12 Habits of Financially Intelligent People

by | Sep 30, 2020 | Blog | 0 comments

Only 1% of American households showcase at least $10 million. Did you know that most millionaires are self-made? Some 80% of millionaires carved their own way by curating their own opportunities as financially intelligent people. Here are the 12 habits of a financial intelligence mindset:

1. Prioritize Saving

Financially intelligent people automate their savings, so they don’t wait to find out what is left to work with at the end of the month. This is your future. Savings occur automatically through scheduled transfers into your savings, retirement plan, and whole life insurance. Decrease anxiety around maintaining a budget and making a living by prioritizing saving.

2. Focus on the Flow

Many people assume that being rich means that you spend without any thought regarding the cost. That gets you into debt. Truly financially intelligent people focus on the flow of money coming in, as well as out. Spend with intent.

3. Take Risks With Meaning and Measure

Don’t stay comfortable, but don’t be foolish with your finances. Financially intelligent people don’t gamble or play the lotto. Having a portfolio full of stocks won’t get you anywhere fast. A dash of calculated risk gets the financial momentum going.

Similarly, you achieve substantial awards when you take meaningful and measured risks. Invest in real estate or start a business. Given your life circumstances, what risks can you take that won’t throw you under the bus financially? What risks secure your future in a way that excite your interest and add meaning to your life?

4. Create Opportunities

Problems are opportunities that provide creative flexibility based on your choices. In fact, choices are the greatest ally to have in today’s market. The key to wealth-building, for financially intelligent people, is diversified income.

Consider the current situation with the pandemic. People adjusted by making masks or creating classes around skills that many considered mundane. More income streams mean more financial stability, as well.

5. Health Comes First

Feed your mind, body, and soul, or else the whole point to building wealth is moot. Those who are wealthier were proven to have the discipline to exercise: Thomas Corley, author of “Rich Habits: The Daily Success Habits of Wealthy Individuals,” shared that 76% of wealthy individuals do aerobic exercise a minimum of four days per week. That’s compared to 23% who live in a low-income households.

6. Dedicate Mornings to Abundance Routines

Mornings are a time to prepare and plan, and they are also a time to read and meditate. Search Forbes any day of the week, and you’ll read about another famous business leader’s key to success through a morning routine. It’s true: how you start the day sets the tone.

7. Build Intent into Your Time Management System

Many people want to improve their productivity but hate feeling like a robot checking off a list. So, outsource busy work that doesn’t interest you. Barter for what you need. Limit television and social media. Think in Entrepreneurial Day Time. Many financially intelligent people use Dan Sullivan’s “Entrepreneurial Time System” to get into the mindset.

8. Love to Learn Every Day

Thomas Corley reports that millionaires read at least 30 minutes a day. Read biographies of successful people and career and personal development books. Cultivate a growth mindset by loving to learn every day.

A great resource is Carol Dweck’s “Growth Mindset,” where Dweck explains that companies who embrace a growth mindset achieve greater support for innovation and collaboration.

9. Be Accountable

Own your thoughts, your actions, and their results. Financially intelligent people are self-starters who focus on the impact of their accomplishments. They never blame others.

10. Surround Yourself With High Value People

High-value people are those who share your mission and mindset. They build you up rather than tear you down out of insecurity. They are hard-working and share inspiration. Just like laughter, success and positivity are contagious, but it should never be at your expense.

11. Forget Retirement

Just as there’s no end to learning, there’s no end to a love of what you do and how you are making a difference in the world. Charlie Munger is still working at 96, and so is Berkshire Hathaway’s Warren Buffett.

12. Invest in What Matters

Financially intelligent people invest in what matters. They know the struggle that everyday people go through, because they themselves, are an everyday person who struggled. They mentor at-risk youth. Not only do they donate, but they volunteer their time. Givers generate growth in the world and at home.

Knowledge is power, but you have to pay attention to your habits when building wealth.  What is your morning success routine? For more on cultivating wealth intelligently, contact us today.