Advice

How to Become a Millionaire by the Time You're 30

By Ashley Manning | Wednesday 3rd January, 2018

I vividly remember going on a date several years ago and being completely perplexed by the man sitting in front of me- his only goal in life was to become a millionaire. I was all money only lets you choose your misery and he was all you’re a stupid 19 year old. Needless to say, there was no second date.

Some are sceptical about whether money can buy you happiness, others are dead set on it. So for those dreaming of making their first million before the age of 30, here are 7 key tips you need to follow to get you there:

Think long term

Millionaires are not created overnight. Repeat. For almost all self-made millionaires, what sets them apart from the rest of us is that they set a long term goal and make a plan to work towards it. One study showed that only 1% of self-made millionaires get rich before the age of 40. YOU WHAT?? Although this puts the timescale you’re working with in perspective, don’t let it put you off. A study shows just a fraction of statistics and you’re the exception to the rules, right?

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Know more about your current spending

If you want your money to start stretching further you need to have knowledge of where it is going. There are a lot of apps out there that can track your spending for you, including Loot. In comparison to January 2017, the average Loot user’s balance this January has increased by approximately 140%, proving the importance of managing your money if you want more of it. You can find out more here or you can download the app here.

Focus on earning

It might sound pretty basic but to save more you do need to earn more. So your focus shouldn't be on the amount you save but instead, on how much you save as a percentage of your earnings. When you shift this focus you’ll see that to increase that percentage you need to continually earn more. BUT WHAT ABOUT FUCKING BREXIT? Ask for that promotion, start that side hustle, wash your dad's car for a fiver. Stop complaining about how Theresa May has fucked you over and get out there and work for it.

Live below your means

A common mistake is spending all your money because you can. Studies show that many millionaires actually live off only 10% of their income. And actually, what you may find is that you don’t need to live off more. Living below your means is also one way to relieve financial stress. And if you want to be a millionaire, this is vital.

Show up, don’t show off

The classic example is Kanye West. Having rapped about eating breakfast at Gucci and buying 80 gold chains, the self-proclaimed Son of God fell from grace when he had to publicly admit he was millions of dollars in debt. Stay humble about your bank balance, get your head down and work hard. Arrogance only makes your inevitable humiliation sweeter for everybody else watching.

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Be decisive

Many people spend years in a job they hate or are underpaid in because they can’t bring themselves to commit to a decision to either leave or ask for a promotion. Often people can’t make decisions because they don’t trust their own choices and fear the repercussions of them. But millionaires take risks, and if you want to get to the top you need to take them too. Trust your gut and if you make a mistake, learn from it and push forward.

Invest in yourself

The biggest investment you can make is in yourself and that’s not some sort of sentimental rubbish about self-improvement (though, you should definitely try it). Think of yourself as a product you are selling to the world. What would make people want to buy into you? What skills would set you apart from everyone else? Spending a couple of hundred pounds on a coding course or a few (million) hours trying to learn Chinese could be the difference between hitting that million mark or not.

Now go forward and make your millions!

And if you want to make a start today, then download Loot here. The app lets you create weekly budgets so you'll know more about your spending so you can do more with your money!

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