Is wealth created? Is it inherited? Or is it just dumb luck? These questions came to my mind as I was waiting to board a recent flight. With an assist from a popular search engine, I found some answers.
To me, dumb luck is something like winning the lottery, but the chances of winning are (sadly) about 1 in 18 million. For many of those who beat the odds, they don’t stay wealthy for long. We’ve all heard the horror stories about how easy it is to squander the money and end up worse off than the “winners” were before cashing their ticket.
So, maybe a small percentage of Americans have become wealthy just by dumb luck, but what about the rest?
With a few more searches, I discovered that 20% of millionaires inherited their wealth. Those 20% of people have another kind of luck, but it still doesn’t account for most of the wealth of the millionaires in America.
The other 80% are first-generation millionaires who created wealth for themselves. They can serve as role models for others seeking financial success. These people are self-made. They have good plans, received proper financial advice, and practiced good savings habits.
Most individuals who have reached the million dollar level aren’t geniuses who created a new app or revolutionized a business. They focused on living within their means and sticking to a savings strategy. In fact, most people don’t become millionaires until age 50 — because it takes time to achieve financial success.
Wealthy people also are conscious of their health. They understand that being physically healthy can give them more time to enjoy the wealth they created. Sometimes it seems daunting to get to the gym four days a week, but 76% of millionaires say it’s an essential part of their routine. Those individuals understand you need to be dedicated to the process to achieve the outcomes/goals that you want to realize. Creating wealth and maintaining health go hand-in-hand.
It encourages me that, with a little planning and some good habits, we all have the potential to be millionaires one day. You don’t have to have a rich parent or win the lottery to set yourself up for financial success.
It just takes hard work, discipline, and good advice.
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