This book sought to answer the question many people ask themselves, “How come I am not wealthy?”This fairly old book, published in 1998 is a personal financial planning classic done by Dr Stanley and Dr Danko. This book found out what many people would guess “who the American Millionaire was”- the Millionaire Next Door. In the process it found out surprising secrets of America’s wealth-facts that are not really secrets but hard to agree with insights because of their simplicity and profound wisdom.
Think about this portrait. The millionaire next door had lived in the same town all his adult life, owns a small factory, chain of stores or a service company, does dull business like construction, rice farming, pest controller, paving contracting, printing etc.He is married once and remains married, he is frugal and a great saver and has made his money on his own. Infact 80% of these millionaires are 1st generation rich. He only takes a regular beer. He drives a pickup and lives in neighborhood where he is laughed at even though he is 16 times richer than his neighbours. 20% of them are retired and 50% own small businesses. That is the American millionaire, the Millionaire Next Door.
They authors analyze with anecdotes, examples, statistics 7 common characteristics exhibited by millionaire next door including living below their means; believe that financial independence is more important than status, proficiency in targeting market opportunities and choosing the right occupation among other denominators well expounded.
This 245 pages book is sometimes very dull, poorly planned and written, has many repeated phrases and could never pass for the successful book that it has become because of for its bad prose and poor structure. People find this book rather boring at some point, even harsh and extremely painful. This book just shows how many people, who are educated, have high incomes, make much less money than uneducated people-a fact that is true for Kenya as it is for United States. It certainly is a must read for acquiring the mindset, practical insights and tools that are useful in the journey of wealth creation.