Skip to comments.The 6 Biggest Myths About Millionaires
Posted on 02/28/2014 2:33:44 PM PST by expat_panama
Many people believe that while itd certainly be nice theyll never become millionaires. That its an utterly unattainable dream.
The truth is: Hitting the $1 million mark is more attainable today than ever and more important. Thats because, in order to live comfortably in retirement through your eighties, many people will need a nest egg of at least $1 million.
A general rule of thumb is that you need to save $1 million for every $40,000 of annual income you need to replace at retirement, not including Social Security, pension income or any other retirement income, says David Fernandez, CFP, of Wealth Engineering in Scottsdale, Ariz.
Fortunately, there are a lot of ways to do it. While doing research for my book, The Eventual Millionaire, I interviewed more than 100 millionaires who came from all walks of life and made their first million in dozens of different ways, from starting their own businesses to investing in the stock market or real estate. And those arent the only paths to becoming a millionaire, either: Others hit the mark by simply living below their means and saving portions of each paycheck.
(Excerpt) Read more at businessinsider.com ...
Being a millionaire today is not a big deal at all in fact very easy now being a billionaire is like yesteryears millionaire
Spoiler alert --here are the six myths:
1. Millionaires Are Smarter
2. Millionaires Are Just Luckier
3. Millionaires Live Lavishly
4. Most Millionaires Were Born Into Money
5. Millionaires Have to Be Fearless
6. They Earn Million-Dollar Paychecks
This is actually great news because it means that all of us not-so-smart bum-luck cowardly low-born cheapskates in crummy jobs really have a chance after all!
First a millionaire used to be somebody who had $1 million in assets. Then, $1 million net worth. Then, $1 million net worth excluding primary residence. Then, $1 million in net investable assets. The dollar is so weak and assets are so inflated, that I don’t consider anybody a true millionaire unless he earns more than $1 million/year.
True; these days living in a ‘million-dollar home’ means ‘wrong side of the tracks’. Just the same, we still hear the loopy-left griping about wanting tax hikes for the millionaires...
easy, earn two incomes and live on one. You just have to ignore all the advertising meant to make you feel bad for being cheap.
I am a self made multi millionaire and can attest to this articles truthfulness
And I will ad one personal observation. Nearly every millionaire I ever met owned their own business. And it doesn't seem to matter what kind of business as long as they do what they do well.
I used to deal with a lot of wealthy as well as formerly wealthy people.
From my experience I would guess they tend to be risk takers, honest with their dealings with fellow businessmen but sometimes crooked otherwise.
I would say they were very hard workers and that is one I am certain of. They tend to live modestly but not to the extent of miserliness. Not smarter than your average person but no dummies either.
Nice ta see ya back, Pete!
In my early 20’s I had a negative net worth, had no assets except a car I owed more on than it was worth, I had multiple warrants out for my arrest for failure to pay speeding and no insurance tickets, dabbled with illegal drugs, and had dropped out of jr college with no degree and was a waiter at a Mexican restraint chain barely able to pay my rent.
20 years later I am a multi-millionaire with a masters degree who owns his own business.
I just woke up one day and said.... ENOUGH! I am going to fix my life and set out the next day to do so.
It was actually quite easy. I KNEW everything I was doing wrong, I had just chosen to do the wrong things. I guess in that regard I may have had an edge over those who may have never been thought right from wrong. But besides that, I was given nothing. I am 100% self made.
meant taught not thought
Jealousy causes more widespread misery than anything else.
An old Russian joke tells about a poor peasant whose better-off neighbor has just gotten a cow. In his anguish, the peasant cries out to God for relief from his distress. When God replies and asks him what he wants him to do, the peasant replies, Kill the cow.
One of the most consistent findings of behavioral economics is that we gauge our own economic well-being by comparing ourselves with our neighbors. Studies have found that, given a choice between making 25 percent more than their neighbors or making 25 percent less, people will choose the former even when the latter amount is more money.
Not only is envy irrational, its socially and personally corrosive. In his wonderful book, The Seven Deadly Sins, the late Henry Fairlie called envy the nastiest, the most grim, the meanest of the seven deadly sins. Sneering, sly, vicious. According to Fairlie, the face of envy is never lovely. It is never even faintly pleasant.
It could hardly be otherwise. Loving your neighbor, or even working alongside him, is next to impossible when you regard his gains as a personal loss.
The problem is this -— We have actually ELECTED many ENVIOUS people into office who actually REFLECT our own character.
That's true of the "original" millionaires, but not for those who inherited their wealth. I had the displeasure of selling a property last year to the daughter of a billionaire, and that was a horrible process. This woman felt so entitled, and indeed she was because she was able to bully us using her lawyers. Fortunately, she overpaid by about $800K, so I don't feel so bad about it now.
I love your choice of the word “earns”
Obama begs to Differ "you din't build that "
A million is not what a million was.
So, knowing that, it depends on “when” “what it used to be” was.
so it would take ruffly 2 million to equal 1 million 20 years ago, and 4 million to equal a million 40 years ago (this is just a ruff rule of thumb)