amount of money you don’t need to borrow.
4. Diversify Investments (Patience)
Don’t put all your eggs in one basket and stop looking for short-term, quick-wins. Patience is the key. Invest wisely, put your excess money away for the long term and let it work for you.
“The key to wealth is not necessarily how much you earn, but it’s your behaviours and your traits.” – Karen Lee