Everybody wants to be a millionaire.There are approximately 35 million people who are millionaires in the world. The people that actually become millionaires are those that have strict principles and habits. You can try your hardest to become one but if you don’t have the right habits you can never get there. The point I’m trying to make is you can become a millionaire too if you just follow my blue print.
Now about me I’m a 25 year old kid with a dream to make it big, at 25 I’m an entrepreneur and an investor. My company operates under 4 verticals – Complete broking solutions – Stock Broking, Private Equity, Real Estate and Hospitality. As brokers we make deals for our clients and help people invest their money so that its always working for them. As a deal maker I have learnt a lot and after speaking to many of my clients and investors – I can see the big picture.
Here is my blue print to becoming a millionaire –
1. Live Below Your Means
Now I’m talking about living on a bare minimum per day – just enough for food, travel and bills. The richest are the ones who live a lifestyle well below their means. That means living a life without pomp and show. Ask yourself do you really need that luxury car? or do you really need a 6 bedroom mansion? That’s right – You don’t. If you earn 100,000 a month spend only 10,000. Keep it only for food, water, the electricity bill, rent and travel. By keeping this ratio of spending only 10% of your monthly income you ensure you will get rich!
Take Warren Buffett for example. He still resides in the same Omaha home that he pitched in 1958 for under $32,000. Buffett is also known for purchasing modest vehicles, like his 2006 Cadillac, which was auctioned off for charity. Apart from having been owned, and signed, by Buffett, the car was described as “nothing special.” I’m a long time admirer of Warren Buffet and his principles and lifestyle is really something to follow and admire.
2. Don’t shop until you drop! In fact don’t shop at all!
Consumerism has made us slaves to buying products and advertising doesn’t help our cause at all. They program us to keep buying. We keep wanting the newest stuff when we could easily do without it. People go insane shopping every month buying things that they would like for a couple of weeks at best and then it becomes old. People waste their money buying unnecessary products online and waste their money.
I hardly buy new things for myself. I shop for clothes once a year! That’s right other than my diwali shopping I don’t buy much at all – Except if it’s a necessity. I don’t like shopping that much and I don’t like material things that much, except if its speakers,headphones and music related stuff. Just buy what you really need and can’t go without- like a phone(once in two years), a laptop (once in three), soap etc. You get the picture. The next time you want to swipe your card for buying something you like, think twice – Do I really need it? Be like me shop once a year it’s a good habit and it’ll make sure you get rich!
3. Cut out unnecessary Expenditure
I’m a chain smoker, It’s a filthy habit and unnecessary – I waste my money on cigarettes which has to stop. Your diet coke or soft drink habit is too. Those potato chips, chocolates and donuts you buy, they’re unnecessary as well.Cut out unnecessary expenditure as much as possible. This goes along with shopping because it’ll save you a lot of money. Basically cut out the little habits and things you buy and you’ll end up saving a lot! You feel me
4. Save your money
“A penny saved is a penny earned”
Get into the habit of putting away money whether its’s at home or at the bank. Save,Save,Save for a rainy day. Save 80-90% of your monthly income. Always make sure you have enough to bail yourself out of whatever situation you get into. Be a miser and save as much as possible get into the habit of putting aside 20% of your monthly income for your emergency fund. So you never run out basically. Spend 10% and put 20% into the emergency fund
5. Make money work for you
Invest. Golden rule to getting rich- make money work for you. Your money shouldn’t be kept idle in bank accounts it should be working, getting returns for you or else you’l end up spending it. Do the learning and construct a portfolio for yourself with a mix of stocks, bonds, mutual funds and etfs. Learn about fundamental analysis and pick your own investments. Also Diversify into real estate and gold. Never trade. Have a killer sorted portfolio for yourself and if you can manage on an average of 18% or even 15% returns for yourself over 30 years -you will be rich , guaranteed. Warren Bufett’s company Berkshire Hathaway managed 20% over the last 30 as per 2016’s shareholder letter. If you manage 18% your just 2% behind the greatest that ever lived. I don’t know about the US or Europe but in India to get 15-18% returns annualy is very achievable. What are you waiting for open a demat account and start today!
6. Never Borrow- No Leverage strictly
No loans. Seriously, never.I’ve seen my father’s listed company go to shit because of owing the bank money- death threats, calls to kidnap me when I was a kid, the works- he’s seen a lot in this life and has spent the better part of his life paying off loans . I don’t care how much you want your next car or next house or that big college education – never ever borrow. Or you will end up your whole life paying interest and owing the bank. No credit as well. Never use credit cards because you’ll end up swiping for no reason, use debit cards. Buy only if you have the money or do without it. The amount of students with loans on their heads is shocking how the fuck are you going to live peacefully if you have to pay those dreadful EMIs? And having people chasing after you for money is probably the worst thing in life.
7. Get Self- Employed
Basic Principles. You cant work a job and get rich. Unless you stay there for 30 years and retire as the CEO. You need to get self employed. It’s an uphill struggle the first 2 years but after 2 years its always a turnaround and you’re good to go. Stick with it. Start a business , be your own boss and slowly grow. Work hard and do what you love. Its extremely satisfying and You’ll enjoy it. The richest people in the world are entrepreneurs, so quit your job and start fresh. It’s a long painstaking task but in the end it reaps dividends. Most important is that you must persevere.
8. Get a side gig
Don’t put all your eggs in one basket. Work side gigs- I Dj,coach football and write apart from running a youtube channel that pays me for ad clicks. Get side gigs – the extra income helps and goes a long way into your goal of becoming a millionaire. Sell your knowledge if your good at something sell it to the world and make money off it plus it helps you improve other skills.. But most importantly keeps the flow of money coming in from different sources so it’s not dependent on one thing.
9. Don’t Start a Family
If you’re in your twenties and are reading this, take my advice don’t start a family. Don’t get married and don’t have kids. Starting a family is a huge commitment and requires a lot of money! Stay together if you have a girl friend and don’t for fucks sake reproduce! Raising kids is a massive burden and financial commitment till they are 18-22! How the fuck are you going to do it if your working a salaried job? It’s a beautiful thing and all that jazz but you’re much better off solo, trust me. Not starting a family is probably the smartest thing you could do. If you already have one this point is not for you.
Contacts lead to Contracts. Your networking sucks so you need to get yourself out there meeting new people and spreading what you do to them. How many people you know truly know what you do? Exactly, so make list of all your contacts and start meeting them and see how you can help each other and make more money together. Use facebook, twitter and linkedin to expand and grow your network and hence your net worth!
11. Never pay full price
If you are going to shop be a bargain hunter. Buy cheap and in bulk and at wholsale rates. The richest like Warren BUffet do the same so there is no shame in doing that. Use alibaba.com go to wholesale stores, buy from China do whatever just buy cheap – it’s fun and it’ll save you a ton of money also look out for discounts every step of the way
12. Don’t go out too much
Spending on food and alcohol at bars and restaurants is a major expenditure for most people. Stay at home as much as possible. Sure going out with friends seems fun -until the bill. Always make sure you don’t drink more than 1 drink or don’t over order your food and you’ll save a ton. Better yet just don’t go out much. Stay at home. Keep it to once a month at max.
13. Go Green
Buy electric cars so you never have to pay for fuel, use solar panels to power your home,ride the fucking bike to work. Go full power green and you’ll save for sure. It’s environment friendly and healthy plus it costs much less. You get the drift?
14.Don’t buy big brands
Gucci,Chanel, Zara, Louis Vuitton, Prada, Armani, A big fuck you to you. Do you people realise the amount of money you spend on a brand it seriously ridiculous! I could show you tailors who make suits much better for 1/3rd the price. I could also show you t-shirts and jeans that last much longer and feel much better. Don’t waste money on brands they are just scamming you for their name. Buy unknown brands and save your money. Plus who is going to look at the label on your clothes?
15. Write a book
Write one you can do it! I’m writing one as well it’s called “Unbeatable” and it’s about my life. It takes time, but boy does it make you money! choose any topic it could be your life, your knowledge, anything write a book and get famous and rich.
If you follow my 15 step plan, you will be a millionaire. I’m busy implementing the same. But trust me this advice is golden – Your habits decide your financial destiny.
Follow my plan.
So here’s to the good life.
And save up for that boat!
Live well. And Keep fucking trying no matter what!