Monthly Archives: May 2018

Budgeting, College, Philanthropy, Saving

Generosity can go a long way

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“Think of giving not as a duty but as a privilege.” John D. Rockefeller

“I believe that it is my duty to make money and use it for the benefit of my neighbors. This is what my conscience tells me.” John D. Rockefeller

“No one is useless in this world who lightens the burdens of another.” Charles Dickens

Every now and then I read stories that just lifts my heart. Recently there have been articles of heroes saving lives and people donating to charitable causes close to their heart. It reminded me of a story I heard about many years ago, but is still very inspiring today.

This article was reported on the front page of the New York Times in 1995:

All She Has, $150,000, Is Going to a University

She may be gone, but her act of charity is remembered. This tweet is from 2017. Ms. McCarty passed away in 1999. Therefore, the good you do is still remembered long after you are gone.

Her name was Oseola McCarty. And here is her story.

MEET OSEOLA MCCARTY

Oseola McCarty was born on March 7, 1908 in Mississippi. As a young child, she had to quit school in order to tend to a sick family member. Quitting school in the sixth grade, she went straight to work as a laundress like her grandmother before her. She would go on to do this for about 75 years. Leaving school was one of her biggest regrets. She wanted to go back, but all the kids in her class had moved on ahead and so she didn’t go back because she wanted to be with her class. She decided to just keep working.

HOW SHE SAVED $150,000

She was never idle. She was working since she was a young child until she retired in 1994. She worked for many years and just put almost every dollar she made into the bank. She learned to save from her mother and kept the habit for life.

The following is what she did over 70 years:

  • She took one short vacation to Niagara Falls
  • She did not travel
  • She did not fly on planes
  • She did not stay in hotels
  • She never owned a car (she walked everywhere)
  • All her immediate family passed away and she never married or had children
  • She had lived alone since 1967
  • She lived in a family home her uncle gave her in 1947 for the rest of her life
  • Money she received from the passing of her mother and aunt went into savings
  • She spent almost nothing and lived very frugally
  • Repaired instead of replaced items for brand new ones
  • Covered her old bible in Scotch tape to keep Corinthians from falling out
  • Cut wholes in her shoes if they did not fit
  • Bought her first air-conditioner in 1992 and only uses it when company comes over
  • Owns one tiny black and white television (that only gets one channel) but she rarely watches
  • She did not retire until she was around 85 years old
  • Keeps her utility bills low
  • Never subscribed to a newspaper because it cost too much (an extravagance)
  • She would pay her bills and deposit the rest of her money (even coins) into savings
  • Over time this grew into $280,000

How she donated her life savings

One day she decided she would gift her money to a local university. Not as a bequest, but immediately as she wanted to be alive to see a recipient graduate from college as he one wish. In July 1995, she would go on to start a scholarship fund to help finance college tuition for students, preferably of African-American descent, who would be unable to attend college due to financial hardship. at the University of Mississippi. When asked why she chose that school, she simply said, because it was close.

A banker at one of her financial institutions assisted her. In 1995, he wanted to help an 87-year-old Ms. McCarty, but was unsure how to assist a woman with a fifth-grade education through estate planning. He came up with the novel idea of giving her 10 dimes, each representing 10 percent of her assets. He gave her five slips of paper to write down the names of the beneficiaries and divide up the coins. She deposited one dime to her church, one for each of her cousins and the last six for a scholarship fund, after setting aside enough money to live on.

She signed an irrevocable living trust and the bank managed her funds while she received a regular check for her living expenses.

WHY SHE DONATED

She decided to give because she knew the importance of education. She had struggled all her life doing manual labor (scrubbing laundry by hand on a scrub board). She did not want that for the younger generation coming up so she gifted them money to help them not have to do what she did and get a degree she was never able to get herself.

FOR EVERY ACTION THERE IS A REACTION

The news hit the media and overnight she went from obscurity to a celebrity. She wanted no monuments or other recognition’s of her selflessness, but they came to her.

Once word spread of what she had done, it spread far and fast. Accolades and recognition for her act of charity in anticipation of her death was almost immediate. Goodness and kindness tend to spread. There was a chain reaction to her charitable action that had people wanting to reciprocate what she had done by also donating. This is what happened over four years:

  • She was honored by the United Nations
  • She received more than 300 awards
  • Contributions poured in from other donations adding almost $330,000 to her gift
  • Ted Turner donated a billion dollars to charity after hearing her act of philanthropy
  • She received the Presidential Citizen’s Medal, the nation’s second-highest civilian award
  • She received an honorary doctorate from Harvard University
  • She carried the Olympic torch through part of Mississippi in 1996
  • In December 1996, hers was the hand on the switch that dropped the ball in Times Square in New York’s New Year’s Eve celebration (also the first time she stayed up past midnight, rode an airplane, and stayed in a hotel)
  • McCarty received the Award for Greatest Public Service Benefiting the Disadvantaged, an award given out annually by Jefferson Awards
  • She was awarded an honorary degree from USM, the first such degree awarded by the university in 1998
  • McCarty was also recognized with an Essence Award and Patti LaBelle sang tribute to her during the ceremony at Madison Square Garden in New York.
  • She even met President Clinton
  • She became an author; she wrote a book called Simple Wisdom for Rich Living, published in 1996

Ms. McCarty gave out pearls of wisdom, if people wanted to listen, but mostly it was common decency and sense she had said. She also said you should know the difference between a need and a want. Just because something is free does not mean you need it. It is okay to turn down something that is free, if you really do not need it. ”There’s a lot of talk about self-esteem these days,” she once said. ”It seems pretty basic to me. If you want to feel proud of yourself, you’ve got to do things you can be proud of. Feelings follow actions.”

It was reported that her home will be turned into a museum.

When asked what she wanted to do with her money right before she donated it, Ms. McCarty replied: “I want to help some child go to college.”

And just in case you were wondering, the recipient of the very first Oseola McCarty award not only met Ms. McCarty in person to say thank you, but she also went to the University of Mississippi and graduated.  Ms. Oseola McCarty also lived long enough to get her wish: to live to see a recipient graduate.

Celebrities and Money, Financial Freedom, Financial Independence, Self-Made Millionaires

3 Rich Habits of Millionaires

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After doing some research on millionaires and billionaires, I have noticed some recurring attributes among them, which include: reading, pursuing a passion, and setting goals.

READ

“The more that you read, the more things you will know. The more that you learn, the more places you’ll go.”

― Dr. Seuss, I Can Read With My Eyes Shut!

Many of the affluent read daily or often. They seem to set aside at least 30 minutes a day for reading. This greatly improves their knowledge of their products, brands, and businesses. When you know what drives the market, then it makes it easier to compete with everyone else. I even read that Marilyn Monroe was also said to be a voracious reader.

I know in my life reading has helped me a great deal. I was able to do better in school, make better informed personal and professional decisions, and increase my investment knowledge.

One of the most successful investors of all time, Warren Buffet, says he reads every day.  Buffet typically spends 80% of his day reading. Here are some quotes from interviews he has done over the years in regards to how to become successful.

THE KEY TO SUCCESS

The CEO of Berkshire Hathaway, when asked once about the key to success, pointed to a stack of books and said, “Read 500 pages like this every day. That’s how knowledge works. It builds up, like compound interest. All of you can do it, but I guarantee not many of you will do it.”

WHAT BUFFET READS?

Warren Buffet starts his days with an assortment of national and local news. The billionaire investor tells CNBC he reads the Wall Street Journal, the Financial Times, the New York Times, USA Today, the Omaha World-Herald, and the American Banker in the mornings.

Even though Buffet reads tremendously, it would mean nothing if he did not retain what he has read. Buffets says that knowledge builds up over time. Here are some tips to remember what you read – take notes, skim the text, read out load – are just a few things you can do to retain what you read.

PURSUE YOUR PASSION OR GIFT

“To give anything less than your best, is to sacrifice the gift.” – Steve Prefontaine

I have always had an affinity for writing. I write pretty much every day. My goals are that my writing helps to plant the seed that inspire people, motivate them, and make them feel good about themselves. Writing about finances is the cherry on top of the sundae for me. And I give it everything I’ve got. No less. When I’m sick. I write. When I’m tired. I write. When I was down to my last $2. Still wrote. I would write down my thoughts, hopes, dreams, and goals. I have crossed off at least 5 items on my 10 year to do list. If it can work for me and countless others, then I know it can for you.

Dreams can come true. You just have to believe and lay down the groundwork. There is no builder of a home that would not first lay down the foundation and then build up. The same goes for life. You do not start in at the top. Otherwise, if you do, you are more likely to have created a house of cards, that can easily come tumbling down.  Like the three little pigs, you want bricks and not sticks or straw. You want something that is concrete. Construct your life blueprint on building or creating something that is solid.

If you can, find a mentor. Mentors help guide and keep people on the right path to succeed. I suggest finding someone who has already done what you want to do successfully and then asking them for advice. You can also read their books or attend their workshops. Either way study their success and see if you can imitate it.

SET GOALS

“Set your goals high, and don’t stop till you get there.” – Bo Jackson

The best advice I have ever read was to write down your goals. I have heard this from numerous celebrities including Beyoncé. She said she would write down her goals; and that she wanted to go platinum and sell a million records. Well, she wanted to be financially secure. Well, she can scratch that off her checklist. Simply heed these words: Write it down.

When you set goals and pursue your passion it is a winning combination for success. Instead of watching the clock, you just keep on working. There are too many hours on the clock when you do something you detest, but no enough hours in the day when you do something you love.

Forget the naysayers. They are not you and you are not them.  Focus your energy on doing what you enjoy putting your effort into. The energy you use to pursue your passion or anything that you do well is never wasted.  When you can focus and limit or ignore distractions, you are well on your way toward success.

Fictional characters Cartoons and Money, Film Reviews

Life Lessons from Race for your life Charlie Brown

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Don’t worry about the world coming to an end today. It is already tomorrow in Australia. – Charles M. Schultz

I know that many people around the world know the infamous Peanuts gang and of course the lead character, Charlie Brown. The Peanuts were an American comic strip created by Charles M. Schulz in the 1950’s. Race for Your Life, Charlie Brown! This is the title of one of many in a film series based off his comics. The film was released in 1977 and still has relevance today. The Peanuts not only have incredible satirical wit and humor, but are just great stories from the heart filled with stories of a young boy and his dog.

Charlie Brown may be good for a laugh, but also for learning life lessons. I have always enjoyed Charlie Brown growing up and loved reading the comic strips on Sunday mornings. Let’s see if we can bring back some of those feelings tonight.

  1. Choose your battles

In the beginning of the film, Lucy loses her temper and confronts a young girl for sticking her tongue out at her. However, Lucy backs down after deciding it wasn’t worth fighting over. She then respectfully and humbly walks away.

I learned that you need to choose your battles in life. Sometimes you have to be man or woman enough to walk away. Everything is not worth fighting over. Trust me, when it is, you will know.

2. Plan B

Charlie Brown gets left by the bus on the way to Camp Remote in the mountains. His faithful pet dog, Snoopy comes to the rescue and gives him a lift on the back of his motorcycle.

If you want something to get done, then it is best to do it yourself. It is fine to ask and accept help. Just make sure you know and trust the source.

3. Be Brave

As soon as they enter the camp, they meet some bullies. They tease the Peanuts gang. After, insults fly Linus uses his blanket and valiantly pushes the bullies back away from him and the gang by towel snapping them.

Do not be afraid of standing up for yourself or others. Sometimes, you cannot just walk away from a fight or bullies. You may have to stand your ground. You can’t always turn and run away or hide. You have to say no more and stand your ground. When the going gets rough, you do not walk away, you stand your ground and plant your feet.

4. Democracy

Power without the confidence of a nation is nothing.  – Catherine the Great

The girls – Peppermint Patty, Lucy, Sally, and Marcie – must decide who will sleep on what bunk at camp. They take the democratic approach and vote on it. It is Marcie’s responsibility to prepare the secret ballot and count the votes. This allows for all parties to have their say without being intimidated or influenced.

I learned that this method can be great for ending disagreements. One person prepares to pass out the voting materials and other counts the votes. I personally use a pro and con list myself when I want to make certain decisions more pragmatically. There is much more you can get done diplomatically than by force. When you have the will and confidence of the people, then you can lead more effectively.

5. Caring

When the girls finally settle in at night they realize there is no one there to tuck them in and wish them sweet dreams. That’s when Snoopy comes and kisses them all good night. This makes the girls feel good.

Sharing is caring. That is how we make friends. Caring makes all the difference in the world.

6.Love and Friendship

Marcie has a hard time participating in the sporting events at camp. In particular, potato sack racing. Instead of leaving her behind and focusing only on herself, Peppermint Patty stops each time and offers words of encouragement.

This shows me that not everything is about winning. Sometimes lending a helping hand is more important. Listening is a great skill to have. You can use it to your advantage in life.

7. Sympathy

The boys and girls both are targets of the bullies at camp. They are ruthless cheaters. They are always chanting “We’re number one,” and rubbing their wins in everyone’s face much to the chagrin of the whole camp.

You definitely get the sense that the campers are pretty distressed by all of this. Even though the bullies are cheating, they still keep  fighting on. There is no need to wallow in despair when bad things happen. Keep pressing on. And hope good things for others.

8. Compassion

The boys and girls both get the air taken out of their rafts. The boys worked so hard the first time around blowing air into their floating tubes that you cannot help but have compassion for them when they have to do it all over again. The girls have to get out the air pump and were very displeased, but it did not stop them from competing in the river race.

In life, things are going to happen. You can have compassion for others. And if you can, try and help them out.

9. Put up a good fight

The bullies are constantly cheating throughout the race. This does not stop the Peanuts gang from putting forth their best efforts during the race. Their trials and tribulations only make them work harder and not give up.

If I have to go down, much like Atreyu said in The Neverending Story, I’m going down fighting. Do not give up so easily. What separates the winners from the losers is going on, one more second than your opponent.

10. Fight Back

The boys find a cabin in the woods and settle for the night. Then the girls come along and kick the boys out to sleep outside in the cold. When morning comes they girls expect hot, ready-made breakfast and ask, “Where’s the chow?” Peppermint Patty gets upset when its cold cereal. Charlie Brown snaps back, “If you don’t like, then you don’t have to eat it.” She then backs down, sits, and eats.

It’s okay to challenge people. Especially, those that like to boss people around. Again, choose your battles. Sometimes, they are worth having or speaking up for.

  1. Do the right thing

At one point in the movies, Snoopy gets separated from his friend Woodstock. What a friend.  Instead of going on without him, he stops racing, takes out a pack back and stick and goes looking for him.  This part of the film just warms your heart. When the rest of the gang meets up later, after being concerned for one another’s safety; they all rejoice in seeing one another knowing that they all are unharmed.

If something bothers you, then trust your instincts. Act on it. Do not disregard your feelings. If others do, then say something. If they do not accept you for who you are, then let them find and be with someone different. You know who your friends are because they will show they care. Love is a verb and it requires action. A friend in need is a friend indeed.

  1. Working Together

The bullies once again mess with the Peanut gangs rafts and basically destroy them. So, they all band together by putting on their life jackets, making a chain, and swimming out to get the raft. Charlie Brown misses and then Peppermint Patty goes swimming after it and gets the raft.

Unlike the title of the Buffy the Vampire Slayer season 4 episode entitled, The I in Team; there is no I in Team. You can get much better results and yield higher returns when you work as a group instead of alone. Banding together in hard times could mean the difference between survival and starvation.

13. Don’t give in to surrender

The Peanuts gang could have easily accepted defeat after all they went through. Instead, they paddled on. They saw victory in their sight and went for it full steam ahead.

You cannot just say I can’t take anymore. You have to fight on. The champ is the one that can throw one more punch. In life, it’s not how many times you get knocked down or pushed around. It’s about how many times you get back up.

  1. Appreciation

The boys take charge in leading the raft when the race is nearly over. On more than one occasion, they expected Charlie Brown to lead or save them. Instead of saying thanks, they generally mocked or criticized him when things went wrong, even when he tried his best.

There is a time and place for criticism. You should criticize softly and praise loudly. At the very least, say thank you.

15. Cheating

The bullies cheat by changing signs, destroying personal property, and playing dirty. In the end, the expensive and fancy speed boat they use with all the gadgets – sonar, radar, the works- instead of paddles or sails like the rest of the racers, sinks.

Cheaters never prosper. These boys got what was coming to them. They did not even handle their boat with care. In the end, the expensive boat sank and was rendered utterly useless. And you know what, most expensive things are.

  1. Enough is Enough

Deciding the rest of the racers should not finish if they can’t, the bullies try to again sabotage them before making it to the finish line. Even though they are out the race and will lose, it is not enough for them; therefore, everyone else must lose too. However, when Snoopy’s pal Woodstock is crossing their path, instead of letting the bullies cat take him out, Snoopy knocks him in the water and defends his friend. Thereby, this action was effective in ensuring Woodstock’s safe passage to cross the finish line.

You just have to stand up for yourself. You cannot just let people walk all over you. Otherwise, they will do it for the rest of your life.

17. Diplomacy

At one point, the boys end up in trouble. The girls have to decide whether or not to help them. Again, they use the secret ballot method to make a decision to help them out. Even though, helping them was just common sense and the right thing. Resulting in Charlie Brown replying to the girls, “how big of you.”

A recurring theme in the film is about using democracy to solve problems. Everyone gets a say by casting a vote. No hard feelings as you get your say. Your voice and input are counted. So, don’t say nothing because that is a vote that will cost you in the end to having no say in what goes on.

18. No more Mr. Nice Guy

After the race is over, and the bullies are no longer number one, the start spouting off about returning to number one next year. The winner of the race walks by with his trophy. The bullies’ cat gears up to hit the winner and Snoopy roughs him up again.

Sometimes you just can’t take it anymore. You get fed up. Everyone has a threshold. Once you reach, then that’s it. You won’t be anyone’s doormat anymore. If you test people again, they are likely to come back just as strong as or stronger than before.

19. Don’t be a sore loser

The bullies seem to take defeat not too kindly. They lost. Get over it.

If you can be an incredible winner, then also be an incredible loser. Be gracious on the way up, while you are up, and on the way down.  You never know who you may run into again on the way back down.

20. You reap the fruits of your labor or whatever you sow.

At the end of the film, the bullies reaped what they sowed. They lost. They were no longer numero uno. They could no longer call themselves, as Nigel Uno did in Codename: Kids Next Door, number one. In the illustrious words of the bullies in the film, “ha-ha.”

You must work for what you want. You can’t just get by on your good looks or live off someone else. The lazy people actually work the hardest. If you do not work in the Fall, there will be no harvest in the Spring. You have to work for your keep. You can’t build lasting wealth if you’re not willing to work.

Basically, I learned a lot from this film years ago as a kid. So, I just want to say, “Thanks Charlie Brown, for racing for your life!”

Automobiles, Financial Freedom

Outrageous Loan Terms for Porsche that even the Rich can’t Justify

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Want to finance an exotic car? No sweat. It will only cost you $157,944.33.

That amount is based on a Porsche that costs $144,750 with loan terms of 144 months, with a 3.3% interest rate, and $14,475 down payment.

Yes, you read that right. Financing for 144 months is the equivalent of 12 years! Just ridiculous.

Especially, considering that a car depreciates in value the minute you take it off the lot.

For example, a $100k BMW 6 Series after five years will likely only be worth $40,000 in resale value. Therefore, over that time period you have paid over $70k. You would still owe approximately the same amount as the current resale value and it would be worth even less in a few more years.

What made me look into this was listening to talk on a radio show I heard about being able to finance a $100k Porsche over 8 years. I was like that can’t be real. Oh, but it is. The people on the radio said that people were doing it and taking out these loans. I was like that’s insane. You can buy houses in different countries all over the world or in certain parts of the United States for that.

If you are so set on having an exotic vehicle, then I think the best course of action is paying cash in the form of a cashier’s check. If you have to finance a $100k car, then that sounds like a red flag that you can’t afford it. Instead of spending $100k on a car, why not invest it? Over a period of 12 years with a 7% ROI you could have $272,641 in your 401(k). Even without investing another dime, you could be a millionaire in about 20 years. Is that car worth a million dollars? I don’t think so.

Who are these people that want to finance a $100k car? The only one I have ever seen was on a Canadian television show called Til Debt Do Us Part hosted by finance writer Gail Vaz-Oxlade. In one episode, a married couple had accumulated a significant amount of debt, but what made this episode stand out was the fact that the wife wanted a very fancy car and was thinking of financing over $100k to get it. Mind you, the couple had kids and debt, so where was this money coming from?

Here is a sample of how the show went on to explain to viewers how people are spending and where the money comes from: credit. If you want to order Gail Vaz-Oxlade or other financial books, then look to the side or go to the top of my blog page and click the Amazon banner link.

Who are these companies that are likely to finance these amounts? BMW Financial, Audi Financial, Porsche Financial, and the like. See the screen shot.

And not only do these companies allow you to finance, but expect a down payment on cars with six-figure price tags.

I have had my car for more than a decade. Actually, it has been 15 years. My car has been very reliable. Once I paid it off I decided I did not want another car note.  That was almost 10 years ago. Here is a snapshot below of my last payment. It may become my screensaver.

I have been able to do so much without having that payment hanging over my head. I decided to start paying off my credit card debt, invest more, get Lasik, join a gym, and get another degree. Basically, I invested in myself. I do not regret not purchasing a new car for one second.

Here is my take on it. Why stretch yourself financially, for a car you desire? Ask yourself if you would still be willing to do that, if the most popular car in the world among the money elite was a Honda? Financially savvy folks know that a fancy set of wheels is pricey in more ways than one.

I was told that a rapper was discussing online about owning a Bugatti or some other luxury vehicle that has three radiators. If one goes down, it costs $90k to replace. Gulp! That’s a hard pill or repair bill to swallow.

I heard an NBA player say that he knew people that would buy Bentley’s, but then would stop driving them because they were not meant for everyday driving. The wear and tear was ridiculous.  Owners were shelling out tens of thousands of dollars on maintenance. Don’t believe me. I read an article by Forbes about unreliable luxury cars.  Apparently, I am not the only one who has noticed that every luxury car that glitters isn’t gold, but merely sold to those willing to fork over their hard earned cash.

That means you basically are driving a house on wheels for the amount you paid. Then after all that, still have to worry about thousands of dollars in repairs. And since this isn’t your run of the mill car, you have to go to specific repair shops. Usually, this means repeated trips to the dealership. Who has time for that?

Luxury cars seem not only to come with a high price tag, but also lots of headaches. I say this: if you can afford the monthly payments, maintenance, and can hire a mechanic or chauffeur to repair or take your car in for service at a moment’s notice, then you can get the car. If not, you’re better off sticking to something you can take to Jiffy Lube.

Celebrities and Money, Financial Freedom, Financial Independence, Self-Made Millionaires, Wealth

The six ways to get rich

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“What’s keeping you from being rich? In most cases, it’s simply a lack of belief. In order to become rich, you must believe you can do it, and you must take the actions necessary to achieve your goal.” —Suze Orman

Sure, there are lots of ways to get rich, but they all fall into one of these six categories as there are only six ways to actually get rich.

The six ways to get rich are:

  • Capitalize on a unique skill or talent.
  • Marry rich.
  • Inherit money.
  • Own a business.
  • Take calculated risks and get lucky.
  • Spend less than you earn and invest wisely.

Let’s explore each category.

CAPITALIZE ON TALENT

Don’t make money your goal. Instead, pursue the things you love doing and then do them so well that people can’t take their eyes off of you.” ― Maya Angelou.

Become an expert in one area or niche and exploit it. Dominate that field. And never stop growing.

If you read my post on Beyoncé, you will notice that she started young, developed her craft, and expanded her expertise. She not only sings, but dances, endorses products, started businesses, and writes songs. She owns what she does. Everything from trademarks – Blue Ivy and Ivy Park – to owning a music streaming service. Put it simply, she dominates in her field.

If you want to be the next J.K. Rowling or Stephen King, then you just have to start writing. J.K. Rowling famously said she was rejected at least 12 times before anyone would publish Harry Potter. Persistence and determination are vitally important if you want to succeed. And just FYI, it took her 7 years to write Harry Potter.

MARRY RICH

“Don’t you know that a man being rich is like a girl being pretty? You wouldn’t marry a girl just because she’s pretty, but my goodness, doesn’t it help?”

―Marilyn Monroe as Lorelei Lee in Gentlemen Prefer Blondes (1953)

Dating is all about introductions and proximity. It doesn’t matter if you swipe right on Tinder or meet at your family’s country club, you just have to get some face time. You can’t date who you can’t see or touch.

In my experience, men date and marry women who are in their vicinity or social circle. Therefore, if you are looking for a rich man, then you have to be where they are i.e., charity events, sports games, auction houses, doctoral seminars, or the like.

In addition, if you know where wealthy men tend to reside, then hey you can pack up and find a job there and frequent their haunts. Location, location, location baby.

People also tend to look for partners that are successful in their own right. You don’t necessarily have to be rich, but having some sort of talent or career outside of just being a wealthy mate’s plus one bodes well for you and your prospects of landing and keeping a partner. So, invest in yourself – get educated, cultured, learn opera, play piano, paint or learn another language – either way you have a skill.

Above all else, respect yourself. Have your own life, career, friends, family, and money. No one wants a loner that can barely make rent, they want someone who is open to people, new experiences, and can pick up the check.

Don’t agree. Well, how’s this for food for thought; Chrissy Teigen once responded to a mean tweet by telling someone she does not just spend someone else’s money, but in two words replied: “my money.” She also went on to note her Forbes ranking and that she is a best-selling cookbook author. She basically told people to chew on that – no pun intended. A very nice retort on her part and her equivalent of put that in your pipe and smoke it.

Ah, gotta love that Chrissy.

You have to admit it sure sounds better when you can list your own accomplishments.  Respect for self is attractive and shows confidence. And confidence is key.

INHERIT MONEY

I would rather make my name than inherit it. – William Makepeace Thackeray

Studies into the wealth of households have shown that most wealth today is now earned than inherited. In my experience, people truly appreciate and cherish that which they work and sweat for.

For example, when I was given gifts of money or other items I am usually losing or unable to tell you whom gave me the gift. The car in my driveway that I worked so hard for is still there 15 years later.

There are those that inherit their fortunes, but the saying goes that a fool and his money are soon parted. I suggest you get a career, get educated, and learn a craft to earn your own living. If you do inherit, then you can manage your money instead of squandering it.

OWN A BUSINESS

Only I can change my life. No one can do it for me. – Carol Burnett

Starting a business is what two-thirds of millionaires do. This lets you know that if you are successful and become rich, then most likely you will or do own a business at some point in your life.

I suggest determining what you are good at and then turning that into a business. Passion is great, but just because you are passionate about golf and want to be a pro golfer does not mean that is what you are good at or meant to do.

Also study up and get a mentor or work with people in the field you want to be in. Read books, attend seminars and save money. All businesses need capitol. If you can find a business to start with a low barrier to entry such as a food truck or blogging, then the better.

BIG RISKS FOR BIG REWARDS

“If you want big rewards, you gotta take big risks.” Jessica Biel as Tenley Parrish in Summer Catch (2001)

If you read my post, wealth comes from doing not luck, then you understand that from preparedness comes opportunity and hard work creates luck and success.

It is okay to take risks, but I prefer calculated ones. The ones where you do your research, study your results, learn from you’re mistakes or the ones of others and keep moving forward. Make that pro con list, watch videos, attend conferences or better yet, speak to those that have done or are doing what you long to do. If you’re going to risk it all, then best to know all the facts first.

SPEND LESS, SAVE AND INVEST OVER TIME

The formula for getting rich is this: spend < money earned

Simply put, spend less than you earn.

If you can do that, you have got a shot at getting rich.

For example, you can be a millionaire over time if you do the following:

  • Save $6,000 a month for 10 years getting a 6% return
  • Save $2,200 a month for 20 years getting a 6% return
  • Save $800 a month for 25 years getting an 8% return
  • Save $600 a month for 30 years getting an 8% return
  • Save $500 a month for 40 years getting a 6% return

The combinations can vary based on the amount of savings invested and the return on investment of compound interest. However, the bottom line is saving can earn you a fortune.

For those concerned with inflation, here is an inflation-adjusted. 25-year wealth accumulation chart.

Source: www.businessinsider.com

THE BOTTOM LINE

Ultimately, no matter what path you take if you partake in spending less than you earn and investing, over time you will become rich eventually.