How can you gain financial freedom working a minimum wage job? Yes, you can actually be "wealthy" without a high paying job. Read on to see how.
I came across a story many years back that knocked some sense into my "poor" mind and it has stuck with me ’till this day. I’d like to share the point of the story with you in hopes that it causes change in your life, too. I don’t remember the title of the book but that’s not important. The lesson, however, if practiced, is life changing.
Wealthy Is Not How Much Money You Have, But If You Have The Smarts To Create It
Give a "wealthy" person a job at McDonald’s and they will be financially free within 5 years. That was the crux of the story that gave me an "aha" moment because until that day, I thought in order to gain financial freedom you have to go to college and get some sort of PhD degree so you can make lots of money that you save up in a retirement account to build your nest egg so you can support yourself and loved one(s) during your "Golden Years." Phewwww, that’s a long thought, but that’s what I learned.
Nothing can be further from the truth.
There are many wealthy individuals without college degrees. And there are many people that make millions of dollars and still go bankrupt…and still NEED to work.
Obviously, there’s more to "wealthy" than just having degrees and lots of money. True wealth (in terms of money/assets) is not how much you currently have, but if you have the knowledge and skills to become financially free if you had to start with $0.
A "wealthy" person already knows what to do and what they need in order to gain financial freedom. So let’s see how a "wealthy" person gets it done.
A "wealthy" person is one that can execute these 2 simple rules.
Rule 1: Make A Profit With Your Paycheck
First, a "wealthy" person has enough skills to get a job, a minimum wage job, any job. They treat this income as "revenue." In other words, they see it as their business. They also know this job is just temporary and just a means to an end, which is to gain financial freedom. Now what they do with that "revenue" is what makes them "wealthy." If they spend more than they make, they are not making a profit, and will not become financially free. If they spend less that they make, they are making a profit (with their paycheck), and they are on their way to becoming financially free. This is very simple "CEO" mindset, but very effective.
Knowing their ultimate goal is to become financially free, they do what others won’t do so they can make a profit. If a $250 computer gets the job done, then they’ll pass on the loaded $700 model. If they need to share a rental unit to lower their living expenses, i.e. rent, water, electricity, food, etc., then they’ll do it to operate their "business" profitably.
This is just current reality and they can deal with it because they know it is just a temporary part of the bigger plan. This allows them to fulfill rule 1…to profit from their paycheck. When they have saved enough profits, they execute rule 2.
Rule 2: Invest Your Profits In Tools That Will Create Money
A "wealthy" person saves their profits and knows what tools to buy to create money. It can be anything, as long as its purpose is to pull in money.
For example, if they knew how to invest in real estate, they will need some sort of (cheap) transportation to look at potential deals, a phone to gather information from different sellers, some ad space to find investors, etc. Or, if they knew how to make money online, they know they will have to save up for a computer and internet access.
As you can see, knowledge and executing that knowledge is true wealth.
If one knows they must spend less than they make but doesn’t execute that knowledge, then they don’t really know yet. Maybe they need to go through bankruptcy first before it finally sinks in and begin executing this knowledge. Only at that point will they know they are "wealthy" in terms of Rule 1.
So, do you profit from your paycheck? Do you know what tools you need to create money?
If you answered "yes" to both of these questions, you are truly wealthy. All you need is time to get back to financial freedom status.
If you answered "no" to the first question, then you need to put on your "business" cap on and think profit (from your paycheck). You are now the CEO and in charge of your "company." Run it profitably. If you answered "no" to the second question, then you need to learn of a way to create money (ultimately passive income).
If you’ve been searching the internet, you know there are many ways to make money online. And since you already have the tools needed (assuming you’re viewing this on your computer and internet connection), all you need is the knowledge.
Stock trading and internet marketing/affiliate marketing are two of my passions and will be talked about a lot on this blog. But, real estate is another proven vehicle that created millionaires. Find a local mentor group in your area because networking and interacting with like minded people are critical to your success (in any venture).
When you know how to create money, you will know what tools you need. And this makes "sacrifices," i.e. driving a Toyota Corolla instead of a BMW, a lot easier because you know this is just temporary so that you can get what you’re really after… to GAIN FINANCIAL FREEDOM!
