Want to be a Millionaire?

With the new year here, there maybe some of you who have a new year resolution of moving towards being a Millionaire. If that is you then you’ll find this post very timely.

In a Forbes.com article, they reported that they’re nearly 8.4 million Millionaires and 413 Billionaires. But did you know in 1900 there were less than 5,000 Millionaires in the United States of America?

I think we’re often mistaken about how people get to be millionaires in America. Here is a list of how people become Millionaires:

  • 74%  are Self-Owned Business. These are your typical entrepreneurs, business owners, real estate agents, etc. Many times we think starting a business means you have to reinvent the wheel or patent something to be very successful. Not at all. The three common millionaire producing businesses in the United States are:
  1. Dry cleaning,
  2. Vending and
  3. Printing.
  • 10%  are Doctors, Lawyers, and other Professionals.  A portion of these people end up wealthy, but not all. Many feel the peer pressure of presenting a high consumptive lifestyle, and never accumulate any real wealth. Even high income for services will never make one wealthy. Those who live on much less than they make and put some money to work for them are the ones who go on to become wealthy.
  • 10% are Senior Exec. Positions.  These are people like Bob Iger, CEO of Walt Disney who was paid $53.3 million in 2011.  In today’s new work environment, longevity and seniority are not necessarily going to be rewarded. The results you produce are what stands out and get noticed, so these senior executive positions may be filled with a newcomer. CEOs, CFOs, and other senior positions may be attained quickly if one can prove his/her ability to get the job done, however, there is little traditional “security” in any of these positions.
  • 5% are Sales People and Consultants.  This can be any industry, product or service. There is little connection with educational degrees, licensure, or certification; they are simply people who are very good at selling.
  • <1% are Stock Market, Inventors, Show Business, Authors, Songwriters, Athletes, Lottery Winners.  This is a strange realization. The less than 1% category is what gets noticed and talked about; everybody wants to be the next Steve Harvey, Justin Bieber, 50 Shades of Gray, Tim Tebow, or Taylor Swift. These rare examples of success, combined with all the other areas listed, comprise less than 1% of how people become wealthy.

Remember, you don’t need to reinvent the wheel to have a successful business. Just do something 10% better or provide added value.