The Very Boring Life Of A Quiet Millionaire

[Music] foreign [Music] oh [Laughter] the honest truth is that most millionaires lead very boring lives they will spend 1500 to have their hat fight first class from London to Italy they don't spend 33 000 in a specially designed 24 karat gold iPhone and they don't go around dropping 200 000 for a ticket to space no contrary to popular beliefs most millionaires lives are actually quite boring to a point that you start to wonder if some of the ordinary looking people you know around you are millionaires so in salute to living a boring but rich life let me share with you 12 boring traits of actual Millionaires and hi if you're new to China my name is Tay from Financial tortoise where we learn to grow well slow and steady the number one trait of a boring millionaire they wake up at a reasonable time there's a perception that in order to be successful we need to wake up at 3am do 500 push-ups Before Sunrise and have conquered the world before 6 a.m apparently Dwayne Johnson wakes up at 3 30 a.m for his morning workout Tim Cook at Apple wakes up at 3 45 AM to get a head start on email and even Mark Wahlberg the former rapper Marky Mark wakes up at 4am to start his morning prayer while sorry to pop your bubble but studies actually found that there is no significant correlation between the time one wakes up in the morning and one's wealth according to Dr Thomas Stanley's book The Millionaire Mind the typical millionaire actually wakes up each workday around 6 40 am the median time is around 6 25 am only about 1 in 5 Rises before 5 40 am the honest truth is that wealth is not a result of when we wake up but how we maximize the time that we are awake it doesn't matter if you're waking up at 4am every morning if you aren't using that time to grow yourself your career and your wealth if you're sacrificing preciously for no good reason it would actually serve you much better to wake up at a reasonable time after a good seven to eight hours of sleep rather than to wake up in the wee hours of morning in an attempt to mimic Dwayne Johnson or Mark Wahlberg and while we're talking about Mark Wahlberg just because he wakes up at 4 AM doesn't mean he isn't sleeping well Mark has stated in the interview said he actually goes to bed around 7 30 PM so he can get 8 hours of quality sleep the bottom line is this if you aren't a super early morning person don't need to try to fit a square peg in a round hole wake up at a reasonable time that is best for you if that's 5 a.m perfectly fine but if it is 7 am there is no need to feel guilty maximize the time that you have throughout the day and don't get hung up on when you start your day the number two trait of being a boring millionaire they perceive and approach their career as a labor of love it does not work it is a labor of love again it's easier to believe that millionaires approach working career from a purely Financial perspective selecting careers with the highest pay maximum Financial return and greatest growth potential however another honest truth is that your ability to sustain a career for a long period of time will have a greater impact on your wealth than the immediate pay today what's the point of taking on a job that pays you six figures straight out of college but if you hate it and you burn out after just one year it is much better to pursue a career that might pay you have that but you learn to love it thus being able to sustain it for the next 10 years in addition this will not only enable you to save more money but have a higher quality of life satisfaction because let's be honest in the end that is what matters right so the financial compensation may be important don't let that be the primary driver in selecting your career consider how to aligns with what you want to do how you want to spend your time if you can sustain it for a long period millionaires love their our careers the number three trait of a boring millionaire they operate what many would consider dull businesses many of the types of businesses weren't could be classified as dull normal we are welding contractors auctioneers rice Farmers owners of mobile home parks pest controllers Coin and Stamp dealers and Paving Contractors it's easy to jump into the conclusion that because millionaires love their career they must all be doing very exciting things in exciting Fields right running Tech startups living the Glorious lives that social media influencers and being listed on Forbes coveted list 30 under 30. however again the reality reflects otherwise many find success in businesses and creators that will be considered dull or boring in 2004 two professors from nced Chan Kim and Renee mobile wrote a book titled the Blue Ocean strategy the basic argument of this book was that companies should pursue the blue oceans unexplored new markets if they want to create value and make the competition irrelevant essentially refrain from jumping into red oceans the known Market space where there is tons of competition you're competing with everyone everybody thus your chances of success are diminished I'm not sure if the millionaire surveyed A Millionaire Next Door read this book but this essentially is a strategy that many of them followed with their careers instead of jumping into the most popular and thus competitive markets they created their own blue Oceans by building quality businesses and boring and less competitive markets these days in age we all want to be known as Tech entrepreneurs but how many of us would want to be known as the owner of a pest control company or the distributor of donut making machines probably not our first choice right but what if they would give you a greater chance of Building Wealth would you think twice then quick Interruption for a limited time I'll be opening up my calendar for one-on-one money coaching sessions a time where you can connect with me directly as well as receive personalized money coaching the money journey is already hard so sometimes you just want to get some unbiased feedback without judgment if you think this could be a value add to your financial Journey please go to my website to learn more I'll also have a link in the description below alright with that said let's get back to the video the number four trade of a boring millionaire they marry and they remain married and to one person for a long period of time the typical millionaire couple in America has been married for 28 years one in four have been married for 38 years or more Elon Musk is currently the richest person in the world with his ownerships takes in Tesla and SpaceX he's currently worth over 200 billion dollars that is a lot of money and to go with a lot of money he's also been married and divorced a lot of times officially married and divorced three times so seeing someone like Elon Musk it's easy to assume that there is no correlation between how many times a person has been married and divorced to his or her net worth however someone like Elon Musk is not representative of most people and definitely not most millionaires divorce is one of the quickest ways to financial downfall emotionally terminal aside not only do many couples need to split their money they lose a lot through legal fees admin costs access living costs alimony and child support bottom line divorce is very expensive marriage may not be for everyone but if it is something you want to mark on be very thoughtful there is a highly significant negative correlation between divorce and wealth and conversely there is a high significant relationship between years of uninterrupted marriage and net worth the number five trait of a boring millionaire majority of them attend their local public State universities for their college education the fact is that most millionaires do attend college according to the Millionaire Next Door 80 of millionaires are college graduates however that doesn't mean they attend prestigious private schools according to a Dave Ramsey survey of 10 000 millionaires almost two-thirds of millionaires graduated from public State schools while only eight percent went a prestigious private school in today's ultra competitive work in education landscape we have attendance to glorify highly selective colleges when someone says they went to an elite institution like Harvard or MIT we automatically give that person the benefit of Doubt oh she is so smart wow he must be a genius yeah she'll definitely become a millionaire one day now we don't want to Discount that individual's hard work because it's ridiculously hard to get into one of these institutions we just want to be careful that we're not discounting everybody else because we're placing so much Spotlight on these Elite institutions the fact is that based on numbers alone the majority of individuals graduating from colleges have in the world graduate from large public institutions not elite private colleges just look at total number of undergraduate enrollment at selected private colleges versus public universities Stanford with the admission rate just shy of four percent has a total undergraduate student body of less than 8 000 students Harvard slightly over seven thousand MIT less than five thousand compare that with some major public universities Penn State University over 40 000 undergraduate students Texas A M 57 000 students or my alma mater UC Irvine 29 000 students I'm not here to argue that public is better than private or private is better than public that's a whole other account of warmth I'm not going to open here rather to say that the path to wealth the path to becoming a millionaire isn't only reserved for the select few that attend elite private institutions it's open to any one of us as long as we're willing to put in the work the number six trait of a boring millionaire they invest in their 401K that's right the very boring tax advantage 401k account again it's easy to assume that the wealthy invest in sexy alternative Investments you know those things that we hear on the internet cannabis stock Dodge Coin or Haba collateralize high-yield leverage swaps I made that last one up but it sounds convincing when you use all those fancy words right contrary to these fancy sounding Investments the fact is that many millionaires build their wealth through very boring tried and true accounts like the 401K according to a Dave Ramsey survey of millionaires 8 out of 10 millionaires invest in their company's 401k plan when I talk to people about money investing it's common to see many people get excited about the latest hot company they've been following or the hot Investments they've heard from their friends and this isn't because this person is not intelligent or level-headed it's because there's so much misinformation and noise out there it's hard to distinguish the quality information from everything else there's always so much hype about new and better ways to make money be very careful of such Hypes most often the best vehicle to build wealth is right under our nose the 401K and if you're looking to know what to put into your 401k look no further than a simple low-cost broad market index fund that tracks either the total Market or the S P 500. I have a whole video where I delve deeper into index funds so I'll have a link to that video in the description below the number seven trait of a boring millionaire there are two cheap dates again based on the internet and the media we think we need to spend money to have fun we have to rent a private boat get pricey concert tickets and book a penthouse overlooking the city however fun is subjective whether you're rich or not the best things in life are free or close to it if we're intentional it doesn't cost much money to entertain friends spend quality time with our family and walk through the park most millionaires surveyed in Dr Thomas Stanley's book emphasized the importance of their relationship with family and friends though money was important to them the ability to spend time with family and friends were even more important thus activities that didn't have to be activity Centric rather they were people-centric and if we're smart about it we don't have to spend a lot of money to spend quality time with people we care about the number eight trait of a boring millionaire they study money and not only because they want to build wealth no they do it for fun in The Millionaire Mind survey the millionaires listed planning Investments and studying investment opportunities as number three and number four lifestyle activities they do outside of work I know sounds like a pretty boring person right but probably also reason they're millionaires male millionaires are extraordinarily successful at producing High income and accumulating wealth activities that directly relate to these goals like planning Investments and Consulting with advisors normally make up a large part of their activity list so if you're already watching videos like this reading personal finance blogs and books you're already well into your way to becoming a boring millionaire so congratulations just don't expect to be invited to cool parties anytime soon the number nine trait of a boring millionaire they're financially self-sufficient but not stupid what do I mean by this let me explain I've known people who look down at things offer for free think that it is only for the poor I'm not talking about free samples at them all but when someone is genuinely offering something for free with an intention of providing value insecure individuals will wave off free offers with statements like this I have money I can buy it I don't need you to give me stuff I know this too well because I used to be one of them and the worst part was that I thought and acted like this when I had the least amount of money the truly wealthy are securing themselves enough to not only accept something when offered they gladly take it millionaires who came to Dr Thomas Stanley study said this during their why else would I spend two or three hours being personally interviewed by these authors they paid me they had money and everyone knew that they had money yet they were confident enough to not care what anyone else thought they liked that they were being paid even if it was one dollar or a few hundred dollars so they gladly accepted it and didn't let their pride get in the way the number 10 trait of a boring millionaire they drive boring cars I think Toyota Ford and Hondas according to a 2022 study by Experian Automotive contrary to mainstream beliefs many wealthy individuals simply do not try fancy cars the study found that a people with household income of more than 250 thousand dollars 61 didn't drive luxury Brands their cars of choice were these Toyotas Fords Hondas and Subaru was number five on the list FYI I'm a proud owner of a Subaru Crosstrek now I know income is a reflection of someone's true wealth but this study does provide us with some data points so next time you're at a red light and you see a Lamborghini stopped right next to you just know that there is a good chance that individual might not actually be wealthy now that guy driving the Subaru Crosstrek who knows right the number 11 trait of a boring millionaire they stay put and if they move they move slowly in my 20s I moved close to 10 times across multiple cities states and even countries and while it was exciting it was also exhausting when you're constantly moving there is a cost you're not staying at the same job for a long period of time you're not building a network in one area and if you own a home you're not giving it enough time to build equity thus most millionaires actually have a tendency to stay put most of us have the same old-fashioned orientation we buy homes and tend to hold on to them for a long periods of time of all the millionaires surveyed in The Millionaire Mind more than 50 percent had not moved even once in the past 10 years contrast that with an average American who moves at least once every five years moving may not be out of control at all times but be aware of the cost of moving also it's good to know that when you stay put for a bit longer it could help with your wealth building the number 12 trait of a boring millionaire this one I most admire about the boring millionaire they've essentially mastered the art of not caring what other people think when you're trying to forge your own pathway you will naturally attract criticism success May inspire some but a lot of times surface more naysayers however what millionaires have mastered is the ability to essentially neutralize criticism ignoring criticism of detractors is a significant correlate of economic success and career achievements they don't care what other people think of their decisions their decision to enter into a career field that isn't considered sexy their decision to invest in very boring index funds within their 401K their decision to essentially live a very boring life being a cheap date reading about money during their downtime and driving a Subaru Crosstrek millionaires could care less what anyone think about their lifestyle because they're pursuing a lifestyle that is congruent with their values and goals and that is what matters thank you guys for watching in the line of not caring what other people think if you'd like to learn some things that you shouldn't be doing with money please check out my video here until next time all the best thank you foreign

Channel: Tae Kim - Financial Tortoise

Views: 141,699

Keywords: Personal Finance, Money, Finance, Investing

Id: 2IUsBnKw77E

Length: 14min 27sec (867 seconds)

Published: Thu Sep 14 2023