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If You Suddenly Came into More Than One Million Dollars and Have Exactly 10 Years Left to Live?

If You Suddenly Came into More Than One Million Dollars and Have Exactly 10 Years Left to Live?

“If you suddenly came into $20,000,000 and the same day you found out you have exactly 10 years left to live, how would you begin living your life?”

This is called the “20/10 question” and it’s one of my all-time favorites when working with clients.

Most people say things like “I’d quit my job and go traveling,” or “I would take my family around the world” and one very amusing response “I would buy my own cruise ship.”  Unfortunately for the last girl, we ran the numbers and found that $20 Million was NOT enough for her to enjoy a private cruise ship, though for the next ten years she could cruise almost non-stop and be okay.

What’s odd is what people who find themselves in this situation ACTUALLY do.

When someone gets this kind of money, they are far more likely to KEEP working than QUIT working.  The reason is quite simple: sitting around on vacation all the time is boring.  Very, VERY boring.

Sure, enjoying a drink on the beach for a couple of days is nice, but there’s only so much sun, swimming, and Anne Rice novels you can read.  After a while, you need something to DO.

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The second part of the question “10 years to live” provides a sense of urgency to the equation.  This helps us get rid of safe answers like “I’d invest in real estate/gold/tulips” or “pay off my house and put it away for retirement.”

If we know that our life is short, we choose to live a little more recklessly because we understand we can’t take that money with us.

Now, you may be wondering “Trent, what does this question actually DO for people?”

Why Should I Ask Myself This?

The answer is simple: it’s the way truly successful people approach life.

The vast majority of us will go to work with the plan to earn a steady pay check every week for the next forty years so we can retire and enjoy our grand-kids for the last 25 years we’re alive.  We might retire in Florida with other people in their “young 60s” and relax, but that’s usually the most exciting decision we’ve made in a long time.

We operate on the premise of “save now, play later.”

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This is a broken idea because it’s based on two flawed assumptions:

1) it is difficult to amass enough income early in our working years to enjoy ourselves without working constantly

2) we will have a “later” to enjoy

Let’s tackle the first assumption: earning enough income to enjoy your life early is difficult.  This isn’t really true, depending on what you consider a comfortable life.  Many times, we associate material possessions with happiness, so we work to buy “stuff.”

John goes to work at a job he doesn’t really like but which pays $70k/year.  With that money, he, his wife, and their three boys share a nice 3400 sq/ft brick home in a nice neighborhood.  He drives a nice car and his wife has the SUV.  After all the bills for said house, cars, kids, and other various bills add up, John can put back $7,000 year into investments for retirement (10%).

Does John sound like someone you know?  Maybe someone you see every day?  He should: he represents 60% of the American population.

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The problem with John is that there will never be enough money or “stuff” to provide the happiness he wants.  There will always be a new car or some nice addition to the house to purchase, which keeps him working at his less-than-satisfying-though-well-paying job.

The sad fact is, research has shown John would be just as happy living in a much cheaper 1800 sq/ft home with much cheaper vehicles.  People aren’t happier based on what they own; they are happier based on what they DO.

The second assumption: when we retire we will enjoy the benefits of a lifetime of hard work.

This is also false: depression is one of the major issues facing retirees.  When you’ve spent 30 years in a routine, even one you hate, finding yourself with nothing to do will leave you feeling useless.  No amount of Bridge can make up for a lack of purpose.  If you wait until retirement to enjoy the “fruits of your labor” you will miss out on life’s most enjoyable moments.

What’s the Solution to Life Enjoyment?

Do what successful people do: find something you would do for free and get so good at it people will pay you for it.

I have two friends which are stark examples of the effects of these philosophies.

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James is a very successful salesman.  He works for a company he doesn’t really like, dealing with issues he doesn’t really care about, and makes a very lucrative income doing it.  He diligently goes to work every day and his first thought is about when he will get to leave.  He has a very large house and nice cars, and his kids are taken care of.  He feels he’s “doing what he should.” If a company offers him better pay and benefits, he will probably take it to make some upgrades to his house and cars.

Kevin is on the opposite end of the spectrum.  After graduating college, he couldn’t find a job easily.  He started building furniture and signs in his shop as a way to pass the time.  He sold a few to friends and neighbors, eventually deciding to create a business out of his hobby.  He wakes up every day with ideas on what he will make and goes to work with excitement.  His wife is a schoolteacher who loves her job as well.  They live in a modest house with their little dog.  They love cooking together and hanging out with friends.  They don’t have a lot of extra money, but they can afford to live comfortable and take vacations during the summer.

Who do you think is happier?  Who stays awake at night stressed about work and dreading the alarm clock?

Now, here’s the million-dollar-question: which one sounds more like you?

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Last Updated on January 21, 2020

How to Develop a Millionaire Mindset in 6 Simple Steps

How to Develop a Millionaire Mindset in 6 Simple Steps

We all like to dream about being financially wealthy. For most people though, it remains a dream and nothing more. Why is that?

It’s because most people don’t set their mind to achieving that goal. They might not be happy in their current situation but they’re comfortable – and comfort is one of the biggest enemies of growth.

How do you go about developing that millionaire mindset? By following these simple steps:

1. Focus On What You Want – And Take It!

So many people are too timid to admit they want something and go for it. When there is something that you want to accomplish don’t think “I could never actually do that”, think “I could do that and I WILL do that”.

Millionaires play to win, not to avoid defeat.

This doesn’t mean to have to become a selfish jerk. What it means is becoming more assertive and honest with yourself. You don’t have to grab off other people. There is a big pot of unclaimed gold in the middle of the table — why shouldn’t you be the one to claim it? You deserve it!

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2. Become Goal-Orientated

It’s almost impossible to achieve anything if you don’t set firm goals. Only lottery winners become millionaires overnight. By setting yourself attainable goals, you will get there eventually. Don’t try to get rich quickly — get rich slowly.

Let’s take the idea of making your first million dollars and expand on what kind of goals you might set to get there. Let’s also say you’re starting at a break-even position – you’re making enough to get by with a few luxuries, but nothing more.

Your goal for the first year can be having $10,000 in the bank within a year. It won’t be easy but it is doable. Next, you need to figure out the steps you need to take to achieve that goal.

Always look at ways to make growth before cutbacks. With that in mind, you might want to see if you can negotiate a pay rise with your boss, or if there’s another job out there that will pay better. You might be comfortable in your old job but remember, comfort stunts growth.

You may also have other skills outside of your workplace that you can monetize to boost your bank balance. Maybe you can design websites for people, at a fee of course, or make alterations to clothes.

If this is still not enough to make the money you need to save $10,000 in a year, then it’s time to look at cutbacks. Do you have a bunch of old junk that someone else might love? Sell it! Do you really need to spend $10 on your lunch everyday when you could make your own for a fraction of the cost?

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If you are to become a millionaire, you need to start accumulating money.

Here’re some tips to help you: How to Become Goal Oriented and Achieve More in Life

3. Don’t Spend Your Money – Invest It

The reason you need to accumulate money is for step three. Millionaires tend to be frugal people, and that’s because they know the true value of money is in investing. Being your own boss goes hand-in-hand with becoming a millionaire. You’ll want to quit your regular job at some point.

Stop working for your money and make your money work for you.

Rather than buying yourself a new iPad, that $500 could be used to invest in the stock market. Find the right shares (more on that later), and that money could easily double within a year.

There’s not just the stock market — there’s also property, and your own education.

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4. Never Stop Learning

The best thing you can invest in is yourself.

Once most people leave the education system, they think their learning days are over. Well theirs might be, but yours shouldn’t be. Successful people continually learn and adapt.

Billionaire Warren Buffet estimates that he read at least 100 books on investing before he turned twenty. Most people never read another book after they’ve left school. Who would you rather be?

Learn everything you can about how economics works, how the stocks markets work, how they trend.

Learn new skills. If you have an interest in it, learn everything you can about it. You’d be surprised at how often, seemingly useless skills, can become extremely useful in the right situation.

Start developing the habit of learning continuously: How to Create a Habit of Continuous Learning for a Better You

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5. Think Big

While I advise to start off with small goals, you absolutely should have a big goal in mind. If you have a business idea, then that is your ultimate goal – to start that business and make a success of it. If you want to invest your way to millions of dollars and do little work other than research, then that is your big goal.

There is no shame in not achieving a big goal. If you run a business and aim to make $1 million profit in a year and “only” make $200,000, then you’re still significantly ahead of most people.

Aim for the stars, if you fail you’ll still be over the moon.

6. Enjoy the Attention

To be successful, you have to be willing to promote yourself and enjoy the attention to a certain extent. Now the attention doesn’t need to be on yourself, it could be on your brand, but attention definitely attracts money.

Never be embarrassed to get your name out there. That means finding a spotlight and being brave enough to step right up underneath it.

If you run a business, try contacting the local papers. You’d be surprised at how amenable they often are to running a story about you and your business, and it’s all free publicity.

Above all, remember: You control your own destiny. Push hard enough for anything and you’ll get it.

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Featured photo credit: Austin Distel via unsplash.com

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