Who wants to be a Millionaire?

Who wants to be a Millionaire?

By Keith Bunn Jr.

May 29, 2011

If you were to go up to anyone, young or old, male or female, and ask them, “Do you want to be a millionaire?”, I’m at least 98% sure most of them would say, yes. Wouldn’t you? But if you followed that question with this one, “Do you think you’ll become a millionaire?” chances are they would say, no.

That’s too bad too, because in this country, the ability, chances, and opportunities for you or for anyone else in this country to become a millionaire are better than anywhere else in the world. It’s just most people today don’t know how to get there. That doesn’t stop us from hoping for that day where Lady Luck will smile down on us and “POOF” , we’re rich. Oh I know that there are stories out there where someone wins the lottery, inherited a ton of money from a passing relative, or dug up something valuable in their back yard. I know it does happen, you just don’t hear about it that much. And there is a reason for that. It’s because it doesn’t happen that much!

Our general opinions about millionaires are.

I think that most Americans generally think that the millionaires in this country are just like what we see on TV shows or in the movies. We think that they just keep passing the ‘money secret’ down from one generation to the other. That they got to where they are at by stepping all over the little man. That they have all these public officials and politicians in there pockets to get whatever they want. Fortunately, for the most part, that is not true.

The real millionaires.

80% of the millionaires in this country are first generation rich, based on Tom Stanley’s book “The Millionaire Next Door”. This means that they started with nothing (like most of us), made good choices for themselves, worked hard, and lived on less then they make. In fact, you probably pass by them everyday in the grocery store and not even know it because they drive nice used cars and don’t look or act wealthy at all.

I personally know 2 millionaires. One is an arrogant jerk and the other is an awesome giving man. Now, do you know some people in the lower or middle class income who are arrogant jerks or who are awesome and giving? I do too. You see, it’s not having money or the lack of money that makes you that way. If you have or don’t have money and you’re a jerk… you’re just a JERK! It is your character that makes you nice or a jerk. Money is amoral.

What do they do that we don’t?

The biggest thing that they do that most of us don’t, is that they live on less than they make. Most of the millionaires in this country use very little to no debt in their financial lives. A couple of years ago, a survey was done asking the Forbes 400 (the 400 wealthiest people in North America) what is the best way to become wealthy. 75% of them said, becoming and staying debt free was the key.

They don’t play the lottery or gamble. Now, I’m not talking about playing cards with friends or family on the weekends. I’m talking about going to the casinos, playing the Lotto, etc… “Well someone has to win.”  This is a statement that is made by those who don’t really know what they’re talking about. Did you know that you are statistically more likely to be struck by lightning 6 times and live than you are to win the Lotto? It’s true. “By playing the lottery, I’m helping our schools.”  Really? Then why is it, that I’m always hearing about more and more schools closing in my home state of Michigan? And don’t even get me started on how the lottery helps fund our road repairs. Have you driven in this state lately? Do me a favor. Next time you’re at a party store, or anywhere else that sells lottery tickets, look to see who’s buying the tickets. It’s Darrel and his other brother Darrel. Statistically, it’s the middle and lower classes that play the lottery. It is a tax on the poor!

The majority of the rich don’t buy new cars. They buy a 1 to 2 year old car and they pay for it in cash. The average car payment in the U.S. is $484.00. If you took $484.00, and invested that earning 10% from the age 30 to 70 years old, that would be $3,112,353.00!  I hope you like the car. You see, cars are the biggest thing we by that go down in value, but you hear people all the time say, “You’re always going to have a car payment.”  Ok, let’s look at that for a second. If you bought a good, reliable used car for a $1000.00, and we already stated that the average car payment is $484.00 a month. If you were to pay yourself the $484.00 a month and just placed it into a cookie jar for 10 months, you would have $4840.00. Add that to the value of your $1000.00 paid for car and you could buy a $5840.00 car in cash. Now here’s the cool part. Do it again! In other 10 months you could have $10,680.00 ($4840. + $5840. = $10,680.). Now in less than 2 years, you went from a $1000.00 beater car to just under an $11,000.00 paid for car while other people with car payment are still making payments. Now, if you continued to do this, but instead of putting the $484.00 in a cookie jar each month, you put it into an investment earning you 10% for just 5 years, you could easily pull out $15,000.00 every 5 years without adding another penny to the investment. You know what that’s called? Free cars for life!   

These are just a few things millionaires do that the majority of American’s don’t. It is our choices in life that can determine whether or not we can retire comfortably in our golden years. Retire with dignity!

Here is a link that sums it all up brilliantly… http://financialedge.investopedia.com/financial-edge/0411/5-Easy-Steps-To-Becoming-A-Millionaire.aspx

 "If the grass looks greener on the other side then water your lawn." – Unknown –    

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