Guest author Benjamin Beckwith discusses Millionaires and wealth creation.
Wealth doesn’t come to anybody easily. How much wealth you’ll have to manage in your life depends on the hard work you do. The more you’ll work towards managing your financial obligations, the stronger your chances of accumulating wealth will grow. This is the basic strategy that every frugal millionaire follows by heart.
Being a frugal millionaire - Too demanding?
You can find lots of books and tutorials which claim to teach numerous ways to become a frugal millionaire. Do you really feel that all of these tips available in the tutorials can help you in any way? Todd Tesidder, founder of the firm Financial Mentor, doesn’t feel so. According to him, no tips or suggestions will be able to help until you adapt a responsible attitude. Along with the responsible attitude, it’s important to follow the frugal ways of living also. Only after that can you accumulate enough to become a frugal millionaire.
Achieving this goal isn’t tough, but it can be time-consuming. Of course you need to follow the right path with patience and determination, that’s all.
The philosophy working behind frugal millionaires
Financial success isn’t that easy to achieve. First of all, it’s important to understand the philosophy working behind ultimate financial success.
Thomas J. Stanley, the experienced financial author specializing in the topic of frugal millionaires, has stated in many of his articles that frugality and modesty are two common traits inherent in frugal millionaires. Are these two traits in you too? If yes, then it’s time to put these traits to good use and work hard to join the league of frugal millionaires. You may have to work even harder if frugality isn’t what you generally believe in. This is extremely important to think and live frugally for wealth accumulation.
So, learn the basics of frugality first. Almost 70% of the economy is dedicated to consumer spending. Spending is the way of life. Still, restricted behavior is a must to avoid wastage.
Go through biographies of frugal millionaires and get an idea about the right financial management. Amongst the whole population, only 2% are millionaires. To reach that 2% section you need to fulfill some basic requirements. Most of the frugal millionaires follow the strategies like debt elimination, responsible expense management and humble lifestyle.
The basic difference between a millionaire and a frugal millionaire is generosity. So, living a simple and generous life will help to manage money efficiently.
Derek Sivers, who achieved huge success as a frugal millionaire, believes that being debt-free has made it possible for him to achieve his financial goals. You must follow his philosophy to make a positive difference to your life too. Make it a point not to waste your resources by living lavishly; rather, use your money to pay off your debts as soon as possible. This will free you effectively from your financial obligations.This is the most important rule that almost 90% frugal millionaires follow.
Admiring quality over quantity.
Have enough clothes to wear? So, you may stop shopping for clothes for a while. Use first what you already have in store. Opt for a fuel efficient second-hand car rather than any branded car. Don’t make it a habit going to restaurants every now and then. Enjoy home cooked food with your family and friends. These things are actually part of budgeting.
Another frugal millionaire Matthew Tuttle believes budgeting is all about a set of mind. Budget may decrease your financial worries, but it’s important to follow it without any fail.
Being a frugal millionaire is definitely not rocket science. Anybody can secure a place amongst the frugal millionaires by living an ideal and generous life. It’s all about how you inspire yourself to acquire wealth and become a do-gooder too. So, get the right inspiration to get yourself going as a frugal millionaire.
In addition to inspiration, a financial advisor who understands, respects, and appreciates your attitudes toward money can also help you to achieve your financial goals. Consult Millionaire Corner’s exclusive “Best Financial Advisors” search service to find an advisor who is a good fit for you.
About the Author: This article has been put forward by Benjamin Beckwith. He is a prolific writer and contributes his articles to different financial blogs, communities and websites.