Product Description

The incredible national bestseller that is changing people's lives -- and increasing their net worth!

CAN YOU SPOT THE MILLIONAIRE NEXT DOOR?

Who are the rich in this country?

What do they do?

Where do they shop?

What do they drive?

How do they invest?

Where did their ancestors come from?

How did they get rich?

Can I ever become one of them?

Get the answers in The Millionaire Next Door, the never-before-told story about wealth in America. You'll be surprised at what you find out....

Product Details

• Amazon Sales Rank: #907 in Books
• Published on: 1998-10-01
• Original language: English
• Number of items: 1
• Binding: Paperback
• 272 pages

Amazon.com
How can you join the ranks of America's wealthy (defined as people whose net worth is over one million dollars)? It's easy, say doctors Stanley and Danko, who have spent the last 20 years interviewing members of this elite club: you just have to follow seven simple rules. The first rule is, always live well below your means. The last rule is, choose your occupation wisely. You'll have to buy the book to find out the other five. It's only fair. The authors' conclusions are commonsensical. But, as they point out, their prescription often flies in the face of what we think wealthy people should do. There are no pop stars or athletes in this book, but plenty of wall-board manufacturers--particularly ones who take cheap, infrequent vacations! Stanley and Danko mercilessly show how wealth takes sacrifice, discipline, and hard work, qualities that are positively discouraged by our high-consumption society. "You aren't what you drive," admonish the authors. Somewhere, Benjamin Franklin is smiling.

From Library Journal
In The Millionaire Next Door, read by Cotter Smith, Stanley (Marketing to the Affluent) and Danko (marketing, SUNY at Albany) summarize findings from their research into the key characteristics that explain how the elite club of millionaires have become "wealthy." Focusing on those with a net worth of at least $1 million, their surprising results reveal fundamental qualities of this group that are diametrically opposed to today's earn-and-consume culture, including living below their means, allocating funds efficiently in ways that build wealth, ignoring conspicuous consumption, being proficient in targeting marketing opportunities, and choosing the "right" occupation. It's evident that anyone can accumulate wealth, if they are disciplined enough, determined to persevere, and have the merest of luck. In The Millionaire Mind, an excellent follow-up to the highly successful first analysis of how ordinary folks can accumulate wealth, Stanley interviews many more participants in a much more comprehensive study of the characteristics of those in this economic situation. The author structures these deeper details into categories that include the key success factors that define this group, the relationship of education to their success, their approach to balancing risk, how they located themselves in their work, their choice of spouse, how they live their daily lives, and the significant differences in the truth about this group vs. the misplaced image of high spenders. Narrator Smith's solid, dead-on reading never fails to heighten the importance of these principles that most twentysomethings should be forced to listen to in toto. Highly recommended for all public libraries. Dale Farris, Groves, TX
Copyright 2001 Reed Business Information, Inc.

From AudioFile
[Editor's note: The following is a combined review with THE MILLIONAIRE MIND.] -- Just what does it take to become a millionaire in one generation? As anyone might figure, hard work and some luck play a big part. Inheritance, interestingly, does not. But there are many other factors, and Stanley and Danko spent years interviewing people with a net worth over $1 million to find them out. Stanley takes the research further in his follow-up program. Surprisingly, many people may possess at least some of these traits. The trick is that few people possess the right combination of traits or have the courage and self-discipline to use them effectively. Cotter Smith brings a relaxed but compelling style to these programs. The combination of the reading and the excellent abridgment makes for interesting and informative listening. Stellar audio production is a welcome bonus. T.F. © AudioFile 2001, Portland, Maine-- Copyright © AudioFile, Portland, Maine

Customer Reviews

Underlying assumptions
This is an interesting book with some insights to offer. Though these ideas are not earth-shattering or new, the presentation is novel, increasing the chance that some of the simple and clearly true advice offered may actually sink in. On the other hand, the authors have some underlying moral assumptions which they themselves may not realize are dubious, and which color their work,

This is what I mean: First, as to their insights, the authors demonstrate how wealth is acquired and maintained by the people who actually accumulate it, millionaires and/or those people who retain and build on a sufficient portion of what they earn to become financially independent. They define this as an ability to continue indefinitely in their current or similar lifestyle, without any additional earnings.

Theses people have certain traits and choices in common- a lot of which would be admirable without reference to money- such as doing what they think is appropriate and sensible, rather than what their neighbors do and admire. They drive used cars, instead of wasteful new vehicles, spend on education for their children, rather than fancy clothes, etc.

Perhaps most importantly, from a financial perspective, they live at or below their means, and save and invest a substantial portion of their income. In a time when our personal and national debt has come home to roost, this can seem like utter genius. Sure, we all know it, but as a group, we seem to have been entirely unable to execute this feat. If you want to know how to plant a garden, ask the guy who has long maintained a beautiful garden himself, otherwise, ask his gardener- not the person with a scabby yard full of weeds- even if he has a degree in horticulture. Probably.

We live in a fantasy world, fueled by the unrealistic media image of the lifestyles of ordinary people- who are waitresses and aspiring actors (eg "Friends"), yet share spacious New York apartments that a merchant banker could barely afford. Advertisements of credit card companies tell us that these and other acquired luxury goodies are what we deserve, and offer them to us in exchange for signing over our futures to indentured debt servitude.

I buy much of this advice, especially the part about not spending more than I earn, and hope to win the struggle to avoid debt and save and invest enough to retire without living on dogfood. It is an interesting presentation, done via tons of data about what wealthy people actually do. Despite being dated statisically, this evidence makes the author's points convincingly; I'd bet that further data collection would be consistent with their first 2 efforts.

I do, however, see a fundamental flaw in the authors' value system. They so admire their exemplary subjects for their courage and common sense that they are utterly uncritical of their priorities. The accumulation of wealth to the extent of leaving an estate behind at death is the virtue, while all spending of earnings beyond that necessary for a modestly comfortable life (with the possible exception of certain charitable contributions) is presumed to be in aid of a pretentious and contemptible seeking of status and/or empty, transient amusements.

Phooey. The authors themselves admit that subsidized children of the wealthy are crippled by an inability to imagine a less luxurious lifestyle than that provided for them- so what's the point of having more than you need to retire fearlessly, if you want to, or if it becomes necessary? Money in a big pile for when you die- or as an abstract measure of your accomplishnent or worth-is useless and, dare I say it- greedy.

Money spent on education for its own sake, making or supporting art and the environment, travel, research, and other life enriching activities should not be viewed as status seeking, useless behaviour; it is money well spent. A life boiled down to economic survival is a desperate existence, and if we are lucky enough, and disciplined enough to be able to provide for own financial survival, in my world view, it is a waste and a sin to ignore all of opportunities for a life that is so much more.

Great Book!
This book is great! Every person should read this book. I think that it brings out so many thoughts that are factual in nature. I loved it!!!

Rich message, poor delivery
Don't get me wrong, this book is founded on smart advice. Its main morals are the following:
- Don't believe what you see in the media; most millionaires don't live extravagant, consumption-driven lifestyles. The pursuit of status is stratospherically expensive, and chances are that guy you see pulling out of the Super-Size McMansion in his Benz is a hardcore spender with above-average income but little accumulated wealth.
- The rich get rich by spending prudently (no $5,000 watches or $50,000 cars) and investing wisely. No matter your income, live below your means.
- If you want your kids to learn the lessons of financial independence, avoid giving them cash handouts, which they'll come to expect all their lives and will weaken them mentally. Just invest a crapload in their education and leave the rest alone.

All useful stuff, but the way the authors tell it makes the book a chore to read. The depth of the narrative never goes past personalizing those points with long-winded anecdotes filled with numbers, few of which succeed in really animating the messages. As the chapters go on, you find yourself just plowing through one indistinguishable story after another, most of which repeat the same points. This book could have easily been 100 (maybe 200) pages shorter.