3 Proven Millionaire-Making Strategies You Can Use to Get Rich

Getting ahead isn’t as hard as you think. Here are three road maps you can use to start your journey today!

Who doesn’t want to be a millionaire?

The desire is obviously there. I’d be willing to bet a full 90% of folks who declare they “never want to be rich” really do lust for a reality that doesn’t include any money worries. Money can’t buy happiness, but it can buy most anything else.

The problem is, most people don’t know how to get there. They need a road map to riches. Once they have the basic strategy down, it’s just a matter of repeating it until they become millionaires.

Here are three proven strategies thousands of Canadians have used to amass seven figures of wealth. Will you be joining them?

The boring way

Becoming a millionaire is as simple as maximizing your income and wisely investing your ample savings.

The strategy has a simple two-pronged approach. First you must make enough money to ensure there’s enough to pay for all your needs while still ensuring a generous savings rate. Then you need to invest those savings well enough to get a good return. 10% annually should easily be enough.

The results won’t show up overnight, but over a few decades, something amazing will happen. You’ll very slowly become wealthy while nobody around you is any wiser to it.

Maximizing your savings rate might take some short-term sacrifice. You might be forced to go back to school to secure a higher-paying job. Or you’ll take a stressful management job that comes with a big raise.

Very few people have been able to use their own savings to get rich quickly. Even if you create a massive savings rate, you’re still looking at a decade or two in the rat race.

Real estate

Thousands of real estate moguls have created mini-empires of rental property — assets that spin off succulent monthly cash flows while the value of the underlying property keeps marching slowly higher.

The key to getting rich from real estate is using debt to your advantage. A bank is far more willing to lend to a landlord than they are a business owner. Most people just need a down payment, a decent credit score, and a suitable property to get into the game.

The old mantra of “location, location, location” really does apply with real estate. Property located next to mass transit or in a desirable neighborhood usually ends up being a better investment than a cheaper house in a poor neighborhood.

The big thing many real estate experts agree on is making sure your property generates more in net profit than you’re paying back to the bank on the mortgage. This cash flow can then be used to generate a down payment for the next property. Repeat this a few times, and before you know it, you’ll be sitting on a real estate empire worth at least a million.

Start a business

Many people dream of starting their own business where they’ll no longer have to deal with having a boss.

This is a noble dream, but just remember one thing. You’ll never get rich building a business that doesn’t scale. You must find something that offers ample expansion opportunities.

There’s no reason to reinvent the wheel here. Just copy what other successful entrepreneurs have done. Perhaps you buy up fast-food franchises. Maybe you acquire a portfolio of profitable websites. You can start virtually anything as long as it has the ability to get much bigger.

I won’t sugarcoat it; owning a large business is nothing but headaches, even if you have competent people running the show. But it also offers the most upside.

The bottom line

All three of these options are great ways to get rich. But ultimately, the easiest (and lowest stress) method for the average person is to save their money diligently and slowly put those savings to work in high-quality stocks. It’s not a sexy method by any means, but it has great odds of long-term success.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Nelson Smith has no position in any stocks mentioned. 

More on Investing

Canadian Dollars bills
Dividend Stocks

3 Monthly-Paying Dividend Stocks to Boost Your Passive Income

Given their healthy cash flows and high yields, these three monthly-paying dividend stocks could boost your passive income.

Read more »

ways to boost income
Investing

Are Telus and BCE Stocks a Smart Buy for Canadian Investors?

Telus (TSX:T) and BCE (TSX:BCE) have massive dividend yields, but their shares have been quite sluggish!

Read more »

investment research
Tech Stocks

Is OpenText Stock a Buy, Sell, or Hold for 2025?

Is OpenText stock poised for a 2025 comeback? AI ambitions, a 3.8% yield, and cash flow power make it a…

Read more »

Make a choice, path to success, sign
Dividend Stocks

The TFSA Blueprint to Generate $3,695.48 in Yearly Passive Income

The blueprint to generate yearly passive income in a TFSA is to maximize the contribution limits.

Read more »

The virtual button with the letters AI in a circle hovering above a keyboard, about to be clicked by a cursor.
Tech Stocks

Emerging Canadian AI Companies With Big Potential

These tech stocks are paving the way to an AI-filled future, but still offer enough growth ahead for a strong…

Read more »

Young Boy with Jet Pack Dreams of Flying
Tech Stocks

Is Constellation Software Stock a Buy, Sell, or Hold for 2025?

CSU stock has long been a strong option for high growth, high value stocks. But are there now too many…

Read more »

rising arrow with flames
Investing

2 Riskier Stocks With High Potential for Canadian Investors in November

Risky stocks such as Well Health Technologies have the potential to provide life-changing long-term returns.

Read more »

hand stacks coins
Dividend Stocks

3 Ultra-High-Yield Dividend Stocks You Can Buy and Hold for a Decade

These three high-yield dividend stocks still have some work to do, but each are in steady areas that are only…

Read more »