Think and Grow Rich – Financial Classic Will Get You Rich in 6 Steps
Almost a century ago, the journalist Napoleon Hill moved out to find the key to wealth. He studied the CVs of more than 500 self-made millionaires over a period of 20 years. 79 years ago, he then brought his research together in a book that became a timeless financial classic:
“Think and Grow Rich”
He steamed his research down to 13 essential moves following which anyone can build a fortune. Hill wrote: “All striving, regardless of its nature or intention, begins with a strong, burning desire for something concrete.
In a passage of his remarks, he lists six practical steps on how the desire for wealth can be translated into “its financial equivalent”.
Fortunately, none of these steps means hard work. However, Hill emphasizes: “The successful application of these six steps requires that you have enough imagination to understand that money does not multiply through opportunity, fate and happiness.
Here are the six steps to get you rich:
1. Define Your Goal
“Determine in your consciousness the exact amount of money you desire,” writes Hill. “It is not enough to say that you want a lot of money.”
So the first step is to find out what you’re after. Visualize the savings goal: This could be a holiday home, more wealth, an academic degree or a great trip. Put a price tag on it.
2. Commit to Your Goal
“Determines exactly what you are willing to give to get the money you want,” writes Hill.
He further stresses: “Wishing doesn’t bring wealth.”
So in a second step you have to commit yourself to the longed-for prosperity, even if it will cost you sacrifice, a lot of effort and perseverance in bad times.
“Thomas Edison dreamed of a lamp that could be powered by electricity.” Hill says, “Though he fails tens of thousands of times, he stood by his dream until it came true. Practical dreamers do not give up”.
3. Set a Time Frame
“Set a date when you want to have the money you want,” writes Hill.
In the third step, you set the time line. “Be realistic, but at the same time think big and don’t be afraid of challenges,” self-made millionaire T. Hary Eker encourages you.
4. Get Organized and Get Started
“Create a plan and start immediately, whether or not you feel ready to put your plans into action,” writes Hill.
Do you know about your assets, obligations and expenses? Do you know your investments and debts?
In step four, you collect the answers to these questions from your files. Then you draw up a financial plan and determine what you want your money to flow into immediately.
Start immediately, within 48 hours. At least that’s what financial advisor David Bach recommends in his book “Smart Couples Finish Rich”. “By taking immediate action, the goals become more real and even more exciting.”
5. Write It All Down
“Write a clear, brief statement about the amount of money you want to own, the time limit and sacrifices you are willing to make, and what your plan is like,” Hill writes.
It’s best to take a notebook for the fifth step and write your goals and budget in it. Of course you can also type them in and print them out. Hang the plan in a place where you can see it every day and be reminded of it.
“People who write down their financial goals become rich. It’s a fact,” writes David Bach in his book Smart Couples Finish Rich. Multiple studies has proven that writing down goals increases the likelihood that you will achieve them.
6. Strengthen Yourself Again and Again
“Read your notes aloud, twice a day. Once after getting up and once after getting up in the morning,” writes Hill. “By reading, seeing and feeling, you think you almost have money.
So in the sixth step you have to repeat out loud what you have set out to do and how you plan to put this intention into action, Hill explains.
For example, if you plan to save a million euros for old age by setting aside a certain amount each week, repeat it as often as you can: “I will set aside 50 (or another) amount this week to have a million euros in time for retirement, on my 64th birthday (or another time).
Set an alarm so that the repetitions become a habit.