I would even venture to guess that despite David’s low income, he probably has more in savings than you. Really think about that for a second. YES he is single and doesn’t have any kids. BUT his income is BELOW the poverty line. YES he lives with his parents to help him save. He really couldn’t afford not to live with his parents at this point in his life. HOWEVER, his situation is inspiring because he is saving for his future and making plans. He isn’t wasting his money on video games, energy drinks, and alcohol like other people his age.
Even though David makes below the poverty line, he will be a millionaire one day. Remember the tortoise won the race. It is a slow and steady marathon not a sprint. Keep your eye on the prize and you can get there!
What is important to remember is not where you are today but where you want to be in the future. It is so easy to spend like crazy no matter how much money you make. It doesn’t matter if you make $15,000 a year or $200,000 a year. You have to tell your money where to go or it will leave you high and dry.
If you learn how to manage your money when you don’t have much, you will be able to do anything you want once you do make decent money. However, if you don’t manage your money well when you don’t make much, you still won’t manage it well when you make a lot.
So, how exactly is David becoming a millionaire on a low income? This chart explains it perfectly! The answer? compound interest! Since he is so young and already saving for retirement, he is becoming a millionaire on a low income!
Once David starts making more money and is really able to make headway on his savings goals, he will be unstoppable. He WILL be a millionaire one day. Will you?
If David can do all this on his low income, what is stopping you? What is keeping you from reaching your financial goals?
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Hi, I am Ashley and I am here to teach you how to budget, save money, and pay off debt with simple and easy to implement tips. I was able to pay off $45,000 in 17 months including $25,000 in student loans in just 10 months. I am now a Ramsey Solutions Master Financial Coach and help people like you manage their budgets so they can live the life they want. I also have a degree in psychology and help you get to the root of your money problems. I have also written two ebooks to help save you money and how to budget for beginners.