Instructing people to build wealth by giving them “how-tos” is like telling the obese to lose weight by eating less and exercising more (been there done that!). Duhh, but so what? How does that help anything? They already know what they should do but they aren’t doing it. It’s the same thing with people struggling with their finances- everybody with financial problems already knows they need to spend less, save more and invest smarter – but they aren’t doing it.
I sincerely believe it’s because traditional financial advice focuses on the numbers, the $ sign – not people. It’s all about the money – not the problems people have with money….and this is what fascinates me the most. The reasons behind WHY people treat their money the way they do. Growing up in a poor family, we had zero knowledge about finances…..but I often wandered why friends and family of ours lived in crappy houses but had big huge fancy tv’s. Their priorities and what they valued where different than those of the social class above them….which ultimately fascinated me with how each social class values their money and why the rich get richer and the poor get poorer. Being on both sides of the coin (growing up poor and then building myself out of poverty), I truly believe that it’s a mind set…..people keep themselves poor….but then blame it on every other outside force-they’re job doesn’t pay enough even though the job pays plenty they just wracked up too much credit card debt-they HAD to buy a brand new BMW when a gently used less flashy name brand car would have sufficed, not having enough self control for delayed gratification so they go out and buy it NOW…on credit cards and then the cycle continues. This sounds all familiar to me, I watched my family go thru the cycle and it’s not about how much money they have or don’t have…it’s their reasoning and their poor decisions that are keeping them in the hole.
Luckily, I noticed this early on and knew I wanted to be different. I didn’t want to live in a run down trailer with a leaky roof, a bad well and rickety old windows. I didn’t want to have 10 kids and then be mad at the world that I couldn’t afford to give them experiences. I wanted to travel, I wanted to live a life comfortably …and most importantly, I wanted to break the cycle of poverty. I never intend to be “rich” in terms of $ signs, I wanted to not struggle and worry myself sick over where the next electric bill would come from, how I would come up with the money for my daughters cheerleading shoes or gas money to get to work. I wanted to see the world with my family, I wanted to start a college fund for my children and save for a comfortable retirement….so we had to change our way of thinking and how we treated our money.
THAT’s what I want to help you do…think differently about your money and stop trying to impress others who really don’t matter with things that will have no value later in life. Do you see the cycle…people buy fancy houses, cars, items to impress their friends and family and then have to work long hours (at a job they hate) to pay for the stuff that they used to impress people that really don’t matter. It’s a vicious cycle that has made many of us bitter…… doesn’t the american dream sound fabulous!?! <sarcasm>