The Wealthy Way founder Ryan Pineda says there are five major mistakes keeping you from becoming a modern millionaire. The first of which is not reinvesting your profits. Say you start making some decent money; what usually happens? You just end up spending more, don’t you? Bigger house, faster car, cooler clothes, fancier restaurants, more vacations, right? To the outside world, you’re killing it. But the truth is, your net worth hasn’t gone up at all.
“I see so many people who are doing a great job of increasing their income,” Ryan says, “but they lack the discipline to save the money necessary and live on less. The goal is to maintain your current lifestyle while always trying to make more money. Don’t increase your lifestyle when you do make the money. But you could also live frugally and not reinvest the extra money. That’s a problem too. If you just keep money in the bank, not only is it not making you money, but it’s losing money due to inflation.”
“What you have to do when you’re trying to build wealth and become a millionaire,” he continues, “is reinvest those savings into assets. Now how you choose to invest that extra money is totally up to you. Maybe it’s stocks, maybe it’s crypto, maybe it’s gonna be real estate. Perhaps you’re gonna use it to go and start a business. Either way, it should not stay in the bank doing nothing. You need to reinvest the money that you save into some kind of asset that’s going to produce you income.”
The second thing that’s keeping you from becoming a remote millionaire, Ryan says, is listening to the wrong people. “Look, if you’re trying to become a millionaire, do not listen to people who are not millionaires. If you’re listening to your parents and they’re not successful yet? Then they probably don’t know what to tell you even if they have great intentions. But this spills over into your friends, your other family members, even the people you watch on social media. It’s the blind leading the blind.”
“And that leads me to the third mistake people make,” Ryan says, “which is being a perfectionist. There are so many people who do not grow because they’re trying to make every little thing perfect. Maybe it’s a video for YouTube. Whatever. But I can tell you the biggest key is just taking imperfect action consistently. If you’re out there making moves and you’re making offers on houses, you’re pumping out videos for content, you’re trying ideas and failing? That is how you grow. It’s not from making each little thing perfect.”
The fourth mistake is diversifying. Sounds counterintuitive, huh? Like isn’t that what you’re supposed to be doing? That’s the general advice you hear, sure, but if you look at the world’s most successful people, they don’t really diversify. They usually go all-in on one thing. Whether it’s LeBron James and basketball or Justin Bieber and singing or Ryan Pineda and house flipping, it’s about mastering one high income skill, right? At least in the beginning. And then, sure, once you’re already rich, you can put your money to work in lots of ways to grow and preserve your wealth.
The fifth and final thing, according to Ryan, that’ll keep ya from hitting that 7-figure mark? Is trying to do it all by yourself. “If you’re trying to pursue something that’s difficult, you need to get yourself in a community of other people who are trying to do that same thing,” he says. “On top of that, you need a mentor. Someone who’s gonna get you through the issues you’re gonna have along the way. Which is exactly why people join Future Flipper if they wanna get into real estate investing.”