Tag Archives: be more prosperous

10 Habits of the Prosperous

book_dbhWhat do the prosperous do that most people don’t? What are the beliefs and habits of the prosperous that allow them to accumulate wealth?

The following is an excerpt from the book DoesYour Bag Have Holes by Cameron C. Taylor.

1.  Clear Monitored Financial Goals — Charles Coonradt, author of The Game of Work wrote, “If you put one hundred people in a room and ask them how many would like to be financially independent, all the hands will go up. If you then ask them how many have a personal financial statement detailing assets, liabilities, and net worth that is current in the last ninety days . . . ninety of those hundred people will not raise their hands. If you ask those remaining ten people how many have that financial statement laid out in a pro forma goals format for one, three, five, ten and twenty year periods, nine of the people will sit down. The one still standing will be a millionaire”

2.  Delay Gratification — The prosperous have learned to resist the temptation to lose what matters most long-term for the short-term pleasure of something now.

3.  Value Financial Independence — The prosperous enjoy the security and independence of owning their possessions more than social praise and status.

4.  Live Below Income — For every $10 the prosperous make they spend $7. For every $10 dollars the poor make, they spend $13.

5.  Save Money for Tomorrow — Many spend tomorrow’s resources for today’s pleasures. The financially independent save and invest today’s money for tomorrow.

6.  Earn Interest — Interest is a very powerful tool that either builds or diminishes wealth. Those who understand interest earn it and those who don’t understand interest pay it.

7.  Pay Themselves First — You can become financially independent simply by paying 10 percent of your income to savings and investments first, and then living on the rest.

8.  Buy Wholesale — You can greatly decrease your expenses by learning how to buy items at wholesale and by always asking for a discount.

9.  Create Gold-Laying Goose — The prosperous create a gold-egg-laying goose (assets with passive income) and then live on the eggs. Those who have reached the ranks of prosperity have learned that money is of a prolific generating nature.

10. Master of Money — A 17th Century Proverb states, “If money be not thy servant, it will be thy master.” The prosperous have their money work for them, while the poor work for money.

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Cameron C. Taylor is a best-selling author, highly sought after speaker, and entrepreneur. Cameron is the author of the books Preserve, Protect, and Defend, Does Your Bag Have Holes? 24 Truths That Lead to Financial and Spiritual Freedom, 8 Attributes of Great Achievers, and Twelve Paradoxes of the Gospel. Cameron graduated with honors from business school and is the founder of several successful companies and charities. He is a founder of The Glorious Cause of America Institute and serves on its board of directors. Cameron is a recipient of the Circle of Honor Award for being an “exceptional example of honor, integrity, and commitment.” He lives in Idaho with his wife and children. Cameron is a gifted teacher who has been invited to speak at hundreds of meetings with excellent reviews.

Cameron’s books and lectures have been endorsed by Ken Blanchard, co-author of The One Minute Manager, Dr. Stephen R. Covey, author of The Seven Habits of Highly Effective People, Billionaire Jon Huntsman, Sr., Rich DeVos, owner of the Orlando Magic, William Danko, PhD, co-author of The Millionaire Next Door, and many others.

365 Ways to Get Rich (Part 3)

This is part of a series of tips from Forbes on how to get rich. Read part 1 here and part 2 here.

Many people want to be richer, have more money and more prosperity. But they don’t know how to go about it or what actions to take.

Here are the next 20 tips…

#41
Beware affinity fraud; find God, not hot investments, at your church, synagogue or mosque.

#42
Sir John Templeton: “The four most dangerous words in investing are: ‘this time it’s different.’”

#43
Don’t put more than you can afford to lose into a crowdfunded deal; startups are always risky, and the new JOBS Act reduces both paperwork and investor protection.

#44
Don’t underrate the importance of liquidity.

#45
Use Quicken or a Web service to track all your finances and see your big picture.

#46
Use different passwords for each of your online financial accounts; add optional security questions whose answers can’t be found in your Facebook or LinkedIn profiles.

#47
Write down your passwords and hide them; tell one person where they are.

#48
Don’t fight demographics—allocate a portion of your portfolio to health care and biotech stocks.

#49
Diversify globally to boost your portfolio’s risk-adjusted performance.

#50
Benjamin Graham: “Speculation is neither illegal, immoral nor (for most people) fattening to
the pocketbook.”

#51
Cash in on companies with stealth dividends—meaning stock buybacks.

#52
Diversify, but don’t overdo it.

#53
Set investing rules for yourself that block impulsive decisions.

#54
Look beneath a fund’s name, with Morningstar’s Style Box and X-ray.

#55
Use software to track your asset allocation.

#56
Ask for a “brokerage window” in your 401(k)—an opening that allows you to invest in any mutual fund and even individual stocks.

#57
Bond laddering is good, but diversifying your income investments is important, too.

#58
Treasury Inflation-Protected Securities (TIPS) offer protection from inflation—not from rising interest rates.

#59
John Bogle: “Time is your friend. Impulse is your enemy.”

#60
Use salary increases to boost contributions to your 401(k).

Read the rest of the tips on Forbes.