How Many of the Six Factors of Wealth Do You Have?

Did you know there are six factors, or personality traits, that will make you more likely to build and retain wealth over time? Don’t worry; if you weren’t born with them, you can develop them.

Sarah Stanley Fallaw, daughter of Thomas Stanley, and whom I’ve written about here, has continued her father’s work of surveying millionaires in the book The Next Millionaire Next Door. The idea is to locate individuals or families who have assets of $1 million or above, and survey them about their habits, expenses, and values.

The results of the surveys she and her father have undertaken have led Fallaw to conclude that there are six key factors to assist millionaires in wealth building. Here they are, copied from Business Insider:

  • Frugality, or a commitment to saving, spending less, and sticking to a budget
  • Confidence in financial management, investing, and household leadership
  • Responsibility, which involves accepting your role in financial outcomes and believing that luck plays little role
  • Planning, or setting goals for your financial future
  • Focus on seeing tasks through to their completion without being distracted
  • Social indifference, or not succumbing to social pressure to buy the latest thing

Let’s break these factors down a little more to understand what it takes to build wealth.

Continue reading “How Many of the Six Factors of Wealth Do You Have?”