After reading The Millionaire Next Door by Thomas J. Stanley, I gained a better understanding of what it takes to accumulate wealth. A lot of research was put into writing this book.
This book details many of America’s wealthy and what it took for them to get there. Building wealth is not easy. It takes a lot of hard work, discipline, and sacrifice to get there.
If you are looking for a get rich quick scheme, then this book is not for you. I like the honest approach this book takes to building wealth. When you work hard to accumulate all that wealth, you value it more versus being handed the money.
It may surprise you after reading this book, that the ones who may appear rich are in fact broke. My husband and I had already been applying some of the techniques this book mentions.
Specifically, living below one’s means. Like many of the characteristics of the millionaires mentioned in the book, we wear inexpensive clothes, don’t lease a car, and constantly educate ourselves.
We don’t care how others judge the way we dress. Actually, we love it and laugh it off. Anyways, we now know that keeping up with the Jones’s is a joke because they are in fact broke.
This book further goes on to stress the value of a budget. Something we both have always done, but now with greater detail and confidence. You don’t need a fancy program.
Actually, if you have Excel and are connected to the internet, you can download all types of budget sheets and tailor them to your needs. As the book says, too many people let their income define their budget. We let our budget define us.
Another important take a way in this book is to be goal oriented. We are always setting daily, weekly, monthly, and annual goals. These goals provide direction in our lives and allow us to allocate our time and resources in a more productive manner.
Related Post: The 11 Essentials of Successful Goal Setting
As a mother-to-be this next part was my favorite in the book. The Millionaire Next Door list rules for affluent parents and their productive children.
Rules we will pass on once our child is born and is able to understand. The book stresses the importance of not telling them you are wealthy and to teach them frugality and discipline.
In my opinion, great lessons for a young mind. It stresses the importance of focusing on the child as an individual and putting an emphasis on their achievements no matter how small they are.
Lastly, I love the fact that this book points out the importance of teaching the child that there is a lot more valuable things in life than money.
The Millionaire Next Door is on my top ten reads for financial improvement. This book is loaded with a wealth of knowledge about accumulating wealth.
In my opinion, the biggest take away from this book, is whatever your income level may be, make the choice to live below your means. This book will give you the he motivation to get started, but it will take discipline to maintain it.
Lastly, I always like to include a lot of examples in my reviews. These books are not just read for purpose of submitting a review, these books are read for the purpose of educating oneself outside the classroom.