We all have rules in life we have to follow. We have rules on the road to keep us safe, rules at work to keep us productive, and rules in sport to keep things fair and square. Rules are there to keep order and they strive to maintain the status quo.
Whether we’re rich or we’re poor, we all have rules to follow, although rules often may feel like they are different for other people.
When we feel poor, it can feel like the rules are stacked against us and they’re there to favor the rich.
But generally, the rules are the same; they only feel different because of our circumstances.
Perhaps it’s just a case that you don’t know all the rules; I certainly didn’t. Before I use to be under the impression that I wasn’t even allowed to be wealthy.
But that’s when I made a conscious decision to learn the rules and to use them to build wealth for myself and family.
By the end of this blogpost, I will give you all the rules that the rich use to get rich or richer.
Each one of them was a big step forward in my financial journey to Building Wealth. But together, the compounding effect of all of them has completely changed my outlook on wealth and money.
In fact, they have transformed my life and I believe they can do the same for you. Let’s get right into it.
8 Money Rules The Rich Swear by That The Poor Don’t
1. Stop Wasting Money On Junk
The rich will invest into assets until the assets can comfortably provide for their lifestyle; they simply won’t allow for lifestyle creep.
While for the poor, they spend more money as they earn more money. If they get a pay rise, they get a flashy new car. If they get another pay rise, get a bigger house or have one holiday, or four.
Lifestyle creep was a trap that I fell into. As I made more money, I got another car, I got another apartment and had multiple vacations.
The poor will spend more money as they earn it. Perhaps even worse, they will live beyond their means and stack up bad credit. I certainly fell into this trap, and when you’re in there, it’s not a good feeling.
The rich and the rich mindset simply won’t fall for it. Rather, they will build up a portfolio of paper and physical assets that will provide an income and pay for their lifestyle.
2. Goal Setting
Those that have achieved their goals have had to set them in the first place. How else would they get there? It’s just a fact; you can’t stumble into your goals.
Those that don’t set goals will simply flow along, letting circumstance take them to any destination and often it’s not the destination they want to be at, and they wonder how they got there.
So as things rise up and try to derail you, and they will, your goals will keep you to stay the course.
Having goals is so important and key for you; it will keep you motivated and help you keep your focus.
Your goals may change over time; mine certainly have. And some goals you may never achieve; as you get closer, they may evolve into even bigger goals. But you must keep a firm focus so The Daily Grind won’t sway you down the wrong path.
3. Long-term Positive Mindset
This is key to Building Wealth in any asset class. Allow your assets to grow and compound over time and don’t let short-term challenges bring them down.
The poor have a short-term mindset, often living paycheck to paycheck while the rich will plan their success in stages over the course of a year, 2 to 5 years, 10 years and even Beyond.
They know the magic of compound interest over time will help them achieve their goals.
4. Taking Risks
The wealthy will take calculated risks to grow their wealth, to acquire assets, and to improve their lifestyle.
Getting out of your comfort zone will promote self-growth and it will expose you to new opportunities.
People will see the change in you and the Law of Attraction will kick in. Opportunities will pop up that you never saw before or perhaps weren’t even presented.
The poor don’t like taking risks. They will stay comfortable, unassuming, and manage their environments. They won’t take any chances; it’s a stay safe mentality and they have no growth and no passion.
While the rich will push, they will challenge, they will grab opportunities as they come by. They will fall down, they will stumble, they may even have major setbacks. But they will rise, they will push forward, and they will learn from each and every mistake. That’s the type of mindset you must adopt.
And you can apply that to all aspects of your life, whether that be in business, in the gym, with a family, or other relationships.
This mindset will transform your life and it can provide real happiness and contentment.
5. Consistency
We have got to be consistent with our efforts. We need to have a strategy or goal and have consistency to see it to a successful conclusion.
Persistence and consistency will allow anybody to achieve their goals. It’s that consistent action over time and having the persistence to not fail that will provide you success. Quite simply, it’s impossible to fail having such an ethic.
Poor people will remain poor as their efforts too are consistent. Unfortunately, they’re consistent in all the wrong ways: not taking risks, not taking action, not being persistent with action orientated goals, not planning for the future, not having a positive mindset. The list goes on.
Poor people are only consistent with their poor mindset. They start and stop, they get distracted, they change direction.
It’s a strategy doomed to failure and not one that rich people will have. Consistency and persistent action is the only way forward.
6. Self Improvement
Have you ever noticed that the rich and wealthy continue to work even after they’ve built rich and lavish lifestyles for themselves?
They continue working on improving their lives, building more wealth for their family, working on their health and wellbeing with their diet and working out, and continuing with a learning mentality.
They seem to be on a constant quest to try and improve all aspects of their lives once the worry and stress of earning a living has been completely replaced by their assets.
This is probably a great example of how goals evolve over time; as you achieve one, you set another one for you, even bigger.
The poor simply don’t have this learning mentality. They stop self-improvement and focus on earning a wage to pay for their lifestyle and consumerism.
There is little or no investment into the future prospects. There’s simply no thought of Building Wealth or self-improvement.
7. Educating Their Family For Generational Wealth
The rich will teach their children on how to build businesses and invest for the future. They will also strive to preserve the family wealth so it gets passed down to the Next Generation in the form of physical or paper assets.
These assets will compound over time with the Snowball Effect and maintain the good fortunes of the family.
In contrast, the poor will tend to repeat the cycle of being poor. They will pass down bad financial habits, they won’t teach about investing, and they may even pass down bad credit.
And this is not just confined to financial habits; they will also pass down bad health and well-being habits. This will relate to bad diet, low exercise, and high levels of consumerism.
This bad cycle of poverty will be passed down to the Next Generation in the same way as the wealthy passed down theirs. It’s just in complete opposite directions with equally opposing results.
8. Solution Based Attitude
The rich will always have a solution based attitude or an action orientated mindset. This is what drives them to their goals.
They recognize that positive action is the only way to build assets. Anything substantial achieved by anyone was done so through action.
You can read all the books, watch all the videos, and network with all the successful people you want to, but without action, none of it will really matter.
It will just be a solid Vision in your mind with no place to go. Your action will take that Vision forward and build on it.
Unfortunately, this is not the case for the poor. They will see excuses, blockers, reasons to give up, anything they can do to get back into their comfort zone.
This can’t do attitude is like poison of the mind and it’s deadly. People on the path to wealth and be successful know better than this.
Their positive mentality will find solutions and propel them forward. They will always ask how can I do it, and not if I can do it.
Conclusion and Final Nuggets.
So these are the eight rules of the rich that I adopted to get myself out of a poor mindset and set myself up for success in family, in business, in relationships, and in health.
And if like me, you’re not from a wealthy family, this is your chance to change things for your future generations.
Your smart choices, your persistent and consistent action, and your goal setting will change your life.
It will also change the lives of your family in ways you can’t possibly imagine. Be the Catalyst of change and be amazing.
Leave a Reply