How does the average millionaire make their money?
Here’s how the average millionaire make their money
What would you do if you had the opportunity to make money? Would you take it, or would you try and find a way to not have any more responsibilities that don’t pay off? The average millionaire makes their money through business ownership. This means they own a company that pays them for their work as an employee. The other type is called passive income. Passive income comes from investing in stocks, bonds, or real estate. You just put your money into these things and let someone else handle the hard work of making sure it grows—you just collect all the profits! A third option is what we call active income: this is when people sell products themselves instead of selling them at retail price to stores like Walmart or Target.
There are two kinds of millionaires.
- Someone who earns wages and salary;
- Someone who runs own business.
- Start a business (Start a dropshipping store: No inventory needed)
- Pay off debt early on to avoid interest payments, which can be quite expensive over time
- Invest in stocks
- Buy real estate
- Create passive income streams
- Become financially literate by reading books, blogs, magazines, newspapers etc on the subject of personal finance
The wage person earn money by working – as CEO, or as engineer, or teacher. You save money and spend in balanced ways. So called Middle Class borrow heavily.
The second type or third type develop an income stream – if money is water, then they try to live next to a river rather than waiting for the rain at the end of a month.
If you have a business in a supply chain, then you are like living on the bank of a river – money is never a headache for you, whether you are profitable or not.
A farmer never worries about food on the table. A business owner never worries about money.