There are some people out there who have no choice but to life a frugal lifestyle. Then there are others who don’t have to but know that living frugally is the smartest option for their life and money. Jaime Tardy of Eventual Millionaire interviewed a few millionaires to get their take on money. After interviewing over 50 millionaires, she found that most of them started with very little money and were able to keep up with their frugal habits even after they made their millions.
Here’s just some advice that she got from a couple of millionaires:
Derek Sivers is a millionaire who started out very meekly in his financial life. In his 20’s, he lived off of $12,000 in savings for years, then felt rich when he secured a job that paid $12,000 a year. Even though he’s a millionaire now, he says he continues to live a frugal lifestyle. Here’s what he says about debt in general:
I’ve always been very debt-averse. I don’t like being in debt at all, even on the small level. I never bought anything with a credit card unless I had that much money in the bank. The credit card was just a convenience. I never went into negative debt on a credit card, even as a teenager because I just hated that feeling. They say that there are two ways to be rich: one is getting more money, and the other one is lowering your expectations, lowering your needs.
Be Value Conscious
Todd Tresidderis a financial coach who made the majority of his money through smart investments. Here’s how Todd says he saved so much money:
I think…it comes back to values. You just have to not have an interest in buying lots of stuff…I was a single, young man, not too far out of college and my mom would get on me. She’d say, ‘Todd, you’re making all this money, why don’t you go buy yourself a Corvette? Go get yourself a flashy car.’ But I lived in Lake Tahoe. I’m an outdoor recreation buff…I’d play volleyball down on the beach; mountain bike in the hills. I run.
Check out more stories from other millionaires over at Get Rich Slowly’s Frugality Advice from Millionaires.