What Millionaires Do Everyday

You’re reading this because you want to know about the daily habits of millionaires, right? Well then, I’m glad you’ve found us.

Whether you’re struggling financially, or are doing very well but looking for ways to grow your wealth…I’ll give you insider secrets on how to develop habits that will make you wealthy over time.

They keep track of how they spend their time

Billionaire entrepreneur and “Shark Tank” investor Mark Cuban calls time “the most valuable asset you have.”

“You can’t buy it. You can’t find it. You can’t store it. You can’t trade it,” Cuban says.

Barbara CorcoranDonna Ward | Getty Images

Fellow “Shark” Barbara Corcoran agrees. The real estate mogul, who went went from waiting tables to running a $6 billion empire, says that a big part of her journey to success was making sure she spent every minute wisely.

That’s why every morning, she divides her schedule into three parts, A, B and C. Each represents a different priority, to ensure that she not only makes money, but takes care of herself as well.

They treat their colleagues with respect

Every employee knows they should treat the boss with respect. But not everyone prioritizes treating their colleagues and subordinates professionally, too.

Bloomberg

Multi-millionaire banker Bill Winters says the best advice he ever received was from his father, who told him that the best employees are kind to people at every level of an organization.

“Make sure that you treat the next level down — whether it’s the assistants or the PA, whatever — with just as much respect as you would anyone,” says Winters.

They don’t let setbacks stop them from growing

In “Option B,” Facebook COO Sheryl Sandberg and organizational psychologist Adam Grant argue that successful people share one crucial trait: resilience.

Sheryl Sandberg and Adam Grant speak at the Commonwealth Club in San Francisco about their book “Option B.”

Sandberg, whose husband Dave Goldberg died unexpectedly in 2015, and Grant say that the ability to cope with and grow from immense tragedy or failure can make or break someone’s career.

Grant says everyone can become more resilient by doing a few simple exercises.

For example, he recommends keeping a journal of contributions you make to others to develop a better sense of how important your work is, something those struggling to overcome personal obstacles can forget.

They take their social media presence seriously

Serial entrepreneur and “Shark Tank” investor Daymond John says one of his best strategies for succeeding at work is to make sure your social media presence is authentic.

It’s easy to use social media as a simple means of self-promotion. But people who could help you in your career or end up providing you with new opportunities down the line aren’t going to be impressed.

They invest in real estate.

One side hustle they’re prone to taking on once they’ve built wealth is investing in real estate, according to John.

“Investing in real estate seems like a natural result once the basics are covered and excess cash is generated,” he wrote.

According to Dana Bull, a real-estate investor, the financial advantages of investing in real estate are plentiful: positive cash flow, appreciation in terms of housing values, leverage, and tax advantages.

They invest in low-cost index funds.

According to John, millionaires also tend to use the same simple investing strategy: investing in low-cost index funds.

“The high returns and low costs of stock index funds (I personally prefer Vanguard as do many millionaires) are the foundation that many a millionaire’s wealth is built upon,” he wrote.

Experts agree that investing in index funds is a winning strategy when playing the stock market for two reasons: They’re broadly diversified, eliminating the risk of picking individual stocks, and they’re low-cost. Even Warren Buffett champions the strategy.

They read for self-improvement.

I’ve always been an avid reader. I’ve noticed, however, that reading wasn’t just something I enjoyed. It was probably one of the biggest influences on why I became successful.

For example, as an entrepreneur, my reading habits helped me become a stronger and more effective business owner and leader. For the average millionaire, reading can help them grow and learn. In fact, according to research from Thomas Crowley, 85 percent of self-made millionaires read two or more books per month.

While there’s a time and place for leisurely reading, millionaires read books that encourage self-improvement. This includes topics like how-tos, biographies, self-help, leadership, or current events.

They create multiple streams of income.

The average millionaire doesn’t just rely on one source of income. They have multiple streams of income. This way they can handle any economic downturns, as well as make even more money.

In most cases, this involves having a passive income. This could be in the form of interest from loans, dividends from investments, capital gains, royalties, or rental income. Other types of multiple sources of income could be from starting a side business that doesn’t involve active work, such as running a website or selling information products.

They live on a monthly written budget.

Millionaires didn’t earn their money by luck. They’ve taken the time to understand what’s coming in and what’s leaving their bank account every month. In other words, they create and stick to a monthly written budget.

Budgets can eliminate unnecessary expenses and keep full-control of their financial future. Additionally, monthly budgets prevent overspending allow millionaires to achieve financial goals that they’ve established.

The don’t leave money on the table.

You can’t accumulate wealth by “leaving money on the table.” That’s why millionaires, no matter what their salary is, are aware of tax-avoidance strategies. As explained by Philip Van Doorn on MarketWatch, “If you work for a company or organization with a 401(k) or similar tax-deferred retirement plan, chances are your employer makes matching contributions.”

So “if the employer matches up to five percent, it means that if you contribute five percent of your pretax salary to your retirement account, the employer will also put in five percent. Boom — you just realized a 100 percent gain on your investment during the first year, and set aside the equivalent of 10 percent of your salary.”

“It’s not enough — 20 percent total savings per year is more like it — but it’s a start, and if you don’t make a contribution of at least the maximum match, you’re simply losing a lot of money. Over time, you should also work to maximize the annual 401(k) contribution.”

The IRS allows for a basic limit of contributions of $18,000 a year, with an additional $6,000 once you reach the age of 50.

They avoid debt.

The wealthy avoid debt at all costs. They live a frugal lifestyle and only make purchases for items that they can actually pay for. They don’t book a vacation and use their credit card to pay for the entire trip. This way they’re not paying those hefty interest rates. They prefer paying with cash because it has zero percent interest.

If they do use a credit card to make a purchase, they’re certain that they have enough money to pay off that bill when their statement arrives.

They set daily goals.

Whether they’re setting financial projections, planning weekly tasks, or looking for ways to have multiple streams of income, millionaires are known for setting daily goals. This helps keep them focused and build momentum.

When establishing daily goals, make sure that you prioritize. This means doing the most important thing first. For example, if you want to make more money, then you should pursue activities that can make you thousands, instead of chasing actions that earn you hundreds.

They don’t act rich.

Thomas Stanley, author of “Stop Acting Rich: …And Start Living Like A Real Millionaire,” says “that most prestige makes of cars — 86 percent — are driven by nonmillionaires. Yes, people with very high incomes, high levels of wealth are more likely to drive status automobiles. But in sheer numbers, the largest consumer segment for pricey cars, vodkas and homes is not the millionaire population, it is the aspirationals.”

Stanley adds, “These are people who think they are acting rich via their adoption of prestige brands, but in most cases they are only acting like each other.”

Researchers from Experian Automotive found that “61 percent of people who earn $250,000 or more aren’t buying luxury brands at all. They’re buying the same Toyotas, Hondas and Fords as the rest of us.”

The reason? They’re not willing to spend the money on a premium vehicle that is going to drop up to 70 percent in value within the first four years. It’s also why they avoid leasing cars because it ultimately costs more money. Instead, they invest in items that increase in value.

They spend more time studying and planning for investments.

Millionaires’ preferred investing strategies might be fueled by their research. Millionaire investors spend more time — an average of 10.5 hours a month — planning for investments, according to Stanley Fallaw.

That’s nearly two hours more than under-accumulators of wealth, defined as those with a net worth less than one-half of their expected net worth based on age and earnings, who spend 8.7 hours a month doing so.

“Their literacy in financial matters means that they are more tolerant of taking investment-related risks,” Stanley Fallaw wrote. “Future outlook and financial knowledge typically relate to taking greater financial risk, so the time they spend in managing and researching investments helps in decision-making.”

They put more energy toward personal-growth activities.

Millionaires also spend more time focusing on personal growth. They spend roughly 5 1/2 hours a week reading for pleasure and nearly six hours a week exercising, while the average American spends two hours and 2 1/2 hours on those activities, according to Stanley Fallaw’s research.

“Successful individuals are keenly aware of how they spend their resources, including their emotional and cognitive resources,” Stanley Fallaw wrote.

Similarly, Thomas C. Corley, the author of “Change Your Habits, Change Your Life,” spent five years researching the daily habits of 177 self-made millionaires and found they devoted at least 30 minutes every day each to exercising and reading. Millionaires tend to read three types of books, he said: biographies of successful people, self-help or personal development, and history.

Conclusion

Having a million dollars, and not spending money on the following things, won’t make you a millionaire. However, if you spend your money on the below 10 things, you will be more likely to become rich one day. It’s about smart strategies and choices we make everyday.