The statistics on millionaires in America can serve as a rallying cry for aspiring entrepreneurs. A recent survey by Fidelity revealed that the majority of millionaires are self-made, with only 14 percent of millionaires starting with wealth at an early age. The survey found many parallels between self-made millionaires and born millionaires when it comes to a sense of wealth and security during their older years. It seems that our upbringings are not the best predictors of future wealth and comfort.
Rather than inheriting money, these self-made millionaires had to rely on their own wits and take some major professional leaps to get where they are now. They often rely on smart and risky investments or innovative business ideas followed through with action. Many of these individuals know the value of generating passive income through online sales, dividends, affiliate blogs, and educational services. These passive streams give self-made millionaires the freedom to start up new projects and future-proof their wealth.
Inherited fortunes are a dying trend as our nation turns a new leaf in the history of wealth. In fact, many wealthy parents are deciding to withhold assets from their children, encouraging their youth to drive their own paths to success. This means that kids from rich families may be expected to pay for their own college education, pull themselves up by their bootstraps, start their own companies, and work for their money. In order to teach children better fiscal responsibility, 47 percent of wealthy parents will not pay for their child's college education, according to a recent Merrill Lynch Affluent Insights survey. These trends in wealth allocation are leveling the playing field for upcoming self-made millionaires everywhere.
So how are self-made millionaires generating their cash flow? They leverage a unique blend of regular habits, social networking, and online passive income practices to boost themselves to new tax brackets. However, you don't need to be a specialist in a particular field to strike gold. There are countless self-made millionaires who have secured their fortunes before they hit 25. These individuals latched on to a particular interest or passion, took some calculated risks, and won.
Many readers have become acquainted with passive streams of income through popular literature of Tim Ferriss and Keith Dougherty. These tactics use minimal involvement, meaning that you build a company up and detangle yourself from its everyday operations. Work is outsourced to virtual assistants and other company leaders take the reigns. While your input is very minimal, you are called upon to make the large-scale decisions. For self-made millionaires, time is just as valuable as money. While you remain at the helm of a passive income generator, you use the extra time to create new endeavors. This generates a feedback loop, with multiple streams of income being created each month.
There are many success stories out there, and you might be surprised how quick and effective online streams of revenue are. Tim Sykes managed to secure his first million dollars by the age of 21 by day trading penny stocks in college. Sykes is an inspiring figure within the self-made millionaire community, educating thousands of prospective entrepreneurs on taking action to generate millions of dollars trading stocks and blogging.
Self-made millionaires will find that the digital era is rife with opportunity. Blogs and social media amplify your presence and exposure, bringing all new audiences to passive income endeavors. A blend of interpersonal marketing savvy and persistence marks a potential millionaire, since you will need to risk time and funds to start new projects. As born-millionaires fall to the wayside, we are watching whole new generations grow and achieve massive fortunes through innovative plans and actions.