7 Secrets of Self-Made Millionaires

Ever wonder why some people always seem to get ahead?

America is the land of opportunities galore, the land of entrepreneurs, a land that gives anyone with an enterprising spirit the chance to make millions.

All you need is the ability to get creative and think out-of-the-box, and then put your heart and soul into your work and go about it diligently.

No wonder America is teeming with so many self-made millionaires.

Some self-made millionaires have made their money by starting from a scratch all on their own (e.g., Andrew Carnegie, Thomas Edison, J. P Morgan, Bill gates, Steve Case, Ross Perot), some have made millions by first working in big companies and cashing in on their salaries, stock options, bonuses and profit sharing (Richard Eisner, Lee Iacoca), while some have made their money by excelling in their profession (doctors, lawyers, accountants, sports people and sales people).

But no matter what route they have taken to make their money, there are a few traits that bind them all. And here are the top 7 secrets of self-made millionaires:

1. Self-made millionaires are made because they set their sights high and work hard towards achieving their goals.

They want to be rich – and they want to be rich ethically and are not afraid to think big. So, they make a plan, set their goals, aim their vision high, and go for it in a very disciplined way.

2. They learn thoroughly about financial management. They may have dropped out of school, but that in no way reduces their thirst for knowledge. So, sometime later in life they revisit financial subjects and vacuum up all the knowledge and then strategize their financial plans.

The result is that they don't pour money in a knee-jerk manner – understanding cause, action and effect backs every decision of theirs.

3. They never go overboard while spending money and live within their means. Even when they take risks, they ensure that they will not lose more than 10–20% of their fortunes. Yeah, they believe in spending wisely – and so should you.

4. They are extremely enthusiastic about their work because they most likely have built their business in a field they are passionate about. Donald Trump loves to negotiate.

5. Self-made millionaires utilize money, time and assets to the hilt. They don't like to waste their time – they would rather moonlight with some other business in their spare time. They don't like to keep their money lying idle – they would rather invest it in a winning proposition. They don't like to keep their assets unoccupied – they would rather rent them out. All these moves bring in extra money!

6. They have the guts to take decisions that most broke people would term stupid. (such as taking the huge risk of putting all of their life savings into an investment. Of course, they do not haphazardly invest in anything without thoroughly researching it first.)

7. They understand the value of hard-earned money – unlike some wastrels who have become millionaires by inheriting ancestral money. When you think of millionaires, images of mansions, sports cars, private jets, private yachts, huge parties with unlimited alcohol, bikini-clad women clinging to men, etc., come to mind.

The truth is usually far from it. While many millionaires do reward themselves with nice things, they work hard first and then make smart purchases with the money they've earned. They do not go into debt buying cars and jewelry with their credit cards.

Self-made millionaires lead a quiet disciplined life, paying close attention to where their money goes, clipping coupons, and making intelligent purchase decisions.

These are some of the common traits that bind self-made millionaires together. The lesson to be learnt is: Work hard, earn well, enjoy life and live wisely.