What you do today matters. In fact, your daily habits may be a major determinant of your wealth.
“The metaphor I like is the avalanche,” says Thomas Corley, the author of ‘Rich Habits: The Daily Success Habits Of Wealthy Individuals.’
“These habits are like snowflakes — they build up, and then you have an avalanche of success.”
Corley spent five years studying the lives of both rich people (defined as having an annual income of $160,000 or more and a liquid net worth of $3.2 million or more) and poor people (defined as having an annual income of $35,000 or less and a liquid net worth of $5,000 or less).
He managed to segment out what he calls “rich habits” and “poverty habits,” meaning the tendencies of those who fit in each group. But, Corley explains, everyone has some rich habits and some poverty habits. “The key is to get more than 50% to be rich habits,” he says.
And what are those rich habits that are so influential? Here are a few:
1. Rich people always keep their goals in sight
“I focus on my goals every day.”
Rich people who agree: 62%
Poor people who agree: 6%
Not only do wealthy people set annual and monthly goals, but 67% of them put those goals in writing. “It blew me away,” says Corley. “I thought a goal was a broad objective, but the wealthy said a wish is not a goal.”
A goal is only a goal, he says, if it has two things: It’s achievable, and there’s a physical action you can take to pursue it.
2. And they know what needs to be done today
“I maintain a daily to-do list.”
Rich people who agree: 81%
Poor people who agree: 19%
Not only do the wealthy keep to-do lists, but 67% of them complete 70% or more of those listed tasks each day.
3. They don’t watch TV
“I watch TV one hour or less per day.”
Rich people who agree: 67%
Poor people who agree: 23%
Similarly, only 6% of the wealthy watch reality shows, compared to 78% of the poor. “The common variable among the wealthy is how they make productive use of their time,” explains Corley.
“They wealthy are not avoiding watching TV because they have some superior human discipline or willpower. They just don’t think about watching much TV because they are engaged in some other habitual daily behaviour — reading.”
4. They read … but not for fun
“I love reading.”
Rich people who agree: 86%
Poor people who agree: 26%
Sure, rich people love reading, but they favor nonfiction — in particular, self-improvement books. “The rich are voracious readers on how to improve themselves,” says Corley. In fact, 88% of them read for self-improvement for 30 minutes each day, compared to 2% of poor people.
5. Plus, they’re big into audio books
“I listen to audio books during the commute to work.”
Rich people who agree: 63%
Poor people who agree: 5%
Even if you aren’t into audiobooks, you can make the most of your commute with any of these commute-friendly self-improvement activities.
6. They make a point of going above and beyond at the office
“I do more than my job requires.”
Rich people who agree: 81%
Poor people who agree: 17%
It’s worth noting that while 86% of rich people (compared to 43% of poor) work an average of 50 or more hours a week, only 6% of the wealthy people surveyed found themselves unhappy because of work.
7. They aren’t hoping to win the jackpot
“I play the lottery regularly.”
Rich people who agree: 6%
Poor people who agree: 77%
That’s not to say that the wealthy are always playing it safe with their money. “Most of these people were business owners who put their own money on the table and took financial risks,” explains Corley. “People like this aren’t afraid to take risks.”
8. They watch their waistline
“I count calories every day.”
Rich people who agree: 57%
Poor people who agree: 5%
Wealthy people value their health, says Corley. “One of the individuals in my study was about 68 and worth about $78 million. I asked why he didn’t retire, and he looked at me like I was from Mars.
He said, ‘I’ve spent the last 45 years exercising every single day and watching what I eat because I knew the end of my career would be my biggest earning years.’ If he can extend his career four to five years beyond everyone else, that’s about $7 million for him.”
9. And they take care of their smiles
“I floss every day.”
Rich people who agree: 62%
Poor people who agree: 16%
Listening To These 8 Audiobooks On Success Is A Better Use Of Your Long Commute
Commuting is mostly just unpaid work, unless you make an effort to learn something along the way.
Commutes are getting longer, and in some cities they’re up to two hours each way. I have a friend in Los Angeles who does this. He passes the time with audiobooks. Now that’s still a lot of time to be stuck in transit, but he doesn’t view it that way. He says it allows him plenty of time to feed his personal and professional goals.
I’ve spent years listening to literature in the car while commuting, but somewhere along the line I switched over to books on business and personal improvement. I mostly gravitated toward amazing people who built their success from scratch and who experienced tremendous hardship. It stands to reason that if you’re dealing with hardships like a long commute, it’s important to hear motivational words that can help you transcend the difficulties.
Here are eight audiobooks that will help grow your success, both personal and professional, on your next commute:
3 Questions To Guide You To Success In 2018
Most of the goals we set have some external component to it. Some component that we cannot control. Yet, we act like we can.
Goal setting as a concept makes perfect sense. At the most basic level you decide on the destination and then plot the way to get there. But as with many things, we like to overcomplicate that which should be simple.
Before you know it, you end up with 2 big goals in 15 different areas of your life and 100 micro goals that will help you reach your 30 big goals.
Complicating something simple. Some of the biggest obstacles to people in reaching their goals are:
- The overestimate the effort it will take to achieve those goals
- They want to go from 0-100km/h in the blink of an eye
- Life is dynamic and static goals often do not make sense
- They get so entrenched in the day to day running of things that goals get pushed aside.
What if instead of goals, we just focused on giving our best every day?
Of course, you still want to have an indication of where you are going.
But, if you are giving your 100% every day then you can forego the micro goals for a better way of calibrating your compass… using questions.
Related: Goal Setting Guide
I suggest you ask yourself these three questions regularly:
1. What does better look like?
The question at the heart of development and incremental improvement. This question allows you some creative space in which you can imagine a better future.
- What does better health look like?
- What does a better business look like?
- What does better customer service look like?
- What does better leadership look like?
By reflecting on this question, you materialise the gap between where you are and where you could be. Now, the only thing that is left is to align your daily actions with the better future you imagined.
2. What can I control?
Borrowed from Stoicism this question highlights the power of decision in your life. Epictetus said we should always be asking ourselves: “Is this something that is, or is not, in my control?”
Once you ask this of yourself regularly you will feel more in control of your life and more in control of your business.
Because your focus is solely on the things that you can influence. It restores the belief that you can actually impact the world around you in a meaningful way.
3. Was I impeccable with my actions today?
One inherent flaw with goal setting is that the goal setter often feels judged. As if we need more of that. In addition to the constant negative self-talk we have to endure we now have an additional source of judgement – whether we reached our goals or not.
As we discovered in question #2 We cannot control everything. Most of the goals we set have some external component to it. Some component that we cannot control. Yet, we act like we can.
So, instead of judging yourself, commit to giving your best every single day.
What I love most about these questions is that they provide a built-in layer of accountability. Use them every day.
To Be Successful Stay Far Away From These 7 Types of Toxic People
You need a network of talented people, not toxic personalities who undermine you.
Surrounding yourself with prospective mentors is an excellent way to build lifelong success. When Steve Jobs founded Apple, he learned from colleagues like Steve Wozniak about what it took to build computer hardware. And he learned from early investors like Mike Markkula about what it took to build a successful company and market a product. Now imagine if Jobs had surrounded himself with toxic personalities instead. It is likely that he would not have been able to create a company that is on course to be valued at $1 trillion.
If you interact with people who demonstrate questionable behaviour, you’re more likely to model that behaviour yourself or to become stressed as a result. At the very least, you will be missing out on the opportunity to network with more successful and inspiring individuals.
This article will review seven personality types that should be eliminated from your life in order to build your most successful self. Once these people are gone, you can work on building a network of people who influence you positively.
According to a report by NPR, micromanagement is one of the biggest factors associated with employee dissatisfaction, lowered motivation and lack of professional creativity. To be successful, you must learn to solve problems independently. Micromanaging can make it difficult to develop these skills.
Related: Keep An Eye Out For Toxic Employees
2. Short-term thinkers
If you surround yourself with short-term thinkers, it will be difficult to know if an idea is destined for long-term success. Those who are narrow-minded may be more likely to dismiss one of your ideas because it will take time to develop into a meaningful success.
Take the creation of Airbnb as an example. The company was founded in 2008. At the time the “sharing economy” did not exist, and hotel chains like Starwood and Hilton dominated the lodging market. A short-term thinker would have criticised an idea like Airbnb.
In order for the company to be successful, Airbnb would need to change people’s attitudes and expectations about travel. They would need to encourage people to be comfortable staying with strangers, and they would need to find ways to mitigate possible liability should something tragic happen during a customer’s stay.
Well-respected venture capitalists decided to pass on Airbnb because of these short-term concerns. The Airbnb founders were only able to find success once they connected with people who were comfortable thinking long term.
Pessimism is not always a bad trait; at times it can help entrepreneurs to recognize certain pitfalls that might otherwise be overlooked. However, a steady diet of pessimism is toxic when it comes to taking big professional risks.
As David Armor, an assistant professor of psychology at Yale University, says, “An entrepreneur starting up a company, for example, might drive himself to work 18-hour days for months and even years because he optimistically believes that there will be a big payoff for him at the end.” Conversely, a pessimistic attitude would make it difficult to tolerate such a prolonged stressful situation.
For those interested in taking on stressful professional situations, pessimistic people should be avoided in most cases.
4. Selfish people
Relationships that contribute to success are mutually beneficial. This dynamic cannot exist when dealing with selfish people. As a result, it is best to eliminate selfish people from your life in order to make room for more giving relationships.
A recent study found that a job applicant who is referred by an existing employee is 15 times more likely to be hired than someone who applies via a job board. If you befriend a selfish person, you probably can’t rely on them to introduce you to new career opportunities. However, forming connections with someone who is altruistic could give you a professional leg up.
5. Risk-averse personalities
Business success is about making informed decisions by weighing risks and rewards. If you are surrounded by people who over-index on possible risks while ignoring the possible rewards, it will be challenging to identify good business opportunities.
Take Amazon as an example. In 2014 Amazon launched a smartphone called the Fire Phone. In the end, the phone was not successful. Following the unsuccessful launch of the Fire Phone, risk-averse people might have avoided developing another piece of computer hardware.
But instead, Amazon correctly assessed the opportunity for an in-home smart speaker, and launched the Amazon Echo just one year later. Today, Echo has 75 percent of the smart-speaker market in the United States.
6. Unmotivated individuals
People who lack motivation or work ethic set a bad example for those interested in working diligently to become a professional success. There is no worse colleague than someone who simply does the bare minimum to get by.
Rather than associate yourself with people who cut corners or avoid hard work, try to surround yourself with people who are motivated to succeed. Collaborating with people who have a healthy drive for success can instill an extra dose of motivation in you.
Financial responsibility is a critically important quality to develop if you want to become successful. Warren Buffet is perhaps the supreme example of a financially responsible and successful person.
Buffet is the third wealthiest person in the world, worth nearly $80 billion. But despite his professional success, Buffet does not spend his money on flashy cars or large homes. In fact, Buffet still lives in the modest home in Omaha, Nebraska, that he purchased in 1958.
Those who associate with spendthrifts may be more motivated to make irresponsible financial decisions in order to fit in. At the very least, it will be harder to associate with people who make good financial choices, as these personalities are frequently diametrically opposed.
Business is all about who you know. From landing a new job to launching a new company, your network will enable or prevent future professional success. When developing a network of talented people, it is best to avoid toxic personalities who could set a bad example or demotivate you.
Be sure to avoid people who are micromanagers and short-term thinkers, as they can make it difficult to think autonomously. Risk-averse individuals or pessimists may cause you to think twice about great business ideas, and spendthrifts or selfish people may hamper your ability to grow. Last but not least, stay away from unmotivated individuals, as your success is dependent on your willingness to work diligently in order to succeed.
This article was originally posted here on Entrepreneur.com.
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