Do you want to become wealthy? Everyone can learn valuable financial lessons from the remarkable habits of some successful financial gurus. While many people think that it takes significant wealth already in order to build more, savvy investors, have proven over time that by adopting small budgeting techniques and instilling good savings habits, even average earners can create generational wealth. In this blog post, William Schantz reveals some surprising budgeting tips used by wealthy financial gurus – so read on for more!
William Schantz Lists Surprising Budget Habits of Wealthy Financial Gurus
1. Spend Money to Make Money: One of the most popular budget habits of wealthy financial gurus is to spend money to make money, says William Schantz. This strategy involves investing in lucrative opportunities or purchasing items that have the potential to increase their net worth over time. For example, Warren Buffett purchased a small textile business in 1962 for $7 million and turned it into Berkshire Hathaway, which is now valued at more than $500 billion. Additionally, many millionaires invest in real estate or stocks to grow their wealth faster than if they simply saved their money in banks or other low-interest accounts. According to data from the World Wealth Report 2020, 65% of high-net-worth individuals surveyed said that they actively invest in assets such as stocks and bonds.
2. Invest in Yourself: Another budget habit of wealthy financial gurus is to invest in themselves, such as attending seminars and workshops, hiring a coach or mentor, taking classes, or reading books that will help them further develop their skills. This type of investment helps them stay ahead of the market trends and gives them an edge over their competition. According to a recent survey from CNBC, 83% of millionaires said they regularly attend personal development courses or seminars to increase their knowledge and improve their skillset. Additionally, an impressive 66% said they read two or more books every month related to personal finance and investments.
3. Live Below Your Means: Perhaps one of the most important budget habits that wealthy financial gurus have adopted is to live below their means. This means that they avoid spending money on things they don’t need, such as luxury items, and instead focus on investing in things that have the potential to increase their wealth. According to data from the National Financial Capability Study, 86% of millionaires reported living “moderately” or “frugally,” compared to only 41% of all U.S adults. They also tend to save more than the average person; according to a recent survey by Morgan Stanley, high net-worth households save an average of 25% of their income each year, compared to 15% for all U.S households.
4. Set Financial Goals: According to William Schantz, wealthy financial gurus also tend to set financial goals and actively work towards achieving them. This could include anything from saving a certain amount of money each month to investing in specific stocks or real estate to reaching a certain net worth goal. They also track their progress closely and make adjustments as needed in order to stay on track. According to data from the National Financial Capability Study, 83% of millionaires report having written financial goals, compared to only 41% of all U.S adults. Additionally, they usually have multiple streams of income, such as investments, side hustles, consulting gigs, etc., which helps them reach their goals faster and more efficiently than if they were relying solely on one source of income like a salary or wages.
William Schantz’s Concluding Thoughts
By following these budget habits that William Schantz highlights here, wealthy financial gurus have been able to build and maintain their wealth over time. They understand that smart investments and proper financial planning help them achieve their long-term goals and create a secure future for themselves. With the right mindset and dedication, anyone can adopt these habits to increase their wealth and improve their overall financial health.