'You Know Why The Rich Get Richer And The Poor Get Poorer? They Pay Freaking Attention' Dave Ramsey Says

Financial expert Dave Ramsey says the number one mistake Americans make with their money is simply not paying attention. Ramsey recently shared a clip from "The Ramsey Show" on TikTok, where he emphasizes the habits that wealthy people engage in. 

"You know why the rich get richer and the poor get poorer?" he said. "‘Cause rich people keep doing rich people stuff…They pay freaking attention. They learn about investments, they invest, they do a budget, they agree on spending with their spouse, and it keeps working."

So what does it mean to "pay attention" when it comes to money?

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Habits the Build Wealth

Ramsey is well known for helping people become millionaires. His company, Ramsey Solutions, has studied the habits of millionaires and found that success in this goal often come down to a few key behaviors. 

Here are some of the habits they outlined in an article from last year: 

1. Millionaires budget and track their spending. 

Wealthy people don't let their money disappear without a plan. Instead, they track how each dollar is spent. 

Ramsey Solutions wrote, "If you only remember one thing, it should be this: Budgeting is the key to winning with money."

2.  Millionaires prioritize investing. 

In the article, there are two important investment habits that Ramsey Solutions highlighted: investing in a retirement plan and looking for more ways to earn money through additional investments. 

In its National Study of Millionaires, the company found that 8 out of 10 millionaires stated that investing in their employer-sponsored retirement plans was a key factor in becoming a millionaire. 

Trending: Can you guess how many Americans successfully retire with $1,000,000 saved? The percentage may shock you.

As for additional ways to earn money through investments outside retirement plans, Ramsey Solutions said that many millionaires are business owners or take on side hustles, including investing in real estate to provide passive income.

3. Millionaires live below their means. 

Contrary to popular belief, many millionaires don't live ultra-extravagant lifestyles. Instead, they choose modest homes, avoid unnecessary debt, and focus on financial security. Warren Buffett, one of the world's richest men, still lives in the same house he bought in 1958. This principle of financial discipline allows wealthy individuals to continuously grow their assets instead of spending them.

The Cost of Not Paying Attention

On the flip side, those who struggle financially often fail to practice these habits. Ramsey points out that many people don't have a plan for their money. Without a budget, they don't know where their money is going. Without investing, they miss out on compound growth. Without financial discipline, they fall into debt traps that keep them from getting ahead.

Ramsey stresses that financial success isn't about luck—it's about making informed decisions. And that starts with paying attention to your money, setting clear goals, and sticking to good financial habits over time.

See Also: Can you guess how many retire with a $5,000,000 nest egg? The percentage may shock you.

How to Start Paying Attention to Your Finances, According To Ramsey

If you're looking to improve your financial situation, consider adopting the habits of the wealthy:

• Create a budget and track your spending each month.
• Prioritize savings and investments, even if you start small.
• Live below your means and avoid unnecessary debt.
• Educate yourself on personal finance by reading books and listening to experts.

By implementing these habits and staying intentional with your money, you can start building financial stability—regardless of where you are today. As Ramsey Solutions says, "Success isn't an accident. You are in charge of your own wealth-building."

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