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22 Dos and Don’ts of Rich People

22 Dos and Don’ts of Rich People

Rich people are controversial and interesting to talk about. Not necessarily because of the money they earn, but the fact that they are able to create a dream lifestyle achieving more freedom and time for their family, passions, and dreams.

Getting rich doesn’t happen by accident. There are some external factors that influence the process; however, the dos and don’ts in everyday life play a significant role.

Wealthy individuals tend to have many things in common. Here are 20 of them.

1. They set achievable and specific goals.

More than 60% of rich people who took part in a research agreed that they focus on their goals on a daily basis. What’s more, the goals they set themselves are achievable through specific physical actions, so they know exactly what separates them from achieving it.

2. They create to-do lists and review them daily.

To come closer to their goals, rich people spend time creating to-do lists and maintaining them every day. Whatever you want to accomplish, there’s a certain amount of tasks you need to do in order to get there. This is what a rich person makes sure to determine. With that knowledge, they commit to work on it day after day, with no excuses.

3. They take care of their bodies.

To fully focus on their ambitions, they need functional and efficient bodies. Through a healthy diet, regular exercises and treating the body as a temple, they accelerate the progress, stay in shape, avoid laziness and separate themselves from the crowd.

4. They read daily and they love it.

Rich people don’t only feed themselves with healthy food, but they also feed their minds with wisdom and information. Almost 90% of rich questionnaires agreed they love reading. Mostly, it’s self-improvement books and nonfiction, which serve as a great source of inspiration and knowledge.

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5. They listen to audiobooks while commuting.

Instead of blasting pop music while being on the road, rich people listen to audiobooks so the mind is always in the mood for achieving extraordinary results. Let’s say you spend an hour a day in traffic. If you devote it to audiobooks or podcasts, that’s 365 extra hours of self-improvement time in a year.

6. They are the hardest workers in the room.

When asked for the secrets of success, Dwayne Johnson, a man who went from poverty to Hollywood, said there’s no secret sauce. It’s always being the hardest worker in the room which brings you one step closer to making your dreams a reality.

7. They make family life a priority.

A rich person knows best what money can and cannot buy. That’s why they give so much value to the family time, something which they consider priceless. They realize whereas money can always be made, there’s a limited amount of time they can spend with their families. That’s why they make it a priority.

8. They respect their time and spend it wisely.

In a world full of distractions, it’s easy to lose track of your time. It’s something rich people never let happen. They realize, once wasted, the time is gone forever; that’s why it’s such a precious resource for them.

9. They surround themselves with like-minded people.

“You are the average of the five people you spend the most time with.”

—Jim Rohn

Letting naysayers influence your thoughts, actions and bring you down is out of the question for a wealthy person. To protect themselves from negative people, they make sure their surroundings motivate them to further growth.

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10. They pay attention to their habits.

Your habits form who you become. If you eat junk, practice negative talking and spend your time mindlessly, there’s likely no bright future ahead of you. Wealthy individuals select their habits carefully so that they only practice ones that contribute value to their lives.

11. They learn how the world of finances functions.

Nowadays, the right financial knowledge is the key to survive without getting lost in debt and other financial commitments. Rich people devote time to become the financial experts, so in the end, their money works for them and not vice versa.

To radically improve your personal finances, check out this 14-day plan.

12. They don’t believe in financial luck.

Money is made through hard work combined with creativity, market-research, and other factors, but pure lack is definitely not among the most important ones. That’s why wealthy person avoids lotteries and gambling. They still take financial risks, but they are calculated.

13. They don’t spend more than they earn.

If you make $1,000,000 and you spend the same amount, you are still broke. Poor people tend to spend more than they make which is caused by short-term thinking. Wealthy people can extend the gratification in order to stay financially stable and make the future safe.

14. They don’t watch TV.

Television is a huge time-sucker with almost no value added to your life. It leads to a sedentary lifestyle, obesity and increases your chances of type 2 diabetes. Since rich people eliminate bad habits; they make sure to replace TV with more creative sources of entertainment like books.

15. They don’t give anyone responsibility for their lives.

“We are made wise not by the recollection of our past, but by the responsibility for our future.”

—George Bernard

People who can’t achieve anything significant in their lives tend to avoid the responsibility for their future. There’s always some external factor to blame. On the contrary are achievers, who always take the blame and learn from their mistakes.

16. They don’t follow the flow.

Thinking differently is mandatory. There’s no way to achieve extraordinary results through regular actions and ordinary thinking. Rich people aren’t afraid to dream big and break the rules and dogmas to accomplish something.

17. They don’t miss opportunities.

To ensure they squeeze as much as possible from what life throws at them, rich people put themselves in the right place at the right time. They realize some chances are game-changing experiences.

18. They don’t rely on formal education.

Wealthy individuals are life-long learners. They treat self-growth as a never-ending process and they fully enjoy it. Cultivating the mind is achieved through a broad variety of experiences in contrast to relying completely on the schooling system.

19. They don’t let negative thoughts influence their actions.

Negative thinking is especially dangerous when you decide to believe in the excuses and rationalizations. Your brain wants you to stay in the comfort zone, so it will spare no effort to convince you that you can’t. The key to success is to let these thoughts fade away and replace them with powerful reasons to believe in yourself.

20. They don’t say yes all the time.

Saying no at the right moment is a powerful skill which brings health, wealth and happiness. One the other hand, if you practice saying yes way too often, you are more likely to get off the track and waste your time on unnecessary commitments.

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Rich people know there are plenty of things you don’t need to say yes to.

21. They don’t focus entirely on the money.

Oppose to misconceptions, money isn’t what matters the most one the road to getting rich. Using their capital and influence, wealthy individuals want to change the world for better, contribute to the society and simply experience the life like most people can’t.

Bill Gates is once again the wealthiest person on the planet. But he’s also one of the most generous people. He gives back a lot of his money and he decided to donate the majority of his wealth to philanthropic causes when he dies.

22. They don’t give up.

Getting rich isn’t an overnight process. It takes a lot of time and effort to go through the path full of obstacles and failures to finally meet your goals. The key is to stay persistent, practice self-belief and never give up.

Featured photo credit: Silicon Prairie News via flickr.com

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Last Updated on January 2, 2019

How Personal Finance Software Helps You Get More Out of Your Money

How Personal Finance Software Helps You Get More Out of Your Money

Do you know what mental health experts point to as the biggest cause of stress in the United States today? If you said “money,” then ding, ding, we have a winner!

Three out of four adults today report feeling stressed out about money at least part of the time. People are either worried about not having enough money or whether they’re putting the money they do have to use in the best possible way.

Your money is either in charge of you or you’re in charge of it, there’s no middle ground. Using some type of personal finance software can help alleviate some of that money stress and better allow you to manage your money effectively. Without it, you may just be setting yourself up for constant financial worry. Life is already tough enough and there’s no need to make it more difficult by simply hoping your money issues will all work out in your favor. Hint: they won’t.

This guide will help you to understand how personal finance software can better assist with both accomplishing long term financial goals and managing day-to-day aspects of life.

Whether it’s tracking the savings plan for your child’s college fund or making sure you won’t be in the red with the month’s grocery budget, personal finance software keeps all this information in one convenient place.

What Exactly is Personal Finance Software?

Think of it like the dashboard in your car. You have a speedometer to tell you how fast you’re going, an odometer to tell you how far you’ve traveled, and then other gauges to tell you things like how much gas is in the tank and your engine temperature. Personal finance software is essentially the same thing for your money.

When you install this software on your computer, tablet, or smartphone, it helps to track your money — how much is going in, how much is going out, and its growth. Most personal finance software programs will display your budget, spending, investments, bills, savings accounts, and even retirement plans, levels of debt, and credit score.

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How It Leads to Financial Improvement

It shouldn’t come as a surprise, but people who regularly monitor their finances end up wealthier than those who don’t. When you were a kid, keeping track of all of your money in a porcelain piggy bank was pretty easy. As we get older, though, our money becomes spread out across things like car payments, mortgages, retirement funds, taxes, and other investments and debts. All of these things make keeping track of our money a lot more complicated.

Some types of personal finance software can help make things a little less complicated, setting you up to meet financial goals and taking away some of the stress associated with money.

Even if you already have a Certified Financial Planner (CFP) some type of personal finance software can be of great benefit. Whereas CFPs focus on the big picture of your money, they don’t handle the day-to-day aspects that determine your overall financial health.

It’s also not nearly as complicated as you might think and can take out a lot of the tedium that comes with doing everything on an Excel spreadsheet or with a pad and pencil.

Types of Personal Finance Software

When it comes to personal finance software, it generally fits into two categories: tax preparation and money management.

Tax preparation software such as Turbo Tax and H&R Block’s software can help with everything from filing income taxes to IRS rules and regulations and even estate plans. Plus, there’s the benefit of filing online and getting your refund check a lot faster than if you were to mail off your forms after waiting in line at the post office.

For the purpose of this article, however, will be focusing more on the personal finance software that aids with money management.

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Money management personal finance software will help you to see the health of your cash flow, pay down debt, forecast for expenses and savings, track investments, pay bills, and do a host of other things that 30 years ago would have practically required a team of accountants.

When to Use Personal Finance Software

So far we’ve gone over what exactly personal finance software is and how it can be a benefit to your money. The next logical step in this whole equation is determining when it should be used and how is the best way to go about getting started using it.

Below are four of the most common and practical ways to use personal finance software. If all or any of these apply to you and your money, then downloading some type of personal finance software is going to be a smart move.

1. You Have Multiple Accounts

There’s a good chance that when it comes to your money, it’s in more than one place. Sure, you probably have a checking account, but you may also have a savings account, money market account, and retirement accounts such as an IRA or 401k.

If you’re like the average American, you probably have two to three credit cards as well. Fifty percent of Americans also don’t have loyalty to just one bank and spread their money across multiple banks.

Rather than spending hours typing in every detail of every account you have into a spreadsheet, many programs allow you to easily import your account information. This will help to eliminate any mistakes and give you a bird’s eye view of everything at once.

2. You Want to Automate Some or All of Your Payments

Please don’t say that you’re still writing out paper checks and dropping each bill in the mailbox. While it’s noble that you’re doing your part to keep postal workers employed, we’re 18 years into the 21st century and you can literally pay every bill online now.

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There’s no need to log into every account you have and type in your routing number either.

With personal finance software you can schedule automatic payments and transfers between all of your imported accounts. Automatic transfers will help to make sure you have the necessary funds in the right account to ensure all bills are paid on the appropriate date. Late fees are annoying and do nothing but cost you money. It’s time that you said goodbye to them once and for all.

3. You Need to Streamline Your Budget

Perhaps the best feature of personal finance software is that it allows you track everything going in and out of your virtual wallet.

Nearly every brand of personal finance software out there has easy-to-read graphs and charts that allow you track every cent you spend or earn, should you choose. You might be pretty amazed when you see just how much you spent on eating out last month or if you splurged a little more than you should have on Christmas gifts last year.

Every successful business on the planet has a budget and using personal finance software can help you trim the fat on your spending in ways that affect your everyday life.

4. You Have Specific Goals to Meet

Maybe it’s paying off debt or saving for up something like a European vacation. Whatever your financial goal is, whether it’s long-term or short-term, personal finance software programs are one of the savviest ways to go about reaching those goals.

You can do everything from set spending alerts to notify you when you’re over budget to automating what percentage of your paycheck goes to things like retirement investments. The personal finance software that you choose should show you exactly how close you are to hitting those goals at any given time.

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How to Get Started

From AceMoney to Mint and Quicken, there ’s no shortage of personal finance software apps out there. Many of these programs are free to download and will allow you to pay bills, invest, monitor your net worth and credit profile, and even get a loan with the swipe of a finger.

Other programs may only offer you limited services and will require a one-time fee or subscription to unlock all that they offer. These fees can often vary from as little as two dollars to 50 bucks a month.

It’s best to start off with the free version and then gauge whether you’re able to accomplish everything you’d like or if it’s worth exploring one of the paid options. Often times the subscription programs come with assistance from financial planning and investment experts — so that can be a real benefit.

When deciding which personal finance software program to use, it’s also important to look at how many accounts you wish to monitor. Certain programs limit the number of accounts you can add. Be sure that if you have checking, credit card, and investment accounts to monitor, that you choose a service that can monitor them all.

Finally, when looking around for the right personal finance software that meets your needs, make sure that you’re comfortable with the program’s interface. It shouldn’t be expected that you recognize every single feature instantly, but if the features don’t seem readable and manageable to you, then you’re not as likely to use it and get the full benefits.

Final Thoughts

Personal finance software can go a long way in helping you to take control of your money and meeting your financial goals. It’s important to note, however, that some focus more on budgeting and expense tracking while others prioritize investing portfolios and income taxes. Explore several different programs and read reviews to find the one that’s right for you.

In this day and age, managing one’s personal finances in a secure manner that allows the user to have a real-time visual representation of their money is easier than ever before. With the numerous applications that are out there — both free and subscription-based — there’s no reason that every person can’t take control of their money and ensure they’re making smart money moves.

Featured photo credit: rawpixel via unsplash.com

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