Is being a millionaire really so out of reach?
It will take some time to get there, but according to wealth adviser and Make the Most of Your Money founder and CEO Dominic Aarsen, you can be a multi-millionaire and retire by 60 – if you just take control of your finances early, make some changes to your spending, and get in the right mindset.
So what are the secrets that millionaires already know, but we don’t?
According to Aarsen, here are the four things millionaires do differently:
1. They’re happy to spend money to make money
It’s easy to get caught up in how much it might set you back initially before you get the returns – but the net return is much more important, Aarsen said.
“People stay on track to multi-millionaire status by happily parting with their money where they see value and acknowledge that you pay for quality,” he said.
“This is something your average Joe is wired to think the complete opposite of.”
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2. They know where all of their dollars are
Sharing a personal anecdote, Aarsen said: “A client of mine worth more than $200 million had us call one of the 4 major [banks] because one of his $10 million term deposits was 0.1 per cent
“The key message here isn’t the 10 basis points, but rather the attention to detail that many ‘normal’ people don’t consider important.”
3. They back themselves – completely
Being a multi-millionaire is a combination of risk-taking, backing yourself, and backing the idea or investment even when others are doubting you, said Aarsen.
“Even when the odds are stacked against them, people on their way to multi-million dollar status hold strong.”
4. Ability to delegate and oversee
“It’s about being able to delegate and relinquish some control over their financial life to an expert. The key difference being delegation and not abdication of the management,” Aarsen revealed.
Some of the very best have had to learn tough business lessons the hard way, such as jewellery empress Samantha Wills.
Speaking to Yahoo Finance, she revealed she had never had any difficulty with being creative – but when she found herself $80,000 in debt and five maxed-out credit cards, she realised she needed help.
“I built this empire of a brand, but the business structure just didn’t follow,” she said.
Her fortunes changed when she found her business partner, which helped manage the financial side of the business and left her free to be creative.
“When trust and relationship is built with someone who is hell bent on reaching their financial destination, amazing things happen,” Aarsen said.
“Don’t be afraid to acknowledge your shortcomings and use your intelligence to employ intelligent people to get you into deals and access to things you wouldn’t ordinarily become involved in.”
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