Who Wants to Be a Millionaire

Posted on Friday, March 1, 2013 by sccl_smart_investing

The Millionaire next Door The Millionaire next Door

This title completely debunks the ideas most people have about what it means to be rich.

The guy in the Amosu suit driving a Lamborghini is probably broke. The ordinary looking guy in the reliable automobile is probably the millionaire. Why? People who have spending habits that lead them to buy the flashy things rarely are on a path to financial success.  Many folks earning high incomes are not rich failing to accumulate any lasting wealth the authors warn. They live hyperconsumer lifestyles, spending their money as fast as they earn it. In order to accumulate wealth, to become rich one must not only earn a lot (play “good offense”, according to Stanley and Danko), but also develop frugal habits (play “good defense”). Most books focus on only one side of the wealth equation: spending less or earning more. It’s refreshing to read a book that makes it clear that both are required to succeed.

The book backs up insights like these with extensive interviews and research, creating a fascinating and eye-opening study of what wealth actually looks like.

Tagged: Danko, William, millionaires, money psychological aspects, rich people, stanley, Thomas, Business and Money