I look nice and well dressed, it does not have to cost a lots of money. You get more respect from mere mortals. Take a cue from Euro's they are fit and dress well. No sloppy pajamas to hide the extra lbs.
@@piamaheras4566 Today as I conducted business around town, I wore a dark $4.99 Walmart Tshirt to hide the extra lbs, and a $9 pair of shorts from the Cabelas clearance rack. I'm not sure if that "gets more respect from mere mortals" or not? I've found that I generally do fine if I treat others with dignity and respect, regardless of what I'm wearing. I only go into my angry ex-Army officer bark on rare occasions. And on the rare occasion when that doesn't work, I flex my decamillionaire status with my version of the Pretty Woman "big mistake" routine.
My husband and I are on our way to become middle class millionaires as a carpenter and a flight attendant. No debt and no mortgage in our Forties. I just put 9 K in our savings account today 🎉
Congratulations to prioritise your finances and freedom. I started when I 30 years and was extremely consistent and committed. 6 years have passed and I'm very well financially, no more worries, nightmares and fear of being laid off. Just been consistent and do whatever you can to be financially free.
@@TheCelmap thank you! Im always scared of being laid off and I have always been sceptical on my own ability to save money. But turn out, I just need to tweak my attitude towards money and be more mindful of my spending, then saving money is possible. Wish me luck 🥰
Even though I have disposable money where I could if I wanted to buy more expensive things I am deliberately frugal simply to defy the system. It wouldn't make me happy either buying expensive things (really for what reason??) when second hand is good enough and it also means I have the cash to give to those in need which makes me happier. 😊 Being frugal keeps you humble and in my opinion makes you feel connected to the rest of the world as most people aren't millionaires or extremely well off. And you are right, when you look and act frugal it really shows people's true colours of how they treat you so in a way it's a test of their true self and how they value a person.
@@greenkitty82I agree. Struggle makes you a better person. My sister-in-law has Multiple Sclerosis and she became a much more devout Christian. She is totally honest and always tries to help others, so caring and a wonderful wife. My brother was soo lucky when he married her.🩷💕
That's HALF of it. Me? "It's not how much money you MAKE; how much money do you HAVE?" Americans do not have a MONEY or EARNING problem, Americans have a SPENDING problem.
One important way I became a middle class millionaire is by NOT owning a car. If possible, fined a home within walking distance of your work, school, shopping. You'll be wealthier AND healthier.
I dont have money at 55. Just a lot of memories traveling around the world. 65 countries already. I will retire in Latin America, where I can live very well with $1500 a month.
Financial advisor here for 25 years- you nailed it Austin. Most successful clients I see do all of that. You would never know how wealthy your "average" looking neighbors are!
Yes. They learn about money, they trust what they’ve learned, and they are patient. They also don’t listen to or are pressured by the people who are bad with money… those people seem to love giving advice.
Yes! That is me...I have been working for 38+ years...saved, totally debt free..mortgage paid off last year..have scaled back to part time this year...and if I can figure out how pay for health Insurance I would retire at age 58! I like being the silent millionaire because it makes life easier for me when people look at me who wouldn't think it. I dress nicely classic pieces in neutral colors, my car 2009 I brought with money saved, not brand new, 1 yr old with low mileage, 15 yrs later I still drive it at it just has 45k miles..2 bedroom condo paid off..I purchase things I need with an occasional splurge here and there...but what I like most is that I can give back to organizations that are helping others in need and giving to my local church who are helping people in my community!
Yes yes to this!! I’m still driving my 2002 Toyota Sequoia that I paid cash for in 2004 with 82,000 miles on it. Today it has 274,000 miles on it and still runs like a champ. If you take great care of your Toyotas/Hondas they will go the distance for you. In the 20 years we have owned the car we have saved SO much money. Cars really can kill a budget. We could have afforded to purchase new cars and have car payments but the money we have saved and the peace of mind that comes with it pays far greater dividends. Cheers!
@Ingsta6603 I had a colleague who worked so many hours just to afford to rent a big apartment that she never saw, because she worked so much 🙈 I rather have less fixed costs and a frugal life than lots of things and luxuries and work more
@@audreyandrea460 that is the percentage who inherited 1M or over. A big chunk of people who ended up millionaires received money for college, money for a down payment, as well as their parent's nest egg. Not too many millionaires start with nothing.
I'd argue that #10 is one of the most important habits in your list. Being content with what you have is so critical and prevents unnecessary spending. Like Vicki Robin says in her book "Your Money or Your Life", know when you have "enough".
I and my wife retired years ago and now we are in our early 70's, everything is paid for and we don't worry about money! What we did is pretty simple, we invested 10% of what we made, we never went through a divorce or bought a boat, I drive a 2008 Ram truck and my wife drives a 2018 Toyota. I and my wife never made tons of money but we always invested money every month!
We did it on one Firefighter salary raising twins! Being modest allowed us to cash flow the twins college and pay off the mortgage prior to retirement. It can be done but must plan and live below your means.
So very true. My husband and I are definitely middle class millionaires and have done all the things you list. Almost every time my husband goes to a car dealership he is ignored, yet able to pay cash for any vehicle on the lot. In reality, we have always bought preowned cars as the depreciation on new vehicles is ridiculous. Our broker always says we live below our means but we have three houses that are paid for, have paid for the education of our children, travelled extensively, and contributed to numerous charities. We also do our own repairs and yard work. One thing I would add to the list is to take care of your health. Exercise, eat healthy food in moderation, and keep up with annual check ups. 😊
@@lizardhunt96 I grew up in a blue collar immigrant family. My parents and siblings worked our butts off. Put ourselves through school. Lived in roach infested bachelor suite and saved every penny. Never took vacations until we could afford it. Shopped second hand everything. My husband grew up under the poverty line. We learned how to fix cars, clothes, electricity, plumbing, etc. no trust fund in sight. Worked hard to fix up a house, pay off the mortgage, then made money on the sale enough to finance two houses. One we rented. When the mortgages were paid off, we added two more. This has taken thirty five years.
A few things I have learned over 6 decades: 1. No matter what you think you see, most people (and I mean most) are actually worth 95% less than they visually portray. That’s an important one because once you understand that, you might be less inclined to keep wasting money on trying to keep up with that visual. 2. Keep it quiet. Live your life and look like you are worth 50% less than you really have. Let the hundreds of millions of people you see either in person or on social media keep pretending they have money (when fact they don’t) while you just go about your business quietly building real net worth. 3. Most importantly- you only live once. So yes while wealth building takes time and spending restraint, do spend money on events or occasions that you know will create great experiences in your life and more importantly cherished memories will have long lasting meaning over the years. That’s the true balance of investing for your future yet enjoying your overall life.
Frugality lets you maintain a balance where only your priorities come first , leading you to a secure financial future. I am avoiding debt , saving and investing around 40 percent of my income. I have a high paying engineering job, and I live upstate MN. since covid my expenses became extremely low. I have zero debt on a 7 figure portfolio, low rent and car paid off. So i can just save. feel lucky and grateful my fiduciary came into play.
I realized that the secret to making a million is saving for a better investment.. I always tell myself you don’t need that new hermes bag or that vacation in Hawaii just yet and that mindset helps me make more money investing.
I agree that a lot of people don’t have to own a home as an investment (after paying property taxes, lawn care, etc). Just pay rent and let the landlord take care of the rest.❤
I retired at 57, 7 years ago. My wife and I saved and invested early allowing me to exit the workforce when I did. She stayed home after our first was born and has not worked since (25+ years). House is paid off, kids college tuitions fully funded, have two late model cars fully paid off, travel extensively and do not forsake anything we need. I actually have more income coming in today than when I was working. We are not special and believe most people can do this with the appropriate level of planning and discipline. The key message I would communicate to others is don't delay retirement if you have the financial wherewithal to do so. Too often I have seen many people delay retirement and then experience health issues which constrain the very things they wanted to do post-retirement. Moreover, the most significant benefit of retirement for me is that I no longer have to deal with people I do not want to. That has proved to be the ultimate blessing.
@@kevin7151 oh my gosh, you are describing our lives. Hubby and I are in the same situation. I totally agree that retiring as soon as you can afford is the way to go. We have no debt, and we’ve also been travelling, as well as helping out the kids who are working on second degrees. I know too many people who have waited to retire, even when they could afford to, and then their health gave out.
I think contentment is THE number thing to being wealthy. People feel that they must to go on vacations and buy a lot of stuff. For me it’s more about creating an environment that I can live in without changing a thing for a long time. I don’t have to go to bars every weekend. I don’t need to see all the movies. I’m happy with being where I choose to be and living in minimalism. My next adventure will be when I convert to over-landing. I’m so excited about my next life as an adventurer.
I hate to say it but both of my siblings were wiped out financially by relationship breakups in their late 40s/early 50s and never really recovered , property settlement and being saddled with someone else’s huge credit card debts. It was tragic really. I remained single and despite only ever having one income into my household I’m in a much better position financially. I’m so grateful someone hasn’t run off with what I have built over a lifetime
It depends on what is more important to you: money or relationships. If you live your life whole life alone because you are afraid you will get burned in a relationship, that’s pretty tragic.
Yes, middle age divorce is such a terrible hit. In retrospect, I think marriage is a terrible idea. I ended up stuck with a freeloader, who refused to work. The law says that all of my hard earned net worth was joint property. The law should change.
@@SpicyMelange my husband and I were dirt broke when we got together and over our thirty five years together we accumulated quite a nice sum. I understand that many marriages don’t work out. The divorce statistics prove that. I guess we were lucky. We also come from families where the parents never divorced and neither have our siblings. I realize we are very lucky.
Augustin, here's an idea for a video that your older followers might benefit from: we spend all our lives growing wealth. At what point, what age, is it safe to begin to draw upon it and how much should we spend in order to enjoy the twilight years? Why leave hundreds of thousands of our hard earned dollars to inheritance for our children? That's what is happening with folks I know. Why work hard to earn and invest all our lives only to leave it to our heirs when we die?
Totally agree. And it’s been shown that the vast majority of children who inherit a large sum of money, blow it. If you didn’t have the skill and discipline to earn that wealth, you won’t have the skill and discipline to keep it. Leave something for each of your kids, a nice chunk of money. But you are entitled to enjoy and spend all that hard earned money that you worked so hard for.
@@TylerG7777: I read somewhere (I'm looking for the article again) that some 70%-72% of all people who inherit or win (lottery) large somes of money ($10-M or more) WILL blow it within 10 years. And the younger they are (under 40), the FASTER they will blow it; very likely within 5 years.
I am 45, no debts, owning my house and 2 apartments to give into rent in the future. I live a stable life and save 2/3 of my income easily. But this is because I heard about financial stability about 10-12 years ago and did proper steps. So these videos are important
I smiled while watching the entire video because I follow every tip and strategy that you mention in the video. You are 100% correct. I'm pretty well off and have been fortunate enough to work for the same company for 35 years. However, I don't make a big salary at all but I live within my means and stay out of debt! In my opinion, the most important thing you can do to be financially independent is NO DEBT!!
OMG! I checked off every box! I was a school teacher, and my salary was extremely modest. But, I got to retire at the age of 61 because I was able to build my nest eggs by having led a modest lifestyle. I was lucky because I stumbled upon a book on finance after completing my grad school in liberal arts. The book taught me the virtue of setting aside at least $100 per month for investment. I began investing at the age of 28. After 30+ years, my nest egg exceeded $2 mil.
So true:)! My husband and I, living frugal and within our means, are on the path to 1.8 million net worth at our mid 30s. We saved a lot when we could spend $$$, and after 10 years of dedication, we are close to our financial freedom! Live below our means, keep save and invest.
My motivation for living a simple, maybe frugal lifestyle and accumulating a degree of wealth, is none other than to achieve freedom from work and financial stress when I reach my mid 50’s and through my retirement years. Never having to worry about a utility bill, never having to consider putting food items back on the shelf or buying cheaper meat on the basis of price, I don’t have to get concerned when filling my car with fuel. My goal is to live a comfortable life the way I want to live it, with finance being the least of my worries.
Is it similar to the study of Jewish communities in NY who keep their money within the community for buying and selling and enriching themselves and their neighbors?
I totally agree with everything you’re saying. My husband and I were given a book called “The Wealthy 💈 Barber” when we got married and took compound interest to heart. The only way to have compound interest in a young 20’s married budget is to have margin. Being content in frugality by always remembering our whys-“ being able to have me stay home with kids and financial peace” was the key. We wanted to have a goal to head towards something instead of focus on not spending. Today we are almost finished with sending our kids through college debt free and continue to focus on that margin in our budget rather than consumption. I heard once, “Wealth is the money you do not spend.”
I think this is true. My wife, of 53 years, and I fall into this group. But I think you have to include luck. Neither us nor the kids were ever really sick, the house was never flooded or caught fire, the cars were never stolen (in part because they were old) and although I've been both fired and laid off, I've always been able to get another job quickly. But you are correct about the frugal living. One little example is I don't pay a barber, my wife has always cut my hair. I have no idea what that amounts to but it must be more than pocket change.
I haven't set foot in a salon in years. I cut my own hair and I don't color it. I do my own nails, too. I also cut my husband's hair and have cut my kids' hair for many years - just did the college kid's hair before he went back to school last week. You can learn anything online. I estimate we have saved $1,000s over the years by not going to barbers and salons.
Here’s a tip, if you’re buying your first home (condo, traditional home), buy BIGGER! Why? I moved in 2 friends into my home with me (each had their own bedroom, bathroom, no sharing) who paid me CASH RENT for the first 5 years I owned my townhome. I SAVED their cash rent ($700 each, $1,400 a month….this was the early 2000’s) to put 20% down (No PMI) on a SECOND place 5 years later. When I bought the 2nd place, I moved them in there. Then I moved in another friend (just 1) into my primary home, and used their rent (increased to $850 a month) to PAY DOWN my primary home (additional Principal). My primary home was PAID OFF in 12 years…….not 30.
There’s another book called the Tightwad Gazette. Twenty years ago, the author fed her family of eight on a budget of $175 a month. She changed my life.
Retired at 57. Invested with my employer and took advantage of matching and tax deferred contributions all as best I could (and yes, some squandering here and there) with patients, but in the end it helped fill the gap until 65. Smartest thing I ever did
We are called financially frugal by my advisor I was a mechanic my wife a professional and we never paid a interest payment on a credit card our whole life . At 66 we have a house in south west Florida, house in phila suburbs, and take home 109k a year in SS and pension payments. Have well over 2 million in retirement accounts, own new cars outright Never considered myself a millionaire
At 62, I am in the millionaire category.. here’s something I learned early on from Warren buffet. Don’t buy stocks thinking you’re going to hit it big.. buy stocks you truly believe in holding for long time.. and as he says, don’t care what the current price is… I made this mistake yrs ago, when I sold my apple stock.. I bought it for $11/share, and sold at $58/share.. yes, I made a big profit but if I had practiced WB philosophy, I would be a multi millionaire today..
Good list. I'm 59 and mostly agree with it except the "managing it yourself". While you can begin the process and grow your wealth from your 20's into your 50's on your own, I think when you get to your 50's plus and reach millionaire status, having a financial advisor is critical. We hired one about two years ago and while we don't always agree with them, they provide advice that's invaluable. My advice, continue to have control, but hiring an expert can save you from making six-figure mistakes.
Highly recommend reading “The Simple Path to Wealth.” I manage our funds now and we have done much better. Unless you are with a fiduciary or fee only advisor the chances are you are with a salesperson who calls themselves a financial advisor. If they are a CFP that is great. *We became millionaires after firing our financial advisor. The fees will eat up your money.
Same here. Put a good team around yourself of a financial advisor you trust, an estate planning attorney to help get all your critical docs in place, and maybe a CPA now and then. But you’re the ultimate boss.
I thought the same thing too. One million scared me. Wife said well we got to 1m without one why not 2m? Setting a few below 3m now and we still do it on our own.
I did this. Never bought a new car, never carried student loans beyond a few years, always maxed 401k, took jobs that others saw as below them, bought a house that did not exceed 5 times my annual salary. It's easier to save than to earn.
It's way more fun building wealth than spending it. Mid 50's now and reached our number. We are beginning to splurge but those splurges have been planned for and worked towards for decades. No impulse buys here and everything paid for in cash.
El Agustín: I have a 1994 Honda Accord that I purchased IN ¢A$H. It was modest mileage on the odometer then, and is now considered quite low in mileage. I don't drive that much. Good on gas. My regulalr mechanic always tells me when I go in for my annual maintence, "Do NOT get rid of this car yet." Mileage is now only 154,000±. Low auto insurance. $aves me lot$ and lot$. Much more, but THAT for now. Take care, El-Ag. (Fan from San Francisco, California.) *!!~
This guy is spot on!.........I used his 10 habits for 30 years and retired at 50 yrs old........no this method will not work if you don't want to get out of moms basement!
No boat, no plane, no flash car, no mistress, no divorce, spouse with moderate habits, comfortable but not ostentatious or expensive to maintain house, pay off mortgage asap, steady well-paying 9 to 5 job with regular promotions over decades, contain downside risk with investments, keep lifestyle within bounds = millionaire at 50, retire at 60, many times a millionaire at 70 and beyond.
I call it my decade of sacrifice. Working class millionaire is possible. You describe the millionaire next door. Be that millionaire. Wear a good Seiko watch, not a Rolex, drive a used Toyota or Mazda, not a problem filled repair hog BMW or Mercedes-Benz; you get the picture. I eschew debt. Gesundheit! Moi, I drive a 19 year old Scion, live in a modest place and wear my Orient triton watch. Why Orient, high Japanese quality and the best bang for the buck. It's Seiko's baby brother. I save for what I want. I set quarterly financial goals. I have not eaten out for two months, now. I keep a HSA, IRA and brokerage accounts. I keep two emergency funds, my general one, and a home improvements fund, the latter invested in conservative mutual funds. The former is a high interest savings account. I just tapped the home fund for a new roof. I try to create more than one safety net. But, my financial life is a blend of defence and offense.
Seiko’s Spring Drive movement is equivalent to Toyota’s hybrid engines 👌 can’t beat it! Are there any investments outside of tech that you contribute to?
I have a 2014 Hyundai Santa Fe I paid off in 2 years. I bought it in 2015. My next car is being saved for. It, too, will be second hand. I put $100 weekly in Ally, a high interest savings account. Our groceries rarely include meat. My husband hunts and fishes for that. We are minimalists and live well with no debt.
I gave up all car payments about 10 years ago and pay cash for cars. This means less expensive cars that make me look more poor to others. I probably have one of the least updated looking houses on the block too that is almost paid off fully. I know this guy is right because I'm a millionaire as described. This years trip to Cancun was amazing BTW. I brought the whole family. But you will feel sorry for me seeing me in in my 10 year old vehicle perhaps. I'm 53
It took me 7-8 years from hitting rock bottom to unimaginable success and financial freedom when I discovered myself and self development. Stay Uncommon!
Im a middle class millionaire i drive a 2015 honda touring and im gonna upgrade to a 2015 honda pilot touring i need the 3rd row and nobody knows im a millionaire and making generational wealth 😂😂
My wife and I are middle-class millionaires. Because of our lifestyle the house we live in and the car we drive a lot of people probably think that we are a retired couple on a small fixed income.
One key thing for a middle class millionaire is to take good care of their health by following a simple but disciplined lifestyle- if not they wouldn’t be able to enjoy the wealth they built - they would either pass away too soon or live to just regret the wealth they built..
52 years old. Paid off house at 49. Just crossed 1M in retirement investments. I never considered “Net Worth” my house is probably worth around $600k . I didn’t want to consider myself a millionaire until I was there with actual dollar value. House worth doesn’t do much good if you dont plan on selling. But net worth wise I was probably a millionaire 5-8 years ago. Small plumbing business for 2o years. Now I’m an inspector for a municipality. Never made big money averaged 100-150/ year for house hold. Wife stayed home with the kids . Had to pay our own health insurance and retirement. Put away around 1,500/ month in IRA’s. Still doing the same every month. Not many vacations, nice used cars, had some payments, btu always paid them down quickly. Always paid more on my mortgage . Paid my 30 year mortgage in 15 years.
Great video. I’m retired, and I have a 2 million dollar net worth, most of it in savings and investments. My hubby and I never made tons of money over our lifetimes, but we were super frugal. We stayed out of debt, drove economy cars that were paid for, (I drive a 25 year old Corolla, but it’s in great shape, lol) and we paid off our mortgage early. I never felt deprived, we have a nice home, and now we travel a lot. But we are very creative in the way we spend our money and do things for much less than quite a few people. No one knows that I have any wealth, they just see me as the typical middle class person, but yeah, I’m one of those middle class millionaires. 😁
Been watching your videos for almost a year now. Thank you for making videos as constant reminder for living frugal. Sending fist bump from the Philippines 🇵🇭
Thanks for watching so long. It's so crazy that I've been doing this for so long. I'm at the point where I've seen many people come and go and Wednesday will be my 2 year anniversary of quitting my job to do RU-vid full time! It's been quite the journey!
Cars a the big killer for most people. I've always bought used and paid cash. Today I drive a Cadillac but its used and I paid cash (they depreciate quickly). I see young people I work with spend 60k on a new car, the problem with that is you end up with car payments for life which means you never have money to save.
Very good points. We are in our 60's and this worked! I will add that a person does not have to sacrifice everything. We set our savings amount (20% with company match) and then anything over we spent on vacations etc. The fun money was utilized AFTER the savings was met.
100% true. I have not had a car payment since 1986. Bought a small farm with cash. And funded traditional and roth to the max. Pay yourself first and didn't job jump sideways.
One of the best ways I have learned to practice contentment is through generosity. By utilizing time and/or money, it helps me further appreciate the simple things I have leading to a less need to spend foolishly.
I have only bought on new car in my life, a marked down base model econo model for cash. Otherwise I buy very cheap old cars but I have a very good workshop to make them into good cars. I built an econo house that is perfect for my needs for minimum cost and maintenance. I have never had to touch my investments.
Good video, however. I don’t buy modest poor looking cloths or have a poor looking care, I just buy cloths from online stores that look designer but don’t have the expensive designer tag, you can still look good for cheap. Life is too short to completely cheap out on everything or not feel good and look good. But agree on your ideas over all
We followed these steps for decades. Now retired we cruise several months a year on PART of the income we have. At home we live a very modest lifestyle.
While a car is not going to make you rich, you don't have to buy a clunker. We have a 2019 Lexus purchased new for cash. Our previous car was also a Lexus that we purchased from a family member and when we got the current one, our old one was 15 years old. We also drive a 20 year old pick-up which is is pristine condition. A car doesn't have to break you. And yes, we are middle class millionaires.
One large area you missed is to donate at least 10% of your income to charities you trust. 10% is a very low cost for the self-discipline this develops. Most Americans can live off of a lot less than they realize.
In my early 30’s I socked away a good portion of my pay in the stock market through a brokerage , opened a Roth IRA, and always maxed out my 401k Millionaire in 15 years
Never had a car payment and only had one new car in my life (72yo) and that was just last year (Honda). I always lived below my means much to the chagrin of my wife and children. I also paid off my mortgage in 12 years and invested the same amount I once spent on a mortgage. Did not have a credit card until I was in my 60's and pay it off monthly----no interest paid and get $ twice/year in rewards. I paid for 3 children through college and each came out with a BS with no debt. After that I was done supporting them and told them this in no uncertain terms. Started a Roth the first year it became available and contributed the max allowed according to my income. When I retired I had 1.5 Million. I never made over $70,000/year. It can be done.
Great video, should be required viewing in high schools. I worry about the current younger generations because they don't seem to understand what making good financial decisions are, nor do they seem to know what contentment means because they are always chasing after the latest and greatest thing to come out, whether it be fashion, a new phone, car, etc. They have their wants/needs all confused.
Made lots of mistakes but got a better job after a layoff and after hubbys knee blew out we had to redraw plans. We invest first, have a Roth, HYSA and accounts with Schwab. We are on target and such a relief
Great segment. I own my car for 16 years. It is time to replace it though. Will buy a used newer car mostly with cash. I have lived a frugal life but my college graduated kids waste much of my hard earned money. At 66 I'm still working full time 😢
Guess what, a millionaire isn’t that big of a deal. A million isn’t a lot of money. It just means that disasters (which WILL happen) aren’t the cause of sleepless nights. Not many millionaires have their $$ in cash, it is invested. So it’s just paper money, which can disappear much more easily than it took to get it there.
Buying an affordable dependable car that you love is my advice. I drive a 2008 Toyota Solara that I wouldnt part with for all the tea in China. I will be driving it until it falls to pieces bc I love it and its incredibly good quality and reliable.
I give you credit for promoting the TIME and CONSISTENCY mantra. Not what I assume your main, young audience wants to hear. It's a boring slog. But it has worked for me in my early 60's.
