-3.3 C
Tuesday, December 5, 2023

8 reasons why you will continue to be poor even if you have a big salary

- Advertisement -
- Advertisement -

It is clear when you are poor, but having a lot of money is not always synonymous with wealth, understanding this as a long-term situation. Many know this, including those who earn 5,000 euros and do not make ends meet, or those who have ended up ruined after having a stroke of luck in a game of chance. The cause, in most cases, is poor money management. 

This is how it is understood by at least the great experts in the world of investment who are dedicated to preaching the keys to ‘financial intelligence’ throughout the world. From them are extracted the 10 reasons why a rain of millions could not get you out of poverty.

Robert Toru Kiyosaki,  majority shareholder of Cashflow Technologies and author of the book ‘Rich Dad, Poor Dad’ , starts from the assumption that the poor, no matter how many careers they make, lack the financial information that the rich receive from childhood. It’s the difference between school and life, the real world. 

But even so, he understands that money is an idea , the one that everyone makes of it. If you think that it is something that is scarce, no matter how much you have, you will continue to be obsessed with saving by living below your means. If you think that it is something that can be accessed, you see it as something possible so that, consciously or unconsciously, you make the decision to go for it. According to this author, this is what money is reduced to: a choice.

Practices that attract poverty

Even so, Kiyosaki distinguishes a series of patterns that distinguish the poor from the rich in their relationship with money:

1.-Lack of financial education

That a child born into a poor family openly declares that he wants to be a millionaire when he grows up, can be a reason for joke attributed to an excess of imagination. However, rich parents would find the child’s comment quite natural. They know that you don’t have to be smarter than average to get it, that it’s more a matter of planning and controlling the flow of what’s coming in, what’s going out, and where it’s going. The rich know that the first investment is in yourself before anything else.

2.-Not distinguishing between an asset and a liability

The difference between spending and income may seem simple, but practice shows that the concepts are not so clear. If an asset is anything that puts money in your pocket and any liability that takes it out, why do some just buy luxury cars, the latest generation mobiles or any other whim that never leaves? to recover the investment or generate profits?

3.-Work only to earn money

Kiyosaki points out that most of the rich advise their offspring, in the early years of their professional careers, to accept low-paying jobs if it will gain knowledge or beneficial relationships. His opinion is that no one who works only to earn money will end up being rich, something that could happen if you acquire great knowledge and use it for your own benefit or that of your business. The next step is to make your money work for you, that is, use the money obtained to obtain more money.

4.-Not solving important problems

Starting or setting up a company is a project to create a long-term asset. But not all have the same value. The example that Kiyosaki gives is that we are not willing to pay the same money to the person who keeps our house clean as to the doctor who watches over our health. Both are important, but while we can live without one, things are more difficult without the other. Hence, his advice when setting up a business that generates a lot of money is to seek to solve big problems that concern the majority.

see more

5.-Not knowing how to distinguish between good debt and bad debt . 

The good is what makes you rich and the bad is what makes you poor. The former ask for money to invest in order to generate more money. Nothing of what they build is paid for by advancing money from their own pocket, but they resort to the loan. The poor also resort to credit but only to satisfy needs or whims at a higher cost than usual.

6.-Energy without thought

This advice is already given by Entrepreneur Jack Ma , the Chinese billionaire founder of Alibaba . In his opinion, we are all capable of achieving what we set out to do, but for this you have to become aware, first, and then work. Someone who decides, for example, to lose kilos is because he has previously assumed that he is fat. If instead of being governed by a polar thought, you perceive this circumstance as something temporary, you open the door to the definitive solution and you get to work to correct it, that is, the energy available to thought.

7.-Anchoring in the past

Continuing with Jack Ma, it is typical of poor mentalities to remain anchored in the memory, in the past, instead of leaving the comfort zone and embarking on obtaining new goals. Another point against you is the eternal waiting for things to change on their own, that of “better times will come”, when it is most likely that those better times will come sooner with action than with the simple hope that the time will come. day in which the salary is raised, you win the lottery ..

8.-Save to save

Investments are the best way to make your money work for you. According to Kiyosaki, saving is starting by paying yourself, but not with the purpose of accumulating, but rather to invest and generate wealth, to set up a stable and lasting business. It is better to work a few years trying to create an asset than to spend your whole life creating it for someone else.

- Advertisement -
- Advertisement -


Please enter your comment!
Please enter your name here

- Advertisement -

Latest article