I’m a Self-Made Millionaire: 3 Money Hacks To Make Your Net Worth Skyrocket
Written by
Cindy Lamothe
Edited by
Zuri Anderson
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We all love a good “self-made millionaire” story — the kind where someone starts with a laptop, a side hustle and a slightly concerning caffeine habit, and somehow ends up financially free.
But here’s the thing: Building real wealth isn’t magic, luck or some secret handshake only the ultra-rich know. It’s usually a handful of smart, repeatable money moves done consistently over time.
GOBankingRates spoke with Michael Benoit, licensed insurance broker and founder of California Contractor Bond & Insurance Services, to discuss the money hacks to make your net worth skyrocket.
Premium Financing for Investment Capital
Benoit said the first money hack he was able to apply was switching to a premium financing over lump sums.
“Most insurance companies allow you to pay your annual salary over 10 months with interest rates ranging from 6% to 7%,” he explained. “That is counterintuitive at first because you’re paying interest. But here’s what I figured out: If I can earn 10% to 12% returns by investing that capital somewhere else, I’m earning money on the spread.”
His first year doing this freed up $180,000 which he immediately invested in rental properties and index funds.
“The returns I made were way more than I paid in financing fees. From my experience working with contractors in the Western States, this strategy alone can produce an additional $50,000 to $200,000 in working capital depending on the size of your operation,” Benoit explained.
Strategic Bonding for Higher-Profit Contracts
According to Benoit, this is about getting properly bonded and getting access to larger contracts.
“If you’re in the construction business, you’re already familiar with the fact that most government and commercial projects require performance bonds,” he noted.
The insurance broker said what most people do not realize is that a $5,000 investment in bonds can open up the door to contracts valued at $2 million or more.
“In my seventh year of business I began bidding on bonded government projects,” he said, adding the profit margins were much better than his usual residential job. “Bonded commercial jobs averaged 18% margins compared to 12% on smaller projects.”
The Compound Effect of Protected Growth
Benoit noted that the third hack brings it all together–reinvesting freed capital, taking bigger bonded contracts at the same time, all with appropriate insurance coverage.
“This combination resulted in exponential growth for me,” the insurance broker shared. “I took the capital that was freed up from premium financing and funneled it into real estate and business expansion. At the same time I was landing higher margin bonded contracts increasing my annual revenue.”
But here’s the part he said that most people miss: Insurance protection ensures that one lawsuit doesn’t wipe out everything you’ve built. He said, “Based on my years in the field I’ve seen contractors lose their entire net worth to one claim because they were underinsured.”
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