How to Become the Millionaire Next Door
Kay Duncan
Copyright 2011 by Kay Duncan
Smashwords Edition
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Table of Contents
Chapter 1 Ego
Chapter 2 Purchase well. Sell smart.
Chapter 3 Focus
Chapter 4 Be Yourself
Chapter 5 Pretentiousness
Chapter 6 Pettiness
Chapter 7 Snobbery
Chapter 8 Clothing
Chapter 9 Confidence
Chapter 10 Entrepreneur
Chapter 11 Opportunity and tenacity
Chapter 12 Spouse
Chapter 13 Transportation
Chapter 14 Budget
Chapter 15 Never enough money
Chapter 16 Credibility
Chapter 17 Integrity
Chapter 18 Bottom line
Chapter 19 Humility
Chapter 20 Selfishness
Chapter 21 100% business partners
Chapter 22 Financial status
Chapter 23 Insecurity
Chapter 24 Education
Chapter 25 Where the money is
Chapter 26 Attitude
Chapter 27 College
Chapter 28 Mechanics
Chapter 29 Classic cars
Chapter 30 Food
Chapter 31 Instant gratification
Chapter 32 Marriage
Chapter 33 Ask
Chapter 34 Persistence
Chapter 35 Location, location, location
Chapter 36 Too good
Chapter 37 Other people’s opinions
Chapter 38 Respect
Chapter 39 Spending habits
Chapter 40 Pride
Chapter 41 Choices
Chapter 42 Seduction
Chapter 43 Respect
Chapter 44 Shop slowly
Chapter 45 Junk
Chapter 46 Value of money
Chapter 47 Credit
Chapter 48 Financial stability
Chapter 49 Keep control
Chapter 50 Desire
Chapter 51 Sex drive
Chapter 52 Believe
Chapter 53 Crabs in a bucket
Chapter 54 Prejudice
Chapter 55 Within your means
Chapter 56 Copy
Chapter 57 Safety and protection
Chapter 58 Addictions and depression
Chapter 59 Losses
Chapter 60 Time value vs. money value
Chapter 61 Simplicity
Chapter 62 Greed
Chapter 63 Business change
Chapter 64 Organization
Chapter 65 Mortgage
Chapter 66 Bottom to top
Chapter 67 Jealousy
Chapter 68 Pace
Chapter 69 Plan
Chapter 1
Ego
Ego is the single worst enemy of any person who wants to become a millionaire.
You can become financially successful when you understand the methods of attaining and more importantly keeping wealth.
More than seven million United States households presently have a net worth of over one million dollars excluding the primary residence. Most of that wealth has been created within the last decade due in part to a strong economy.
Investment researchers predict the millionaire march will continue by fifteen percent annually.
You will be glad to hear that it is not rocket science. It is actually easier to become the millionaire next door than you could ever begin to imagine.
The secrets are simple.
You do not have to make certain that every person who meets you on the street knows that you are making money. You need not be arrogant or pretentious to make money. You do not have to drive the most expensive vehicle, wear ridiculously expensive designer clothing, or in any way flash your wealth.
It will be due in part to this lack of arrogance and pretentiousness that you will be able to become the millionaire next door. It is also why you will remain solvent while some of your friends will sadly go broke.
Ego is the single worst enemy of any person who wants to become a millionaire. You ask, “Why?”
Because arrogance is only preceded by ignorance.
This one principle can cause you to be your own worst enemy and prevent you from attaining the goal of becoming a millionaire.
You cannot allow your ego to be too big for your own financial good by spending what you cannot afford to pay for with cash.
You do not have to brag that you make a killer living, spend money like it grows in the backyard garden and flaunt that you do not want to be seen at the flea market. If you are guilty of any of these or pretending that you are a big money maker, then you are letting your ego speak loudly for you. Your ego is leading you around by the nose directly to being stone cold broke.
It is not necessary to give the impression that you are dripping in money. Most people are smart enough to figure out if you are trying to keep up with the Jones.
Here is a surprise for you--the Jones you think are millionaires are probably not millionaires.
It is a mistake to attempt to keep up with the Jones and support an expensive lifestyle you cannot afford.
Do not attempt to support a lavish lifestyle.
You do not have to eat at the most expensive restaurant in an exclusive area of town or buy at high price clothing boutiques.
It is not necessary if these things are far out of your reach. This is especially true if you are putting your purchases on credit when you have little if no money in savings.
Without having money in savings you will not be able to produce that incredible idea you come up with that could become a potential big time moneymaker or go into business for yourself.
Producing a product from concept to finished marketable product requires money.
Nine hundred dollars in savings is hardly enough to invest in marketing a new product.
You will have to save your money.
Do not let your ego talk convincing your friends that you have a huge bulk of money in savings when in reality you are not a saver, but rather a spender who many times spends more than you can afford. You cannot bury your responsibility and continue to spend way beyond your expendable income level.
The sole purpose of ego spending is to impress others. It is putting on the dog and the truth is you will not impress anyone.
Do not allow your ego to become your single worst enemy without realizing it.
People who have real hard money do not feel the need to impress. They know they have money. They do not let their egos drive them to arrogantly display their wealth. That is a sign of insecurity.
Do not look up to anyone who spends money unwisely.
There is the false notion that others look up to people who presumably have money. Do not let this drive you. It is okay to have the desire to have other people look up to you.
Used incorrectly it can take you directly into the poorhouse when you should be the millionaire next door in the prime of your life.
Chapter 2
Purchase well. Sell smart.
You will need to learn how to purchase well and sell smart. Learn to be a wise spender and budget your money.
Look up to those people who are wise spenders and try to learn from them. They can teach you.
This wise-spender mentality has nothing to do with the amount of money a person has in the bank, but rather everything to do with not spending yourself broke. You can have millions pass through your fingertips and spend yourself into the poorhouse by being irrational with the way you spend your money.
Just because you have money in the bank does not mean you have to spend down to the last dime. You have to learn there is a line to be drawn in the amount of money you will allow yourself to spend.
You know it as budgeting.
Any time you buy something you need to make certain that you are getting the absolute best buy for your money. This means you must research the price. Your goal is to attempt to purchase with the idea that if you had to sell the item you could at least get out of it what you paid for it or, even better, you would be able to make a profit on it should you decide to sell it.
If you decide to buy a pair of wave runners, be aware that brand new a single wave runner may start at approximately ten to fifteen thousand dollars. A new pair means you will be looking at approximately twenty to twenty-five thousand dollars not including the dual trailer, life jackets, saddle bags, and other paraphernalia to go along with the purchase. You will be looking at a total purchase of around twenty-five to thirty thousand dollars.
When you hear monetary figures let your ears perk up. You should be thinking that is a lot of money to spend for equipment for entertainment purposes, especially for something that will be rarely used. If so, you are thinking exactly along the lines that the millionaire next door thinks.
Those with egos will be thinking that they are too good for anything but the absolutely most expensive brand new wave runners. It is all about the fact that others will see them and they have to make it look like they can afford the best. More power to them as we watch them finance their prize possessions only to watch those possessions lose huge value the minute they are driven or pulled off the lot.
Are you laughing now? If not, you should be. If it sounds like yourself, hopefully you are on a quest to change and become the millionaire next door.
If you have the money to pay cash for a new pair of wave runners, you should only be looking at new wave runners, trailer, and gear to price shop. You should not even take it under consideration to purchase new. Your goal is to settle on a pair of used wave runners evenly matched with trailer and gear for a price that when you decide to sell you get exactly what you paid if not more.
This is smart purchasing.
The goal is to try to purchase the item after the initial drop in price like the loss that a new vehicle takes the minute it is driven off the lot.
There is nothing wrong with purchasing used.
Millionaires purchase used yachts, used wave runners, used sailboats, etc. The list is endless. They sell those same items for more than the purchase price two and three years later.
When you purchase something, purchase it with the thought in mind that you may have to or you may decide to sell it and if you do, you will need to at least get your money out of it and hopefully get more than you paid for it.
That is precisely the nature of the deal and exactly what will make your money expand into millions rather than diminish.
If a piano dealer offers you $1,200.00 for an antique player piano that you paid $100.00 for, consider selling it unless you sincerely wish to learn to play the piano on it.
Anything you own should be for sale at the right price.
As long as you are being offered enough money that you are willing to part with your belongings, sell, sell, sell.
Chapter 3
Focus
Your focus is wrong if you are comparing your financial status and buying what others have.
Stop drooling over what everyone else has, comparing your financial status to those you know and purchasing just so you can have what someone else owns.
This can be detrimental in your quest to becoming a millionaire. Your focus is wrong. There is nothing wrong with wanting what everyone else has. It is okay to want it, just not to the point that you place yourself in financial jeopardy by buying what you cannot afford.
If the truth were known about everyone else’s finances around you (you know the ones you think are wealthy) you would soon discover the majority of them are living on borrowed money. Their beautiful extravagant homes are mortgaged, their brand new expensive cars are leased, and their credit cards are used extensively which means they are paying unnecessary high interest. They are not as rich as they appear. Their bottom line is bright red. That is the fact behind the financial facade that most of these people display. Do not get caught up in those trappings or you will never become a millionaire.
Instead you must buy what you can afford, meaning what you can pay cash for. You must buy when you can afford it meaning again, --when you can pay cash for it.
It is not that difficult to do. It does not matter how bad you want a new car or a bigger home. If you want to become a millionaire you have to get with the millionaire program.
You must do without the things you want and purchase the things you need.
You “want” a candy bar. You do not “need” a candy bar. This is such a perfect example in a small way that can be compared to the large things you think you need when in reality it is the things you want, not need.
There is a major dollar difference between the things you want and the things you need. This difference can be the fine line between whether or not you become a millionaire.
Consider doing without a second vehicle even if you have the money to buy a vehicle. You may be able to pay cash for a vehicle. With the amount of money you have in the bank, consider carefully whether or not you can be comfortable spending it on a vehicle. You may find that after second thought you are more comfortable leaving your money in the bank.
Let the “what ifs” cruise through your head of how easily you could be in financial trouble if you part with your cash to buy a vehicle.
It may not be the easiest route for you. It may mean your spouse will have to wait to go the store. It may mean that your friends might think you are unable to afford a second vehicle. Do not let it matter in the least what others think. You will know the truth about your financial status. That is all that is important in accomplishing your goal to be a millionaire.
When you must make a need purchase make it an informed purchase.
If you have to purchase boots for your child’s school trip to a cold climate, shop until you know you are getting the best buy for your money. Compare sales flyers and ask the manager to match another store’s lower price for the same or like pair of boots. Do not let it matter to you whether or not the manager thinks you are or will become a millionaire, just get the best buy for your money on every penny you spend.
Chapter 4
Be yourself
Never let what other people might think deter you from becoming a millionaire.
This is a classic mistake many people make. It is easy to become ensnared in trying to keep up a financial appearance for everyone else around you. Do not do it.
Do not buy anything to show off. That means nothing, whether it is designer clothing, a brand new car or an apartment or house that is not well below your financial ability whatever it may be. You know what it is that tempts you.
We all have those temptations to buy something outrageous. Let it pass and pass on purchasing it. Leave your money in the bank or leave it invested in those items you can return your money on. Spend your money on the important things you need and spend it for you not for anyone else with the exception of spending it on your family’s needs.
Do not rent an outrageous New York high rise apartment that you cannot afford to impress a slew of young women or men you bring over to your pad. Keep the reality behind your façade to appear wealthy in check. You do not need to pinch literal pennies to pay to live in a breathtaking apartment, have no food in your refrigerator and have to go home to your mother’s house in the country to wash your clothes and eat.
Move into a place you can afford, buy a washer and dryer, and stock your refrigerator. Do not consistently present yourself as having a lot of money. The result is you will keep yourself broke. You will also attract the wrong kind of attention from shallow men or women gold-digging for someone with money. The minute they discover the truth they will be out of there and you will be bringing in a new treasure-chasing gal or guy. This scenario will repeat itself constantly until you break the cycle.
Do not put on the dog and present yourself for who and what you actually are and have to offer. You can be wonderful with much to offer without being pretentious. The right man or woman will fall in love with you for all your qualities not your implied money or lack thereof.
Chapter 5