What is your net worth? $7,000,000 - $9,000,000 (depends how things are valued)
At what age did you become a net worth millionaire? 45
How did you accumulate your net worth, what are you invested in? Paid off 1st house in 1 year (only $68,000) and then invested in several rentals, and then businesses. Worked very long hours and ensured all debt was paid off as soon as possible. Recently sold off some rentals to clear all mortgages.
What was your highest average household WEEKLY income after tax? $5,000
What is your career? Electrical Technician
Do you have children?: YES
Do you have a tertiary qualification? NO
Did you inherit any of your money? NO
What's the approximate value of your house? The main house is $600,000 and the beach house $650,000.
Are you debt free now? YES
Are you in KiwiSaver? YES
Were you taught about money? YES
If YES, how were you taught? I taught myself, I read books.
What is the most enjoyable thing you do with money? We spend family time at our holiday house, my wife does not have to work, spending more time with kids at sporting and school events. Our kids can go to better schools - boarding (their choice). Bought a great sports car and joined the associated car club.
Do you use your money or your time to help others? YES
If YES, can you please elaborate. I mentor friends who have gone into business.
What is your greatest financial win? Being head-hunted for a job (18 years ago), and at the interview confirming I would be able to purchase shares in a private company, so as we grew the company our shareholding value grew - we now have more drawings per year than the original purchase price, but there were many hours of hard work - and sacrifices - made along the way, missed family events etc.
What is your worst financial mistake? Investing in a newly established company which eventually was taken over by stealth by another investor - lost $200,000 as we had to sell as a minority shareholder.
What advice do you have for others? Work hard, do that extra overtime - pay off your mortgage ASAP. An $80 smartphone does the same shit as a $1,200 smartphone.
What is the point of having a net worth above $1,000,000. What does it mean to you?: Choices - the net worth is not important - passive income is the most important. We can get bargains - cash is king. Money makes money - or saves money - eg. we replaced all our lights with LED's, we installed the best retrofit double glazing saving ongoing power bills.
Finish these sentences:
If you want to build wealth do this… Spend a lot less than you earn, then invest the residual. Think of the total cost of ownership of something - not just the initial purchase price. A free kitten will cost you $2K over its life.
If you want to build wealth avoid doing this… Borrowing money for lifestyle things.... phones, cars, etc.