Imagine if you become a Millionaire at a young age, what else can you not do? You can do whatever you want whenever you want! Am i right?
But do you really need to be a Millionaire to live a happy life? No, it is not necessary to become a Millionaire to be happy but it is a completely different feeling to have everything you want without any financial problem.
So, let’s go through the 7 rules to become a Millionaire in next 5 years.
1. Create Multiple Income Streams
The no. 1 rule is to Have Money Work For You. What does it mean? It means to create passive income streams which means you own some assets that pay you money on weekly or monthly basis while you are not working, this is called passive income. Assets include a small business, some potential dividend stocks, real estate (rental properties), a YouTube channel, a course on Udemy or any other income streams that are paying you without you. Let’s focus on building your assets and don’t waste your hard earned money.
2 Save To Invest – Don’t Save To Save
The second rule of money is Save to Invest, Don’t Save to Save. This matters the most because investment is the reason behind many millionaires. See Warren Buffet – World’s 3rd Richest Man and The Richest Investor. He made $84 Billions only by investing his money. He saved his money to invest, not to save. We have adopted a bad mentality from our seniors that our money will be lost if we invest. There is a higher risk of losing the money so don’t invest it, instead save it for the bad times.
But this is not reality, investments include some risk but risk comes from not knowing what you’re doing, and in investment of real estate or dividend stocks, you know what you’re doing. So, educate yourself first and don’t believe the people who are stopping you to take action. I have written an article about the importance of self education so you may know the important actions to act now.
3. Avoid Debt That Doesn’t Pay You
Debt – Maybe Bad for Some and Good for Many! Yes, Debt can also be good for the smart people who know to manage their debt. But bad debt is a dangerous thing for your financial conditions. Avoid debt that doesn’t pay you means if you don’t have enough money to afford something and you still buy it on installments, then you are acquiring bad debt that doesn’t pay you instead you are paying for something. And if you take a loan to buy some assets that pay you, so you are using your debt well. Learn to use your debt to get rich.
4. Don’t Let Your Money Sleep
The 4th step is don’t let your money sleep! It means if you own some money that, if invested, may give you some money weely or monthly then you should invest it.
Don’t let your bank get rich by using your money, use your mind, learn to invest, read books, ask share holders and look for some properties to buy that can pay you rent so in this way, you will have some passive income streams.
5. Change Your Mentality About Money
It is an important step! Your mind is the only thing that can change your life but only if you want to. Remember the words, only you can change your life if you want to. But first you will have to change your mentality about money. I have already written an article about it, “read this blog” this will change the way you think about money. Let’s move on to next step!
6. Get A Millionaire Mentor
Get A Millionaire Mentor! Why i am saying this? Because according to the famous quote:
“The person you will be in five years from now depends on the books you read, the habits you adopt, the food you eat and the people you surround yourself with”
It clearly defines what it means. If you hang around four Millionaires, you will be the fifth. But, now you will be thinking how can i hang around Millionaires? right?
There is a solution! Hanging around someone means to understand their minds and adopt their habits and you can do this by “READING BIOGRAPHIES OF GREAT PEOPLE”.
If you don’t have rich friends or mentors, you should read Biographies on Richest People, it will help you adopt their habits and actions that they took during their hard times
Also Read: Road To Financial Freedom via Self-Education
7. Aim 10X Higher
The 7th Rule of Money is to Aim 10X Higher – It helps you to achieve more than your target. For example, if you want to make $1 Million, you have to aim for $10 Million.
The work you do for $10 Million will lead you easily to your old target of $1 Million. There is a book written about this named “The 10X Rule” you should read it to learn in depth about it. So, Focus on this rule to achieve your every target.
So, these are the core principles of the road to riches. You simply have to focus on your today not tomorrow, improve your daily habits, educate yourself, spend less, invest more and change the world. Hope you great success and wealth. Thank You!
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