Who has a formal plan for becoming a millionaire?

[MidasGirl]

Maybe they are supporting an orphanage, building fresh water wells in underdeveloped countries, funding R&D projects in emerging energy, or Taking 10 at risk kids on adventure vacations.

Why do people that dont' "need" that much default to thinking the people that do are going to blow it on fast cars, big homes and supporting a coke habit.

I think people that don't want to make more income than they can spend are a little selfish quite frankly. It diminishes their capacity to help people.

You make me smile.

[MidasGirl]

I definitely agree that everyone will have a different perception of what they will feel comfortable on

I curious to know what someone would actually need more than $5,000 a month for though. like what do these people actually spend their money on? new luxury cars every few months? or a pet lion maybe?

I'm curious to know.

Travel the world, literally.
Furnish my home with beautiful expensive furniture.
Buy gorgeous designer shoes, handbags and clothes.
Buy fresh organic food.
Eat out at the best restaurants in town.
Attend Broadway shows every summer, as much as I want.
Send my child to the best private school in town, and eventually the best college education money can buy.
Fund an Aids orphanage
Contribute 10% to my church
Fund a home for estranged teenage girls
Get to see the best artists -- singers, comedians etc
Stay at the best hotels when I travel
Enjoy relaxing spa treatments
Consume the best quality there is to consume, I could go on and on....and I still haven't bought a luxury car.

If you have anything over $5k, I'll take it

[Scooter]

it would be great if people who have (or want) a lot of money spent that money used some of their wealth to help others. I wonder what % of the population actually contribute a significant amount of their wealth to help others though? 5%? 10% maybe?

massive over-consumption is MUCH more selfish and more harmful to the world than people living withing their means in my opinion but each to their own.

to the thread starter (or anyone else that's interested), in my opinion, if someone is interested in wealth, it is in their best interests to have a solid plan for creating wealth AND to have a plan to find fulfillment with their spending. "Your Money Or Your Life" is perfect for this.

Well, if there are 5-10% contributing their massive wealth to philanthropic endeavors that is a MASSIVE amount of money. Just imagine a world where there wasn't a Bill Gates donating Billions upon Billions or a Warren Buffet or any of the following evil billionaires

And this is a very partial list of the worlds biggest philanthropists

1. Leona M. Helmsley
2. James LeVoy Sorenson
3. Peter G. Peterson and Joan Ganz Cooney
4. Harold AlfondHarold
5. Donald B. and Dorothy L. Stabler
6. David G. and Suzanne Deal Booth
7. Frank C. Doble
8. Robert L. and Catherine H. McDevitt
9. Michael R. Bloomberg
10. Dorothy Clarke Patterson
11. Richard W. Weil
12. Helen L. Kimmel
13. Jeffrey S. Skoll
14. H.F. (Gerry) and Marguerite B. Lenfest
15. David Rockefeller
16. Stephen A. Schwarzman
17. Gerhard R. Andlinger
18. Eli and Edythe L. Broad
19. Philip H. and Penelope Knight
20. David H. Koch
21. Kenneth G. and Elaine A. Langone
22. Fritz J. and Dolores H. Russ
23. Frank Sr. and Jane Batten
24. Jesse H. and Beulah C. Cox
25. Henry R. and Marie-Josée Kravis
26. Ronald O. Perelman
27. Guy E. Beatty Jr.
28. Malone III and Amy Mitchell
29. Felix E. Martin Jr.
30. Paul G. AllenPaul G. Allen
31. Stewart A. and Lynda R. Resnick
32. Donald J. and Ruth Weber Goodman
33. Jerome and Anne Fisher
34. Michael Moritz and Harriet Hayman
35. Perot family
36. Emily Rauh Pulitzer
37. Lorry I. Lokey
38. Theodore and Vada Stanley
39. Adrienne Arsht
40. Sheldon G. and Miriam Adelson
41. Jon L. Stryker
42. Lawrence J. Ellison
43. Andrew S. Grove
44. John A. and Cynthia Fry Gunn
45. William B. Quarton
46. Michael S. (Mickey) and Janie Maurer
47. Dennis J. and Constance Templeton
48. Andrew H. and Ann Rubenstein
49. Peter T. Paul
50. David F. Bolger
51. Jon M. Huntsman, Karen Huntsman
52. George Soros

[mleighp1]

this is not my budget, but is a sample budget for $5K.


$300 medical insurance
$100 car insurance
$800 car payment
$1500 mortgage
$100 cell phone
$100 electric/water bill
$300 heat/gas bill
$550 groceries
$100 gasoline/transportation
$200 for Christmas/bday/baby shower/wedding presents
$100 Health Club membership
$75 Internet service
$25 land phone line
$100 drycleaning
$400 house cleaner
$150 security system for your home
$100 cable

Total: $5,000

This does not include any money for
Car maintenance and repair
Home maintenance and repair
Landscaping, lawn maintenance
Insurance deductibles and medical expenses not otherwise covered
Clothing
Furniture
Household supplies
Education
Travel
Entertainment including dining out
Pilates classes/yoga/personal training, etc.
Compupter equipment
Emergencies
Hair, nails, beauty products.
Chairty
Pet Lion, or any pets for that matter.


I do not call that living like a king. It doesn't make me wrong or right for not sharing the same values; it just makes us different. If you can live like a king on 5k, that's great for you. If you take the mortgage and car payment out of the equation, obviously there is more money left over for the categorie that were not covered by the 5K, but even then, you would be watching your pennies.

[Scooter]

you can live like a KING on $5,000 a month

what on earth would someone need more than that for?


to the thread starter, the best formal plan I've seen for financial freedom is in a book called, "Your Money Or Your Life". highly recommended

Hmmmmmmm
If one had no debt, then 5K is a "sufficient" income for the moment, then you must also take into account loss of that income and having bank to tide you over and that would mean at least $30K in the bank or invested. You also need to increase that income over time as inflation eats away at it year after year so there needs to be a solid plan in place. It also means no debt at all. No mortgage, no cars and completely controllable expenses such as food, water, sewage, waste, insurance, emergency funds etc...

why on earth would I need more than $5k/Month?
Wellllllllll

Travel around the world
Climbing mountains
Travel and accommodations to parts of the world to deliver mosquito nets
Travel and accommodations to parts of the world to help feed and water 3rd and 4th world nations
Trips for my family to places they have never been
Take up residencies in foreign countries to learn the languages, cultures and what I can do to make a difference
Fund a project to clean up space junk (Oh, you said on this world )
Fund Programs to fight Illiteracy around the world
Reef awareness projects
Battle invasive species around the world in reefs and forests
My own dive boat / Research fleet to support reef surveys
Fund discoveries of new clean energy sources
Fund Pancreatic Cancer research and other Cancer Researches
Start several grants for education in Cancer or Marine research
Need I go on?

[stayfly]

this is not my budget, but is a sample budget for $5K.


$300 medical insurance
$100 car insurance
$800 car payment
$1500 mortgage
$100 cell phone
$100 electric/water bill
$300 heat/gas bill
$550 groceries
$100 gasoline/transportation
$200 for Christmas/bday/baby shower/wedding presents
$100 Health Club membership
$75 Internet service
$25 land phone line
$100 drycleaning
$400 house cleaner
$150 security system for your home
$100 cable

Total: $5,000

Is that for one person or a family of ten?

[stayfly]

some interesting responses from MidasGirl and Scooter

the assumption seems to be that to live a life of excitement and adventure AND to contribute massively requires a lot of income though. if you're totally happy with that assumption then best of luck with it.

getting back to the topic, in terms of having a plan for wealth;

I wonder who here has a formal written plan for how they intend to become a millionaire?

I do

How did you come by this plan?

lots of research and study

Is it a tested plan that you have come across?

yep, tested by many thousands of people

Did you study and come up with your own plan?

study

If so what did you study?

"Your Money Or Your Life" by Vicki Robin and Joe Dominguez LINK

When did you come up with your plan and how much progress have you made towards achieving your plan?

two years ago

made significant progress, will be financially free (passive income > expenses) within 3 to 5 years


NOTE: this is a plan for financial freedom, not necessarily for becoming a millionaire. Having a million dollars/net worth is not my goal, having automatic income that meets or exceeds my expenses is my goal and is a better measure of real wealth.

[Batman]

If you take the mortgage and car payment out of the equation, obviously there is more money left over for the categorie that were not covered by the 5K, but even then, you would be watching your pennies.

And I don't know about you, but I am thinking a king would have a house and a car ... im jes sayin'

[Chuck D]

Kings have castles, and palaces.

Fo shizzle....

[Coach Morse]

No "formal written plan". My finances are just one aspect of my life that support the fulfillment of a broader vision for my life overall.

Becoming a millionaire, or to be more specific, having a net worth of 20 million by age 60 , is necessary for me to achieve my view of financial freedom.

My plan has and will continue to be a work in progress.

I have always viewed my financial goals in stages. First I had to earn enough to meet the basic needs of my family; food, clothing, shelter, transportation, health care, etc... Once this was achieved I began to work on achieving financial security; secure source of income, more money to improve standard of living, college money for kids, money for retirement, etc...

I am still in the financial security building stage of my plan and have begun to work on the next stage, which is financial freedom; money to pursue hobbies, support various causes / charities, more money for travel, etc...

My most productive vehicle to date has been business ownership. For the first ten years all available profit was reinvested into the building of one business. For the past 6 years increased focus has been on diversification into more investments that generate residual income.

Ultimately for me, happiness and quality of life hold the most value, and in those respects I am rich. I'm certain I'll achieve milliionaire status as a side effect of pursuing the greatest vision for my life.