Have you ever wondered on how to become rich? I believe that everyone has the potential to become rich, but why are the resources found only in the hands of a few? This is one of the questions that comes up often, but I think the answer is not far fetched.
The rich people have learned powerful skills and timeless principles that they practice every day, and this has allowed them to remain rich.
These skills and principles which they have mastered are what separates them from everyday people. It is what makes them remain in riches.
Circumstances may change, but principles on how to become rich remain the same.
Here are a few of those principles:
Rich people see opportunity poor people see problem
Imagine a teacher who got an appointment to teach at a secondary school, and he had to teach the senior class, the ones preparing for their final exams. He taught them throughout the term, and after they had written the exams, a large number of them failed and had to repeat the class.
The teacher could react to this by saying I don’t even understand why these students are so dull after all my efforts of teaching they still failed. Yet, another teacher comes and sees the amount of failure among the students, and he immediately recognizes an opportunity to make money while impacting positively into the lives of these students.
This can be done either by writing a book on a practical guide to pass their exams excellently, or he organizes extra classes for the students where they have to pay an extra token to get coaching for their exams.
The difference between these two teachers is that one saw a problem, and the other saw an opportunity. This shows a difference of someone that knows how to become rich, and one who does not.
Read: How to Make 100k a Year Without a College Degree
Rich people think abundance while poor people think of lack
Wealthy people have a completely different mindset when it comes to the aspect of how to get rich. It begins with how they think. The scripture says, “as a man thinks in his heart so is he.”
One thing the rich have been able to master is their act of thinking. They understand that their thoughts would breed action, and their actions would breed results. They understand the first law of success, which is first within then without will you have become on the inside will be reflected on the outside.
When you realize that most people are poor, it is good for you to make up your mind that you won’t go along that mindset that they have chosen to follow.
Rich people mind their associations while the poor don’t
If you are wondering on how to become rich, this is something you should ponder.
It is said that your network will determine your net worth. The rich are careful and deliberate in creating a particular kind of network around them. People with empires in their mind, people whose ideas, if worked on and invested in, will become a goldmine.
Even the scripture says “he who works with the wise will become wise.” That’s why spending time with wealthy people is vital if you desire to succeed financially.
You will be astounded at how your perspective changes when you hear people talking about how much they make in a single day.
I heard the story of Jackie Kennedy, the once-upon-a-time wife of John F Kennedy, when she said if I was broke, I know what I will do to get back on my feet. I will go to the most expensive restaurant in New York, buy myself a glass of water, and eavesdrop on the conversations of the rich. They are careful not to keep within their circle of friends people who are myopic in their thinking.
This is how important your association can be.
Read: Average Net Worth By Age: Where are You?
Rich people permit the interest on their investment to compound
The truth is, no matter how great talent or efforts, some things will just take time. Warren Buffett asserts that building wealth is one of them.
There is always a time interval between the time you make investments, and when your investments will yield dividends. The rich understand the law of delayed gratification. The rich recognize the principles of compound interest, thus making it work for them.
They take the interest that arises from an initial capital invested and put it back into the business with the objective of generating more profit from the initial profit principle.
Compounding profits is one of the important ingredients of how to become rich.
Rich people ensure their money is working for them while the poor work for money
Most people work for money. This is because of the impression that they were given while growing up. They were told that to become successful, you must study hard, get good grades, go to the best schools, secure a good-paying job, and save until you retire.
There is nothing wrong with all of this as long as you are fulfilled, but Robert Kiyosaki says the problem with this approach is that you only make money as long as you work. He said the only thing of value that you have to exchange is your time, but when we exchange our time for money, our earning potential is limited because you can only make money while at your job.
To make more money, you have to work longer hours, which is physically taxing. He says that the Rich Dad told him the poor, and the middle class worked for money while rich individuals have money work for them.
They do this by learning to invest and then putting their money in assets like businesses and investments that generate passive income. This is done until they attain the point where they don’t have to work anymore. There is the tendency to spend their money on assets while the poor spend theirs on liabilities.
I hope you have gained something on how to become rich. Implement these principles, and you will see how your life will change positively.
If I may ask, how much money makes you rich?