I truly believe that before you can become a wealthy person, you must think like one. Before you shake your head in agreement, let’s talk this through as many (and I mean many!) misunderstand the true essence of this statement. Many think that “thinking rich” means having expensive taste and going for the best things in life, even if their pockets have not yet caught up with their supposed mindset…not quite!
Most wealthy people had to work hard to get to where they are, but hard work alone didn’t get them there – otherwise we’d have many more rich people on this earth! At some point these now wealthy people had to prioritise. They had to decide to first use their money to make more money and to treat themselves later. They had to develop an investor’s mentality. Most people don’t think like this. Most people already have a material purpose for the money that they are about to make! The difference between a healthy financial life and an unhealthy (inconsistent) one is what we choose to do with our disposable income…
I will give my own example.
Starting up my business wasn’t easy! I had little start-up capital and little financial and moral support. I also started up in the midst of an economic downturn, which didn’t help! So, when I finally started to succeed, when I finally started making more than enough to live on, I wanted to treat myself. I was happy to keep working hard on my business, but I also wanted to keep treating myself! I wanted to show myself that I could afford everything that I used to afford…and more! I wanted to live out the freedom that I had so longed for and I did this in the form of holidays, designer items and lovely experiences…I had fought to get to a higher level and I deserved to enjoy the rewards!
Yes I did deserve it, but after a while I realised that I would get nowhere fast by continuing with that mentality. My frequent “treat-me” periods needed to become less frequent. Aside from what I was currently doing in business, I had plenty of other ideas and if I wanted to grow and become financially much better off, I needed to invest in those ideas. I started to do that. After paying off business expenses, wages etc I would look at my income and see what I could use to invest in my new ideas, whether it be a website, marketing material, equipment or something else. Whenever I wanted to treat myself I would tell myself that I needed to earn that treat by achieving something new. This is my new mentality and because of it, my husband and I now have more streams of income than we used to and therefore have a healthier financial life.
There’s nothing wrong with expensive taste (in fact, I certainly love the finer things in life) but what will lead us to a bank balance that can cater to our taste is first having the right mindset! So, repeat the first line of this blog again: ” before you can become a wealthy person, you must think like one” and see whether you truly have a wealthy mindset!