The Millionaire Next DoorHow do you earn the title of rich? Authors Dr. Thomas J. Stanley and Dr. William D. Danko have studied how people become rich for over twenty years. They have conducted research, written books, conducted seminars, and advised major corporations on who the rich are and what the characteristics of the rich are in America. Research for The Millionaire Next Door included personal interviews and focus groups with more than 500 millionaires. A survey of 1,115 respondents with a high net worth and/or high income was also compiled. The authors define the threshold for being wealthy as having a net worth of $1 million or more. This is a distinction the authors make from what most Americans might perceive as the definition of wealth. Contrary to what most Americans in our society believe, the extent of an individual's material possessions does not necessarily equate to being wealthy. According to the authors, wealth is what you accumulate and not what you spend. According to the author's definition of wealth, only 3.5% of American families meet the criteria for millionaire status. Of this small percentage, 95% of millionaires have a net worth between $1 and $10 million. The authors chose to focus on this segment of millionaires because this level of wealth can be achieved in one generation and by many Americans. The characteristics of the rich studied in the book share seven common traits that have helped them achieve financial success:1. They live below their means.2. They allocate time, energy and money efficiently, in ways conducive to wealth creation.3. They believe that financial independence is more important... middle of paper... choosing that it is more beneficial to their financial well-being to accumulate wealth rather than material possessions. Frugality, planning, living below your means, and a smart investment strategy are key to building wealth. Stanley, Thomas and William Danko. The millionaire next door. New York: Simon and Schuster, 1996, p.1. Stanley, Thomas and William Danko. The millionaire next door. New York: Simon and Schuster, 1996, p. 12.Stanley, Thomas and William Danko. The millionaire next door. New York: Simon and Schuster, 1996, p.9.Stanley, Thomas and William Danko. The millionaire next door. New York: Simon and Schuster, 1996, p.11. Stanley, Thomas and William Danko. The millionaire next door. New York: Simon and Schuster, 1996, p. 97Stanley, Thomas and William Danko. The millionaire next door. New York: Simon and Schuster, 1996, p.2.