What if it was so simple? You had a checklist that you put on the refrigerator. You followed him and you became a millionaire. It’s about as simple as that. There is a checklist – a checklist of a millionaire who will bring you results of a million dollars. And while it's simple, it may not be that easy to follow. But when we do, the rewards are worth it!
Here is the list that is worth a million dollars:
1.] Invest in a Roth IRA with good growth mutual funds anytime from 14 years of age. Invest at least $ 166 / month with an automatic deduction. It is $ 2,000 / year. This early investment can bring in millions of dollars tax free.
2.] Emergency funds. Set aside at least 3-6 months of expenses. Make it a long-term goal to cut spending by a year. It is beyond the budget for average car repairs, replacement of new items, etc.
3.] Go to debt-free college. Millionaires hate debt. And it is possible. Millionaires will cut back on spending early on in order to earn a lot in the future. If a student lives in a dorm, eats the meal plan and works, it is possible to get out of debt. So instead of graduating with $ 20,000 in debt, which is the norm, and paying off $ 27,619 over ten years, the future millionaire can invest what he would have paid in student loans, earning more than 30,000. $ in 10 years and almost $ 100,000 in 20 years. Go to http://www.scholarshipcoach.com to find out how to get out of debt.
4.] Plan your purchases and pay in cash. If you want a plasma TV, find great deals and look for quality. Then pay in cash. If you don't have money, save. Again, millionaires hate debt.
5.] Avoid credit card debts. Do not give your teenager a credit card to help him build a credit rating. Few people pay the balance, so don't get a credit card if you can't pay it. And even those who pay it back are charged 12-18% or more. As young adults, they can show that their bill payments were on time, like rent and utilities.
6.] Budget your money. Millionaires often know where the money is going. The easiest way to budget is to plan your money before you get it. And do it every month by planning the month in front of you. The months are different. Also set aside money for bills that don't come back every month like auto insurance.
7.] Always save 15-20%. If you automatically deduct 15 to 20% in a savings or investment account, it is obvious. The rewards could be millions.
8.] Buy a house and pay for it in 15 years or less. First, have little debt and have 6 months in your emergency fund. And make sure your payment, including utilities, does not exceed 25% of your home tax. Get a fixed rate loan. We all know now that these MRAs can be fatal.
9.] Get insurance. Health and disability insurance is excellent if you have a big medical problem. Get life insurance if you have a spouse or children – until you have a million or more.
10.] Give! It is fun and millionaires often give before and after they are millionaires.
11.] Be financially aware. Learn, read or take finance classes. Vanguard has an online course.
12.] Have fun with a plan! Have fun but keep your financial house in order. Then your fun will not be followed by a huge financial headache.
Becoming a millionaire is easy for young people if they know what to do. This checklist should make it much easier and simpler. It gives you and your teenager quick guidelines that will help you and your teenager to prosper financially.