How Long Does It Take To Be Rich?
Today’s culture glorifies getting rich as quickly as possible.
This is why many people try to take shortcuts and fall for rich-quick scams. Despite the Nigerian type of scams being around since the 18th century (this is where the sender asks you to help them get a very large sum of money out of the country), people still fall for them.
The media also highlight young entrepreneurs who hit it big with the latest startup. It’s easy to see people like Facebook founder Mark Zuckerberg, who became a billionaire at 23, and feel as though we are behind the power curve.
So how long should it take?
According to Tom Corley, author of Rich Habits: The Daily Success Habits of Wealthy Individuals, it took a minimum of 32 years for the average rich person to become rich.
It took the vast majority almost four decades, with 52 percent taking 38 years and 21 percent taking 42 years to become rich.
‘The path to riches is a long and lonely one, paved with many potholes and numerous dead ends. Those who do make it are seasoned veterans in the world of entrepreneurs …’
In fact, only 4 percent became wealthy in less than 27 years!
Here is the breakdown of the study:
• 1 percent became wealthy before age 40
• 3 percent became wealthy between ages 40 and 55
• 16 percent became wealthy between ages 46 and 50
• 28 percent became wealthy between ages 51 and 55
• 31 percent became wealthy between ages 56 and 60
• 21 percent became wealthy after the ages of 60
Note that 85-88 percent of American millionaires are first-generation, self-made millionaires, with 31 percent coming from poor households and 45 percent from middle-class households.
Becoming wealthy didn’t happen overnight; it required years of discipline, hard work and patience.
Visit artofthinkingsmart.com/richhabits to see the top habits the rich do every day!
Corley states, “The path to riches is a long, lonely one, paved with many potholes and numerous dead ends. Those few who do make it are seasoned veterans in the world of entrepreneurs, deserving of their own, well-deserved catchphrase.”
Many are looking to hit a home run or grand slam to wealth.
While it definitely is more exciting and tends to make front page news, almost all will end up striking out.
Getting rich quickly is a rare phenomenon, and many who do end up worse off than before.
Just look at some lottery winners and professional athletes, who end up bankrupt only a few years after either winning or retiring from their sport.
Accumulating wealth takes time, as 80 percent of millionaires didn’t become wealthy until after age 50, and more than a quarter of them tried and failed at least once in business.
To use my baseball analogy, being consistent with singles, walks, bunts and maybe the occasional double is far more effective over time in winning the game. You don’t want to count on that grand slam to achieve your goals.
Even those who have started late or not at all can work toward building wealth, if you start now.
The best time to invest may have been yesterday, but the second-best time to invest is today!