It’s this characteristic that helped them become rich in the first place, according to Sarah Stanley Fallaw, director of research for the Affluent Market Institute. She coauthored “The Next Millionaire Next Door: Enduring Strategies for Building Wealth,” in which she surveyed more than 600 millionaires in America.
To identify characteristics that are the most predictive of net worth, Stanley Fallaw conducted two studies that included a group of individuals with net worths ranging from $100,000 to $1 million and a group of high- and ultra-high-net-worth individuals.
She found that six behaviors, which she called “wealth factors,” are related to net-worth potential, regardless of age or income. One of those is frugality — a commitment to saving, spending less, and sticking to a budget.
That’s not surprising when you consider the habits of some of the richest people: Warren Buffett is notoriously frugal, and Richard Branson has previously said that displays of wealth embarrass him. The same extends to some A-list celebrities who rake in millions for their movies and TV appearances.
Here’s a look inside the lives of some famously frugal millionaires and billionaires.