Do You Have a Millionaire Money Mindset?

[Tecknowoman]

Recently I've realised how many around me have a millionaire lifestyle mindset without the money mindset to back it up.

The secret and law of attraction have made it very appealing to people to dream, visualise and spend like they are millionaires without ever doing the ground work to get there. it almost makes it a negative to tighten your belt and live within your means or deny yourself luxury when times require because that is an attitude of lack and will limit flow.

The problem is I am seeing this in people not doing anything to practically take care of the business end. You know even though I have 20K credit card debt, no job, a new business, and have to move I still buy raspberries at extortionate prices because I love them and want to put out there the lifestyle...I am finding an outsource team now...these are real examples from someone who was not going and getting clients so in effect had no income and was doing nothing to get income other than "attracting it" by spending money they didn't have.

I wonder how many others are avoiding the concrete, practical assessment and planning for the future. How many are living the millionaire money mindset? I know this is something i've struggled with - as much as i love money I have had to learn to love accounts!

[melbstrip]

I use a three-step budget system.

Step 1 - The "reality" budget, what I have to live and deal with right now

Step 2 - The "i wish" budget, incorporates reality and business growth plans

Step 3 - The "finally got there" budget, when the business is making more money than I know how to spend and can start employing others to do everything while I go live in Paris

There is a little more to it than that, but I'm strong believer in KIS (Keep It Simple)

[Burgo]

I know quite a few millionairs. In fact most of the guys I went to school with are either millionairs or multi-.

Many of my family members are millionairs, and they became millionaires, because they didnt waste their money on trivia.

Property was one of the areas some of them made their money.

But on of the key elements is they were frugal and only spent money when they needed to.

Think about what you really want from life. Then think of how you can get there doing what you do now. Then ask what do I need to change to get piont 1. Now set about achieveing that change.

[Tecknowoman]

Thanks Burgo - that is my experience of millionaires also. They don't waste money!

[JakeThomas]

Being a millionaire isn't really a big thing anymore, in Sydney, if you bought a property for 400k 15 years ago around my area, it would now be worth 1 million plus.

I've been a natural budgeter all my life - Regardless of whether I'm cashed up or not, I still don't spend excessively or unnecessarily.

- Jake

[TM Accounting]

I use a three-step budget system.

Step 1 - The "reality" budget, what I have to live and deal with right now

Step 2 - The "i wish" budget, incorporates reality and business growth plans

Step 3 - The "finally got there" budget, when the business is making more money than I know how to spend and can start employing others to do everything while I go live in Paris

There is a little more to it than that, but I'm strong believer in KIS (Keep It Simple)

I love this! What a fantastic way to keep it simple and understandable!

[Steve Fitzpatrick]

If 90% of our working population can't live within their means it's also fair to assume most business owners are the same.

I think it's really important to dream and think big - but it's vital to live in the moment also and address the now. If your budget in the now means you're eating baked beans on toast for dinner then so be it, so long as you have a clear road map of how you'll grow the business to become successful so you'll be able to enjoy wine with your baked beans in the near future!

[Chris Bates]

Baked beans on toast! The diet of budding entrepreneurs! :P

[Burgo]

I love the idea of 'pennystocks'

I bought shares at a good market value only to see them become penny stocks.

I can remember many years ago a friend told me to buy Woodside which was about worth $0.40c.

As i had been bitten earlier with some speculative buying I hesitated........you know the old story ' he who hesitates......yep I lost out.

By the way Baked Beans and a bottle of cleanskin wines are still concidered a luxury at our house................hahahahahahaha

[FletcherTax]

What a great discussion!

One thing I've noticed in practice recently is that not everyone is as they say they are. They present themselves as 'all that' but in reality they are stocked up to the hill in debt or nervously finding funds to keep their kids in private schools. So don't believe everyone that glimmers.

Marianne's distinction above, between reality, wish list and finally there is fantastic.

And as Jake correctly pointed out, these days being a millionaire is no longer the exception it once was. With property values as they are, people who have bought a while back are sitting on nice little nuggets.