A Common belief
There is a common belief that “Everybody has equal chances to make a fortune”. This was said by self-made millionaire Steve Siebold, but really can everybody be rich?
Although no one can predict the future, the following crises will get in your way to become rich.
To help you assess whether you will be rich or not, here are some tips from Business Insider to avoid.
Here are 9 important signs to warn you that you will not be rich:
1- Concentrate on saving money more than earning it.
Saving money is considered to be a crucial factor in making a fortune, but it is not wise to focus only on saving money and ignore earning it in the first place; because earning money is what matters most to rich people.
Siebold said that “while most of us only care about saving their money and living simply, yet they waste major opportunities. Of course you do not need practical saving strategies, but if you want to think like rich people you will have to stop worrying about running out of cash and to concentrate on earning more of it”.
Some experts say that it does not matter how much money you earn as much as how you save it. However, it is not a reason to totally neglect earning money, in order to save money you need to start earning it in the first place. One of the habits of millionaires is that they diverse their income resources alongside following smart saving habits.
2- You haven’t invested yet.
One of the most effective ways of earning money as time goes on is by investing it, the sooner you started the better. Rich people invest annually about 20% of their income in average; as their net fortune is not estimated by what they earn in a year, but by what they save and invest all the time this is according to Ramit Sethi in his book “I will teach you to be rich”.
The more you save the better, yet it is possible that you would have done more with another easy part thanks to compound interests. One of the best ways of getting into investment market is by saving till retirement through investment bank accounts such as personal retirement accounts.
3- Prefer the fixed salary.
People in general tend to get a salary in a certain time with a fixed rate or getting charged by hour. On the other hand, rich people prefer to earn their money as a consequence to their works and usually they are self-employed.
Billionaire Siebold says that “It does not mean that none of the high class people that spend certain hours working for money, mostly this is considered the slowest and safest path to a fulfilling life. Great people know that self-employment is the fastest path to fortune”.
While high classes of the society wish to start their own business and make a fortune, on the other hand the masses prefer to spend their lives in a job with fixed income that increases annually.
4- Buy things you don’t need.
If you are living above what you can afford you won’t be rich, once you start earning a lot of money or getting a big raise on your salary; do not spend this raise on boosting the standard of your living.
Grant Cardone the self-made millionaire in the field of leading businesses says that “I didn’t buy my first luxury watches or car until my business and investment started to offer safe and multiple income flows”
5- Achieve the dreams of others instead of yours.
If you want to be successful you have to love what you do, this means persistence and following your passion. Lots of people do the same mistake which is to achieve dreams of someone else like their parents for instance. This was revealed by Jim Thomas Curley who spent 5 years of his life making a research on self-made millionaires.
Curley mentioned in his book “change your habits, change your life” that trying to achieve the dreams and goals of someone else you may end up unhappy with your job; referring that your performance and the results of your work will be reflected on you. You may earn your living and struggle financially but simply you won’t have the required passion to achieve success.
6- Feeling physically comfortable.
If you want to make a fortune, be successful or a leader in this life; you have to have uncertainty and discomfort. Rich people in particular find their comfort in a state of uncertainty.
According to Siebold physical, psychological and emotional comfort is the main target for middle class. Moreover, those with ideas of high classes know that getting rich is not easy and the need of more comfort is something destructive. They know that their comfort is in getting in a state of constant uncertainty.
7- Don’t know what to do with your money.
Money won’t come out of the blue; you have to work in order to earn it. If you are going to make a fortune eventually, you are going to need a specific and clear goal before making your financial plan.
Rich people choose work over making a fortune which requires concentration, courage, knowledge and a lot of effort. In order to get rich, one should have accurate goals, clear vision and self-confidence. Millionaire Harv Eker explained that referring to the first reason behind people not getting what they want is that they don’t know what they want in the first place unlike rich people who completely know what they desire.
8- Spend first then save what remains.
If you want to be rich, you have to save money first. This is what self-made millionaire David Bach referred to in his book “The Automatic Millionaire” is that what most of people do when they earn money is to spend it first.
He added that “they pay it to the main owner whether it is the credit card company, phone company or the government … etc. it is better to spend money then save what remains, one should set 10% of his/her income for saving and to do it constantly. In this way you will not see your money and will get used to life without it”.
9- Believe that getting rich is something hard to achieve.
Siebold say that “the general public thinks that riches is a privilege preserved to lucky people only, but in fact in capitalistic countries you have the right to be rich; if you are ready to achieve something of a big value to others”.
Siebold adds encouraging whoever wants to be rich “you have to start asking yourself a question why not me? Think bigger, rich people set high expectations why isn’t it your goal to reach million dollars”.