Millionaire Challenge

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tinktay84 wrote: »

I sat pondering on what ive achieved in my 27 years and realised that anything ive ever said I wanted to do or wanted to have I have managed to achieve.

Last year after 10 years in catering I completely changed career and last week I achieved a distinction in painting and decorating. This got me thinking that since I always achieve goals I set myself what could I do next....

Thus the Millionaire challenge!

So phase 1 is opening a savings account and getting money building up...

I work for myself so have a bit of control over my earnings, we have 1 property that we rent out and my husband has a decent (secure) job.

My aim is to get to the million mark by the age of 40 (im 27 now)

So how many of you think im mad and its impossible :rotfl: and how many of you think i'll do it and have ideas to help me :T

Tinktay84, don't know if you are still following this thread, but I have more or less travelled the path you set out. Three points:

Point 1... you'll need a high income year on year. This often follows well judged risk- such as moving away from being employed, to becoming an employer.

Point 2... you also need to limit expenditure, because the gap between income and expenditure will be the fuel that feeds your wealth generator. I'm perfectly happy with a lifestyle that currently costs around a third of my gross income. The excess goes to investment, and after several years you reach the point where, in a good year, capital gains can threaten to match income. I have colleagues who have failed to appreciate this, even into their 50s... they don't feel wealthy yet.

Point 3... you may get to the £1m mark, and then think... so what? It can feel like a pyrrhic victory, if a victory at all. The friends you have, the life you have built for your family, your health, your values... these were the important things all along.

So tinktay84, you are not mad and it is not impossible. But keep perspective! Good luck.

YoungBusinessman

Im still following this thread, just had a few set backs with my savings....like how we are putting £58k into something(we are both 22) so time on our side, already have a mortgage, this will be made up of £9k savings each and a borrowed £20k each. Im saying no more than that. Iv got my £9k saved up since start of this year, will be paying it out next month. Aim to pay off most of the £20k next year as income will be up next year, will also save a set amount along side so i have savings to fall back on aswel. All being well will be worth about £75k each at 23 end of 2014 with no debt except mortgage and we can plan for the future.

Shes well on board with this challenge and that will give me 12 years to expand from £75k each to £1million, as 35 is my aim age, and then carry on from there. Keep it going folks, if you dont try you will never know.

Get_rich_or_try_dying

An interesting thread!

I'm 33 (34 this Tuesday) and i've set myself a financial goal. Within the next 10 years, I plan to have a minimum of £10,000 of passive income per month, coming in. I written out a long term plan and several mini goals to get me to that end target.

I have a mentor who has more than achieved what I have planned and he is really helping me. The one thing that he said to me that I keep hearing in the back of my mind when I have been reading this thread ... "The value of 1 Million pounds isn't what it was".
Back in the 1965 my Nan had a good(ish) job in London earning £1000 a year. I used to do the same type of job as her back in 2005 and I earned £20,000. In another 40 years time that same kind of job (If it's not being carried out by some kind of software) could be paying around £400,000 a year.

It reminds me of a short story that I read...

A sobering City joke about a man who went to sleep one night with £10,000 invested in shares. Like Rip Van Winkle, he stayed asleep for 100 years and, on waking, called his broker to see how his portfolio was doing. The broker was long dead, of course, but his grandson who had taken over the business, informed the man that his portfolio was now worth £10 million. Overjoyed, he rushed out into the street to buy a newspaper to read about the great events that had caused this massive rise in the value of his investments. When he was asked for £250 for the newspaper, he was suddenly, and understandably, less jubilant

I don't what everyone to think i'm on a downer about this goal, because i'm not. All I am saying is that instead of thinking "If I had a million pounds, I would be rich!", think about how much you would really need a month to feel rich? If you didn't have a mortgage or car finance to pay out, you would feel pretty good? What about if you could afford to go on a good 2k holiday 3 or 4 times a year? You needn't be a millionaire to archive those goals.

Think about having an ideal monthly income rather that one big lump sum.

Also, get into that mindset of a rich person. Find someone who has done what you want to do and get advice from them.

Once you feel that you've reached your financial goal, spread your money as much as you can (Property, Gold, Trackers etc) because this country is heading for a big fall. After the government scrap pensions and the NHS, they will have their sights set on our savings. I'm not scare mongering, just stating my educated opinion!

So, in short: Earn it quickly and use it wisely!

I'll be watching this thread with interest!

princess295

i think its a great plan to end up a millionaire, but i have no idea where to start, any advice??

Kayalana99

To really start my millionaire challenge I'm going to need about 27k to do what I want.... so its getting to that 27k I am going to really struggle with.

I am near 8 months pregnat with my 2nd child so its not like I can take a 2nd job or anything atm and maybe I can spare £100..£150 at a push to savings but thats hardly going to make a dent So I need some kind of idea that creates a second income... I am starting up blogging but its going to be a long process and although do-able to create an income..I feel their is something better to be done.

(Before anyone suggests it I kind of need it cash in hand as if I have to borrow it and pay interest it wouldn't work what I wanted it for -__-)

moneysavingtomcat

princess295 wrote: »

i think its a great plan to end up a millionaire, but i have no idea where to start, any advice??

In a nutshell, my three-pronged plan of attack is as follows:

1. Get more money coming in
2. Let less money go out.
3. Look for ways to use the proceeds of 1 and 2 that will bring in interest, dividents, rent, capital gains etc.

Now I'll expand on those. For number 1, I've taken on a second job, sold off as much unwanted clutter as I could lay my hands on, and followed some of the ideas on this Up your income part of the forum.

For number 2, I've been cutting my outgoings as much as possible. That has meant being as ruthless as possible with things like insurance, but I have been slightly more forgiving with things that actually bring me pleasure. Retaining some quality of life is important. I don't want to be one of those widowers who dies dressed in one of his two threadbare outfits bought decades earlier in a charity shop, but leaving a million in his will. The debt free wannabe part of the forum has many good ideas for step 2.

Number 3 is about investing the proceeds of numbers 1 and 2. This step also includes education yourself about the options available, so, as a recent previous poster said, finding people who know what they are talking about, is a great idea. If they themselves are getting rich through passive income then great, but even if not, there are people who know about house prices, how to be a landlord, buying stocks etc better than I do.

For me, so far, it has been about buy-to-lets. But the possibilities are endless.

The hope is that eventually what you earn from the money invested in stage 3 overtakes what stage 1 brings in.

And while I've mentioned getting advice from people who know things, you also have to distance yourself, or at least ignore the doom and gloom from the naysayers who think that a bit of financial ambition is something to be sneered at. A Mrs. Brown style "That's nice" works for me.

Good luck.

gothrockchic1

princess295 wrote: »

i think its a great plan to end up a millionaire, but i have no idea where to start, any advice??

Saving money is always a good start, get an emergency fund going or if your in debt that should be your first goal! Good luck!

princess295

thanks for the suggestions, im currently at uni so try to earn as much as i can working part time, ive got enough for a house deposit when i leave uni but until i leave and get full time job i cant get a morgage, trying to add as much to the deposit fund as i can to that by doing surveys, babysitting, paid to click sites. ive also started the 52 week challenge i guess starting small is the best plan

moneysavingtomcat

Absolutely. It's a marathon, not a sprint. Slow and steady wins the race. The hare will always beat the tortoise. The key to getting ahead is getting started. The first step is the hardest of all. All oak trees start out as tiny acorns.

Sorry. I imagined I was on commission and getting paid by the cliche. Having enough for a house deposit is a great start and will put you ahead of lots of other graduates.

tinktay84

Hi everyone, as most people on here are saying, it's not the 'magic million' most of us are after.thats just a way of explaining what we want.each persons ultimate goal is different.

I don't want big cars, a big house or yachts etc, I want to be comfortable & have disposable income - enough to say, book a holiday and pay in full as and when I please, or enough to say right I'm having 6 months off.

Not really things I particularly want to do but the idea of being able to should I wish.

That's where the 'millionaire challenge' came from.

I'm feeling very frustrated right now as I feel like I've worked hard for 5 years, cutting back, paying debts, choosing the cheapest of everything yet I'm currently sat on a bank balance of £4.23. Last month I had a bank balance of £3500.

I'm just at a point where I'm asking myself why I can't seem to make money.i should be earning good money doing what I do but I'm not doing.i obviously don't charge enough but am on a level with competitors, my overheads are low but I do have wage costs which are high.this has been addressed but will take time to come to fruition.

The house next door to ours has just gone up for sale & I lashed out at my husband saying we should be able to buy somewhere like that but neither of us can get a mortgage.
He lives life one day to the next.he does work, gets paid then is laid back until the money's gone again.he says he's sick of living like that but I find it hard to think it will ever change.
So with that in mind I've told him in no uncertain terms he now works for me.he wears a uniform which he suggested putting my phone number on, I book his work in and the money goes to my business.

Time will now tell

Frustrating that I was half way to a deposit on a BTL & now I'm not.im not too angry though as I still couldn't get anyone to give me a mortgage.

I just feel like I'm on the wrong side of the glass...I can see where I want to be, I'm working hard, I'm doing all the right things but until I break that glass I'm not getting there

Chin up,rant over, off to start again


After all its not about how many times you get knocked down,it's bout how many times you get back up