What are your tips for acquiring wealth and riches?

[MR.]

Never be a borrowed or a lender

Nothing wrong with that....... LOL

Wealth creation with any business venture has so much to do with timing. Many comments here simply reflect their experiences in the recent past and with debt. No doubt feeling pleased with themselves and so deserved.... perhaps?
What worked in the recent past is not a reflection of the future. It has been easy to make money in the recent past but this will not continue......

 

[Trembling Hand]

It has been easy to make money in the recent past but this will not continue......

Are you saying that sound business practises will fail in the future?

 

[tech/a]

It has been easy to make money in the recent past but this will not continue......

True for those who dont attack their markets.
Those that sit on their hands waiting for impending doom.
Those who dont look at the 93% of the population going about their business.
Those who only knew how to EXIST and not run a business (There the ones that believe a couple of grand a week is running a business---dont do their bass statements/pay their employees under the table/work purely on cash/rip you off when the cash is more important than the final product and customer satisfaction---you know them).

This is how we are doing it and so far very successfully.

Last year our market share was 8%
Lets say our T/O is $5 mill.
We expect a 20% downturn.
We agressively build our market share to 10%
1 mill down turn
$1,250,000 increase in market share.

2%-----20%.

Easier than you may think
(1) Smaller competitors drop like flies as they have no buffer.
(2) Flight to quality by larger clients
(3) Larger commercial clients look for those Companies who comply to Oc health and Saftey a minefield and costly exercise which most dont bother with.

 

[awg]

I am giving an honest assessment....if I had my time over again, I would replace the kids with a couple of animals....much cheaper to keep, enjoyment etc still there...

pets can be expensive

no one tells u how expensive teenagers are

stay away from expensive/powerful/vintage cars

dont drink, smoke, gamble or do drugs (unless u can show positive expectancy)

develop an interest in asceticism

ps my kids are like raising hogs, so i combine the two maybe

 

[MR.]

Are you saying that sound business practises will fail in the future?

Depends on what one defines as sound business practises. I’m sure many companies recently thought they had sound business practices in place. Perhaps their perception of what they thought as “sound” is now somewhat different? Who knows? If assets had to be sold off (in fire sale) and the proceeds far exceed all debts allowing the company to continue trading profitably, than yes this would be sound. Although if that company was a listed company I’d hate to think what the P/E might now be.

To answer the question “No” I’m not saying that companies which adopt sound business practices will go broke. Just saying that the easy money for most is now gone. Kincella now having 30-40% debt over property. I don’t think this 30% is an unacceptable risk, but this may not have always been the case and that is what I am referring to. To have the full debts now for those properties as one starts out could now have a somewhat different result. What happened if you live in Japan and you invested there some years back?

It’s fair to extend here what has worked for them as a tip to others without intentions of gloating, but timing if you recognize it or not had a lot to do with the result. But my main point was debt is not the only way.
I think “nun’s” pretty much cleared up the rest.

Just wanted to the "small" cars arn't selling either!

 

[ivant]

Some good tips to being wealthy and rich.

1. Save everything, eat baked beans.
2. Invest everything in houses, preferably in US into subprime
3. Die with nothing but a van for $5,000.

That's life in a nutshell, there you have it guys.

Oh if you managed to avoid part 2, and keep it in cash, you will have a van and a few million dollars. WOOT! I'll stick to my Audi thanks.

 

[dumadiscount]

any other tips for the youngins here?

 

[ROE]

What are your tips and techniques in acquiring wealth and riches ?

Are there things you'd liike to share ?

Are there things you do everyday that help you on your way to success ?

Let's hear from as many as possible.....

Read a book called "The Millionaire Next Door" by Dr Stanley
http://www.amazon.com/Millionaire-Next-Door-Thomas-Stanley/dp/0671015206

you may not agree with everything in there but that is pretty good foundation for building wealth.... Just become a PAW and not UAW...

and his next book could be boring sometimes but as long as you get the message in this book you are right ...
http://www.amazon.com/Stop-Acting-Rich-Millionaire/dp/0470482559

and it's not a myth I know many people in real life that are remarkable like what Dr Stanley mentioned in those books ... super rich but still buy No brand name at supermarket for their food and drive cheap reliable cars

 

[doctorj]

any other tips for the youngins here?

It depends what kind of wealth and riches you're talking about. If you're talking about financial security then working hard for a good education and well paying job, combined with some financial prudence and you've got a decent chance. If you're talking about 10's of millions before you're 30-35, then there is no money without risk. The wealthiest people I've met have taken incredible risks - one guy bought a second hand Mercedes in the early 90's, took it to Russia where it made him look super rich, then he used it to pick up his clients and he'd sell them insurance while driving around Moscow with the government collapsing and gangs running the city. He never really even had a proper office at the time. He survived all the corruption and intimidation and now he's a dollar billionare.

There are many more similar stories. The Social Network documents something similar - a guy left the system and walked away from a first rate eduction and shunned short term success to follow a vision and almost accidentally became a billionare. If you want riches, you must take risk and, frankly, there's no better time than when you're young and don't have a family/mortgage!

 

[Bill M]

and it's not a myth I know many people in real life that are remarkable like what Dr Stanley mentioned in those books ... super rich but still buy No brand name at supermarket for their food and drive cheap reliable cars

And that's me in a nutshell (not the super rich part though). You can save so much money buy being smart, not stingy, just smart. For example lets say you drive your car 200 kilometers per week. In that week most people would pass several different service stations. Whilst driving past all I do is take a mental note of the fuel prices of each station. Then I pounce on the cheapest. I save between $10 and $20 per week just doing a simple thing like that.

The best tip for "youngins" here from me is:

Never borrow money for depreciating assets. TV's, Fridges and CARS especially. If you can't afford it then buy something cheaper with the cash you have.

and

Never spend more than you earn. Some people can't grasp this concept.

Simple rules, Good luck to you all.

 

[medicowallet]

My many principles can pretty much be summed up into 5 points.

1. Earn more - train yourself up, work smarter not harder if possible, but work harder if you need to.
2. Spend less - use a budget, utilise resources until they become cost inefficient.
3. Invest wisely - do your own research, and if you do not understand something, learn it or leave it.
4. Getting rich steadily is much safer than trying to rule the world in 5 years.
5. Diversify - missing out a bit on a particular asset is not worth the risk of being overexposed to it (imo residential housing atm)

other rules

1. Never go into a partnership if you own less than 50% (the law sucks with partnerships)
2. If it is too good to be true, check that it is legal

 

[Gringotts Bank]

Is Steve Jobs rich?

Not only rich but quite the philosopher. Just have a look at this:

quotes from Steve Jobs:

Almost everything–all external expectations, all pride, all fear of embarrassment or failure–these things just fall away in the face of death, leaving only what is truly important. Remembering that you are going to die is the best way I know to avoid the trap of thinking you have something to lose. You are already naked. There is no reason not to follow your heart.

Here’s to the crazy ones, the misfits, the rebels, the troublemakers, the round pegs in the square holes… the ones who see things differently ”” they’re not fond of rules… You can quote them, disagree with them, glorify or vilify them, but the only thing you can’t do is ignore them because they change things… they push the human race forward, and while some may see them as the crazy ones, we see genius, because the ones who are crazy enough to think that they can change the world, are the ones who do.

Your time is limited, so don’t waste it living someone else’s life. Don’t be trapped by dogma – which is living with the results of other people’s thinking. Don’t let the noise of other’s opinions drown out your own inner voice. And most important, have the courage to follow your heart and intuition. They somehow already know what you truly want to become. Everything else is secondary.

 

[adobee]

Living within your means is my number one tip..

Then for education watch:

Wall Street
Boiler Room
Glengary Glenross
Get Rich or Die Trying
Good Fellas
Casino
Scarface
The company men

 

[tech/a]

Is Steve Jobs rich?

Not only rich but quite the philosopher. Just have a look at this:

quotes from Steve Jobs:

Almost everything–all external expectations, all pride, all fear of embarrassment or failure–these things just fall away in the face of death, leaving only what is truly important. Remembering that you are going to die is the best way I know to avoid the trap of thinking you have something to lose. You are already naked. There is no reason not to follow your heart.

Here’s to the crazy ones, the misfits, the rebels, the troublemakers, the round pegs in the square holes… the ones who see things differently ”” they’re not fond of rules… You can quote them, disagree with them, glorify or vilify them, but the only thing you can’t do is ignore them because they change things… they push the human race forward, and while some may see them as the crazy ones, we see genius, because the ones who are crazy enough to think that they can change the world, are the ones who do.

Your time is limited, so don’t waste it living someone else’s life. Don’t be trapped by dogma – which is living with the results of other people’s thinking. Don’t let the noise of other’s opinions drown out your own inner voice. And most important, have the courage to follow your heart and intuition. They somehow already know what you truly want to become. Everything else is secondary.

GG
Brilliant.

Adding to paragraph (1)
There are 2 biggies in life.
(1) Birth
(2) Death.
The rest fills in the time between.
Enjoy EVERY minute of it and waste little. When ever you want to put something off to another day--today maybe the last opportunity you have.---Live (in the) NOW.

 

[explod]

Is Steve Jobs rich?

Here’s to the crazy ones, the misfits, the rebels, the troublemakers, the round pegs in the square holes… the ones who see things differently ”” they’re not fond of rules… You can quote them, disagree with them, glorify or vilify them, but the only thing you can’t do is ignore them because they change things… they push the human race forward, and while some may see them as the crazy ones, we see genius, because the ones who are crazy enough to think that they can change the world, are the ones who do.

Amen

And a good weekend to all.

 

[tothemax6]

Wealth is a function of time preferences, intelligence, knowledge, environment, time and luck. Since you can't do much about your luck and intelligence, and you can't increase the hours in a day, you can only change your knowledge, environment, and time preferences.
That is to say:
"save and invest instead of consume and waste"
"move somewhere with better opportunity if possible"
"study up"

 

[ROE]

I think most people confuse that because you have a lot of money you are wealthy...

Wealth to me is not about having 100m in the bank, wealth to me is you be able to sustain your life style if you lose your job or don't need to work.

A doctor earning 500K a year have several millions in the bank or asset but his out going is 500K, from expensive home and car and high up keep every year ....he wont last long without a job and that to me he isn't wealthy.

A teacher on the other hand earn 50K a year has a a few hundred thousands stack up in asset such as properties and shares and has a habit of living for around 20K a year...she is far more wealthier than the doctor if she happen to be out of a job....

 

[VSntchr]

I think most people confuse that because you have a lot of money you are wealthy...

Wealth to me is not about having 100m in the bank, wealth to me is you be able to sustain your life style if you lose your job or don't need to work.

A doctor earning 500K a year have several millions in the bank or asset but his out going is 500K, from expensive home and car and high up keep every year ....he wont last long without a job and that to me he isn't wealthy.

A teacher on the other hand earn 50K a year has a a few hundred thousands stack up in asset such as properties and shares and has a habit of living for around 20K a year...she is far more wealthier than the doctor if she happen to be out of a job....

Amen.

 

[ROE]

And that's me in a nutshell (not the super rich part though). You can save so much money buy being smart, not stingy, just smart. For example lets say you drive your car 200 kilometers per week. In that week most people would pass several different service stations. Whilst driving past all I do is take a mental note of the fuel prices of each station. Then I pounce on the cheapest. I save between $10 and $20 per week just doing a simple thing like that.

The best tip for "youngins" here from me is:

Never borrow money for depreciating assets. TV's, Fridges and CARS especially. If you can't afford it then buy something cheaper with the cash you have.

and

Never spend more than you earn. Some people can't grasp this concept.

Simple rules, Good luck to you all.

I do similar thing

I refuse to pay any sticker price.. I bargain and negotiate on all deal big and small
usually I get 10-15% off most things I buy.

I drive reliable Japanese cars, cheap on service, cheap on repair and cheap on the pocket.

40-50% of my cash taken out of my hand and go into the stock market each month.. I'm fairly discipline I don't touch that money ...dividend get reinvested into more stocks...all gains stay in that account never to be touch until such time
I need it for some something important.....compounding at its best....

if I need to buy a new laptop I have to work out how I'm going to fund it with 50% of the pay, if I cant afford it well bad luck maybe save some more and get it next year...

I mostly buy no brand products taste the same except 30% cheaper

I walk around with $5 thongs and $10 Croc which are to me the most comfortable
stuff and I love it why pay more when you like this stuff.

I live in Mr average house, cheap on rate and upkeep and no debt.

Don't smoke or drink ..only drink during Xmas or some special occasion..

Still cutting Domino's coupons for pizza.

Dont have expensive watch, that what mobile phone are for ..phone call and watch.

my only expensive habit is coffee and willing to pay for a nice cup once a day

I pick up most of these habits from the people I know and from Dr Stanley books, best thing that happen to me, no more money worries, and the first shock was when I was at this person house real rich, no debt and he unpack his groceries all no brand...that has a powerful effect on me

 

[tothemax6]

I pick up most of these habits from the people I know and from Dr Stanley books, best thing that happen to me, no more money worries, and the first shock was when I was at this person house real rich, no debt and he unpack his groceries all no brand...that has a powerful effect on me

But when do you intend to start consuming the wealth you are accumulating? You cannot take it with you past the grave.