Have you ever wondered how some people become millionaires from nothing? While waking up at 5 AM, plunging into ice baths, and exercising every day may help, they aren’t the main reasons for my success. In this post, I will share eight habits that worked for me, which I believe can also help you become a millionaire.
1. Make Failing Fun
It may seem strange, but I’ve learned to love failure. Why? Every failure is one step closer to success since it means you’re trying new things. PayPal, for instance, one of Elon Musk’s first companies, was once voted the worst business concept of the year. However, Musk didn’t let that stop him as he eventually sold PayPal for an impressive $175 million.
At the beginning of my career, I feared failure, especially when I made cold calls as a financial advisor. However, each rejection brought me closer to a “yes.” As I embraced failure, my success soared.
2. Always Be Curious, Not Closing
Put an end to the “never close” mentality. Instead, focus on being curious. When I started my career, I realized I needed to ask questions and listen carefully to my clients to gain their trust. By identifying their problems, I was able to find solutions for them. And, if I couldn’t provide them myself, I would connect them with someone who could.
Ultimately, genuine curiosity resulted in stronger relationships, leading to my long-term success.
3. Be Willing to Ask for Help
Even though it can feel rewarding to do everything on your own, it’s not always efficient. Almost all millionaires seek feedback regularly and are open to constructive criticism. For example, as a young financial planner, I quickly learned I did not know everything, especially about social media compliance.
Rather than struggling alone, I sought out other advisors and learned how to overcome them. The result? Because I didn’t hesitate to ask for help, I tripled my business revenue within a few years.
4. Never Assume You’ve Mastered Anything
If there’s one thing I want you to take away, it’s that you should always be learning. For example, it was my mistake to think I was adept at blogging and YouTube, only to be hit hard when Google and YouTube’s algorithms changed. As a result, my traffic decreased, and I had to start learning again. This taught me that I need to keep challenging myself and acquiring new skills.
Learning, adapting, and growing are essential for millionaires to succeed. If you don’t stay relevant, you’ll be left behind.
5. Live Healthy to Be Wealthy
Although I haven’t always prioritized my health, working out daily has transformed my life. I knew it was important to take care of my body because both my father and grandfather died from heart attacks in their early 60s. Aside from the family history, being healthy also gives me the energy and focus to succeed in my business.
Additionally, studies have shown that 76% of millionaires exercise every day for at least 30 minutes. As soon as I started focusing on my health, my productivity and success skyrocketed.
6. Hustle and Flow
According to Ramsey Solutions, millionaires are often driven entrepreneurs who are constantly searching for new ways to earn income. Possible ways to do this include investing in real estate, starting a business, and taking on side gigs.
For example, real estate can be a popular investment strategy for passive income generation. This includes renting out long- or short-term residential properties, especially in vacation locations. However, landlords must remember that they must be active managers and should proceed cautiously.
But don’t use debt to buy rental properties since it can increase risk and derail your finances.
7. Don’t Overlook Tax Deductions
Faron Daugs, a certified financial planner and the head of Harrison Wallace Financial Group advises his clients to actively seek out tax-saving opportunities. A few examples include optimizing retirement investments, leveraging home mortgage interest, making strategic charitable contributions, exploring college funding options, and using health savings accounts.
“Make sure you are participating in the plans and programs that can have multiple benefits,” he tells CNBC Select. “This is an area where it is helpful to consult a financial and tax professional.”
8. Review Your Goals Regularly
You’ll never achieve your goals if you set them once a year. It’s estimated that only 22% of those who made resolutions stuck to them completely by February, despite 80% believing they would do so.
Before joining a business coaching program, I fell into this category until I learned the importance of reviewing my goals quarterly. Now, I review my 90-day, 1-year, 3-year, and lifetime goals every quarter. Has it had an impact? I grew my revenue by 20%, 30%, or even 50%, not just a few percentage points.
In short, regularly reviewing my goals has kept me focused and motivated.
Final Thoughts
The eight habits listed above aren’t exclusive to me; anyone dedicated enough to do the work can achieve them. You can start by implementing just one habit today and see how it changes your trajectory. Do you want a head start? I’ve created a 10X Goal Accelerator Cheat Sheet to help you stay focused and productive every single day.
Don’t forget, it’s your money, it’s your life, and only you can make it awesome.
FAQs
What are some common habits of millionaires?
- Track your expenses. You need to know where your money goes to create a budget and identify areas of savings.
- Create a budget. Budgets help you prioritize your financial goals and allocate your money wisely.
- Live below your means. To save and invest, you need to spend less than you earn.
- Invest regularly. Even if you invest a small amount, start early and consistently.
- Pay off debt. Having high-interest debt can be a significant financial burden. As such, pay it off as soon as possible.
- Read and learn. Stay up-to-date on personal finance, investing, and business to improve your financial knowledge.
- Surround yourself with successful people. Follow the example of those who have succeeded in the financial world.
- Set goals. You can stay motivated and focused by setting clear financial goals.
- Take calculated risks. Although caution is necessary, don’t be afraid to take calculated risks that could pay off financially.
- Be patient. Building wealth takes time and effort. Regardless of setbacks, keep your habits consistent.
Which habits are the most important for building wealth?
Building wealth requires different habits depending on individual circumstances and goals. There are a few common themes, however:
- Consistent saving and investing. In order to grow your wealth over the long term, you must make regular contributions to your investment accounts.
- Living frugally. If you cut back on unnecessary expenses, you will have more money to save and invest.
- Investing in high-quality assets. Make investments that have the potential to generate strong returns over time.
- Diversifying your investments. You can reduce your risk by distributing your money across different asset classes and industries.
- Staying disciplined. The path to wealth requires patience and discipline. Stay on top of your financial plan even during tough times.
Can I become a millionaire by following these habits?
Although following these habits won’t guarantee becoming a millionaire, they can increase your chances of achieving financial success. Aside from these habits, you should supplement them with other strategies, such as starting your own business or investing in real estate.
How long does it typically take to become a millionaire?
Depending on factors such as starting age, income level, and investment returns, becoming a millionaire can take a lifetime. Millionaires, however, tend to start saving and investing early and consistently over a long period of time.
Are there any other habits that can help me build wealth?
As well as the habits listed above, here are a few others that can contribute to wealth building:
- Track your net worth. Tracking your net worth regularly can help you identify areas for improvement and determine whether or not you have made progress.
- Automate your finances. You can save more by setting up automatic transfers to your savings and investment accounts.
- Use a budget app or tool. A budgeting app or tool can help you create a budget, track your spending, and set financial goals.
- Work with a financial advisor. A financial advisor can provide guidance and support for achieving your financial goals.
- Stay positive and motivated. The journey to building wealth can be long and challenging. It’s important to remain optimistic and motivated even when things get tough.
Image Credit: olia danilevich; Pexels
