In Rich Habits Study, Tom Corley interviewed 233 wealthy individuals (177 of whom were self- made millionaires) with at least $160,000 in annual gross income and $3.2 million in net assets.
He found that becoming and staying rich tends to come from two actions:
1. Accumulating wealth
2. Keeping the wealth you’ve accumulated
But accumulating wealth is only one part of the equation.
In his book “Rich Habits Poor Habits,” he shares another equally important part of being rich: holding on to the wealth you’ve accumulated.
Staying rich requires that you forge certain specific habits that ensure the wealth you’ve accumulated does not disappear.
Here are a few of the most important Rich Habits that will help you keep your wealth:
Putting your wealth to work.
Putting your wealth to work means investing it wisely in stocks, bonds, real estate and other business opportunities.
These investments create additional streams of income that pay dividends down the road.
Setting aside part of your wealth for retirement.
Save 10-20% of the income you make and put that money into long-term retirement assets that you don’t touch until you retire.
Watching what you spend.
Do you know where your money goes?
Tracking what you spend opens your eyes so you may know exactly where your money goes.
Tracking your spending allows you to make adjustments to how you spend your money.
If you don’t track your spending it can get out of control.
This “lifestyle creep” can cause your wealth to disappear over time.
Avoiding spontaneous or emotional purchases.
Never buy anything on impulse.
It is almost always the wrong thing to do.
That spontaneous or emotional purchase will lose its luster after only a few weeks.
Then you’re stuck with something you don’t need and that does not generate any income.
Living below your means.
Living below your means keeps you from falling into the trap of lifestyle creep.
No matter what good fortune visits you in life, do not change your standard of living.
Don’t supersize your life by buying things you really do not need.
Live a modest, simple life.
Never forget wealth is a two-step process.
The game doesn’t begin and end with getting rich.
You must forge Rich Habits that guarantee the wealth you accumulate sticks around for a long time.
You may also be interested in reading:
IF YOU’RE ALREADY AN EXPERIENCED PROPERTY INVESTOR OR YOU WANT TO “FAST TRACK” YOUR SUCCESS…
Here’s your chance to invest 2 powerful days and learn renovation and development strategies that experienced property experts are using around Australia to “manufacture” capital growth and generate strong rental returns, so that they can win in today’s challenging property markets.
TAKE YOUR PROPERTY INVESTING TO A WHOLE NEW LEVEL BY JOINING ME IN OCTOBER AT MY…
What’s it all about? Click here and find out more.
Maybe now it’s time you stepped up and played in the big league by getting started in property renovations or development.
This is the course where other “experts” who are now teaching got their education. Click here find out more and reserve your place
Subscribe & don’t miss a single episode of michael yardney’s podcast
Hear Michael & a select panel of guest experts discuss property investment, success & money related topics. Subscribe now, whether you're on an Apple or Android handset.
Need help listening to michael yardney’s podcast from your phone or tablet?
We have created easy to follow instructions for you whether you're on iPhone / iPad or an Android device.
Prefer to subscribe via email?
Join Michael Yardney's inner circle of daily subscribers and get into the head of Australia's best property investment advisor and a wide team of leading property researchers and commentators.