7 Habits of Wealthy People You Need to Master
Understanding the habits of wealthy people is the key to your success. We have compiled the top 7 ones that you can follow if you strive to succeed financially in life.
Top 7 Habits of Wealthy People
1. They Live Within Their Means
The first of the 7 habits of wealthy people may well be one of the most important. They tend to avoid overspending by always thinking of their future. On average, the rich save 20% of their net income and live their present life on the remaining 80%.
On the other hand, those who are struggling with money almost always live above their means. In other words, they spend more than they earn. If this sounds like you, here are some ways to budget your net income:
- Spend a maximum of 15% on food
- Spend a maximum of 25% on rent/mortgage
- Spend a maximum of 10% on entertainment (movies, clubbing, etc.)
- Don't accumulate credit card debt
- Pay into a retirement plan and ask if your company will match it
2. They Read Every Single Day
This is one of the most common habits of wealthy people. A whopping 88% of the rich read for at least 30 minutes every day. They tend to read self-improvement books or articles that increase their knowledge in specific fields which lets them separate themselves from competition and earn more than average.
Below you can find some statistics of how the wealthy make good use of their reading time:
- 79% read educational career-related books or articles
- 63% listen to audiobooks on their way to work
- 51% read about history
- 94% read about current events
- 55% read for personal development
3. They Limit Time on Social Media and TV
Almost 70% of wealthy and successful people watch less than an hour of TV every day. While fun at times, reality shows, Facebook, Instagram, televised sports, and Twitter are modern-day distractions that allow those who are less wealthy to forget their money struggles.
4. They Volunteer and Network
The wealthy understand that building valuable relationships will ultimately lead to new clients, customers, and better, higher-paying job opportunities.
About ¾ of wealthy people volunteer or network for at least 5 hours every single month. In contrast to that, only 1 in 10 people who are financially struggling give back.
5. They Never Wish, They Set Goals Instead
Some people view wishes and goals as similar things. However, wealthy people know the difference:
- Wish — A hope for something to happen.
- Goal — A result one is attempting to achieve.
70% of the rich pursue a large goal each year while only 3% of those who aren't wealthy do this.
6. They Avoid Postponing at All Costs
The rich know that delays lead to unhappy customers, lowered quality, and dissatisfied bosses. To avoid postponing, try implementing these tips:
- Create a to-do list every day. You should aim to complete 70% of them each day.
- Find an accountability buddy. This should be somebody who is teaming up with you to achieve a wider goal.
- Use the "do it now" mantra. Repeat this to yourself until you start the task.
7. They Know Their Purpose
This is one of the most important habits of wealthy people. Those who pursue their dream/purpose are the happiest and wealthiest of all. Why? Because they adore waking up and going to work each day.
Finding your purpose is easier than you think. Follow these simple steps:
- Write a list of everything you can think of that makes you happy.
- Highlight the items that involve a skill and narrow it down to an exact skill.
- Rank all your highlighted items from 1 to 10. 1 is the least joy-bringing and 10 is the one that makes you the happiest.
- Rank all your highlighted items from 1 to 10 in terms of their potential to make you income. The one that can bring you the highest income should be ranked 10.
- Add up the two rankings. The highest score is your main purpose!
Emergency? Try Title Pawning
Developing these habits takes time, and emergency strikes are a possibility while you're trying to do so. If you don’t have an emergency fund though, Alabama title pawns may be a possible option to consider. You can borrow up to $15,000 in as little as 30 minutes by title pawning with us at Alabama Title Loans, Inc.
The application process is really simple and straightforward, there are no hidden charges. Plus, anyone, even with bad or non-existent credit, discharged bankruptcy, or low income can qualify. To get a title pawn with Alabama Title loans, Inc., here’s what you need to do:
- Fill out the online form on our website.
- Wait for our loan specialist to get in touch via phone provided in the form. Head to your closest storefront with your vehicle, lien-free vehicle title, and your driver's license/state-issued ID.
- Wait while our loan expert examines your vehicle to determine its value and how much money you can get.
- If you are approved, you will receive your cash the very same day.
Get Started Today!
While you are trying to adhere to the habits of wealthy people, we can help you cover the costs of your emergencies with title pawning. Get started with title loans online today by filling out a short intake form on our website and receive your emergency fund in no time!
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.