Wealthier people seem to avoid the pitfalls and plan their wealth strategies, acknowledging that reckless spending can derail savings plans.
When it comes to cash, there are good habits and bad ones. Wealthier people seem to avoid the pitfalls and plan their wealth strategies, acknowledging that reckless spending can derail savings plans.
But simply getting rid of bad habits and adopting good ones can put anyone on the path to financial success.
"It’s surprising the simplicity of it," said Chicago's Andy League. He’s been reading up on the topic and himself found that "it's the boring, everyday discipline of making a budget and sticking to it.!"
So is that all the millionaires do?
1. Make Smart Buying Decisions
Status purchases can be tempting, but fancy purses and cars can really dent your plan to build wealth. Financially successful people avoid the "must haves" and forget about trying to keep up with the Jones''.
2. Live Below Your Means
If you spend every penny you have, there's no room to save. Even if you have the money, it's not a green light to save.
3. Make Your Money Work for You
Wealthy people understand the importance of maximizing their dollars and take calculated risks with their money in search of solid returns. They say 'No' to get-rich-quick schemes and understand that wealth is built over time.
4. Pay Yourself First
Small amounts put away before you pay your bills can add up to big bucks later in life. Try putting aside just 10 percent of your income.
5. Have a Plan and Stick to It
Create a financial roadmap. Millionaires plan. It’s not about how much money you make but what you do with the money that you make.
That’s why sometimes the millionaire can live right next door and you don’t even know it.