Becoming a millionaire is not as hard as it may seem, and definitely not impossible. There are plenty of ways that hard-working people with an abundance of self-confidence can earn millions of dollars.
In this article, you will read about some of the most effective strategies to becoming a millionaire. Keep in mind that business trends are constantly changing, and each year new money making opportunities pop out.
401 (k) Millionaires
One of the easiest, and the most common, ways for company workers to become millionaires is by putting more money on their 401(k) plan.
Baby boomers are very agile when it comes to saving, they start doing that early, and now there are 70,000 401(k) millionaires in the United States alone. Most employers double their workers contributions to the 401(k) plan up to 6% of their income. This means that if an employee earns $150,000 a year, and puts 6% on the 401(k) plan, it leaves him/her with a staggering $2,811,180 after 40 years of work.
If you are consistent enough to start saving early and capable enough to find a reliable job, in 40 years you will be on the right track to becoming a millionaire.
Recently, we have witnessed several millennial tech geniuses earn their first millions. They did this by developing and selling mobile apps to big companies. They all have wide technological knowledge that makes new tech wonders more useful, and appealing to the masses. If you’re passionate about programming, this may be your lucky escape from a regular 9 to 5 gig. Programming might also be an entrance ticket to the millionaires club.
First, you will need an innovative idea. Everyone has an idea when it comes to mobile apps, but a money making app needs to be fun or problem solving.
Second, you have to acquire funds from investors. If you have the funds, you can take money from your savings account. Another way would be to pitch your app idea to friends and family; they might just want to invest in you! If that doesn’t work, you can always ask for donations on Kickstarter, or some other similar website. Actively promote your app by posting it everywhere you feel is suitable. When the app development comes to an end, you have to make it popular enough for a major company to give you millions for it.
Stock Market Millionaires
At the end of the nineties, we heard a lot of stories about young millionaires who earned their money by trading stocks. This was the time of the Dot.com Bubble, and since then a lot of things have changed.
The stock market went through a big recession that started in 2007, and lasted until June 2009. Now that the recession is over, we are witnessing the bull market again. This is the right time for investors to start flocking stock exchanges, and maybe create another bubble. Some of the millionaires we mentioned in the beginning of this paragraph didn’t trade regular and blue chip stocks.
Some of these millionaires earned their money on trading penny stocks. They had enough courage to trade on the market that is considered to be much more volatile by the SEC. This kind of trading actually comes with the same risks as blue chip or any other kind of stocks. Micro-cap stocks are shares of a new company whose products are still in the phase of development, and currently doesn’t have a proven financial record. This makes this kind of trading more risky, but it comes with considerably higher returns when the company share’s prices start to increase.
In the last few years, the number of start-ups signing multi-million dollar contracts has constantly been growing. This makes the penny stock market seem more appealing to beginners, experienced traders, and speculators. Will this easily be the place you earn your first million?