It is not impossible and there is no reason to believe that you cannot become a billionaire if you have debts currently. It will only take some diligence, effort and an immaculate plan that you must religiously follow. You may have to make a few sacrifices as well, but rest assured that will be temporary to achieve your financial goals.
It will be not exaggerating by even a jot if it is said that money has always been an issue and element of worry for most of the families. It is essential for a better living and has made people run after it to ease the tight financial situation.
The most sensible way to get rid of it is to take on some debt but keep it well within your manageable limit. But if you want to become a millionaire by the age of thirty even if you owe a have forty or fifty thousand to your creditors, you have to look beyond that.
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Reduce Pressure on Financials
When you cross your teens and enter college after high school, you will need more money to meet your college fees and other needs. You will experience a lot of pressure on financials especially if you come from a broken family. You will have to make a few sacrifices right at this early age starting from getting graduated from an ordinary business college or end up having a college debt of forty or fifty thousand dollars for your Ivy League education.
It is now that your journey on the difficult path to becoming a millionaire starts. Now is the time to make a few resolutions, have a strong determination to come out of your debt and the financial hole and foresee your millionaire status in about eight to ten years to come. Here’s how.
Set Your Goal
This is the most important part of your endeavor to become a millionaire. Unfortunately, this also happens to be the most overlooked part as well. Ideally, you should begin with a goal so that you are very specific with your approach to reach your desired outcome. Have a date specified of completion and formulate a plan of action to accomplish it. A specific plan will also help you to avoid the constant state of financial chaos that is usually associated when you are in debt. Be flexible to take on more risks but do not take on more stress in the process.
Know Your Needs
Once you set the goal you must now work towards achieving it according to your needs. Do not go overboard with it and do not be impatient in the process. Remember, money is hard to come by and takes time but it takes little time to break your bank and end up with more debt. You will then frantically look for alternative ways to get rid of it and even take a few steps that will damage your credit. You may consult with financial advisors, debt management firms or you will look for debt consolidation and filing bankruptcy.
Technology
If you thought that you will need a lot of capital to start a business to become a millionaire then you are thinking in the wrong way. Given this modern age of business where everything is based on internet and technology a simple smartphone and/or a computer can help you in your journey.
Evaluate Different Activities
Working towards your set goal you must provide you with a benchmark of sorts. Therefore you must evaluate different activities that you can follow to reach your goal. Consider only those that have a high pay and return but make sure you consider the risks involved as well when you look at the activities offering big opportunities.
Know your potential to overcome these risks so that you do not end up borrowing more money. If you are looking for a job to get maximum leverage down the rod then opting for corporate finance segment in investment banking can prove to be worthy.
Choose The Right Company
Especially if you are looking for a job, it is important to choose the right company. Often taking a prestige route may not be helpful in this aspect. Rather, you must choose companies that have a meritocracy environment so that you have a better chance of getting promoted and earn more in the following years.
Work Like Crazy
It is your future that you want to secure and therefore whether you are employed or an entrepreneur, you must work like crazy. Apart from working for 16 to 18 hours a day for six to seven days every week you may even try and pull out a few all-nighters as well, provided your physical conditions allow it. This will not only help you to earn more but will also allow you to close more deals, and learn more.
Reduce Overhead
The easiest to succeed as an entrepreneur is to operate a business with low overhead costs. Make sure that you keep this to the bare minimum. For that matter, you must also keep your lifestyle and profile low to save on some money avoiding unnecessary expenses. Surprising as it may sound to you, living in a studio apartment with a cardboard box and a sheet over it as nightstand will enable you to sleep on a queen’s bed with linen in the coming five to ten years.
Save More to Pay off Debts
Avoid cable TV at home, avail public transport to your office and eat at work. If you go out, calculate the menu costs carefully and order accordingly. Make sure that the amount of money saved with such sacrifices goes to pay off your debts.
You must follow a specific debt management program to pay off your debts. Start from the ones that carry high interest gradually moving on to the lower ones. Most importantly, do not take on more debts using your credit cards. Rather, make investments in stocks, bonds and retirement accounts.
