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How to Become a Millionaire?

By MicaR | Online Venture | 23 Apr 2024


Disclaimer: This is not click bait, instead an honest analysis of the topic. In this short article, I am trying to discuss how likely is for an everyday person to becoming a millionaire.

Do You Know Why You Are Poor?

Do you know why you are poor? Because you have been taught wrong things about money. Here is a line from the Holy Bible...

For the love of money is the root of all evil (1 Timothy 6:10)

You have never been taught to love money, you were brought up with the wrong moral standards that money is evil.

Well, money is not evil, in fact, money s the best thing that mankind has invented because the invention of money allowed people to work, the possibility to improve life by working and making money allowed the human civilization to progress, earning money made human being more energetic, productive and creative.

Money becomes evil only when it is held by evil. Let me exemplify this with another analogy. Fire is mankind’s greatest discovery, however, throughout the history of human civilization, nothing has caused more damage than fire. But can you say that fire is mankind’s worst discovery?

If a fire was never discovered, human beings would have never made it this far. Therefore you cannot blame fire for the destruction. The same goes with money, if money was not invented humankind would have never progressed.

What actually matters is what you do to make money and how you use money. You need to use the money for the greater good.

Why Poor Are Getting Poorer and Rich Are Getting Richer

Do you realize there is an unequal distribution of wealth?

According to a report, “50 percent of the world's net wealth belongs to the top 1 percent; top 10 percent people hold 85 percent of world’s wealth and the bottom 90 percent holds 15 percent of world’s net wealth; 97 percent of the total world’s wealth is under the possession of world’s top 30 percent.”

"The rich get richer and the poor get poorer" is a statement by P. B. Shelle, an English Poet. However, this is also true from a modern perspective. During the Covid Pandemic, it was reported that the rich got richer, whereas the poor got poorer.

This fact points out another interesting discussion. Is it a crime to become rich?

Communists hated personal wealth, and they said wealth should belong to the state and everyone should remain equal. However, after years of practice, a Communist country like China has allowed personal wealth. There are billionaires in China, take Jack Ma for example.

If you look at the people who have made money, you will see most of them are first-generation billionaires and billionaires, which means they made money, they did not inherit from their parents. How did they manage to make so much money?

How to Become Rich?

Job or freelancing can never make you rich. You can become rich through investment, however, you need a lot of money to make n investment. However, by starting a business you can easily build your wealth. Now, you might ask, you need money to start a business. Well, you need money for your business, however, there are a lot of business methods that are absolutely free to start.

There are only two ways to become rich, one, you start a successful business, and two, you invest in the market (stocks, real estate, equity, etc.) In order to make money from a business, you need knowledge, skills, money, hard work, and a little bit of luck. However, investing has the potential to make you wealthy without any requirement of knowledge and hard work. Generally speaking, there are two ways to become wealthy through investment:

Invest a large sum of money, which will quickly multiply,

Invest a small amount and invest regularly for a long time, for example, you invest $100 every month, increase your investment by 10-120 percent every year, and continue to invest for 10-15 years. Your investment portfolio will grow and you will make a lot of money in the long run.

Depending on your resources, you can use one of these methods. No matter what methods you are using, you must compound your profits in order to grow your wealth.

Business can also lead you to financial success, however, you must create products that will take the world by storm (Bill Gates created Windows). If you want to start a business, study successful businesses and their products.  Some companies, for example, Apple, have grown large with only one product, whereas other companies, Samsung for example, have produced a lot of products to become big.

Is There a Secret to Become Rich?

In order to build your wealth, you need to understand a couple of things.

If you are trying to make money through investment, you need to invest in the right company, the right business, and the right stocks. How do you do this? Warren Buffet has the best advice. Don’t look for the right time to buy stocks or invest, just invest some money and see how your money performs. If your investment starts performing well, invest more money, otherwise walk out and try something else.

If you are trying to make money with a product, find a product that is not yet available in the market, and create that product. Or find a gap in the market, and start filling that gap.

A lot of people believe that rich people have secrets that they keep to themselves to become rich that they don’t share with other people. That’s why the rich become richer, and the poor become poor.

While it is true that rich people are becoming richer and poor people are becoming poorer, rich people are not keeping any secrets, everyone can read about rich people, and see what they are doing and how they are becoming richer.

Has Warren Buffet kept a secret about how he became rich? Has Jeff Bezos kept a secret about what he is actually doing to become rich? If you really want will not you find out how Elon Musk became the world’s richest man?

The second and third generations of rich people are rich because their father and grandfather were rich, however, the first generation of rich people became rich on their own.

You can see a lot of common factors in these people. They are extremely talented people and they started early. Becoming rich is also about working hard. The rich people you see have worked extremely hard to be where they are now.

While you might not be a genius and might not be able to create a product or service that could make you very rich but you can of course build your fortune if you learn from successful people.

6 Steps to Build Fortune

If you want to build a fortune and become rich, here is how you can do it. You will find at least one of these ideas useful

Start a business and then sell it: Little bit of research, a little bit of investment, and intense marketing will make your business grow. Once it grows, sell it and get away with your money. Then start again to build another business.

Save and Invest: No matter how much you earn, try to save at least 20 percent of your income. Then use your savings to invest in various markets.

Add Value: If you are in the business line, your business needs to provide value to keep generating revenue. You will also have to add value to yourself by building knowledge, skills, and expertise that can be monetized.

Make Smaller Goals: If you make big goals in life, your goal might be a far cry, and you might drop in the middle, however, if your goals are smaller, they are attainable and you will reach your bigger goal sooner.

Time Management: Don’t waste your time, use your time in the best possible way, and use it for productivity and creativity.

Give up your bad habit: Make a list of your bad habits, and eliminate these from your life. Your bad habits might be laziness, impulsive buying, wasting time, etc. Get rid of these habits.

How to Become Rich According to Robert Kiyosaki

Robert Kiyosaki is an American businessman and author (his famous book is called Rich Dad Poor Dad). Kiyosaki has a company called the Rich Dad Company that provides personal finance and business education.

Once when a reporter asked Kiyosaki, “How to become Rich?” his answer was very simple, “I burrow money and buy assets with the money I burrow.”

According to Kiyosaki, a poor person borrows money and buys liabilities with it such as cars, houses, etc. thus they get poorer and poorer.

Through his videos and books, Kiyosaki teaches how to manage cash flow, how to build assets and become financially free.

You work hard, you save money, and you spend your savings on liabilities. Instead of spending on liabilities, you should be using your money to invest, and buy assets.

Instead of saving money in the banks, you should get a loan, build a business and build your fortune with the burrowed money. Well, you will have to pay back the loan, but you will be paying with the money you made by using the bank’s money.

If you work hard to make money, you will end up paying a lot of taxes, but if you build your income on a business or investment portfolio, you will pay lower taxes.

How to Become a Millionaire?

 

Three Ways You Can Become a Millionaire

Everyone wants to have a lot of money so that they can live their life comfortably, or even lavishly. Here are three ways to become a millionaire:

Inheritance:  You can become a millionaire if your parents are millionaires by inheriting your parents’ wealth.

Divorce settlement: You can become a millionaire if you divorce your millionaire spouse. This is mostly applicable for women but sometimes men can also receive in divorce settlement if the women are richer.

Business and Investment: If you want to become a millionaire on your own, you will have to work really hard, save a lot of money, invest your savings or use your savings to start a business and compound your profits. For you to become a millionaire through this method, your investment and business need to work for you.

Is It Easy to Become a Millionaire?

If applicable, the first two methods are easy. The third method also sounds very simple, however, it might not work for a lot of people. To become millionaire on your own, you need to save a huge percentage of your income for a long time so that you can have money to invest in the market or invest in your business. To save a lot of money, you will have to cut your expenses heavily, and sometimes even your necessities. If you are not making much, saving a lot of money is simple. When you start investing or create your business, your investment and business should also give you a good return. While business is not easy to manage and not all can create a profitable business, investment can work if you can identify profitable assets and diversify your portfolio.

How to Become a Millionaire Through a Job?

Can you become a millionaire through a job? Absolutely! If you don’t believe me check income and net worth of CEOs, CFOs, managers and other higher position in major companies. However, not everyone can reach there as you need to be very qualified. Does this mean, it is not possible for an average job older to become a millionaire? Well, if you can save every month and if you use your savings to invest, and invest for a long time, you can become a millionaire in 15-20 years.

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MicaR
MicaR

Web Designer and Content Creator


Online Venture
Online Venture

A blog on Business, Finance, and Making Money Online. The blog offers useful and interesting articles on how to start and run a business and how to make money online.

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