Create at least 2 sources of income
Thomas C. Corley, the author of the book "Change Your Habits, Change Your Life," spent years studying self-made millionaires and found that "the rich don't rely on a single source of income."
According to Corley, about 65% of self-made millionaire had at least 3 sources of income before making the first $ 1 million. Their income may come from real estate rentals, side jobs or part-time jobs.
When you have two sources of income, try Jay Leno's strategy: Save more money and live on the rest. This will not only help you to have more cash, increase your savings but also help prevent the "inflation" lifestyle, which is when you increase spending more than your income.
Saving to invest
Self-made millionaire Grant Cardone says investing is the way to help you become super-rich. The only reason to save money is to invest.
According to personal finance expert Ramit Sethi, in fact, the amount of savings and investment is often more important than your salary. On average, millionaires invest 20% of their income each year. Their wealth is not measured by how much they earn every year, but by how they save and invest over time.
When committed to investing your money, the simplest way to uphold this habit is to make the process automation. Set up Automatic transfer from paycheck to your savings account or investment account every month.
For example, your 2020 goal is to have $ 2,000 in emergency Reserve funds. Start by figuring out how much money you have to save for each month to achieve this goal. Then, set up automatic transfers so you can transfer money from your payroll account to saving money every month.
If you have a bigger goal in finance, automation can also help you get there.
Building relationships with successful people
According to self-made millionaire Steve Siebold, the social relationship is important, which can affect your net worth.
In most cases, net worth reflects the level of intimacy in relationships. You tend to be like your friends, and that's why successful people are often attracted to other successful people.
If you don't have motivating people, Corley recommends joining a group of people who share your career goals or personal interests.
If you set high expectations and are ready for every challenge, you will be on the right track.
If you want to be richer, don't just set goals but start today. Because according to Mr. Siebold, the most important factor to get rich is to start, not necessarily the smartest person.