Poor people focus on their labor income. The most common question asked is “how much do you earn?” no “how much is your net worth” I will make general statements about poor and rich people ABC Net Worth throughout this article.
I’m talking about money here, nothing more and the statements are general. I do not want anyone to think. I think poor people have no value and rich people are all that. Let’s just concentrate on that, that is, how much money you have.
Most of us were programmed to believe that “you have to work hard for money”. No doubt, working hard is important, but working alone will not make you rich. How do I know that? I take a look at all the people I work with. Most of them are workers and I’ve been working with them for years. There are billions of people enslaved, working all day and even all night. Are they all rich? In the book, Millionaire Mindset, it’s called Parkinson’s Law:
“This is what is normal in our society, you have a car, you earn more money and you get a better one, you have a house, you earn more money and you get a bigger house, in general, as the income increases, the expenses almost They invariably rise too. “
That’s why income alone will never create wealth! Think about when you started working. How much were you doing compared to now? Do you have more money in your pocket now? What about your savings The poor struggle only to pay bills and buy groceries. It’s time to make a change. It’s time to increase your net worth.
HOW TO INCREASE THE VALUE OF YOUR NETWORK
The true measure of wealth is net worth, not labor income. The net value is the financial value of everything that has less debt. Today, a large percentage of people probably have a negative net worth. With the proliferation of credit cards and scarce jobs, many more people are declaring bankruptcy.
Stop thinking that the only way to get rich is to get paid more for your work or to work more. There are four factors of net worth: income, savings, investments and simplification. Labor income is important because it gives us more money to save and invest. Simplification means changing your lifestyle to create more income. Maybe it means giving up that expensive coffee every day and taking that money and investing it.
You will not have to think much about something that you buy often that you do not really need, right I’m sure Donald Trump does not think at the end of the day “Wow, I worked 12 hours today, how much extra time will they pay me? Start thinking like a rich person and look for more ways to generate income.”
When Donald Trump went bankrupt, Did you look for a job? I’m sure there are many companies that would have loved to hire you, right? No, you looked for investments and ways to recreate your wealth.The best way to earn more income without investing dollars for time is to start your own business.
Tax deductions just for having a home based business are worth it.You can create wealth apart from your daily work by investing only a few hours a day.