To become a millionaire, you need to develop a millionaire mindset. Financial success begins with a state of mind. This means that you have to think like a millionaire and take action like one. There are many different ways that you can develop this type of mindset.
In this blog post, we will discuss five of the most important methods for financial success. Keep in mind that everyone’s journey to becoming a millionaire will be unique, so don’t feel limited by these five methods alone! Use them as a starting point and then find what works best for you. Let’s get started!
Develop Your Unique Millionaire Vision and Determine Your Wealth Number
Take time to think about what you want from life, and then take practical steps to achieve your goals. People who achieve millionaire status usually set themselves a series of goals that they aim for daily. The millionaire mindset has been developed by people going through the process of setting goals and having a solid work ethic while they visualize meeting their goals daily.
Wealthy people are crystal clear about WHAT they want and WHY they want it.
The bigger your dreams to financial independence, the bigger your wealth number
Financial independence is ultimately what we are after. The secret to becoming financially independent is to crunch the numbers to get a picture of how much money you will need to live the life you want without having to work for it.
It is your wealth number.
Wealth Number Exercise
Here’s the pen and paper exercise to understand your wealth number. The secret is being very, very specific with your number. Don’t type it out on your computer. Use a pen and a piece of paper.
There’s something very powerful about doing that because it’s going from your head, your heart, your hand onto the piece of paper.
This exercise is based on an annual spend.
So let’s say you want to go on one holiday a year. You’d like to go and see the Grand Canyon.
Okay, how much does it cost to fly there with your spouse? No, you don’t want to sit in the back where they’re all packed like sardines. So jump on the internet and go research first class or business class.
It would be $30, 000 for two first class return airfares. (From Europe or Australia)
Where would you like to stay while in Nevada (7 days in a 5 star hotel)
As an estimate $10 000
How much are your meals and entertainment costs?
What about philanthropy and charities?
Let’s say you are passionate about supporting organizations like the RSPCA or Animal Welfare League.
How much will it cost to sponsor a little dog or cat in shelters with “No kill” policies?
When money is no object you can adopt as many puppies and kittens as you’d like.
Fun and games, entertainment, self education and financial support for loved ones, or sponsoring entrepreneurs in developing countries right around the world.
Day to day living expenses for 12 months @ $40,000 per month
The grand total $ 560, 000 per annum
Now ask yourself when you look at that total, do you think “It’s not possible (for me)”?
If you feel it’s not possible, it just means you haven’t grown into a millionaire mindset.
Don’t despair-read on for ways to develop a millionaire mindset.
Here is the crucial bit – Everyone’s got a different wealth number
It’s your internal barometer or thermostat that says, “I’m comfortable and happy if I’m at this particular level of income”.
Some people who initially think “It’s just a pipe dream. It’ll never happen”, then go on to do the exercise will find that they can achieve this.
Do not skip this exercise
Your wealth number may be $500,000 or $300,000 or $250,000 per annum.
Get used to the idea of these numbers. Open your mind to any possibility.
Okay, you are now comfortable with the concept of those amounts of money coming into your bank account.
Can you accept that it is passively generated?
Yep, passive income.
Some people are resistant to the idea of receiving money this way. Their thought process goes, “What do you mean passive income? You mean that I’m sitting around on my bum all day and all this money turns up on my bank account?”
Essentially, yes. Get used to it.
Because if you can’t get used to it and a voice in your head screams, “No, no, no! You can’t do this. It’s not right.”, you’re going to encounter a lot of obstacles to becoming independently wealthy and being financially free.
Your beliefs determine your financial future
As long as you’ve got a belief that you have to go to work and work hard every day, because that’s the way it has always been, to gain wealth, then it’s going to be a stumbling block for you on an emotional or subconscious level.
So, get over it.
Let’s push boundaries and say it’s a million dollars per annum.
Does that make you uncomfortable?
Or do you say, “Yeah, sure. This is what I need to do. This is the amount of money I need to do the things that I want to do”.
It is possible. It is within the realms of possibility.
You just have to expand your mind—you have got to expand it to accommodate these sorts of ideas, thoughts, and attitudes.
And when you are okay with it, you will wonder what the big deal was.
The 5 top millionaire mindest habits you need to practice consistently to become a millionaire.
1. Visualize yourself as becoming a millionaire and achieving millionaire goals every day.
This means believing that you can become a millionaire and taking action accordingly. To become a millionaire, you need to have the mindset that you can become one. If you believe that it’s not something you can attain, chances are, it won’t happen.
On the other hand, if you tell yourself and others that becoming a millionaire is what you want and you’re going to do everything in your power to achieve it, you’ll begin taking the necessary steps to create great wealth. The mindset shift starts here.
The millionaire mindset also involves dreaming big, having a very strong work ethic, and thinking about how you can overcome challenges to achieve your goals. Read biographies of millionaires or better still watch interviews of them sharing their nuggets of wisdom.
2. Associating with likeminded, positive people who can help you achieve millionaire status in return for their support.
Once you have identified what you want, the next step is to think about how you will get there and who might be able to help. The millionaire mindset does not involve hiding away from the world but getting out there and meeting people who can help you on your journey.
Nobody becomes wealthy on their own
You become wealthy and successful simply because you have a good network of people around you who are helpful to you and because you are helpful to them. Zig Ziglar said, “You help enough people get want they want and you will get what you want”.
Choose your friends carefully.
Jim Rohn (1930-2009), a successful businessman and motivational speaker challenged me with this insight. He said, “Show me your closest 5 friends and I will show you your net worth”. What is implied is that our peer group is highly influential and will set the bar for the standards we aspire to in our career, health, and definitely wealth.
To have a millionaire mindset, be aware of other people’s attitudes towards money and success. There is a common stereotype about millionaire entrepreneurs being greedy and self-centered, but the millionaire mindset requires a focus on other people. The millionaire mindset often involves helping others to achieve their goals so that they can help you achieve your goals in return.
3. Adopting a millionaire mindset involves being grateful for the things you have, while always looking out for more.
The millionaire mindset includes being grateful for the things that you have, rather than always looking out for more things or opportunities. It is possible to achieve millionaire status without being greedy and this involves living a balanced life where money is merely one of many important areas of your life. The millionaire mindset involves having everything in life in moderation and appreciating what you have rather than always looking outwards for more.
Be thankful for what you have.
Don’t focus on what you don’t have because where your attention goes, energy flows and it will take on a life of its own. When you find the odd ten cents on the ground, pick it up and say, “Thank you. Thank you. Thank you.”
Just revel in that idea of thankfully receiving. Even if you receive a compliment, just say “Thank you”. Don’t go, “Oh, it was nothing”.
Yes, in their eyes it was something. You did something outstanding and sensational enough for somebody to compliment you. Be comfortable with that. It’s not being big-headed. Trust me. You are saying to the Universe, “I’m comfortable and very happy to accept what you have given me”.
Being wealthy means being willing to receive.
We’re all very good at giving, right?
If the Girl Scouts came to your door selling cookies or biscuits, the average person would have no trouble getting their spare change out of their pockets and saying, “Here’s some money. Good on you”.
If somebody says, “I’m collecting for the homeless charity” most of us would have no hesitation in putting our hand into our pocket for that.
But when somebody does something for you and it’s not because they are returning a favor and it’s got nothing to do with getting something in return, most people just balk at that idea.
So being willing to receive is one aspect of being wealthy.
A lot of people aren’t comfortable with this concept.
Ask yourself when this happens to you. Is there any discomfort, guilt, or shame associated with receiving?
Having a millionaire mindset means being willing to receive (just in case you forgot)
Putting your hand out and saying “Thank you” when somebody puts something in it (preferably money). So, we talked about how we’re all very good at giving because it makes us all warm and fuzzy, right?
But it’s two sides of a coin. If there isn’t somebody doing the receiving, there can’t be any giving. So, it’s no shame and you shouldn’t feel guilty about receiving either.
If you’re asking the Universe, “Please make me financially successful”, or you have been putting out there the intention that you want to be wealthy but have a hang up about taking, or receiving a gift, guess what?
The Universe says, “Okay. You’re not interested in becoming wealthy, not interested in becoming rich. Because every time somebody tries to give you something, you respond with, “No, thank you. No, no, no! Somebody else deserves it”.
So the Universe decides that you’re not serious about this whole idea.
And the Universe starts looking for a person willing to receive. That person is probably standing next to you and saying, “Thank you very much. I’m very happy to receive it, come on down, bring it on. Let it roll up in a truck!”
So get over the idea that it’s not cool to receive.
4. Make a habit of saving money, even if it’s only a small amount at first.
One millionaire lifestyle habit of self made millionaires is that they make it a point to save at least 10 percent of their income. If you start putting aside at least 10 percent (preferably more) of your hard earned money, you’ll see that it does add up. You can open a savings account where the funds are compounded over time, which will help you earn even more money.
As Albert Einstein observed, “Compound interest is the 8th wonder of the world”. He wasn’t wrong.
These pots of money that you’ve faithfully put away will grow over time. Here is where you take your seed money and research opportunities to invest. Understand that when you put your money into investments that the higher the risk, the higher the rewards.
Don’t spend your money – invest it
Millionaires are usually frugal because they know the value of investing in the right assets. Don’t work for your money. Instead of buying your new iPad, you could put it in equities. Find some good shares to buy later and your cash will likely grow an average of two times.
Financial independence means taking calculated risks
Risks – everybody blanches at that.
The majority of working adults talk about the security of the paycheck. The downside is that you trade your dreams for what most people consider to be safe, secure, and predictable.
The idea being “While I have an employer, they deal with all the headaches of running an organization. I just have to turn up, and every fortnight they put a check in my hand”.
Now, it’s not very often if you work for somebody else (as an employee), that you achieve financial independence.
Step out of your comfort zone
If you have bright and innovative ideas, it requires courage that comes from being clear about what you want and why you want it which will move you to act on those ideas.
If you want to monetize your ideas you have to step out of your comfort zone. This is what successful people do.
And it’s unlikely to happen while you are hanging on to the security of a paycheck.
5. Be persistent and keep working towards your goal even when things get tough.
No millionaire became one overnight; it takes hard work and perseverance to become rich. Even if you stumble or fall, you have to get back up and continue on your path. If you give up too soon, it’ll be much harder for you to achieve financial independence.
If you practice these lifestyle habits consistently, there’s a pretty good chance that sooner rather than later, you’ll be worth seven figures or more.
Know what it takes, do what it takes, never give up & focus
The quest for riches requires concentration, courage and knowledge, a 100-percent commitment and a steadfast and determined mindset. Conditioning the mind into becoming one of the most powerful millionaires needs focus.
Bonus Tip 6. Never stop learning
It is best to invest yourself in it. When most students leave school they are unsure about their learning experience. They are ok, you aren’t. Successful people constantly learn and adapt. Warren Buffet is a billionaire and stock market expert. After graduating most people do not read any books anymore. How do I choose to become someone? Get a good overview of economics and the stock markets. Find new knowledge. If you want more information on the subject then read the whole story.
Above all, a millionaire mindset involves living a positive life with positivity towards money. There are several ways people improve their financial lives including reading positive books about successful entrepreneurs or people who have achieved their financial goals by taking risks and having big dreams. Be inspired by what they have achieved; be encouraged. Their words will give you an idea of how it is possible to achieve millionaire status.