Now I
practice
some of these but not all of them and I'm not a millionaire yet but
these are the basics on getting rich and staying rich. Some of these I
cant go with because I like to
ball out but here you go:
1.
Pay for Lawn
Service – You could save $150 a month, get some healthy exercise and maybe even a bit of a tan just by mowing your own yard.
2. Go to a Hair Stylist – Even the cheapest barber shops
charge men $15 - $20 for a haircut these days. If you’re a woman, it may cost well over $50 a visit. Dying your hair? You’re broke!
3. Use Time as a Measurement for Success – The millionaire next door
measures success based on output quality, the results. The amount of
time spent on something means nothing if the results do not meet the
expectations.
4. Buy Brand New Cars – Why would anyone pay the full retail price
worth half a year’s salary for the fastest depreciating assent on
Earth? We are brainwashed!
5. Carry a Monthly Credit Card Balance – Carrying a monthly credit card
balance only makes sense if you enjoy poverty. Monthly interest
payments can add up to hundreds of dollars over the course of a year.
Do not buy “stuff” right now that you cannot afford to pay for in cash
right now!
6. Eat Out on a Regular Basis – With the recent price increases in
corn, wheat and dairy products, preparing your own food is already
expensive enough. If you eat out you will pay triple the price. If done
on a regular basis you will waste a few thousand dollars a year.
7. Think He Knows It All – People who think they know it all stop
learning and thus become unaware of new opportunities. Once you lose
awareness, you lose.
8. Socialize with People Who Waste Money – The people you socialize
with influence your habits. It is impossible to save money if you
constantly hang around people who blow it all.
9. Desire Instant Gratification – You have to think long-term to attain
long-term success. The millionaire next door desires long-term deferred
compensation over instant gratification.
10. Pay Retail for Name Brand Clothing – You can easily save hundreds
of dollars a year on clothing purchases by waiting for sales or
shopping at discount retailers like Marshalls. Better yet, avoid name
brand clothing all together.
11. Keep His Money in a Checking Account – If you want to increase your
wealth you have to set your money up to make more money. Most checking
accounts yield little to nothing in interest. Think long-term (5 years
+). Invest in quality stocks, bonds and mutual funds, especially those
with high yield dividends and interest. Or buy some land in an area
with growth potential.
12. Replace What is Not Broken – The millionaire next door fixes
things. Fixing something is usually significantly cheaper than buying a
brand new replacement, especially if you fix it yourself.
13. Visit the Tanning Bed – $25 a month for skin cancer? Where do I
sign up? If you want a tan, move to Florida. For those that live in
Florida and still go to the tanning bed… WOW!
14. Impulse Buy – Impulse buying wastes money and leads to a cluttered
house full of “stuff” you don’t need or use. If you see something you
like at the mall, walk away. Think on it for a day or two. If it still
holds value in your mind, maybe it’s worth buying. Never buy something
the first time you see it.
15. Waste Time on Senseless Activities – They say time is money. In
actuality, time is far more important than money. Time is your life. If
you waste it, you will fail.
16. Focus His Attention on Negative Obstacles – If you focus all your
attention on negative obstacles, you will lose sight of the finish
line. You can’t get there if you can’t see it.
17. Bet The Farm – The millionaire next door takes evenly weighted,
calculated risks on long term investments. If you go “all in”, you’re
gambling, not investing.
18. Fly First-class – Would you pay $400 to sit in a leather chair for
a couple of hours? That’s exactly what you do when you fly first class.
Huge waste of money!
19. Rent – The millionaire next door has a long-term mindset. In the
long-term, owning something is always more cost effective than renting
it. The key is to purchase quality products for long-standing use.
20. Earn Every Dollar He Makes at His Day Job – Two words: Passive
Income. You can be sure the millionaire next door invests his money
wisely. These investments create a solid passive income stream that
grows over time. If your money isn’t making you more money, you’ll
never be wealthy.