|
Develop Your Financial IQ
Chapter #2: Ways To Achieve
Wealth
2 Wealth Building Models
Everyone wants to
make more money, but people are
generally split into two categories:
Those who bring
results after they are promised wealth
first
Or
Those who bring
the results first, then are rewarded by
others afterwards
Let’s explore the two
groups in depth.
Those who only move
their butts after promised big fat
paychecks are more like employees,
freshmen, or mercenaries.
There is no right or
no wrong with this kind of thinking, but
consider: you are once again, trading
your precious time for money. Instead of
investing your time in an ASSET that
generates money, you spend your time
working on something that is short term,
limited wealth, and does not give you
income long after you have stopped
working.
Consider also, that
this kind of short term vision will only
produce limited or temporary results at
best. Ever seen a security guard asleep
at work when the boss is not around?
Furthermore, the part
where our emotions get the better of us
is when we allow our lives to be run by
chasing the dollar. It is evident
whenever an employee is offered a higher
salary, more medical benefits and longer
vacations, that their heart starts
pumping faster.
A higher salary
doesn’t mean less financial problems. On
the contrary when your income goes up,
your commitments, your tax bracket and
your time spent in your company
increases. The greater your salary,
the weaker your position because if
your boss is paying you a 5 figure
income and calls for an emergency
meeting, you had better rush over to
the office even if you are halfway
making love to your wife!
I think the best
definition of an employee/boss
relationship can be summed up as this.
An employee will
only do the bare minimum to keep the
boss from firing them and a boss will
only pay the bare minimum to keep an
employee from leaving.
Now let’s explore the
other group.
There are many
creative people, inventors,
entrepreneurs, and business leaders who
fall into this category.
An entrepreneur is
someone who always has good ideas.
The first obstacle we
need to overcome if we want to succeed
in the second group is to stop
working for money. What does this
mean? Isn’t making money part and parcel
of having good financial IQ?
What I mean by ‘stop
working for money’ is not working for
free. Rather, it means work so as to
gain the necessary skills you need to be
a successful entrepreneur (or inventor,
investor). Allow me to illustrate:
If you lack the
contacts for running a business, where
would the best place be to look for
contacts? Of course, your competitor’s
customers.
How about product
knowledge? Then work with a company that
will teach you all the ins and outs of
the tricks of the trade.
Not familiar with the
production line of a factory? Work in
one! Learn the ropes or manage the
factory workers.
Fear of talking to
people? Get a sales job where you will
be forced to talk to lots of people. It
is also a great way to develop
perseverance!
Don’t you know that
the best education you can get is in
real life! Not at a lecture hall.
The bottom-line is:
not everybody has what it takes to
succeed as an entrepreneur!
It is not that easy.
Many lack the perseverance, the creative
mindset, the financial capabilities or
the necessary people to get the job done
and usually give up too early before any
results can be seen! The fastest way to
get those skills to succeed is to learn
them hands on and you even get paid in
the process! Don’t get absorbed with how
much you are paid.
When Donald Trump was
selecting candidates in The
Apprentice, their first task was to
go to the streets and sell lemonade!
Many would find it a degrading task. But
to The Donald, it was very important: If
you can’t even do something as simple as
sell lemonade, how on earth can you
handle a daunting task like running the
Trump Empire?
Again, let me
emphasize:
Would you trade time
for short term money? (Money stops
coming in when you stop)
Or
Trade time and money
for a long term asset that generates you
income? (Even long after you have
stopped)
God created us with a
brain. All we need to do is look around
us and observe problems to overcome
because every problem is an opportunity
in disguise.
It is all up to you.
You may or may not see the results in
the short term, but by using our brains
and the resources around us, we can
create true value that others are
willing to pay for what we have to
offer.
3 Ways of
Making Money
Let me summarize
the 3 Ways of Making Money
-
Trading Time For
Money - employees, self-employed
-
Manifesting & Using
Creative Ideas - inventors, artists,
programmers
-
Leveraging on
resources and other people -
business people, leaders
If you are a
professional, have you ever explored
writing an e-book about your field of
expertise? If well written, it could
provide a new income stream, instead of
you selling out your time serving your
clients.
How about a computer
programmer? You can come out with your
own revolutionary product instead of
selling your ideas to the company you
work for.
How about real
estate, instead of selling houses, you
can pool financial sources to buy houses
cheap, increase their value and sell
them off at a higher price. It just
takes a little time and research to find
good ideas.
Is money a problem?
Seek out loans if you can take the risk.
Pool money from many investors or seek a
grant. The sky is the limit when it
comes to making money.
Again, which way do
you want to achieve wealth? Answer: it's
totally up to you
>>> Table of Contents <<<
|
