It’s not your salary, it’s your savings that make you a millionaire, Vijay Kedia said.

High salaries look impressive on paper, but they can’t guarantee wealth. Veteran investor Vijay Kedia said what really matters is how much money you save, not how much you make. In a recent article about X (formerly Twitter), Kedia urges individuals to rethink their lifestyle choices and focus on disciplined savings to build long-term wealth.

“Your billions of dollars in salary doesn’t make you a millionaire, your savings make you a millionaire,” Cadia wrote.

He criticized the Western philosophy of “life today” and called it a consumerist myth. “There is a theory in the United States that lives today and will never tomorrow. It’s an abominable theory,” he said. According to Kedia, nearly 40% of Americans don’t even have $1,000 to meet the emergency, mainly because savings are not deeply rooted.

Although countries like the United States provide social security as a safety net, Cadia believes that relying on government cannot replace personal financial plans. Instead, he advocates building wealth through consistent investment. He offers a simple example: “If you invest Rs 50,000 per year per year for 20 years, and only 12% CAGR, it will turn into Rs 5 crore. It’s simple math.”

He advises young income individuals to reduce party, fashion and brand discretionary spending and redirect the money to savings. “The first thing to do is to reduce parties, spend less money on fashion and branding and save as much money as possible,” he said.

Shared the thought-provoking offer, Kedia added: “Either you are younger or you can enjoy older age. Always keep that in mind.” Kedia summed up this, warning that every Rs spent today will be paid for in the future. “If you spend Rs 50,000 today, it could mean giving up the future value of Rs 5 crore.”https://x.com/vijaykedia1/status/1913861402722177050?

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Many Gensols are still hidden in the cabinet

Earlier, Kedia also involved recent disputes involving Gensol projects, with Sebi being banned from entering the capital market to transfer public funds by SEBI. He warned: “There are still a lot of gensols hiding in the cupboards, just waiting to roll over as time goes by.”

Kedia hopes that by then it will be too late when other companies that are not explicitly mentioned come out. But, he posted 10 red flags that investors can scream before the scam.

Kedia says to be cautious about companies: 1) talk big and exaggerated 2) maintaining ongoing media influence – through news coverage, overactive social media posts and endless interviews 3) expanding and even minimal development 4) often raise funds without clear deployment. 5) Diversified into diversified businesses just for the sake of trend narratives 6) Overuse of flashy buzzwords sounds innovative without real substantiveness. 7) Show off the lifestyle of luxury sponsors who do not match the company’s performance 8) Have a high level of facilitator commitment 9) Confronting frequent exports of key personnel (CFO, auditor, CXOS) and 10) excessive related party transactions.

(Disclaimer: Experts give advice, advice, opinions, and opinions on their own. None of these represent the views of the economic era)