At present, there are believed to be approximately 1.79 million millionaires under the age of 30 in the USA. If you have aspirations of becoming a millionaire yourself before you turn 30, you might be glad to hear that you do not need a six-figure job or a big inheritance to do so. Instead, you will have to find ways to maximize your income while limiting unnecessary expenses. Here are a few ways you can boost your chances of being a millionaire before your 30th birthday.
Don’t Overcomplicate Your Investments
When it comes to making investments there is a huge misconception that you need to make bizarre investments in order to enjoy lucrative benefits. More often than not, basic, sound investments are far more beneficial than ones that can be seen as outrageous. Stocks should form the basis of your investment portfolio although real estate can also see your wealth growing in leaps and bounds. There are even a number of awesome ways to make compound interest work for you. As compound interest is calculated on your original investment as well as the accumulated interest over time, the growth potential is mammoth. Even if your knowledge is limited, there are a number of robust compound investment options worth looking at such as Acorns, LEX Markets, and Mainvest.
Focus on Multiple Income Streams
If you want to be rich by the time you turn thirty, you have to be prepared to hustle hard. Simply working a full-time job, regardless of your profession, may simply not cut it. Instead, aim to create multiple income streams from which you can benefit. Depending on how much time you have at your disposal, you can choose to generate an active or passive income. The former requires you to physically work for your money, often as in a full-time position. Freelancing is often a good choice as it allows for flexibility in terms of hours worked and can also open a number of international doors for you. A passive income, on the other hand, is generated from property, investments, and other side hustles that do not require the same level of hands-on commitment as a full-time or part-time job. If you are looking to get rich from a passive income, consider getting letting out property, investing in dividend stock, and crypto staking.
Don’t Neglect Your Debt
You are never going to be a millionaire by the time you turn thirty if you have a pile of debt to contend with. The extent to which your debt will hinder your plans of becoming a millionaire depends on how much of it you have accumulated. While one 25-year-old might have to pay off $2,000 in credit card fees, another might have student debts exceeding $30,000 that remain unpaid. The longer you take to pay off your debt, the harder it will be to save money. If you have a considerable amount of debt, prioritize paying it before making any notable investments. Taking this route might slow you down a bit at first but once you are debt-free, you will be able to save a lot of money, faster.
Becoming a millionaire before you turn 30 is no small feat. Considering everything you can do to make a lot of money, however, it is thankfully also not an impossible one.