5 Top Ways to Get and Stay Rich

I’ve always dreamed of striking it rich, but the path to wealth has remained a bit of a head-scratcher for me. Yet I have taken the time to research to find out how the unfathomably wealthy better half have managed to save, accrue and finally give their squillions away:

“They give away more.”
Despite their crafty accountants helping them dodge excessive taxes, these folks are big-hearted when it comes to charity. It’s almost like they’re trying to make the tax office rethink its name.

While their average giving hovers around 6%, it’s a lifeline for countless local and global causes.
“They are much more likely to own businesses.”
Owning businesses is a common trait among the wealthy. If that were the sole criterion, I’d be on my way to millionaire status. But there’s more to it, apparently.
“They borrow strategically.”
Strategic borrowing is their game plan. They’re not keen on credit cards and prefer mortgages, often with supplementary loans.

Meanwhile, my wife and I barely meet the criteria with our single credit card each. I can’t fathom how anyone on a modest income thinks an $11,000 credit limit fits their monthly budget.

Wealthier individuals might own their homes outright, but many opt to invest and make their money work harder.
“They don’t blow a lot of money on cars.”
The nouveau millionaires of today don’t splurge on cars like the old stereotype. Take the Youtube boys with $1.6 billion; all they got were new mobile phones, a couple of ties, and some family support. It’s a lesson in modesty and a sign that geeks inheriting the earth might not know what to do with their riches. Who needs a fancy car when you can have a personal chauffeur?

“Most of them live a very unassuming lifestyle, but they’re able to do anything they want, whenever they want.” Another box checked for my wife and me: a 1998 Toyota Camry, ex-government, fully paid off.

Anything more feels like pure greed—even if I won $33 million on New Year’s Eve. Well, except maybe a metallic light-blue Jaguar XK Softtop. A man’s got to have some luxuries!
“They’re almost always homeowners, and many own investment property, too.”
Homeownership is a staple for millionaires, often with real estate holdings or a second home, though it’s not their primary wealth source. They prefer “invest-able assets.”

It reminds me of my dad’s wisdom: “Your house is a liability until it’s fully paid off.” Well, something like that.

The wealthy favor investments—more than half in stocks, bonds, managed accounts, IRAs, mutual funds, deposits, and alternative investments. About one-tenth goes into pensions and defined-superannuation plans, and the remaining six percent into insurance and annuities.

In summary, the key takeaway here is:

“Don’t be stingy, take calculated risks, live within your means, diversify.
We may not make the Forbes 400 list, but you can lead a richer life. Maximize your income after expenses, save and invest wisely, and secure your financial flexibility for the future.”

Let’s all work to that end.