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3 Truths Every Millionaire Knows About Money

If you want to learn about money, you must study it closely.

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There’s so much to know about the subject of money.

Money is an unlimited subject. However, like any subject, you can learn as much as you want about money. Personally, I’ve devoted my whole entire life to understanding money and the way people feel toward it.

For 21 years of my life, I experienced poverty on the deepest level. Because of this, at age 21, I decided to take my life into my own hands. Over the years, I’ve developed the understanding of what it takes to go from negative R1 700 000 in debt to complete financial independence within a relatively short period of time.

Obviously, we all need to understand that there are three stages of dealing with money: Learning, Earning, and Returning.

If you want wealth, you must learn about your thoughts, feelings and actions toward money. Then, you must start to find a way to earn your way in this world. Along the way, you return yourself and your money in the best way possible.

Related: The 10 Strangest Secrets About Millionaires

Here are three truths every millionaire knows about money:

1Be a serious student

business-man-reading

If you want to learn about money, you must study it closely. You can find countless numbers of successful people who wrote books and articles, gave seminars and produced videos on the subject.

All of these resources are readily available to you. Moreover, if you want to learn about money, don’t depend on your parents, school, work or other organisations to teach you about it. You must take matters into your own hands.

When I began my journey to wealth, I consumed read books copiously. I highlighted, underscored, bookmarked, recorded and reviewed every piece of wisdom I could find. When I got to the “about the author” section, I researched and called upon the author to have a conversation, connecting nearly half of the time. I also attended dozens of seminars and learned from every rich person I found.

If you want more money, you need to learn from rich people. Most of the people around you cannot teach you about wealth because they know very little about it themselves. That’s why I wholeheartedly believe that you should hire a professional coach. Once you do, you can apply your knowledge to advance to the next level.

Besides reading books and talking to people, I learned about living a wealthy lifestyle by doing wealthy activities: Visiting museums, test-driving luxury cars, touring mansions, indulging in fine restaurants, etc. Your financial education can come in various ways. If you constantly put yourself in wealthy places, you will become a wealthy person!

As Mark Twain warned, never let schooling interfere with your education.

2Don’t save money

If you want to become a millionaire in under 10 years, read this section very carefully: Don’t save ALL your money if you want explosive wealth. Let’s say you’re a healthy person between the ages of 18-55 and have an income of R600 000 per year. If you work for the next ten years and save 10 percent of your money, you’ll be able to save R100 000 per year, which will be R600 000.

However, if you poured the majority of your yearly R100 000 into your personal and professional development, your income will steadily rise each year. For example, in my first three years, I’ve more than quintupled (5X) my income.

I didn’t start saving money until my 3rd year, which was when I became a millionaire. Each year, I invest more and more money into my coaches and programs that help me grow.

Even if you invest half of your yearly savings (R30 000) in yourself, your income would still increase rapidly. It might look like this over five years: Year 1: R500 000, Year 2: R700 000, Year 3: R1 000 000, Year 4: R2 000 000, Year 5: R3 000 000. As you can see from this projection, money would be easy to save by years three to five. Imagine if you kept up with this cycle for 10 or more years!

Most of us are taught to “save for a rainy day.” Instead, invest in “sunny days,” which are days of growth and prosperity. Moreover, if you keep investing in yourself, you’ll be able to buy an umbrella to keep dry when “rainy days” come.

This unconventional advice might sound risky, but those who are able and willing to do it will enjoy the journey because of their constant advancement. Eventually, you’ll also be able to save more money in the long-term.

Your level of income will never surpass your level of personal development.

Related: 10 Powerful Habits That Will Make You a Millionaire

3Know your money

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A surprising amount of people do not know their financial affairs as well as they should. In fact, most people put their personal finances on “auto-pilot” and acquiesce in life without checking the facts.

The following systems prove this: Direct deposit, bonuses, taxes, receipts, retirement plans, interest rates, credit cards, donations and college loans.

Here are some examples of financial disasters:

  • College students who don’t know how much money they owe or even how much they’ve paid.
  • The average citizen who doesn’t know where their taxes and tithing are being distributed.
  • The majority of people who discard their receipts when they get home.
  • Salespeople who don’t know what their commissions or bonuses will be on payday.
  • The 90 percent of people in the world who face anxiety when the monthly bill arrives.
  • The direct depositor who automates all of their bills for decades and never has savings because of it.
  • The credit card holder who pays exorbitant interest rates, penalties, and fees.
  • The overwhelming massive number of people who let their employers handle their retirement planning, health benefits and life insurance.

A life insurance agent told me a story about a woman who had her insurance policy automatically deducted from her paychecques every month. After a while, she forgot that she was paying R1 700 per month. However, she was greatly dissatisfied when she found that her bill skyrocketed to R17 000 per month because of her husband’s age. She ended up paying over R170 000!

Incurring unnecessary fees should always be avoided. A simple way of handling this is by monitoring every dollar you spend on a monthly basis. Keep a ledger nearby and talk with your spouse about money. Never let a dollar slip past your sight. Overall, you should know exactly what’s in your bank account and face the truth about your personal finances.

Related: 7 Tips to Becoming a Millionaire

Take your money seriously. Don’t avoid it by delegating or automating it! Handle your money directly and be sure to keep track of all your expenditures. Always be willing to get help from people who are good with money. Money only comes to those who are ready to handle it. If you take care of R15 000, you’ll get R150 000 and much more!

This article was originally posted here on Entrepreneur.com.

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Personal Finance

7 Steps To Achieve Financial Freedom

Achieving financial freedom doesn’t necessarily mean becoming filthy rich – not that that hurts.

Brian Tracy

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In this video, Entrepreneur Network partner Brian Tracy explains the seven steps you need to take to achieve financial freedom. Now, financial freedom doesn’t mean becoming filthy rich – lottery winners go bankrupt all the time. Instead, financial freedom is about becoming disciplined and using your money in a way that ensures you can live the sort of life you want both now and in the future.

Related: 5 Qualities Of Successful Entrepreneurs

That’s why the first step isn’t about getting a lot of money. Instead, it’s about teaching yourself to think positively about money. That way, you’ll be in the right mindset to move forward.

Click play to learn more.

This article was originally posted here on Entrepreneur.com.

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Personal Finance

4 Ways To Become A Millionaire Even When You Start With Little

It costs nothing to take advantage of the limitless opportunities online.

Timothy Sykes

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The hardest part of becoming successful is getting started to begin with. But despite the challenges ahead of you, there’s a way to become a millionaire when starting with little. I’m going to show you four reasons why you can become a millionaire with just a small investment.

1First focus on learning, not big gain

Education is your greatest weapon. Focus on learning in the beginning. Don’t make the mistake of focusing on making huge gains in the beginning. Learn everything you can because this is how you build the foundations for long-term gains.

They say that if a millionaire goes bankrupt they’ll nearly always be able to get it back. And that’s because they might have lost their money, but they have the knowledge of how to get back to where they need to be.

Related: 21 Choices Millionaires Make That You Aren’t Making But Should Be

2You can learn loads about any topic online

online-learning

I’m grateful for the internet. It’s the single biggest library in the world. You’re reading this article right now and you’re acquiring knowledge you wouldn’t have been able to acquire 40 years ago. Use the internet to its fullest extent, whether that’s through reading books, browsing articles or watching video tutorials.

Set some time aside every day to learn something online. It could be a video series or a favorite blog. When you get into the habit of learning regularly you’ll find that you advance much faster.

3Focus on the niche you love

These days you can learn about anything and target the niche you’re passionate about. This is what I was able to do with penny stocks. I found a gap in the market and provided knowledge to people who wouldn’t have otherwise being able to access this sort of information.

You can do that with absolutely any niche. When you find a niche you’re passionate about and you use the reach of the Internet you start to make huge gains.

4Prove your expertise by creating free content

Your reputation as an authority is the new business card. There’s a reason I created a penny stock guide and made it free for all. You may have already seen ads for it on social media. The way to succeed with little is to create a reputation through your content.

It’s the gateway to success because through free content you start to build relationships with others who value your work. And from there everyone gets richer.

Related: How To Become A Millionaire, Explained In 1 Minute

You can do lots with a little

The days when you needed a huge investment to become successful are long gone. These days you can do so much with just a little. Find what you love, advance your knowledge in that area, and create a product that fulfills a need. Finally, work on building up relationships through portraying yourself as an authority on your subject.

Combine everything together and you can accomplish anything.

This article was originally posted here on Entrepreneur.com.

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12 Millionaire Habits To Start Making Serious Money Soon And Build Wealth In A Hurry

Get-rich-quick schemes rarely work but doing the right things every day rarely fails.

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There’s a mindset that’s prevalent these days. It’s one of instant gratification in an on-demand society that looks for quick results with very little effort. Entrepreneurs know that life doesn’t work that way. You need to put in the sweat equity if you’re looking to gain serious results.

When it comes to making money, certain good habits push us forward while some bad habits deter us from getting rich or even making any semblance of serious money.

Clearly, many people are making money and some are making lots, but if they mismanage it and pilfer it away on mindless pursuits, building the proverbial empire is going to be far harder.

Making money is one thing, but creating wealth is an entirely different thing. Obviously, most people can quickly make an extra $100 by selling used items or doing a small gig on a site like Fiverr, but if you’re looking for the kind of cash that can make a significant difference in your life, embrace these 12 millionaire habits. They are sure to drive you in the right direction. You’ll find ways to create real wealth by beckoning financial opportunity and potential windfalls through a positive mindset and a sound emotional, spiritual and mental state. That is quite literally the most powerful mixture of habits that exists for entrepreneurs.

1Always add value

Value makes the world go round. Everyone wants to get value out of an exchange. The most successful entrepreneurs in the world know that if you’re going to make lots of money, then you need to always be adding value. Always seek to add more value to whatever services, information or products you’re selling.

Related: 13 Habits Of Self-Made Millionaires You Could Adopt Today

2Wake up early

The early morning hours are replete with quiet solitude. It’s when you can refine your thoughts and implement your plans before all the distractions of the day. If you are constantly dealing with interruptions throughout your day, find your happy place in the morning. Wake up early so you can plan whatever will advance you toward your goals.

3Exercise

exercise-good-life

Making money isn’t just about implementing good career or business habits. You need to be fit emotionally and physically to fire on all pistons. Exercise in the morning, even if briefly. Exercising gets the blood flowing and oxygenation to the cells, helping you to think clearly and be laser-focused. This habit is implemented by some of the world’s richest entrepreneurs.

4Daily goal setting

You have your long-term goals in place but, if you’re looking to make serious money and quickly, you have to set goals every single day. These are milestones on your way to your biggest and most outlandish goals. Do this when you wake up, first thing in the morning, so that you stay on track and on target. Decide what will move you closer to those financial goals by the end of the day, then go out there and do it.

5Effective time management

Everyone in this world has the same amount of time. The 24 hours of each day is life’s greatest equaliser. It doesn’t matter what we do, where we’re from or how much money we have, we all have the same amount of time.

Effective time management is a must for those looking to get ahead. Whether your goal is to earn a lot of money over time or you just need to earn a little bit of extra cash quickly, properly managing your finite time is what makes it possible to succeed.

Related: 4 Bad Money Habits That Have Left Millionaires Broke

6Networking

Networking is one of the most important habits to have in life. The sayings go, your network is your net worth, and if you lie down with dogs, you’ll definitely come up with fleas. Reach out to others and find out what you can do to add value to their world.

Don’t ask for anything in return, especially not right away. Just insert yourself into the mix, and eventually the opportunities will find you.

7Innercising

John Assaraf

John Assaraf

John Assaraf, who built up a billion-dollar real estate business and is featured in the movie The Secret, preaches the importance of “innercising” in his NeuroGym system. Innercising is mental exercise to reprogram subliminal conditioning deeply embedded in our subconscious. The goal is to frame the mind with a positive financial outlook which attracts money and opportunities to our lives, rather than pushing them away.

8Healthy diet

Will eating healthier help you to attract more wealth or make more money in the interim? You can bet it will. Sound body, sound mind. To have the precision thinking and focus of a highly-trained athlete, you need to eat healthily. Our bodies spend a large amount of their energy on processing foods. Unhealthy eating leaves us with less energy for achieving our goals, whatever they are.

9Saving and investing

Obviously, saving and investing is fundamental to building wealth. It won’t happen as fast as you’d like, but the larger component at play is having moment-of-the-opportunity cash to invest when something requires your attention immediately. When you have capital and are no longer living paycheck-to-paycheck, you’re ready to earn more money when the opportunity presents.

Related: 20 Habits Holding Me Back From Being A Millionaire

10Mindfulness

If you play a cutthroat game and walk all over people, few opportunities will come your way. Being mindful and respectful of others attracts opportunities that you can eventually convert into cash. Be mindful about how you act and what you say so it doesn’t come back to bite you in the butt.

11Work with a mentor

Mentors are great for helping you to earn extra income, whether small or large. A mentor who’s achieved outlandish goals in your industry will offer guidance to help you get where you’re looking to go.

Find a mentor and work with them daily. Ask for their help and guidance as you navigate the choppy waters towards success.

12Contribute to others

Contribution is born from an abundant mindset. When you are sated and have enough for yourself, look to contribute. You can trick your mind into an abundant mindset by simply contributing your time to others. You don’t have to give money. Only time. It’s a subconscious mind trick that moves you away from scarcity to attract more money and opportunities into your life.

This article was originally posted here on Entrepreneur.com.

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