Watch Me Become A Millionaire

We all have heard the cliche phrase - “Money doesn’t buy happiness”, or variations on that phrase.  I wanted to share my thoughts on that phrase.  I must say that, from my experience, that phrase has been true.  If you think of some of the happiest moments in your life, how often is it something that is intangible - Good times with friends, being close to loved ones, one’s pets, or the magical experiences of traveling somewhere.  While there is no doubt that money is an important aspect of making some or all of these experiences more enjoyable (For example, traveling does require some money), for the most part I have found that the most memorable moments were the ones that, as the credit card commercials states, “money can’t buy”. 

I have seen people who have had it all, so to speak.  Despite their vast amounts of wealth, some of these people weren’t overall happy with life.  They seemed to be in a constant race of attaining more wealth, never truly satisifed with what they had.  This observation lead me to decide that, above all else, one should be grateful and fortunate for what one does have on a daily basis.  This is not to say that you should not strive to attain goals and dreams of becoming financially independent.  On the contrary, it makes the attainment of this eventual goal all the more pleasant.  It isn’t the destination, but the journey.  How will each of us make this journey to financial independence? Will we try to take shortcuts, cheat, and use unethical means? Or will we strive to be the best person we can be, creating positive growth in our lives and in our careers or businesses?

I recently read a very insightful article by Steve Pavlina titled “Career Responsibility“.  In this article, Steve writes, “When choosing a company to work for, to partner with, or even to patronize as a customer, take a moment to consider the values you’re supporting and the long-term consequences of those values.”  I find a great deal of wisdom in this article and in that sentence in particular.  Each of us creates our destiny, and ultimately are responsible for our actions.  I for one want to be proud of my achievements when I attain the eventual goal of financial independence.  When I have achieved my goal, I want to be able to look at myself in the mirror and say to myself, “You did it - Not by standing on the backs of other people, but by pursuing your dream while at the same time creating something of benefit for the world.”

So why do you want to become a millionaire? That is a question I often ask myself.  Is it for the purpose of buying fancy cars and other such toys? In my case, the resounding answer would be “NO“.  I believe that if I were to become a millionaire tomorrow, I would still drive the same economy car and attempt to save money while shopping, just as I do now.

Having read several books on the topic as well as having talked to successful people, I have determined for myself that the common theme among those who are financially independent seems to be that they are, for the most part, frugal people.

It does not take an expert researcher to figure out that we live in a consumer society. Everywhere you turn, you are being offered the latest, greatest thing to spend your hard-earned dollars on.  The question is - Do you really need it? In my case, the answer is almost always “NO!”.  I have not always been this way; I recall a time when I, too, used to spend money on things that I really did not need.  For me, the items in question were musical instruments.  I would spend $1000 to $1500 on the latest musical keyboard, only to sell it on eBay 6 months later for 1/2 or 1/3 of that price.  Where is the financial wisdom in that?

Having spoken with those who are successful, I have come to the conclusion that in order to eventually achieve financial independence, once must make every attempt to keep unnecessary expenditures to an all time low.  This does not mean you should deny yourself everything and count every penny.  What it does mean is that a more enlightened approach to understanding where one’s money goes and thereby curtailing the purchase of things we do not really need is a big step towards the ultimate goal of financial independence.

Let’s take automobiles as an example.  Some people such as myself buy an automobile to take me from point a to point b.  For others, an automobile is a status symbol - One that requires a lot more financial upkeep and maintenance.  I am not suggesting that one buy a 20 year old clunker that doesn’t even make it off fo the dealer’s lot.  However, with so many good, reliable automobiles these days selling for a very reasonable price, why would I spend thousands of dollars more? I think it is by far more impressive and wise to set aside the money that would have been spent on this more expensive car on an eventual down payment on a property instead.

I enjoy cultivating the discipline of requiring myself to be frugal and spending wisely.  It helps me understand where my money is going, even when I do not always do the right thing and do purchase an item I may not need.  Understanding my spending habits is a big step in the right direction.  Being aware of what I am spending my hard-earned dollars on is essential in my goal towards financial independence.