The Millionaire Next Door: The Surprising Factor of America's Rich

Have read this book. Though the summary listed here is taken from somewhere else which I couldn't help but resonating with it. Here goes:

1. Live moderately
2. Focus on income opportunities.
3. Financial independence more important than ego.
4. Parents didn't support them financially.
5. Children are sufficient in managing themselves.
6. Efficient in targetting opportunities.
7. Enjoy their work.

1. Live moderately
See, it's resonating with what I've written so far. There's a saying, "Don't wear a hat bigger than your head, it'll cover your eyes and you won't see where you're going." What I mean is live within your means. Want to just add my favourite quote, "Money is for earning money, not for splurging." Only by living moderately, one can have additional savings. If not you're only living from paycheck to paycheck which I do not need to explain much = DANGEROUS!

2. Focus on income opportunities
Now you've got money. So what next? Find more money. And while maintaining your expenses, you'll have more savings. Don't need a rocket scientist to figure this out.

3. Financial independence more important than ego
I've also mentioned this before in my previous posting. Why do we care about what people think if we're driving a small car for example, living in a small house or eating at cheap foodstalls. Do we recognise Bill Gates, Warren Buffet or Carlos when they we're poor? The world won't recognise you now, so why bother? The most important thinkg here is personal networth and well-being.

4. Parents didn't support them financially
I couldn't agree more with this statement. I always abhor people born with silver spoon. Of course there're some who're really talented & capable but to startup from scratch, these silver spoonies would never ever understand. You can say anything you like about how judgmental I am but this is still how I perceive it. Let me give you an example, Mr A is given $1M by his parent to start his own business at the age of 22 right after graduation from some prestigious university which only the rich can afford. Compare it to a poor Mr B whom his parents had no money but to send him to a college to get a diploma instead & started working for people upon graduation. The question is who, if given both have the same mindset, would make another million faster? So, to all the spoonies out there, if you're blessed, make sure you make the best out of it and contribute back to society because not everyone is as lucky as you. Don't be a snobbish bitch.

5. Children are sufficient in managing themselves
Totally agree with it as well. Because if you save up everything for your children, you'll end up spoiling them and making them into a snobbish bitch. I always believe in "teaching them how to fish instead of giving them the fish". Yes, as a parent we're to provide the fundamentals and hopefully they'll be equipped to face the world when they venture into adulthood.

6. Efficient in targetting opportunities
Now, when you already have savings, and have addtional income opportunity, what do you do with the extra cash? This is the key. Find ways to make your money work for you eg. invest or go into business. That's where the Microsofts, Berkshire Hathaways, Ikeas, etc started.

7. Enjoy their work
One final opinion, if you don't enjoy finding more money, then why bother earning money? Migrate to a forest reserve and party all day long and all night long.