Do you believe that all millionaires are livin’ large? Do you think they all drive brand new luxury cars or live in McMansions?
Well, according to a book I read a few years back, The Millionaire Next Door, it’s not true.
How does the millionaire mind work? How can we incorporate their ways into our lifestyle so we can begin to think and act like a millionaire?
- Find a job you love. When you love what you do, success comes naturally.
- Become and stay disciplined. Most millionaires are very savvy with their money. Live below your means and ignore the Joneses. Millionaires know how much money they have and where it goes. They create a budget and stick to it.
- Concentrate on building assets, not liabilities. If it’s not appreciating in value, it’s a liability.
- Buy used high-ticket items. The first 2 years have the highest amount of depreciation, so purchasing after that 2 year period will get you a much better price. Don’t lease!
- When purchasing new electronics, wait until the kinks have been worked out before spending your money.
- When buying clothes, look for classics that won’t go out of style. If you must buy trends, spend as little as possible.
- Eat at home more often. It is healthier and will save money.
- Shop sales and use coupons.
- Find ways to save money at home by going green. Small changes like buying energy-efficient light bulbs, turning off electronics when they are not in use, installing a programmable thermostat and purchasing Energy Star appliances will save a lot of money in the long run.
- Purchase a smaller home that will cost less to heat and cool.
- When purchasing your home, select a modest neighborhood with a great public school system. Resist the urge to be the best house on the block-the other homes will bring down the value of your home.
- Send your children to public school. The tuition and other fees that go along with getting a private education will rob your family of future savings. That’s why it’s important to make sure you purchase your home in a great school district.
Although these may seem more like money-saving strategies, following these tips and more can help point you in the right direction so you can begin to think and act like a millionaire. 😉
Have you read the book? What did you take away from it?