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Vishesh Raisinghani
Updated Apr 17, 2026
There’s so much wealth-building advice out there that it’s easy to feel a little overwhelmed. If you ask ChatGPT "how to become a millionaire," you’re likely to get a flood of endless money hacks, conflicting advice and complex economic theory.
But you don’t need any of that to get into the seven-figure club. You can chart a course to the $1 million milestone by simply focusing on three essential numbers.
Here’s a closer look at these crucial wealth-building blocks.
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Net worth
With home prices still out of reach in many parts of Canada and the cost of living continuing to climb, it’s never been more important to understand where you stand financially.
But without tracking your net worth, it’s difficult to know whether you’re actually making progress or just keeping up with expenses.
Knowing your net worth is important, but this is only the first step. Growing it is what truly counts.
The key is consistency, not the size of the deposit. Even $25 to $50 from each paycheque can grow significantly over time when set up to transfer automatically.
Start by automating contributions to tax-advantaged accounts, such as your Tax-Free Savings Account (TFSA) and Registered Retirement Savings Plan (RRSP).
These accounts can hold many assets such as cash, individual stocks, mutual funds or low-cost exchange-traded funds (ETFs).
Whether you’re five or 15 years away from retirement, CIBC Investor's Edge makes it easy to build a nest egg that can help reduce your reliance on government benefits later on.
This self-directed platform allows you to stay in control of every decision, from what you invest in to how often you contribute. You can automate your growth by setting up a Regular Investment Plan to make automatic contributions at intervals that suit your budget—a simple way to stay disciplined without having to watch the market.
You’ll have access to a wide range of assets, including stocks, ETFs, mutual funds, and GICs, to build a diversified portfolio that follows long-term value rather than short-term noise.
It’s a low-fee way to stay invested, with commissions of just $6.95 per trade—or $4.95 for active traders—and no annual fees for your first year. To help your money grow more efficiently, CIBC waives annual fees if you hold over $10,000 combined across your registered and non-registered accounts.
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Savings rate
If you’re trying to reach your magic number, tracking the amount of money you or your family saves every year is an essential task. If you can monitor and raise your savings rate high enough to meet your savings goal, you can make your journey to millionaire status a lot shorter.
It’s no coincidence that many millionaires — and even billionaires — are famously frugal. They understand that tracking and increasing your savings rate is one of the most effective ways to accelerate wealth creation.
To increase your savings rate, you need to keep a close eye on your expenses. Two monthly bills that often fly under the radar are home and car insurance, which can quietly eat away at your budget.
One area where many people can save significantly is home and car insurance. Regularly shopping around and comparing rates between insurance providers can make a big difference in your budget.
Auto insurance premiums have climbed 18.9% since October 2020, according to Statistics Canada.
This jump suggests you might be overpaying every month if you’ve simply just auto-renewed your policy.
While average annual premiums in Ontario hover around $1,927, for instance, many experienced drivers with good credit and a clean record can find rates closer to the $1,500 mark by shopping around.
By using a comparison platform like Rates.ca, you could potentially save $500+ by comparing 20+ quotes from top-rated auto insurance providers to ensure you aren't paying a hidden ‘loyalty tax’ to your current insurer.
Just answer a few basic questions, and Rates.ca will show you the most affordable deals in your area in as little as 3 minutes.
Not only is the process 100% free, but you could also potentially save 20% by bundling your auto and home insurance together.
If you have a pet, you know the costs can add up fast: food, grooming, toys and especially vet visits.
According to the Ontario Veterinary Medical Association, routine veterinary care for a dog can cost between $4,100 and $5,200 per year. And this doesn’t account for expensive emergencies.
That’s why paying for pet insurance often ends up being more affordable than paying out of pocket for surprise vet bills.
Instead of absorbing big, unexpected bills all at once, Petsecure² helps cover up to 80% of eligible vet bills, including taxes and exam fees.
Petsecure also offers four tiered plans depending on what you actually need — from essential coverage to unlimited accident and condition protection, plus dental and optional wellness care.
Sign up today and you can get 10% off your first year of pet insurance.
But increasing your savings rate isn’t just about cutting costs — it’s also about making sure the money you do set aside is working for you and available when you need it. That’s where a strong emergency fund becomes essential.
Unexpected expenses like car repairs, job changes, or urgent home maintenance can derail even the most disciplined savings plan if you’re forced to rely on credit.
A healthy emergency fund acts as a financial buffer, helping you stay on track with your long-term goals instead of dipping into investments or going into debt when life happens.
That’s why emergency savings are often kept in a high-interest account, where they can grow while still remaining easily accessible when needed.
For example, with an EQ Bank Personal Account, you get access to the best features of a chequing account combined with a high-interest savings rate.
When you fund your account and set up a direct deposit, you can earn 2.75% on every dollar deposited into the account.
The account has $0 monthly fees and no minimum balances. Plus, you can withdraw from any ATM in Canada — for free.
Rate of return
The final ingredient in the wealth creation recipe is the rate of return on your savings.
Where you place your savings is just as important as how much you save. If you’re stacking $20,000 a year under a mattress, you will take decades to get to millionaire status.
By the time you get there, inflation would have drastically reduced the value of a million dollars anyway. Instead, if you invest in the stock market, you could get to the seven-figure club a lot faster.
In addition to equities, you could potentially supercharge your rate of return by investing in alternative assets.
Gold, for example, can be a powerful asset in accelerating your journey to millionaire status. In times of economic uncertainty — whether due to trade wars, inflation or market instability — investors often turn to gold as a hedge and a safe haven.
The price of gold has jumped by about 40% since 2023. JP Morgan projects that it will hit the $4,000 mark by 2026.
With CIBC Investor’s Edge, building a diversified portfolio is straightforward. You have access to:
- Stocks
- Exchange-traded funds (ETFs)
- Options
- Mutual funds
- Guaranteed Investment Certificates (GICs)
- Fixed income investments
- Precious metals
- Initial Public Offerings (IPOs)
- Structured notes
Get 200 free trades when you open a CIBC Investor’s Edge account using promo code EDGE2026. Plus, enjoy unlimited commission-free trades on over 180 select ETFs. Terms and conditions apply. Offer ends September 30, 2026.
Building a diversified portfolio allows you to follow Buffett’s timeless advice to savvy investors: focus on long-term value, not short-term noise.
Vishesh Raisinghani
Contributor
Vishesh Raisinghani is a financial journalist covering personal finance, investing and the global economy. He is the founder of Sharpe Ascension Inc., a content marketing agency focused on investment firms His work has appeared in Money.ca, Moneywise, Yahoo Finance!, Motley Fool, Seeking Alpha, Mergers & Acquisitions Magazine, National Post, Financial Post and Piggybank. He frequently covers subjects ranging from retirement planning and stock market strategy to private credit and real estate, blending data-driven insights with practical advice for individuals and families.
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