There’s a book called The Automatic Millionaire. It sounds like a clickbait/gimmicky title but there’s actually quite a lot of good info in there. What this post will do is combine some things I learned from that book as well as other things I’ve researched. If you do everything in this post, you’ll be on your way to becoming an automatic millionaire.
Becoming an automatic millionaire really has nothing to do with becoming an overnight success. Rather, it’s about automating your life so you become a millionaire someday. It’s a wise way of thinking. Consider it for a second. Warren Buffett, for instance is one of the richest people on the planet. What does he do? He gets other people to do work for him. He’s an investor. It’s this mindset that people need to become wealthy. The money needs to flow in automatically, it’s much easier to get rich. Active income rarely makes anyone rich.
What You Must Automate in Order to Becoming a Millionaire Quickly
Becoming an automatic millionaire is also about automating everything else. Automatic your bills. Automate where your income goes. Then you can focus on what matters.
What matters? The things that matter are things that are pushing the boundaries. Everything else is just menial labor. Mailing bills is menial labor. Writing checks is menial labor. What you want to focus on is increasing your net worth. Working on business ideas. Asking for raises. Finding ways to bring in extra income.
There’s another book that’s closely related to The Automatic Millionaire. It’s called The 4-Hour Work Week. In this book, the author basically says to outsource anything that isn’t going to make you rich or happy. In fact, he even recommends getting a virtual assistant before you even need one. Ask him/her to do extra things in your life until you need them for big projects. Ask them to order your wife flowers, for instance. Or to find your child the perfect gift.
You may think that you can do everything best. There’s an unhelpful saying out there, “If you want something done right, you’ve got to do it yourself.” Instead, get humble. Realize that some people actually do things better than you do. Appreciate it. And let those people do those things.
The Rich Pay Themselves First
Becoming an automatic millionaire is also about paying yourself first. I remember hearing this for a long time without realizing what it meant. It means that you literally pay yourself before anyone else. Yes, even pay yourself before you pay your bills. This way, you will always be protected. It’s how corporations work after all. Thus, you should work like a corporation.
A corporation makes money, spends it and pays taxes on whatever’s left. An employee does things differently unfortunately. They make money, pay taxes and then spend whatever is left. It results in much less money.
What’s Your First Task to Automate? When You Do Believe You’ll Become a Millionaire?
So what can you automate beginning today? Is there a piece of software you can buy such as a budgeting software? An app, perhaps? What can you hire done?
This post isn’t appealing I’m sure if you’re cheap. Of course it’s cheaper not to spend anything and do everything yourself. But if you’re more focused on net worth, this strategy is for you. Who cares what you spend? If your net worth is growing, you’re doing it right.
I’m a personal finance freelance writer and webmaster. I welcome you to visit me at www.thefrugalpreneur.com