In this day and age, is it realistic to believe that anybody who sets their mind to it can become a millionaire? Smart strategies right out of the starting gate will get you ahead, and persistence will help push you over the line — but you won’t make it to millionaire status no matter how hard you try if you’re still caught in any of these financial traps.
1. You avoid risk. Steady, predictable growth over time is the foundation of any smart financial plan, but real growth depends on stretching — your ideas, your income opportunities, and your investments. Everyone’s comfort level is different, but the road to wealth is paved with at least some degree of risk.
2. You spend more than you make. Even the smartest purchases and investments will hold you back if they keep you in a constant state of debt.
3. You don’t pay yourself first. Everybody’s heard stories about the humble working-class man or women who lived a life of apparent hardship only to leave behind a hidden fortune. Save before you spend, every single time.
4. You spend too much for a house you don’t need. Owning a house can be a wise investment, but don’t be tempted to buy more than you need or can comfortably pay for. The mansion comes later, not first.
5. You neglect your health. Health problems are one of the classic financial monsters known to wipe out a lifetime of planning. Take care of yourself now to avoid catastrophic needs tomorrow.
6. You don’t set goals. A worthy goal deserves a worthy strategy, with smart goals for your ideas, your work and your money. Make a budget; even the loftiest financial plans must be supported by a solid, day-to-day plan.
7. You don’t work for it. Don’t be distracted by puttering your time and energy away on things that take you away from what you truly want. Becoming a millionaire calls for dedication and passion. Work for it!