Ever found yourself in a daydream, imagining a world where you’re as rich as a tech tycoon or a hedge fund hero? Are you curious about the secret sauce that makes these money magicians tick?
Well, hold on to your mobile, because we’re about to peek through the gilded keyhole and spill some tantalizingly opulent tea (has to be tea as I don’t drink coffee).
Busting a Rich Myth
First, let’s bust a myth: not all billionaires wake up at 4 AM.
Some may rise with the sun, others are night owls, and then there are those that are so rich, they simply hire people to wake up for them! Joking aside, their schedules do revolve around a key element: routine.
Billionaires and millionaires alike follow schedules tighter than their Italian leather belts, and boy, those things are snug!
The secret isn’t just in the ‘when’ but also the ‘how’. They are incredibly efficient with their time.
While you and I might binge-watch the latest Netflix series, these money magnates are out mastering quantum physics, learning a sixth language, or adopting their seventeenth cat. They understand the value of their time in dollars and cents, always aiming to do the most productive thing possible – and sometimes, that might just be taking a nap. Yes, you heard it right. The secret to their wealth might be… dozing off!
It’s all about maximizing productivity, after all.
Money as a Tool
Rich folks understand that money is a tool – and not just for lighting cigars in dimly lit lounges, another cliche of the rich. Stay tuned there will be more cliches in coming.
They utilize their wealth to make more wealth, following the golden rule: “Invest, don’t ingest.”
Whereas we might be tempted to spend our sudden fortune on gold-plated bathtubs or diamond-encrusted flip flops, these folks are investing in startups, real estate, or stock markets. The richer they get, the more diverse their portfolios become – it’s like a monetary version of Noah’s Ark!
Don’t get me wrong, the rich do know how to indulge. But when they splurge, they do so strategically. That Italian sports car they just bought? It’s not just a midlife crisis, it’s a potential tax write-off under a company expense. That tropical island? A new “business venture”. And that diamond-encrusted flip-flop? Ok, I made that up. But I wouldn’t be surprised if it’s in someone’s walk-in closet.
The simple lesson here is that the rich know that they need to use their money to make more of it. For those that have been playing along at home, you will know that my foundation message is to get your money working for you, every single day. It’s not by accident that I repeat this message often.
Knowledge of the Rich
Ever noticed that it’s always the rich getting richer?
It’s not just because they have the money, but they also possess the knowledge. While we’re busy googling how to fix a leaky tap, they’re learning about investment strategies, asset classes, and economic trends. The wealthy are lifelong learners who understand that knowledge is the best investment, providing the highest return.
For over twenty-five years now I have dedicated my time to learning about creating wealth. I’ve studied everything that they do to grow their money, and used it to grow my own wealth. If I was sitting next to you as you read this post, the best piece of advice I could and would give you, would be to invest time in growing your knowledge.
Simple as that. Knowledge is power, and knowledge is the best investment! (another cliche for you 🙂 )
The Golden Goose of the Rich
Now let’s talk about their golden goose: Passive income streams.
It’s the art of making money while sitting in their silk pajamas, sipping a cup of hand-picked, ethically-sourced, mountain-grown, moon-bathed tea. They’ve mastered the craft of making their money work for them, instead of working for their money.
Rental incomes, dividends from investments, royalties from books they probably didn’t write – they’ve got their fingers in many pies, most of which keep on giving, and boy, are those pies sweet!
If I was to draw on my good mate Warren Buffett once again, he is famous for saying that until you get your money working for you while you sleep, you will always work for someone else. Harsh but unfortunately true.
There is one small addition I want to add to the passive income golden goose. It is important to understand that while it is called passive, it doesn’t mean you get to do nothing.
To generate passive income, you first need to do the work to build the asset base that will generate the passive income streams. This is where the investment in education and the development of the habit of investing becomes crucial. Passive income streams are not built overnight, it takes consistent application of your investing rules.
The Secret Sauce
Lastly, and perhaps most importantly, they are master networkers.
They say your network is your net worth, and the rich live by this principle. They don’t just schmooze at cocktail parties for the free canapes (although, who could resist a mini quiche?). They’re always hunting for opportunities, potential partnerships, and new ideas.
So the next time you’re at a party, think twice before you pass on that conversation with the quiet guy in the corner – he might just be your ticket to a diamond-encrusted future!
This, to be honest, is the one trait of the rich that over time I have struggled with. I have had to work really hard to step out of my comfort zone and become more comfortable with networking. The crazy thing is, once I did, the people that I have met and the impact they have had on my wealth and my life have been priceless. So as Nike says, just do it.
Join a networking group and get to know people who may just be the ones that change your life and wealth.
Conclusion
In the end, the secrets of the rich aren’t really secrets. It’s about discipline, efficiency, continuous learning, investing wisely, generating passive income, and knowing the right people. Easy, right?
Well, maybe not. But one thing’s for sure – it’s never too late to start. And if all else fails, there’s always the lottery (no that is not investment advice).
To claim your FREE Smart Investor Call click the link here and schedule a time that works for you. On the call, we will uncover your wealth goals and the challenges preventing you from achieving them and provide some tips to overcome them. It’s your first step to investing in knowledge!