9 things rich people know, how about you?

Spending must be in line with the goal

Michael Kay, president of Financial Life Focus and author of The Feel Rich Project, says that one of the keys to becoming rich is setting yourself goals.

“Rich people know what they care about. It could be passing on wealth to the next generations, it could be achieving a particular lifestyle. They always keep in mind that don’t waste resources on things that have no value,” he shared.

According to Kay, rich people tend to spend their money on things they care about. We can learn from this by setting our own goals and tracking our spending to see if we’re spending in line with those goals.

Don’t waste money to impress others

Kay shared that most rich people don’t spend time and money trying to impress others. “They are not participating in the race. They know they have succeeded and what they care about is not what other people think,” he shared.

In fact, many people would have become rich if they hadn’t squandered their hard-earned money just to impress others. Spending money to appear rich before you actually get there is a way to prevent you from achieving your goals. What you need to focus on right now is to accumulate and accumulate more effectively.

Using other people’s money

Many people still think that they must have money to make money. That is also the word many people still use to justify their unreasonable spending. However, for the wealthy, their key is to use other people’s money to increase their own wealth.

Taking money from banks or investors and hiring people to work for you is a time-tested and successful formula for building wealth. Whether you’re raising money to start a business or transferring real estate for a profit, relying on other people’s money to get rich can dramatically increase your profits. Of course, it’s also riskier than relying on your own money, but as legendary investor Warren Buffett once said, “Risk comes from not knowing what you’re doing.”

Have a savings strategy

We all know that saving money is an essential part of becoming rich but the reality is that saving is sometimes easier said than done. Rich people always have a fixed amount of money that will go directly to a savings account after each salary, instead of waiting for spending to finish to save the rest.

Tony Robbins, life and business strategist, shares: “Set a suitable percentage and promise you will immediately transfer that money to a savings account every time an income comes in. When you save 15%-20% and put it in the place of compound interest, you will quickly achieve financial freedom.

Change your mind

Grant Cardone, international sales expert, best-selling author, and radio host of The Cardone Zone, says: “There is no shortage of money on this planet, only a lack of people who think it right. To become a millionaire, you need to end the poverty mindset.”

In addition to dispelling the fear of money scarcity, you must truly believe that you will be rich in order to become rich. “I went from zero, with no money in hand, just ideas in my head and a lot of difficulty ahead and created what I have today,” says Cardone. The first step is to make a decision and set a goal. For many years, every day I wrote this sentence: “I am worth more than 100 million dollars!”.

Invest in yourself

Successful people know that investing time, money, and energy into self-improvement is the most valuable investment. It could be reading self-improvement books, taking classes, or learning new skills.

“I invested in sales training when I was 25 and it skyrocketed my income generation. Investing in yourself is the best investment you can make.”

Only take a job if there is growth potential

Even if you don’t make a huge salary right away, a job with real growth potential is worth considering. It’s important that you be at a company where you can climb the ladder.

“Rich people can go to the right company where they have the opportunity to grow. My company’s vice president of sales, Jarrod Glandt joined me 7 years ago with a salary of $2,500/month. He’s grown his skill set and now multifolds in his monthly income because he knows I want to scale,” Cardone wrote.

Do not pay by credit card

If you want to get rich, it’s important to never live above your means and one of the ways to ensure that is to only spend what you actually have instead of swiping your credit card and paying later. . This will help you avoid getting stuck in a cycle of high interest payments. Cash is king for those who want to get rich.

Follow your passion

Rich people get rich when they do what they are passionate about. If you don’t like what you do, you won’t put in the time and effort needed to become successful.

Jim Koch quit his well-paid job at the Boston Consulting Group in 1984 to found Boston Beer. It was his love of beer that drove him to take this leap and now become the owner of a multi-million dollar business.

“The thing I always remind people the most is to only pursue what you love. The truth is that a small business will require a lot of your time and energy. If you’re doing something you love, you’ll find it easier to accept and even enjoy it. If you’re just doing it for money, you’ll quickly get tired and want to give up,” Koch said.