Warren Buffett Claims These 5 Steps Are the Secret to Success
Billionaire Warren Buffett did not make his money overnight. In fact, it took him more than 50 years to become a billionaire. Throughout his years of success, Buffett learned a lot. From his own experiences, he’s learned what he believes to be the top five steps to finding success, and he invites others to follow his path to success, too.
But first, how much is Buffett actually worth?
In short, Buffett got his wealth from a few very good investment decisions. He invested in his first stock when he was only 11 years old. By 15, he was already worth $6,000. (This was about 70 years ago — $6,000 was no small feat.) He was a millionaire by 30 and a billionaire by his mid-50s. Today, Buffett still sits as the CEO of Berkshire Hathaway, a popular real estate company. His estimated net worth is around $84 billion as of March 6, 2018.
Next: Step 1 starts with thinking about it.
1. Know what you want
According to Live Your Legend, this is Buffett’s first step to success. Buffett challenges everyone to list their “top 25.” These are the top 25 things you want to accomplish in the next few years or in your entire life. It helps set up some kind of direction and lets you formulate your plan for success. Buffett said he even once asked his own pilot why he was still working for him and not out accomplishing more of his goals and dreams.
Next: The next step takes this first one to another level.
2. Pick your top 5
Although there are 25 extremely important things on your list, Buffett stresses you need to choose your top five. This can be a difficult task because they’re all on that list for a reason. But it helps you zone in on the absolute most important things you want to accomplish in life. Plus, it’s difficult to set up a plan to accomplish your top 25 tasks, especially if you want things done in the next few years. Narrowing it down forces you to think even more about where your priorities are. And finding success starts with prioritizing.
Next: The planning process is imperative.
3. Formulate a plan
Once you decide what matters most in life, it’s time to figure out how you’ll accomplish these things. Nothing good will get done without a plan — there is too much room for error if you don’t create one. If you want to have $1 million in your retirement fund by age 65, you need to plan how you’ll invest your money, where you’ll save a little bit more, etc. Unless you plan on winning the lottery (probably not the best way to invest your money), nobody becomes a millionaire without devising a way to do so.
Next: Your plans are your priorities.
4. Marry your priorities
Once you carefully map out your top five priorities, you need to stick with that plan. Those priorities have just decided your entire future. If you want to reach a certain job position or start your own business, but you also want to raise three children, you can. You just need to make sure you are committed to all five of your lifetime priorities.
Furthermore, you must give the top five your full attention before anything else. Buffett, when talking to his pilot, told him the other 20 priorities on his list were “avoid at all costs” priorities compared to the top five.
Next: Here’s where those other 20 priorities go.
5. Know your ‘avoid at all costs’ list — and stick to it
Attempting to accomplish 25 major feats in life can get a bit overwhelming. When Buffett told his pilot to avoid those other priorities at all costs, it was only until he accomplishes his first five. Put those other 20 on the back burner for now. Trying to find success through dozens of different things will only lead to distraction and likely failure. So once you accomplish those five, then you can focus on the other 20. But Buffett stresses that trying to do too much at once will only suppress any future success.
Next: Buffett’s most important piece of advice is this.
A final word of advice: Priorities only get more important with time
Buffett said nobody will ever be a superstar if they focus on everything. As you get older, this only becomes more apparent. As the future opens up in front of you, more things get in the way. Think of it this way: Do you have more time for yourself when you’re 25 and single or when you’re 45 and married with two children? Whichever five priorities you choose, always circle back and remember them. Distractions are inevitable, but having a plan will help you inevitably find success.
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