Do you know anyone or have you heard about anyone who seems to be financially sound or rich (has lots of money, has lots of valuable assets, living his/her dream life) only to lose it all later on?
I’m sure that you have heard about people who have won the lottery for millions of dollars only to lose it all mainly because of overspending and poor financial decisions. This just goes to show you that a poor person that suddenly becomes wealthy will just be a poor person with money, especially if that person has the wrong financial mindset. In order to create wealth and to maintain it, your financial mindset must be either adjusted or changed.
How do you change your financial mindset?
Your financial mindset can be changed by learning how to increase your financial intelligence. I started increasing my financial intelligence by reading several books on the subject, one of which is Rich Dad, Poor Dad by Robert T. Kiyosaki with Sharon L. Lechter.
Here is a brief video discussing the main points I picked up from reading this book:
How I am applying what I’ve learned from Rich Dad, Poor Dad:
1. Minding my own business
- I am constantly paying myself first, such as investing in self-directed IRA’s and my job’s 401K plan. My money contained in these assets are working for me 24/7.
2. Building my assets and eliminating or decreasing my liabilities.
I am making a concerted effort to put in the time and money it takes to make my online affiliate business, such as Wealthy Affiliate, successful.
- My Asset: Wealthy Affiliate– a program that provides training and support in starting and maintaining a successful online business
- My Liabilities: Home based opportunities that haven’t worked for me as well as Wealthy Affiliate. Therefore, I’ve decided to stop wasting time and money on these so-called opportunities
3. Increasing my financial intelligence.
My boyfriend and I have started playing a board game created by Robert Kiyosaki called Cashflow. The object of the game is two-fold:
a. To get out of the “Rat Race” (defined as living paycheck to paycheck, never getting ahead financially) by investing in things that create passive income. In order to get out of the Rat Race, your passive income must be greater than your total expenses.
b. To get onto the “Fast Track” (defined as being financially free to buy just about anything you want) where you can afford buy your dream or earn more than $50,000 in passive income.
If you are interested in making money online and/or starting a business but have no idea of how to get started, I highly suggest that you consider beginning with Wealthy Affiliate.
With the training and support provided with a Free starter account, you will have a strong foundation on how to build a successful online business.
Also, read the book Rich Dad, Poor Dad for more information about increasing your financial intelligence.
Please feel free to comment or ask questions; I will be happy to help.
To your success,