Habits of millionaires are the prerequisite for getting rich. Everyone wants to become a millionaire! Right?
But, a trust fund, inheritance or winning a game show aren’t the typical ways of accumulating wealth. Believe it or not, 80-86% millionaires are self-made. These are the views of Thomas J. Stanely, the famous millionaire researcher.
All self-made millionaires would’ve started somewhere.
Most of their transition from ordinary to millionaire status is because of “Rich Habits.” Thomas C. Corley coined this term. Corley spent half a decade studying the daily habits of 177 millionaires.
“From my study, I identified that daily habits define your success rate in life,” he said. He also adds, “There are a cause and effect about habits. Habits can cause wealth/poverty, good health/bad health, sadness/happiness, etc. His book “Change Your Habits, Change Your Life” which contains all these excerpts is soon to release.
Habits of Millionaires You Need to Have
But there is good news. Changing all habits is possible. Below are some “rich habits” which self-made millionaires practice. And it’s never too late for you to start them:
Habit 1: Consistent Reading
The rich prefer education over entertainment. As Corley mentions, “88% of the rich spend at-least 30 minutes every day reading to self-educate and self-improve. The majority didn’t read for entertainment. They read for acquiring and maintaining knowledge.
Corley found that they mostly read three book types. This includes history, biographies of successful individuals and books on personal development/self-help.
Habit 2: Exercising
As per Corley, “76% of the rich do aerobics for at-least 30 minutes a day.” Aerobics include cardio like walking, running, biking or jogging.
He further adds, “Cardio is not just good for the body, but also for the brain.” It develops the brain cells. Glucose production also increases with exercise. This glucose works as brain fuel. The more fuel your brain gets, the more it develops and smarter you become.
Habit 3: They Socialize with Successful People
Corley writes, “You’re only as successful as the ones you socialize with.” “The rich always seek people who’re enthusiastic, goal-centric and optimist. They’re attracted to individuals who have a positive mentality.”
It’s also important to stay away from negativity. Be it people or influences. Corley stresses: “Destructive, negative criticism will hinder your journey to success.”
Habit 4: They Follow Their Dreams and Goals
“Following your own goals and dreams fetches the greatest happiness and leads to immense wealth accumulation,” Corley points.
Many people make the blunder of pursuing someone else’s dreams. E.g., their parents, or partners. But rich people make their own goals and follow them with passion.
Corley states, “Passion brings fun into work,” Passion gives you the focus, energy, and persistence you need to overcome mistakes and failures.
Habit 5: Early to Rising
Almost 50% of self-made millionaires in Corley’s research woke up 3hrs before their work-hours began.
It’s a tactic to handle inevitable disruptions like traffic, picking up kids from school, etc.
Corley writes, “Such disruptions impact us psychologically. They seep into our subconscious and develop the belief that we don’t have control over life. Hence, rich people wake up early. Through this, they deal with the top 3 priorities of the day and regain the reigns of their life. This instills a confidence that you control your life.”
Habit 6: Multiple Income Sources
“Self-made millionaires don’t depend on a single income source,” Corley writes. Instead, they create multiple avenues. Three appeared to be the magic figure in my research. 65% had at-least three income sources which they made before becoming millionaires.
Examples include real-estate rentals, side business, and stock-market investments.
Habit 7: They Consult with Mentors
Corley says, “Getting a mentor places you on the fast track to accumulating wealth.”
Mentors do more than just impact you in some positive way,” he adds. “They actively and regularly participate in your success by guiding you on what and what not to do. Mentors share invaluable life lessons with you which they learned during their life.
Habit 8: They Are Optimistic
Corley claims, “positive mindset is key to achieving long-term success. In my study, positivity was the symbol of all self-made millionaires.
The issue with most people is that they’re not aware of their thoughts. Be it positive or negative. He further explains, “if you take a break and listen to your thoughts, most of them would be negative. But you’ll not realize this negativity unless you compel yourself to be aware of them. Hence, awareness is the key here.”
Habit 9: They Don’t Have Herd Mentality
Corley claims, “We’re so obsessed to blend in. We want to belong to the herd. And for this, we’ll do anything so that we don’t stand out in the crowd. But, this failure to stand apart from the herd is why many never become successful.”
Successful people make their herd and pull others into it. Corley says, “You want to be different from the herd? Then build your herd. And then make others join it.”
Habit 10: They Have Manners
“Self-made millionaires are masters of etiquettes. And you should master these principles too if you want success,” says Corley.
These include using table manners, eating politely, sending thank-you notes and dressing correctly for occasions.
Habit 11: They Help Others to Move Forward
“Helping other like-minded people succeed in reaching their goals helps you succeed,” writes Corley. “No one becomes successful without a team of success-minded people. The best means to develop your team is offering help to other like-minded people.”
Corley mentions, “You should focus on helping those who’re chasing success, are positive and goal-centric.”
Habit 12: They Devote 15-30min a Day to Thinking
Corley notes, “thinking is the key to them being successful.” The rich think in solitude during mornings, for at least 15min each day.
“They spend time each day brainstorming with themselves on many things,” he adds. The topics vary from charity and health to finances and careers.
They ask questions like, “how to make more money? Does my job satisfy me? What charities can I join? Am I working out enough?”
Habit 13: They Want Feedback
Corley writes, “we fear criticism.” That’s why we don’t seek feedback. But, feedback is critical to learning what is and what isn’t working. Feedback helps you know if you’re following the correct path. Thus, feedback, good or bad, is important for growth and learning.”
Besides, it enables you to explore new business or career options. As Corley mentions, “Feedback gives you the information you need to succeed in anything.”
Not convinced yet?
Supplementary: Most Common Habits of Self-Made Millionaires
The most easily recognizable habit of self-made millionaires is frugality. Rich people allocate their money with great deliberation. They know that “if you’re mindful of the pennies, the pounds will look after themselves.”
Self-made millionaires have the habit of saving regularly and investing from a young age. George Clason is the author of the bestseller “The Richest Man in Babylon.” In his book, he wrote that the key to monetary success is first to pay yourself.” He advises that must save 10% or more of your income. Only after that, should you spend on anything? Plus, this must practice must be followed for the whole life.
Human beings can quickly adapt to nearly any external situation or condition. Hence, try saving 10% of your salary and discipline yourself to survive on the rest 90%. This way, you’ll become adjusted to a lifestyle of living comfortably on the lesser money. In no time, living like this will become a habit, and it’ll stop bothering you. Slowly, start increasing the percentage of savings. Don’t stop until you’re saving at least 15-20% of your income. The difference in living standard won’t even come to your notice because it’ll be so gradual. But, the difference in your financial life would be exceptional.
Common Habit 1: Take Total Control over Your Financial Life
When you build the habit of thinking about your income, you’ll soon start spending less. You’ll start paying off the debts and avoid taking new ones. Plus, you’ll begin delaying expenditures and eventually stop buying unnecessary things.
Meanwhile, the habit of money saving will help your financial account to grow. In one year, you’ll accumulate some hundred dollars. Then, in two years, there would be some thousand dollars. In 10-20 years, you’ll have many hundred thousand dollars. Maybe even a million.
As your financial account grows, develop the habit of contributing every sudden inflow of money. This will make your account grow faster. E.g., if you sell something from your house, or get an IT refund, deposit it in the account. Don’t spend it instantly. This is what unsuccessful people do.
Common Habit 2: Trigger the Law of Attraction
Here’s a fantastic finding. When you start saving money and feel happy about it, these happy emotions infuse some positive energy into your money. As a result, your saved money starts attracting more money. Old friends and relatives will pay you back the debts you had forgotten. You’ll find new ways to earn more money. Ways which never occurred to you earlier. You’ll sell things you held onto for long. And as you add such money to your account, it will build more positive energy. It will then attract even larger amounts of money.
I’d heard about this concept for many years. But, I was always broke. And there was nothing I could do about it. Then, two years after my marriage I started my business. But, as fate would have it, I ran out of money. I had to sell our home.
After shifting to a rented place, my wife demanded $10,000 from the house sale. She took that money and put it in a bank. I didn’t have access to this account. No matter how economically pressed we were, she never spent that money. She called it her security blanket.
Then the most incredible thing happened. We were never broke from that day onward. The business started coming in. The bills were paid on time. Opportunities began coming in. In a few years, we moved out from the rented place and bought a new home.
Common Habit 3: Develop the Habit of Love Saving Money
While we’re growing up, we’re taught to save money from our pocket money. But, as children, we see money as a tool to buy toys and candies. Things which make us happy. Naturally, we start seeing saving as a punishment. Something which deprives us of items of desire. The primary motivation for any human is to avoid pain and move toward pleasure. Hence, most people develop the habit of linking saving with unhappiness and spending with enjoyment. So, when we grow up, this habit turns into our desire to spend money the moment we earn it.
Your task is to reverse the cabling of this habit. You should start associating pleasure with saving and pain with spending.
The law of emotion says, “Any emotion that you dwell upon is likely to grow.” You can relate it to a fire which grows when more fuel is put in it. Hence, the more happiness you feel on seeing your savings grow, the more encouraged you’ll be to spend less. You’ll then save more to grow your account. In no time, rather than worrying about how to pay your bills, you’ll be analyzing the money building in your account.
Corley says, “there are a cause and effect related to habits.” They also impact, sadness/happiness, good and bad health and relationships. Your successful habits, which include the financial habits, have a significant role in life. Hence, be attentive toward them to reap enormous benefits.
Compare the 13 habits of millionaires with your habits. Which ones are you already implementing? Also, find the ones you can quickly adapt. Then, take some action. Position your to-do-list. Start the side business you always wanted to run. Acquire more financial acumen by reading different articles on spending and budgeting. It’s not a guarantee that you’ll become a millionaire. But, who knows you may unlock the potential when you start thinking like a millionaire.