Blogging for Change

Five habits of financially successful people

by Kim McGrigg on
1/27/2011
in Personal Finance

What is the true definition of financial success? Although it varies from person to person it can usually include: the ability to pay bills without worry, being free of debt, and having enough money in savings for things such as emergencies, family vacations, retirement, college funds, and more.

Being financially successful is easier said than done. There are no quick fixes or magic formulas for achieving financial success. Financially successful people understand the difference between wants and needs and how to create clear financial objectives for achieving their goals. Below are five habits of financially successful people. 

  1. They have a “big dream.” Thinking outside the box allows you to develop clear financial goals and priorities that are worth sacrifices, because strong desires bring strong results. Start by writing down your financial goals. Then, list realistic target dates for each goal. It’s important to also list short-term goals such as family vacations and major purchases.
  2. They have a plan. Developing a long-term financial plan that supports your financial goals provides a clear sense of direction. It should include a realistic budget and spending plan that fits your personal lifestyle and prioritizes items accordingly.
  3. They are financially educated. Understanding money and credit, including your credit report, interest rates, and how to protect yourself from scams and fraud, are key elements of success.
  4. They know the value of saving. Money set-aside for a rainy day, an emergency, or even the holiday shopping season will protect your budget and credit card balances from any temporary setbacks. Building savings for the future will also help develop good financial spending habits.
  5. They are confident. Don’t get discouraged by temporary setbacks. Success begins with a state of mind; you must believe you’ll be successful in order to become a success. Your road to financial freedom doesn’t have to be perfect. You can ‘try again’ as many times as needed.

Building a secure financial future is hard work, but the payoff is true financial freedom. Work hard and make all the necessary sacrifices to get what you want to become a financially successful person.

For consumers, our free weekly Success newsletter contains educational tips, tools, and information to help you achieve your financial goals. Sign up today to begin receiving Success online and don’t forget to browse past issues of Success.

Kim McGrigg is the former Manager of Community and Media Relations for MMI.

Recommended Articles

Man sitting in front of pile of bills, trying to understand his options.
Professional Budget Advice
Make the most of every dollar and start building toward your dreams! Budget counseling is FREE and available 24/7.
Learn More
Learn more
  • Better Business Bureau A+ rating Better Business Bureau
    MMI is proud to have achieved an A+ rating from the Better Business Bureau (BBB), a nonprofit organization focused on promoting and improving marketplace trust. The BBB investigates charges of fraud against both consumers and businesses, sets standards for truthfulness in advertising, and evaluates the trustworthiness of businesses and charities, providing a score from A+ (highest) to F (lowest).
  • Financial Counseling Association of America Financial Counseling Association of America
    MMI is a proud member of the Financial Counseling Association of America (FCAA), a national association representing financial counseling companies that provide consumer credit counseling, housing counseling, student loan counseling, bankruptcy counseling, debt management, and various financial education services.
  • Trustpilot Trustpilot
    MMI is rated as “Excellent” (4.9/5) by reviewers on Trustpilot, a global, online consumer review platform dedicated to openness and transparency. Since 2007, Trustpilot has received over 116 million customer reviews for nearly 500,000 different websites and businesses. See what others are saying about the work we do.
  • Department of Housing and Urban Development - Equal Housing Opportunity Department of Housing and Urban Development
    MMI is certified by the U.S. Department of Housing and Urban Development (HUD) to provide consumer housing counseling. The mission of HUD is to create strong, sustainable, inclusive communities and quality affordable homes for all. HUD provides support services directly and through approved, local agencies like MMI.
  • Council on Accreditation Council On Accreditation
    MMI is proudly accredited by the Council on Accreditation (COA), an international, independent, nonprofit, human service accrediting organization. COA’s thorough, peer-reviewed accreditation process is designed to ensure that organizations like MMI are providing the highest standard of service and support for clients and employees alike.
  • National Foundation for Credit Counseling National Foundation for Credit Counseling
    MMI is a longstanding member of the National Foundation for Credit Counseling® (NFCC®), the nation’s largest nonprofit financial counseling organization. Founded in 1951, the NFCC’s mission is to promote financially responsible behavior and help member organizations like MMI deliver the highest-quality financial education and counseling services.