10 Surprising Secrets of the Rich - 101 Financial

23 Mar 2018 · 2 min

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This content was created by Alan Akina. This content was uploaded by Alan Akina. This is a YouTube video titled "10 Surprising Secrets of the Rich - 101 Financial" (published 2018-03-23) featuring Alan Akina presenting an educational personal-finance monologue. The speaker (Alan Akina) lists and explains ten common habits of millionaires — e.g., long tenures/job security, maximizing retirement contributions and saving raises, long-term investing and reinvesting dividends, seeking professional advice, paying off mortgages, modest spending and low debt, good credit, setting financial goals, and investing in reasonably priced real estate for cash flow — aimed at surprising misconceptions about how most millionaires live.

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Good morning, everyone. Would you know a millionaire if you were standing next to one? Now, there are over 10 million millionaires in the US, and if you think they are the ones that drive a Mercedes-Benz and wears a Rolex, you are wrong. Most millionaires are not what you see on TV. According to thebalance.com, here are 10 secrets of the rich that will surprise you. Number 1, job security. Contrary to popular belief, most millionaires weren't handed a trust fund but have worked for the same company for 30 years. They are steady savers. Most have maximized their 401 contributions starting in their 20s and 30s. They save their raises. Millionaires tend to save half of their pay raises from their jobs. Long-term investors. They keep their investments for decades and reinvest their dividends. They're not afraid to ask for advice. They seek professional advice in areas that they're weak in. Pay off their mortgages. One of the key rich person moves and a characteristic of the happiest retirees is to get rid of the mortgage. They don't indulge in fancy toys. Millionaires tend to be very conservative with their spending. They have good credit scores by carrying only a small amount of debt. Number 9, they set financial goals. They plan out and prioritize their goals and determine how to execute them. And number 10, real estate. Most rich people buy homes that are not overpriced. They maintain them very well, rent them out, and pay off the mortgages to have cash-flowing assets that build wealth slowly. Now keep in mind, if someone is driving a Toyota, Honda, or Kia, that doesn't mean that they're poor. But they could be the millionaire next door. For Take Two, I'm Alan Akina. Here's to your money.