Comments on: How NOT to Become a Millionaire http://cashmoneylife.com/how-not-to-become-a-millionaire/ Money Management, Small Business, Career Thu, 09 Feb 2012 19:08:34 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Richard http://cashmoneylife.com/how-not-to-become-a-millionaire/#comment-24322 Richard Thu, 01 Jul 2010 19:48:46 +0000 http://cashmoneylife.com/?p=1841#comment-24322 I've been an attorney working in private bank trust departments for almost 20 years. I've seen how people with money acquired it and how they retained it. They are smart enough to know that you can never acquire money by spending it. They would sooner die than go into debt to buy consumer goods. They'll go into debt but only to purchase property likely to appreciate. These are the people who, instead of buying iphone after iphone and ipad after ipad, bought the stock of Apple when it was selling for about $7 early in 2003. Today, July 1, 2010, it sells around $260. People with money don't care about consumer goods, cars, big-screen TV's or anything else that the masses "must have". They know all this stuff is junk and that to buy it simply wastes money better deployed otherwise. In short, people with money got and kept it not by buying things but by buying the stocks of companies that sell things to other people...you for example. I'll leave you with this unsettling thought. Suppose you'd had $15,000 in October 1980 and that you'd been of a mind to "invest it". You might have been lured to purchase jewelry, say a diamond ring, on the utterly untrue but long spread lie that diamonds are rare. Any jewelry store would have been happy to lure you in with a lot of special lighting over plush counters served by shills who are trained in how to try to induce you to put reason on hold and think romantically about how happy you would be if only you had a $15,000 diamond ring. They'd tell you it would be "AN INVESTMENT". God help you if you fell for the scam. The ring you'd have bought on Friday, October 10th, 1980 for $15,000 would have been worth about $3,000 on Saturday, October 11th if you'd tried to sell it. It might not be worth even that today. On Friday, October 10th, 1980, stock of Johnson & Johnson traded around $83 per share; you could have bought 180 shares for $15,000. That investment, a REAL INVSTMENT, would today, July 1, 2010, be worth over $500,000. After 48:1 stock splits, you would have over 8,600 shares of Johnson & Johnson paying annual cash dividends of almost $19,000. You can be young in this country and be without money but this is no country in which to be old and without money. If you have no money you have no power. If you want to end up parking cars for a high school kid who owns a parking lot, keep doing what you've been doing. Keep buying "diamond rings". If you want to have some say about where and how you live and on what terms, leave the consumer goods on the shelves and buy the stocks of companies that sell things to other people. Just make sure you're not the "other person".. Good luck. I’ve been an attorney working in private bank trust departments for almost 20 years. I’ve seen how people with money acquired it and how they retained it. They are smart enough to know that you can never acquire money by spending it. They would sooner die than go into debt to buy consumer goods. They’ll go into debt but only to purchase property likely to appreciate.

These are the people who, instead of buying iphone after iphone and ipad after ipad, bought the stock of Apple when it was selling for about $7 early in 2003. Today, July 1, 2010, it sells around $260.

People with money don’t care about consumer goods, cars, big-screen TV’s or anything else that the masses “must have”. They know all this stuff is junk and that to buy it simply wastes money better deployed otherwise. In short, people with money got and kept it not by buying things but by buying the stocks of companies that sell things to other people…you for example.

I’ll leave you with this unsettling thought. Suppose you’d had $15,000 in October 1980 and that you’d been of a mind to “invest it”. You might have been lured to purchase jewelry, say a diamond ring, on the utterly untrue but long spread lie that diamonds are rare. Any jewelry store would have been happy to lure you in with a lot of special lighting over plush counters served by shills who are trained in how to try to induce you to put reason on hold and think romantically about how happy you would be if only you had a $15,000 diamond ring. They’d tell you it would be “AN INVESTMENT”. God help you if you fell for the scam. The ring you’d have bought on Friday, October 10th, 1980 for $15,000 would have been worth about $3,000 on Saturday, October 11th if you’d tried to sell it. It might not be worth even that today.

On Friday, October 10th, 1980, stock of Johnson & Johnson traded around $83 per share; you could have bought 180 shares for $15,000. That investment, a REAL INVSTMENT, would today, July 1, 2010, be worth over $500,000. After 48:1 stock splits, you would have over 8,600 shares of Johnson & Johnson paying annual cash dividends of almost $19,000.

You can be young in this country and be without money but this is no country in which to be old and without money. If you have no money you have no power. If you want to end up parking cars for a high school kid who owns a parking lot, keep doing what you’ve been doing. Keep buying “diamond rings”. If you want to have some say about where and how you live and on what terms, leave the consumer goods on the shelves and buy the stocks of companies that sell things to other people. Just make sure you’re not the “other person”..

Good luck.

]]> By: muta http://cashmoneylife.com/how-not-to-become-a-millionaire/#comment-21227 muta Wed, 13 Jan 2010 14:13:52 +0000 http://cashmoneylife.com/?p=1841#comment-21227 being a millionaire is not easy at all,you can be poor but how would you realy become a millionaire exactly. being a millionaire is not easy at all,you can be poor but how would you realy become a millionaire exactly.

]]> By: C http://cashmoneylife.com/how-not-to-become-a-millionaire/#comment-19832 C Fri, 25 Sep 2009 18:23:15 +0000 http://cashmoneylife.com/?p=1841#comment-19832 Haha, I initially read the title such that it was giving tips on what NOT TO DO to become a millionaire (i.e. don't do these things to become a millionaire). So I decided to come up with my own list. Don't do these to become a millionaire: Steal Be a drug dealer Print fake money Be Bernie Madoff Play the lottery Collect dead people's social security checks (hey, it's been done before) Use a program to take a fraction of a cent from everyone's bank acct Die, just to get your life insurance money Haha, I initially read the title such that it was giving tips on what NOT TO DO to become a millionaire (i.e. don’t do these things to become a millionaire). So I decided to come up with my own list.

Don’t do these to become a millionaire:
Steal
Be a drug dealer
Print fake money
Be Bernie Madoff
Play the lottery
Collect dead people’s social security checks (hey, it’s been done before)
Use a program to take a fraction of a cent from everyone’s bank acct
Die, just to get your life insurance money

]]> By: jun jun http://cashmoneylife.com/how-not-to-become-a-millionaire/#comment-19819 jun jun Thu, 24 Sep 2009 10:51:29 +0000 http://cashmoneylife.com/?p=1841#comment-19819 I have the book of Brian Adams entittled HOW TO BECOME A MILLIONAIRE. I learned a lot from it.It helps me and guide me to pursue my dream to become a millionaire.I have to listen what my heart beats.Wish me luck someday.watch me.. I have the book of Brian Adams entittled HOW TO BECOME A MILLIONAIRE. I learned a lot from it.It helps me and guide me to pursue my dream to become a millionaire.I have to listen what my heart beats.Wish me luck someday.watch me..

]]> By: oneadvice http://cashmoneylife.com/how-not-to-become-a-millionaire/#comment-19756 oneadvice Mon, 21 Sep 2009 10:00:34 +0000 http://cashmoneylife.com/?p=1841#comment-19756 Totally agree with MLR - it is the lists which tell you what NOT to do which sometimes make much more sense. Thanks for the post! :) Totally agree with MLR – it is the lists which tell you what NOT to do which sometimes make much more sense.
Thanks for the post! :)

]]> By: Financial Samurai http://cashmoneylife.com/how-not-to-become-a-millionaire/#comment-19711 Financial Samurai Fri, 18 Sep 2009 04:19:10 +0000 http://cashmoneylife.com/?p=1841#comment-19711 Good one Ryan. Good one Ryan.

]]> By: Ryan http://cashmoneylife.com/how-not-to-become-a-millionaire/#comment-19709 Ryan Fri, 18 Sep 2009 04:02:21 +0000 http://cashmoneylife.com/?p=1841#comment-19709 thanks, MLR. And it's good to know the future "world's 2nd richest man." ;-) thanks, MLR. And it’s good to know the future “world’s 2nd richest man.” ;-)

]]> By: MLR http://cashmoneylife.com/how-not-to-become-a-millionaire/#comment-19708 MLR Fri, 18 Sep 2009 03:59:57 +0000 http://cashmoneylife.com/?p=1841#comment-19708 Sometimes lists of what NOT to do strike home better than lists of what to do. Good idea, and good follow through :) I didn't know Warren Buffet sold golf balls as a kid... I did, too. Interesting :) I know whats in my destiny! Sometimes lists of what NOT to do strike home better than lists of what to do. Good idea, and good follow through :)

I didn’t know Warren Buffet sold golf balls as a kid… I did, too. Interesting :) I know whats in my destiny!

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