Aug 29 2008
10 Things Millionaires Won’t Tell You
Smart money wrote a great article that was forwarded to me yesterday. In 10 Things Millionaires Won’t Tell You they debunk several myths. It is verry millionaire next door and shows how much millionaires are like you and I.
Several things jumped out at me:
- Most got rich by owning their own business.
- They still display financial responsibility and don’t like to overpay.
- They spend money on what matters. While some spending is for pleasure most is to grow their wealth.
- It is all relative. To you and I $1M may be a lot of money. To millionaires it just means they don’t make enough to join that elite country club. And just because they make more than the Joneses doesn’t mean they aren’t competing with the Hiltons!
- Ownership doesn’t matter, control of assets does.
- The top 1% may pay 40% of the total income taxes, but their business deductions tend to drive down their total tax bill.
- Money may not buy happiness but it sure does make it easier!
- Education is important but hard work is vital. Also, Ivy League educations are not what made them rich.
- They use personal concierges and assistants. This is something I need to research!
One thing I disagreed with is “You don’t get rich by being nice.” Being friendly and having common courtasy is critical for sucess and business. In fact, most sucessful and rich people I know are also the most friendly and helpful.
Just because you are nice doesn’t mean you are a pushover. A more accurate statement would be “You don’t get rich by being a sap.”
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[...] and Wisdom spills the beans in “10 Things Millionaires Won’t Tell You” I think his list it pretty true-to-life. ‘Course, I don’t know any millionaires, [...]
I disagree with the “you don’t get rich by being nice statement” as well. This is only anecdotal, but the millionaires I’ve met – just like in your experience – have been incredibly nice.
@Big Winner-That is my experience as well. My day job has me meeting with executives on a regular basis. What I have found is that they are more considerate the further up the food chain. Just don’t waste their time. If you do they will pull your access immediately!
One thing to note is that even though they are friendly and considerate they are not afraid to be blunt. I never have to guess where I stand because they will tell you in a heartbeat. I think this ability to make tough decisions and do the right (but often hard) thing is what makes it look like they aren’t nice. That and the few exceptions that are jerks!
[...] and Wisdom spills the beans in “10 Things Millionaires Won’t Tell You” I think this list is pretty true-to-life. ‘Course, I don’t know any [...]
[...] and Wisdom spills the beans in “10 Things Millionaires Won’t Tell You” I think this list is pretty true-to-life. ‘Course, I don’t know any [...]
[...] and Wisdom spills the beans in “10 Things Millionaires Won’t Tell You” I think this list is pretty true-to-life. ‘Course, I don’t know any [...]
Excellent article. I especially like, “It is all relative”. It’s that the truth. The rich work just as hard or harder than most of us.
@Curt-Thanks for the comment. It’s been a while since I last heard from you!
I found it interesting how many things the rich do like us, they just do it more consistently. For example, they tend to be frugal. While they do spend more than the average Joe they tend to make better purchases and avoid consumer debt.