If you’re set on the idea of earning a million dollars, there are likely tons of people out there telling you that your goal is unattainable.
Making a million dollars is feasible as long as you know what you’re doing and have a plan on how to get there. If you’re not sure where to start, check out the following methods and tips on how to earn a million dollars.
Save Your Money
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Do you want to earn a million dollars without putting very much extra work into it? Then cut back on your spending habits and put your cash in the bank. If you simply put $5 in a bank account each day with 10 percent interest, you’ll have a million dollars after 42 years. Want to make it quicker? Save even more money.
This tip isn’t all about putting your money in the bank, however. You have to live a frugal life, and most people who succeed at this live below their means. Drive used cars, cut coupons, watch for sales, skip cable, forget the morning coffee — following these frugal tips can help you save to your first million.
Invest in the Stock Market
The stock market could help you earn dollars without stashing it all away. Instead of just saving it, you’re making it.
If you start out with $5,000 and invest $500 per month, perhaps your goal isn’t that far-fetched. If you average 10 percent annual yields, you could reach your goal in 29 years. That’s not a bad retirement fund.
If you do choose to invest in the stock market, it’s a good idea to head to an investment agency such as Fisher Investments to help you manage your portfolio.
Invest in Real Estate
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There are many options that you have for making money in real estate, and each method could put you on your way to your first million. Check out these ways you can make money with real estate:
- You can purchase homes, fix them up, and make profit by reselling them.
- You can rent out your property. You can expect as much as 8 percent annual returns on rent.
- Make profits from business ventures that take place on the property, such as farming or mining.
Start a Business
In the book The Millionaire Next Door, the authors state that most millionaires lead normal lives, not the fancy life you see portrayed by Hollywood. The authors outlined several characteristics that they noticed most millionaires share. Among these characteristics, the authors found that most millionaires own their own business and they love what they do.
Don’t jump the gun just yet and believe that this is a get-rich-quick scheme. You can’t just start a business and expect things to run smoothly while watching the profits roll in. There’s a few things you need first:
- A really good idea
- A strong business plan
- A profitable market
- Money to invest in the business
When starting a business, you can sell products, services, or consultation services, and you can work in a physical location or have a business based online. If you really want to cash in, the secret lies in launching a successful startup and selling your business.
Become an Expert
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If you’re really set on your goal of a million dollars, you can quickly claim this by becoming an expert in your field of interest. Invest in your education, take advantage of opportunities, and learn as much as you can.
Once you become an expert, you can charge for consultation services, sell books, give speeches, sell advertising slots on your website, and hold leadership positions. As you do this, you’ll see your income rise.
Before you’re ready to jump into your studies, let’s explore a few tips that can help you earn via this method:
- People have to like you. Make sure you practice your public speaking skills.
- To make any money, you must have something important to say. If you’re consulting, writing books, or hosting seminars, your success depends on the amount of people who are willing to listen. Again, you’ll only make money advertising on your website if you have people coming to the site interested in your content.
- You better make sure you are an expert. A degree doesn’t necessarily make you an expert. Do research and get involved in your field.
If you’re motivated and willing to put in the time, a million dollars isn’t an unrealistic goal. So stop letting people tell you that you’ll never make it! These few suggestions can help make you a millionaire.