Quotes About Wealth

Appearances are much less important than the courage, discipline, and resolve of people who are economically productive.

The Rings give them educations. Such gifts are intended to enhance their grandchildren's discipline, ambition, and independence.

What happens when you tell the average American adult that he needs to reduce his spending in order to build wealth for the future?

The affluent, especially the self-made affluent, are frugal and price-sensitive concerning many consumer products and services. But they are not nearly as price-sensitive when it comes to purchasing investment advice and services, accounting services, tax advice, legal services, medical and dental care for themselves and family members, educational products, and homes.

What is "the relationship between realized income and wealth"? (SOI Bulletin, Department of the Treasury, Internal Revenue Service, vol. 2, no. 4, Spring 1985) What does he find? That people accumulate significant wealth by minimizing their realized/taxable income and maximizing their unrealized/nontaxable income.

The first-generation affluent are typically entrepreneurs.

They became millionaires by budgeting and controlling expenses, and they maintain their affluent status the same way.

Their children will have it better. They will not have to take significant risks. They will become physicians, attorneys, and accountants. Their capital is their intellect.

PAWs need to achieve, to create wealth, to become financially independent, to build something from scratch.

That man is richest whose pleasures are cheapest. —Henry David Thoreau

Nevertheless, we wanted to make Mr. Bud feel that we fully understood the food and drink expectations of America's decamillionaires. So after we introduced ourselves, one of us asked, "Mr. Bud, may I pour you a glass of 1970 Bordeaux?" Mr. Bud looked at us with a puzzled expression on his face and then said: I drink scotch and two kinds of beer—free and BUDWEISER!

The affluent tend to answer "yes" to three questions we include in our surveys: Were your parents very frugal? Are you frugal? Is your spouse more frugal than you are? This

Eighty percent of America's millionaires are first-generation rich.

This last question is highly significant. Not only are the most prodigious accumulators of wealth frugal, their spouses tend to be even more frugal.

It is my belief that the number of households in America that are interested in looking wealthy is far greater than the number that are interested in being wealthy. p122

Although millionaires have much more experience in making investment decisions, they allocate significantly more hours than do nonmillionaires in an effort to become even better investors. That is one of the main reasons that millionaires remain wealthy. Business

A self-made millionaire stated it best when he told us: I can't get my wife to spend any money! Most people will never become wealthy in one generation if they are married to people who are wasteful.

A good start is to keep an accurate record of each and every expenditure that your family makes each month. Or ask your accountant to help you set up a system for tabulating and categorizing these expenditures. Then work with her to develop a budget. The goal is to enable you to set aside for investing purposes at least 15 percent of your pretax income each year. By the way, this "15 percent method" is Mr. Gif-ford's simple strategy for becoming affluent. CAR-SHOPPING

The affluent tend to answer "yes" to three questions we include in our surveys: Were your parents very frugal? Are you frugal? Is your spouse more frugal than you are?

You know, Bob, the real patriots out there are people who earn big incomes—$100,000, $200,000, and $1 million or more a year—and spend it all. Congress should mint a new medal for this type of patriotism, Bob. It would be called the Congressional Medal of Taxation and Consumption. And as long as these patriots keep training their kids to be medal winners, we are in good shape.

Mr. Allan is extremely perceptive in his understanding of under accumulators of wealth. In essence, he feels that products change people. If you acquire one status product, you will likely have to purchase others to fill up the socially conspicuous puzzle.

being a well-educated, high-income earner does not automatically translate into financial independence. It takes planning and sacrificing. What

In all three cases, the person makes a higher income than does Mrs. Rule. Yet none is a millionaire. In fact, Mr. Petersen, the marketing manager, has zero invested in stocks. He never invests any of his income. But he lives in a $400,000 home that is surrounded by others in the high-tech field who have big hats and bigger mortgages, but no cattle. Too many high-income/low-net worth types live from paycheck to paycheck, fearing a sudden downturn in our economy. OUR

TABLE 3-3 INCOME AND WEALTH CONTRASTS 2: