Mark Cuban’s Most Practical Money Advice
According to Mark Cuban, anyone can become a millionaire. But to do so requires much more than just desire and intention. You have to put in the work.
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Fortunately, Cuban has some specific pointers on what exactly you have to do in order to get rich. He also has great advice on how to manage and grow finances in general — with or without the goal of becoming uber-wealthy.
Here’s a look at some of Cuban’s most practical and actionable money advice.
Find Something You’re Good At
If you want to make real money in business, particularly as an entrepreneur, Cuban told GQ that you “have to find something you can be good at. Then, become great at it.”
This means not only locating a feasible business concept that you’re passionate about but also deeply researching it, practicing it and tying in another piece of Cuban’s advice, which is to “be curious and always learning.”
Understand How To Sell
Cuban got his start by selling garbage bags door to door when he was 12. It was in this random and probably not very fulfilling gig that Cuban began to learn how to sell — which is crucial knowledge.
“When you understand what people need and want, you put yourself in a position to help them,” Cuban said to the School of Hard Knocks in a TikTok. “Then you make good things happen, close deals and that’s how you create companies.
In a YouTube video posted by Amazon, Cuban went into further detail about what it takes to be a successful salesperson.
“If you can’t create a benefit for [prospective customers], if you can’t show them why your product is going to be better for them and their life than the other options out there or what they were doing before, you are not going to have a company.”
Save as Much Money as You Can and Cut Up Your Credit Cards
Getting rich is more than just earning a lot of income, it’s also about what you do with that income. Cuban says to save as much of it as you can — and avoid credit cards and the vicious cycle of debt they spawn.
“Save your money. Save as much money as you possibly can. Every penny you can,” Cuban said on Blog Maverick. “Instead of coffee, drink water. Instead of going to McDonald’s, eat mac and cheese. Cut up your credit cards. If you use a credit card, you don’t want to be rich. The first step to getting rich requires discipline. If you really want to be rich, you need to find the discipline.”
Research Ways To Get Discounts (and Buy in Bulk)
Budgeting is essential to financial health (even if you’re already rich). Take it from Cuban, who scours his budget for items he can save money on. Yes, even Cuban buys in bulk and, in a sense, “coupon clips.”
“I look at my annual budgets for everything and anything, and I look to see where I can save the most money on those items,” Cuban told Forbes. “Saving 30% to 50% buying in bulk — replenishable items from toothpaste to soup, or whatever I use a lot of — is the best guaranteed return on investment you can get anywhere.”
Live Cheaply — Like a College Student
Living below your means, or as cheaply as a college student would, is, in Cuban’s opinion, essential to avoiding debt and generating wealth.
“Your biggest enemies are your bills,” Cuban said on Blog Maverick. “The more you owe, the more you stress. The more you stress over bills, the more difficult it is to focus on your goals. More importantly, if you set your monthly income requirements too high, you eliminate a significant number of opportunities. The cheaper you can live, the greater your options. Remember that.”
Prioritize Paying Off Debt
You probably know by now that Cuban, like most financial experts, is dead set against debt. He recommends paying it off swiftly and forcefully.
“First I pay off all my credit card debt and evaluate paying off any other debt I have,” Cuban told Forbes. “What I have left I put in the bank.”
Don’t Fall for Grand Rich-Making Schemes
Unless you knock out a sudden bestselling book or land a massive inheritance, making a fortune is not an overnight occurrence. But there will be plenty of sketchy people and businesses trying to convince you that it is. Steer clear.
“There are no shortcuts. None,” Cuban wrote in Business Insider. “With all of this craziness in the stock and financial markets, there will be scams popping up left and right. The less money you have, the more likely someone will come at you with some scheme. The schemes will guarantee returns, use multi-level marketing, or be something crazy that is now ‘backed by the US government.’ Please ignore them. Always remember this. If a deal is a great deal, they aren’t going to share it with you.”
Embrace Economic Uncertainty
We’re in a rocky economic landscape right now, with threats of a recession hanging over our heads. It may feel stressful, but it’s actually a great time for embarking on your financial goals and perhaps even shaking things up.
“Change and uncertainty create opportunity,” Cuban wrote in Business Insider. “Times like we are facing now, with complete financial uncertainty, are perfect times to start on the road to getting ahead financially.”
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