I will be your next door millionaire!
Hi Friends! First of all, let me wish all of you a happy and prosperous Chinese New Year! Don't worry about what people say or predict what this year's going to be like. I heard so much rubbish, like those born in the Year of the Horse will have a difficult year, on the 4th of Feb, you will know what the whole year's going to be like based on what happened on that day (4th), bla bla bullshits... and what nots, even things like, to overcome your difficult year, you must wake up from the East of your bed, bla bla bullshits... No offence to those who believes in these things but don't you think it's a bit ridiculous to base your future and prosperity on these "predictions" and superstition? Oh well, I, for sure, am not going to dwell on these things but rather place my trust in the God who supplies all good things, and fulfills all my needs and dreams, regardless of what the world says or "accurately predicts".
That was not supposed to be the intro to my post, but dunno why I got into it... LOL
Actually, I want to summarize a book that I have just finished - "The Millionaire Next Door". Oh NO... it's 4:44pm already! I better go run my 10 rounds, and then get ready for my first reunion dinner with my darling's family.
I will continue this post later... Ciao!
*******************************
PART TWO
Hi again! Yup, just got back from the reunion dinner, and it was good... hee hee hee... Getting to know her relatives didn't seem so difficult or scary after all... And the food was good! Not to mention the champagne, vodka, red wine, Sheridan, dunno what else!!! LOL and nope, I didn't get drunk... ;P
Ok, ok... I almost forgot my purpose of this post!
Now, just to summarize the main points about becoming a millionaire:
1. WEALTH is not the same as INCOME. If you are in a great paying job, but spend all your salary, you are not rich or wealthy. YOU ARE JUST LIVING HIGH. Wealth is what you ACCUMULATE, not what you spend.
2. Live well below your means.
3. Allocate your time, energy and money efficiently, in ways conducive to building wealth.
4. Believe that financial independence is more important than displaying high social status.
5. You don't need Economic Outpatient Care (EOC) from your parents.
6. Your adult children are trained to be economically self-sufficient.
7. Be proficient in targeting market opportunities.
8. Choose the right occupation.
9. Building wealth takes DISCIPLINE, SACRIFICE and HARD WORK.
10. Stay in the same house (you purchased) for more than 20 years.
11. Invest 21% of earned income.
12. The higher your education status, or the more you study, the higher your chances.
13. Work between 45 - 55 hours per week (that's 11 hours per day for a 5-day week).
14. Many so-called "rich" people have little or no investments, appreciable assets, income-producing assets, common stocks, bonds, private businesses, etc.
15. Multiply your age times your realized pretax annual household income from all sources except inheritances. Divide by 10. This is what your net worth should be.
16. If your ACTUAL net worth is EQUAL to the calculated net worth in point 15 above, then you are an Average Accumulator of Wealth (AAW).
Prodigious Accumulator of Wealth (PAW) = AAW X 2
Under Accumulator of Wealth (UAW) = 1/2 of AAW
The more you are a PAW, the faster you'll be a millionaire.
The more you are a UAW, the more likely you are a habitual high-spender, and spend all or more than what you earn.
17. Self-employment is a MAJOR positive correlate of wealth.
18. It is unfortunate that some people judge others by their choice in foods, beverages, suits, watches, cars, etc. To them, superior people have excellent tastes in consumer goods. But it is easier to products that denote superiority than to be actually superior in economic achievement. Allocating time and money in the pursuit of looking superior often has a predictable outcom: inferior economic achievement.
19. Wealth is rarely gained through the lottery, with a home run, or in a quiz show fashion. But these are the rare jackpots that the press sensationalizes.
20. Most people will NEVER become wealthy in one generation if they are married to people who are wasteful. A couple cannot accumulate wealth if one of its members is a hyperconsumer.
21. Budgeting and planning are the foundation stones of wealth accumulation.
22. It is easier to build wealth if you don't live in a high-status neighbourhood.
23. If you're not yet wealthy but want to be someday, NEVER purchase a home that requires a mortgage that is more than twice your household's total annual realized income.
24.
Hi Friends! First of all, let me wish all of you a happy and prosperous Chinese New Year! Don't worry about what people say or predict what this year's going to be like. I heard so much rubbish, like those born in the Year of the Horse will have a difficult year, on the 4th of Feb, you will know what the whole year's going to be like based on what happened on that day (4th), bla bla bullshits... and what nots, even things like, to overcome your difficult year, you must wake up from the East of your bed, bla bla bullshits... No offence to those who believes in these things but don't you think it's a bit ridiculous to base your future and prosperity on these "predictions" and superstition? Oh well, I, for sure, am not going to dwell on these things but rather place my trust in the God who supplies all good things, and fulfills all my needs and dreams, regardless of what the world says or "accurately predicts".
That was not supposed to be the intro to my post, but dunno why I got into it... LOL
Actually, I want to summarize a book that I have just finished - "The Millionaire Next Door". Oh NO... it's 4:44pm already! I better go run my 10 rounds, and then get ready for my first reunion dinner with my darling's family.
I will continue this post later... Ciao!
*******************************
PART TWO
Hi again! Yup, just got back from the reunion dinner, and it was good... hee hee hee... Getting to know her relatives didn't seem so difficult or scary after all... And the food was good! Not to mention the champagne, vodka, red wine, Sheridan, dunno what else!!! LOL and nope, I didn't get drunk... ;P
Ok, ok... I almost forgot my purpose of this post!
Now, just to summarize the main points about becoming a millionaire:
1. WEALTH is not the same as INCOME. If you are in a great paying job, but spend all your salary, you are not rich or wealthy. YOU ARE JUST LIVING HIGH. Wealth is what you ACCUMULATE, not what you spend.
2. Live well below your means.
3. Allocate your time, energy and money efficiently, in ways conducive to building wealth.
4. Believe that financial independence is more important than displaying high social status.
5. You don't need Economic Outpatient Care (EOC) from your parents.
6. Your adult children are trained to be economically self-sufficient.
7. Be proficient in targeting market opportunities.
8. Choose the right occupation.
9. Building wealth takes DISCIPLINE, SACRIFICE and HARD WORK.
10. Stay in the same house (you purchased) for more than 20 years.
11. Invest 21% of earned income.
12. The higher your education status, or the more you study, the higher your chances.
13. Work between 45 - 55 hours per week (that's 11 hours per day for a 5-day week).
14. Many so-called "rich" people have little or no investments, appreciable assets, income-producing assets, common stocks, bonds, private businesses, etc.
15. Multiply your age times your realized pretax annual household income from all sources except inheritances. Divide by 10. This is what your net worth should be.
16. If your ACTUAL net worth is EQUAL to the calculated net worth in point 15 above, then you are an Average Accumulator of Wealth (AAW).
Prodigious Accumulator of Wealth (PAW) = AAW X 2
Under Accumulator of Wealth (UAW) = 1/2 of AAW
The more you are a PAW, the faster you'll be a millionaire.
The more you are a UAW, the more likely you are a habitual high-spender, and spend all or more than what you earn.
17. Self-employment is a MAJOR positive correlate of wealth.
18. It is unfortunate that some people judge others by their choice in foods, beverages, suits, watches, cars, etc. To them, superior people have excellent tastes in consumer goods. But it is easier to products that denote superiority than to be actually superior in economic achievement. Allocating time and money in the pursuit of looking superior often has a predictable outcom: inferior economic achievement.
19. Wealth is rarely gained through the lottery, with a home run, or in a quiz show fashion. But these are the rare jackpots that the press sensationalizes.
20. Most people will NEVER become wealthy in one generation if they are married to people who are wasteful. A couple cannot accumulate wealth if one of its members is a hyperconsumer.
21. Budgeting and planning are the foundation stones of wealth accumulation.
22. It is easier to build wealth if you don't live in a high-status neighbourhood.
23. If you're not yet wealthy but want to be someday, NEVER purchase a home that requires a mortgage that is more than twice your household's total annual realized income.
24.
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