We see it on Instagram and YouTube. Rich people with expenses accessories, driving a Porsche and staying in luxurious hotels. There is something we don’t see, however, what could it be?
This blog post was an email that was part of my first follow-up email series.
I can relate many of my decisions (good or bad) to the concept I am about to explore. Minimalist at heart, it’s even more omnipresent.
So what is it? Something that got rich people to where they are today. Rich people don’t buy these cars and houses to have more liabilities.
So, what do they buy?
Rich people buy assets. The poor and the middle class don’t.
What are the assets you may wonder? I’m talking about income-producing assets that make money in a foreseeable future. If you’ve read Robert Kiyosaki’s “Rich Dad, Poor Dad” you know the definition of assets. Assets are things that put money in your pocket. It could be a piece of real estate, a business or stock options, for instance.
Meanwhile, what is middle-class buying? Yes, most folks purchase liabilities. Such as their home. They THINK it is an asset, but it is not. An asset is supposed to make you earn money while you sleep. And liabilities are taking money away while you sleep.
To clarify – I am not saying a house is ALWAYS a liability. It depends on the situation. When I wanted to buy an apartment a few years back in downtown Vancouver near Coal Harbour, my financial advisor discouraged me. I would have been house-poor. I will elaborate in another post. Surround yourself with the right people. If you don’t know anyone, learn and educate yourself.
Rich people are buying assets first; then, their assets are buying them everything else.
“Oh, I can’t afford that, it’s too expensive.” becomes “HOW could I afford this? ” or “How can this asset make me money? “.
You know what I think is an even better asset than real estate and stocks?
This asset is… You.
“Wait, Andrew, you are telling me to invest in… myself?!”
Investing in yourself is the best investment you can make. I’ve decided to invest in my education over the years, and I continue to do so. If money speaks to you, that is how I got to my six-figure income with my full-time job. My dedication to learning got me where I am—continuously learning over the years. But it didn’t happen overnight.
With the right training and tools, you can build businesses and reinvest your profits in other assets. But like I heard in a webinar recently, we shouldn’t want to become millionaire, but “fullfillionaire”.