Going from broke to wealthy requires earning and saving money no doubt. But it also requires a certain mindset and particular courses of action to increase financial health.
In fact, according to current millionaires, specific behaviors, activities, and choices, are incredibly important on the quest for wealth accumulation and desire to achieve financial independence.
The Millionaire Roundtable is a small group of current and aspiring millionaires who meet once a month to listen, learn, share and grow. It’s a very unflashy divulging of the success and failures of self-made millionaires. Participants openly share their experiences so others may learn from them and vice versa.
Typically, during a roundtable session, one or two contributors tell their story followed by a question and answer session. Following the personal sharing, additional topics or issues may be discussed amongst the group. I’ve listened in on two monthly roundtables now and am enjoying the conversations.
In the final discussions of this last meeting, the organizer and moderator asked participants to describe the essential non-money item/activity/behavior/choice having the most impact on their wealth building success.
While there were a variety of answers, there were also some common replies. Many hit home for me. I’d guess if you are far along on your journey to financial independence they will resonate with you too. If you are in the early stages of a financial turnaround, take note, as you’ll want to be sure and incorporate many of these in your life.
What’s Important on the Quest to Achieve Financial Independence
The bolded words, in no particular order, are the essence of a participant’s comments, with my thoughts following.
Alignment with Spouse / Partner
If your spouse or life partner is not onboard with your dreams and blueprints to achieve them, you’ll likely not succeed. Or at least you may not triumph with the relationship intact. Teaming up with your partner and strengthening your financial relationship is one of the best things you can do for each other and your financial health.
Financial Self-Education
Learning how to save and invest your money is significant when it comes to growing your wealth. You may not need to know everything about every investment, but you at least should know where to turn for trustworthy advice and information. And the best way to do that is to educate yourself. No one will care more about your money than you do.
The Rockstar Directory of personal finance websites and blogs is a great place to start for finding an abundance of information on all things money.
Contentment – Realizing you don’t need a lot of stuff; Discovering things that you love don’t cost money
This is true for many, including me, but not necessarily everyone. It is possible to achieve financial independence with a lot of stuff, it will just likely take you longer and a whole lot more money. Those that realize they don’t ‘need’ a lot of things, work at simplifying their life, often finding pleasure in the little things. Many millionaires mentioned valuing experiences over stuff.
Some Level of Not Caring What Others Think or as One Millionaire Put It, Disconnecting from Status Cocaine
One way of looking at this can be best explained by my friend, Mr. Groovy, with his article on Egotrage:
“The strategy of advancing your financial position by doing something that is “beneath” your socioeconomic status.”
That might look like ditching your sexy vehicles for older boring models or purchasing a home half the size of all your co-workers or even wearing thrift-store clothing instead of the latest trends. For us, the less we care about what others think the more money we save, spending on only what we value.
Self-Appraisal /Ability to Question Yourself
Questioning your assumptions and biases is essential in the beginning, middle, and end of your financial journey. While there are a few, who’ve always saved 50% or more of their income, for most of us this idea of financial independence and early retirement are relatively new.
Challenging your thoughts, behaviors, and habits throughout your pursuit of financial independence to continue to learn and grow is a good thing. Be careful, however, to not questions yourself and your actions so much that you become paralyzed from executing your plan.
Mentors/Friends to Assist
Having family members, friends, or mentors who can teach and assist you with financial questions, help you check your calculations, or even aid you in pondering the one-more-year issue is a valuable benefit. The personal finance community is filled with individuals who can help you if you’ve no one in your own life to assist you.
Creating Unique Revenue Streams
Many millionaires earn revenue from more than one source. Small businesses, side hustles, real estate, part-time jobs, etc. are utilized in addition to various investments to create incoming cash flow. Creativity, tenacity, adaptability, and patience all help in adding additional revenue streams to increase your wealth.
Embracing Mistakes
When we accept our mistakes and failures, we can learn from them. They can help us root out our fears and our flaws. They can help us clarify what we truly desire and aid us in discovering how to take responsibility and build integrity. On the path to achieve financial independence, you’re likely to encounter a few wrong turns and missed signals. Correct these missteps and get back on track as quickly as possible.
Persistence After Setbacks
Setbacks happen, and unless you are incredibly lucky in life, you’ll likely encounter quite a few. What often separates those that succeed from those who don’t, is the ability to endure complications and recover after misfortunes.
Acquire additional skills to earn the next available promotion at work after being passed over for the last one. Or secure a part-time job to aid you in replenishing your emergency fund after using it to repair your car after an accident. Don’t let problems or disappointments derail your plans.
See Related Post: Recover After A Setback: Tips for Rising Back Up After A Knock-Down
Learning to Say No to People Asking for Your Time, Money, or Resources
Taking care of yourself first is essential before you can take care of others. That might mean turning down a request for a personal loan from your brother, an invitation for drinks out with your coworkers, or prioritizing your need for the car to get to work over your son’s desire to use it for a date. Generosity is a virtue, but we can’t efficiently assist others if we aren’t putting our own oxygen mask on first.
Money Only Gets You So Far
Accumulating money only gets you so far on this journey called life. As you go along figuring out how to be happy and dreaming about financial freedom, consider the words above from millionaires who may be ahead of you on the path.
- Align yourself with your partner and create a financial plan together.
- Educate yourself on financial matters
- Consider your values and embrace contentment with what you already own
- Practice Egotrage
- Question your assumptions and get second opinions from trustworthy sources if necessary
- Think creatively to build more than one income stream
- Acknowledge your mistakes, learn from them, get back up after the setback, and persist on
- Learn to say no, guarding your time, money, and resources
I’ve found all of these important in my life and financial journey. But, the behavior making the most impact on my finances is trying
Your turn. Do any of these behaviors/activities/choices speak to you? What’s helped you the most so far on your journey to achieve financial independence?
Sooooooooooo much loaded wisdom into one post Amy! I think there’s at least 3-5 here that hit home with me in 2017 alone. Self-appraisal, alignment w/ spouse, self forgiveness and learning to say “no” covered 2017 for me as if you were there. I’m hoping creative streams of income is in my cards for 2018.
Yea, I found lots of value in the discussion and I’m glad you were able to get that from my writing about it. You had a great 2017 and I’ve no doubt 2018 will be for you too. Thanks, Lily!
Amy, this is chock full of gems!! I love the idea of a millionaire round table. It’s amazing how you can hear the same advice again and again, but re-reading this great advice all in one place makes me re-energized to make changes in our financial life to keep getting better!
Thanks, Laurie! Yes, hearing different perspectives can really help. I’m glad the post resonated with you. I hope it helps!
I’ve practiced many of these behaviors on my path to FI but the most important for me has been Egotrage (Mr. Groovy should submit that to Webter’s to be a real word). Not caring about status, Joneses, what others think, or what you “should” be doing is a powerful force. It also includes not following trends and being a “societal lemming”. Peer pressure is as strong for adults as it is for kids and the ability to resist it is a FI secret weapon.
I couldn’t agree more AF. One millionaire referred to it as “status cocaine.” Thanks for the comment! #Egotrage for the win
This is an amazing post, Amy!
I find that having my partner in crime (my husband) also be a partner in our financial journey has been key. We can work together, keep each other accountable, question ideas/bounce ideas around, and help each other grow in other areas of life.
Yes, having a partner you are in sync with is so important. This one is #2 on my list. Thanks, Mrs. AR!
This is a home run post for me, Amy. I’ve been kicking around a post on the difference between financial wealth and financial health for a few months now (I’m a procrastinator) so this really resonates. Thanks for taking the time to share your notes, they’re both useful and inspiring to me.
I’m really glad the information moved you, Ty. Thanks again for featuring the post, that really means a lot to me! 🙂
Aligning with a partner is first and foremost a great idea and plan for long term wealth. I’m kind of lucky to have fallen into that 🙂
Great article. I pinned and I tweeted!
Truth! Such a great lucky story too. 😉 Thanks, Erik!
Acknowledge and learn from your mistakes is a big one, no matter what they are:)
Finding the right partner is critical!
Yes, yes, it is 🙂
Oooh, a Millionaire Roundtable. That sounds interesting. Since you meet, it must be a local group of people, and I know I’m not in your area. Darn! How did you get that started?
Hi Susan, the roundtable is actually not local, we meet over Zoom. I’ll send you a note about it.
Great article, Amy! I am trying to master not caring about what others think. One of my friends is trying to pressure me into buying some new shoes but that’s not what I really care about. Also, I find the concept of a millionaire roundtable very interesting. I would love to listen in on one myself.
Thanks, Jerry. Maybe you could convince him to start a Roth IRA instead. 😉
Persistence definitely helps — given how many financial setbacks we hit. That said, I think one that most people tend to overlook is health. Chronic illness is expensive. Multiple ones and/or two people with them… It’s a huge hindrance to earning and saving ability.
So true, Abigail, many of us take our health for granted. Thanks for the reminder, and thanks for stopping by and commenting. Wishing you improved health.
This is a very thoughtful and thought-provoking post. Thank you for writing it! And thanks for mentioning Mr. Groovy. Do you know that we got the word “Egotrage” into the Merriam Webster Open Dictionary?
We were listening to the current Choose Fi episode (#59) with Victor Pugliese today. He talked about how when he was a photographer for a mid-west newspaper, the thought of being a wedding photographer was beneath him. But he eventually opened a wedding photography business.
For me, realizing we don’t need much to be happy is the key. As Mr. Groovy says, we’re pathetic.
Thanks, Mrs. G! No, I didn’t realize that. – Okay, so I just went and looked it up, that’s awesome!
I’ll give that one a listen, I’m seriously behind on podcast episodes.
That’s a good one too. And boring right? 😉
The best laugh out moment I had of the day was reading “Disconnecting from Status Cocaine” oh my – that’s a new phrase for me! I may have to drop that line a time or two on some people.
I think having a spouse/partner in line with you is one of the best ways to achieve your goals. I was just encouraging a coworker the other day to take x class, but he didn’t want to as it conflicted over his lunch hour which is spent with his wife; they have lots of kids so it’s their only time together really. I suggested, pff, why don’t you both take the class? And a light bulb went off in his head that, “oh that’s a great way we can be together and learn together!” And spice up their lunch date. ha!
So keep growing and learning together…and saying to no to bad habits and people that do not share your same level of enthusiasm and can be a bad influence..are the ones that speak most to me!
Great post – thanks for sharing!
Haha, yes, that was a new one for me too but I instantly knew what they meant.
Good story! Funny how we don’t think out of the box sometimes.
Agreed, partnership is key and removing the bad from your life really helps. Thanks for the comment!
Definitely fitting you ended this list with learning how to be happy. Honestly I’d rather be happy and content (and never financially independent) than be there today with a life I didn’t enjoy.
Well said!
I would really enjoy listening in if I would be able to. I tried sending you an email from your Contact page and it seems to be spinning but not completing, so I’m not sure if it went through.
Thank you for this post. It has so many great points. Even though I have achieved FI, I feel that I constantly need to be re-inspired to contintue the path and also to share it with others.
Thanks, Susan. Just sent you an email.
I love this list – as finance bloggers I think a lot of us focus on the money and overlook some of the other important things!
Thanks, Dave. Ha, yes, there’s more to life then staring at spreadsheets and our Personal Capital dashboards. 🙂
Teaming up with Mrs. FMM has been the best thing to ever happen to our financial situation. We were doing OKAY financially before we combined our finances and began to set financial dreams together, but the second we truly got on the same page, our situation changed drastically!
We began hitting milestones we never thought possible, and because of this it has forced us to continue to raise our goals and expectations!
I can only imagine how much we will grow together in 2018!
That’s great, Sean! It’s awesome when having the right partner makes each of you better and so solid together. All the best to you both this year and beyond!
Yes, behavior and habits are extremely important when it comes to wealth and life in general! I like your list of advises and they are all spot on. However, I do miss one advice and that is never to give up… It is hard work:-)
Yes, it can be hard work, J. Keep persisting and don’t give up! Thanks for reading and commenting.
I love having my wife as a sort of check & balance or sounding board for financial decisions before committing to them.
That’s great, Joe. Two heads are usually better than one.
Cool post, some very sage advice to ponder.
But the millionaire round-table? How cool would that be. Wonder how I’d get the invite to one of those…
Thank you! Send me an email if you’re interested and I can give you more info. It’s a once a month meeting – 3rd Friday of the month.
Thanks Amy – I’ll have to pass on your kind offer as I’m in the UK and not exactly a millionaire yet (maybe a dollar one if the pound has tanked again).
Great stuff, Amy! I’m lucky to have married someone who is on the same page as me, financially, but I think that people can always change and if you’re not aligned with your spouse, you could still get there. The other qualities can be harder for some people to cultivate. It can be hard for some people to let go of wanting to keep up appearances and comparing themselves to others. It can be even harder to persist after setbacks, but these are all important parts of reaching FI.
Well said, Mrs. FF. All these things may not be easy for everyone, but they are important to recognize and they will help you reach FI. Thanks for the comments!
Disengaging from the “status cocaine” is a very good point. I would go further and suggest it may be highly desirable to disengage from some people in ones life. Particularly those who will judge and criticise the lifestyle you choose.
Example. I had a supposed friend who not only laughed, but also sneered, when I said my budget did not allow me to spend a certain amount at a restaurant. My suggestion of a cheaper alternative was declined with a sneer and the suggestion “you can’t afford it”. He who sneers is no friend. Life is better without that person.
Excellent point, Peter. Sorry to hear about the ‘friend’s’ comments, but I do agree they aren’t really a friend then. Makes so much sense to clear the negativity from your life. Thanks for visiting and commenting.