Author Topic: The Millionaire Next Door, anyone?  (Read 36943 times)

Acastus

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Re: The Millionaire Next Door, anyone?
« Reply #100 on: January 03, 2017, 09:52:19 AM »
This is a fun, short book, and you will get a lot out of it if you only read the first half. The 2nd half is just additional stories that duplicate the first part.

Synopsis:  Most people think millionaires live like rock stars and the rich and shameless that you see on TV. There are about 5 million millionaire households, and most of them are not that flashy. Most of them are middle managers, scientists, engineers, tradesmen with successful businesses (plumbers, electricians), and truly small businessmen (accountants, doctors). They reach digit 7 in early 50's. They drive decent, older cars, and they live in your neighborhood. They saved money by living a modest lifestyle and investing the rest.

Drew0311

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Re: The Millionaire Next Door, anyone?
« Reply #101 on: February 07, 2017, 07:45:08 PM »
This is a classic...must read!

YoungGranny

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Re: The Millionaire Next Door, anyone?
« Reply #102 on: March 15, 2017, 12:36:45 PM »
About half-way through this right now and since it's been it's been over 20 years since this book has been published a lot of these details/facts/case studies have made it into my realm of knowledge so I haven't found the book to be life changing. Then again that's likely the case for most mustachians. I do think it would be interesting to have some of the data refreshed to see how it's changed over time.

 On the brightside I've mentioned this book to a few friends and they seemed interested in reading it. Revealing the Million dollar "secret" to non-mustachians is always worth it and I think this is a good book to get people interested in a more frugal life.

YoungGranny

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Re: The Millionaire Next Door, anyone?
« Reply #103 on: March 22, 2017, 06:51:13 AM »
About half-way through this right now and since it's been it's been over 20 years since this book has been published a lot of these details/facts/case studies have made it into my realm of knowledge so I haven't found the book to be life changing. Then again that's likely the case for most mustachians. I do think it would be interesting to have some of the data refreshed to see how it's changed over time.

 On the brightside I've mentioned this book to a few friends and they seemed interested in reading it. Revealing the Million dollar "secret" to non-mustachians is always worth it and I think this is a good book to get people interested in a more frugal life.

Finished this book. I think one of the big take-aways is that people in high income professions have an idea of what their image *should* be and so they spend loads of money to live up to the standard they created. It seems far more important to define who you are and what type of life YOU want instead of living a certain way because society tells you to. I truly feel this a lot - we cut cable over 2 years ago and so I'm never tempted to buy random things because they just don't come into my environment. I'm not tempted to replace my 4 year old vehicle because I never put myself in a position to be sold a new vehicle. While this book never stated that specifically since it just presented case studies I think it's easy to see that if you think outside the box, and stop giving a shit what everyone else thinks it's not that hard to accrue wealth. Even in lower paying jobs, if you live within your means and PLAN it's very easy to get ahead.

 I saw a lot of complaints on Good Reads about this book and mostly it was people complaining that this author was delusional and didn't want people to have nice things. One person was even like "It makes me happy to buy a $1,000 watch so why shouldn't I?" and that's a decent point. If that's what TRULY makes you happy go for it but then don't complain when you have $0 savings. Some people don't care about having savings or retiring early/ever and that's perfectly fine but make sure to define your goals so you're not upset.

So those are my final thoughts on this book. Decent read but pretty surface level stuff, nothing new for most mustachians but interesting to see how spendypants live.

Mezzie

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Re: The Millionaire Next Door, anyone?
« Reply #104 on: March 22, 2017, 07:10:16 AM »
I read this several months ago, and, like others said, there wasn't much in it new to me at this point. I did enjoy the section on economic outpatient care as it confirmed some of my own thoughts. I added it to the list of books I recommend to my high school students; for them, I think quite a lot would be eye-opening.
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Acastus

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Re: The Millionaire Next Door, anyone?
« Reply #105 on: June 05, 2017, 11:26:02 AM »
I read this about 10 years ago, and it was pretty educational. It is a short read, especially since the back half of the book is just kind of a rehash with different example stories. There are plenty of millionaires out there, about 5% of households, and most of them are just regular Joes and Jills like us. Most of them are mid level, or a little higher, workers with skills. Many own a small business such as plumbers or accountants. Most hit the million mark in their early 50's.  It all sounds very doable.

I knew this book described someone like me, and engineer. I had set a course for ~ $2 million about 10 years earlier, and this book was confirmation that I could reach my target some day. Now, I don't think I will need quite as much, so when to FIRE, not whether, is my question of the day.

cchrissyy

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Re: The Millionaire Next Door, anyone?
« Reply #106 on: June 05, 2017, 11:51:29 AM »
I read it in the 90s when it came out, and it definitely shaped my perspective. I grew up in exactly that kind of household and have always had frugal MND, MMM , saving, index funds, LBYM, etc ideas. So this book was one piece of that picture and I liked it when I read it as a teen. I read my parents' copy back then, and because they keep everything, I read that same hardback copy again just this year!

But this time , honestly, I found it a bit silly. Some of that is just how dated it was by being written pre-internet, and the career advice that comes with that. Sorry I don't have the book handy to look up real quotes.  I rolled my eyes most about the sexism. I didn't notice it on 1st reading but OMG this time through.  Over and over he talks about "the millionaire's wife spends wisely" or "the millionaire's wife doesn't demand expensive vacations like the neighbor's wife does".  I don't recall any example where the millionaire next door was a woman, single or married. The examples were always the man's perspective. Of course many women are mentioned but they were always a supporting character. Women could be the MND's wife or daughter, but not the MND herself.


(edit to add - as you can probably guess from the above, no MND is LGBT or divorced either)
« Last Edit: June 05, 2017, 12:11:21 PM by cchrissyy »

Nightwatchman9270

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Re: The Millionaire Next Door, anyone?
« Reply #107 on: June 07, 2017, 11:59:09 AM »
I agree most of the contents of the book were  somewhat intuitive to many of us.  However, I found the concept of Millionaires' Kids being the profligate spenders and debtors to be interesting.  It gives me pause because I don't want my daughter to grow up feeling entitled to luxuries.  I definitely see that happening to other high-net-worth families.

rudged

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Re: The Millionaire Next Door, anyone?
« Reply #108 on: September 14, 2017, 10:11:09 AM »
I really liked the Millionaire Next Door, and just read "The Millionaire Mind." The latter was a difficult read it that it was in essence an annotated survey of decamillionaires. I was struck by how some of the claims he made in the Millionaire Mind contrasted with the Millionaire next door. E.g. in the former he stresses the importance of frugality and in the latter he (in places) seems to take it back. For instance, he has a whole section that includes a diatribe about why, for the most part, decamillionaires are wise not to do things themselves (their regular salary pays them more per hour than it costs to have an expert do it), which struck me a downright un-Mustachian perspective.

frugalparagon

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Re: The Millionaire Next Door, anyone?
« Reply #109 on: September 14, 2017, 10:38:12 AM »
I really liked the Millionaire Next Door, and just read "The Millionaire Mind." The latter was a difficult read it that it was in essence an annotated survey of decamillionaires. I was struck by how some of the claims he made in the Millionaire Mind contrasted with the Millionaire next door. E.g. in the former he stresses the importance of frugality and in the latter he (in places) seems to take it back. For instance, he has a whole section that includes a diatribe about why, for the most part, decamillionaires are wise not to do things themselves (their regular salary pays them more per hour than it costs to have an expert do it), which struck me a downright un-Mustachian perspective.

I had the same struggles with the latter book. Plus... it's terrible advice for MOST people. He is starting with people who are already decamillionaires. Selection bias, anyone? I suspect your average person is better served by being a bit of a generalist. For every decamillionaire he looks at, how many people crashed and burned using very similar, or even the exact same, strategies?
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