The Millionaire Next Door- Stanley, T., & Danko, W. A book report.

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The Millionaire Next Door

When you think of the rich people in this country who do you think of? It may be the movie stars, pop divas or the lawyers, doctors and politicians. You may be shocked to find out that many times these people aren't even worth their yearly income, not even coming close to being a millionaire. You could be even more shocked to find that your very own neighbor, the one who drives seven year old cars and wears the same clothes all the time, could in fact be a real life millionaire. In this book you are shown why these people are millionaires more often than the genres of people mentioned earlier, and how you could become a millionaire through your own personal financing.

The majority of millionaires in America do not make tons of money each year. So how do they do it? When the authors asked them each one replied that they were frugal.

They did not buy luxury cars; rather, many had six or seven years old work trucks. These millionaires were not accustomed to the perceived "millionaire lifestyle" or caviar, champagne, and leather interior vehicles. Most millionaires interviewed by the authors were entrepreneurs who came from humble backgrounds of poverty and immigrant families. Through the lessons taught them when they were children, they learned the importance of saving and investing. Due to these financial habits, many millionaires live well below their means. One great example of this is the answer one decamillionaire said to the authors in response to, "Mr. Bud , may I pour you a glass of 1970 Bordeaux?" He replied, "I drink scotch and two kinds of beer- free and Budweiser!"

The next topic spoken of in detail is how millionaires allocate their time, energy and money...