by Mike Litman
What did I learn about getting rich by interviewing over 51 self-made millionaires?
While interviewing one famous self-made millionaire after another, I discovered many of the
secrets that make them rich, while others continue to struggle.
When you understand and do what self-made millionaires do, you get to become one of them. If you don’t understand and do what they do you don’t get to become one. It’s really that simple.
Here are 5 simple reasons most people will never get rich and how to make sure you do:
Reason #1 – Waiting to start:
Most people don’t want to wait for success. But, at the same time, they are willing to wait before getting started on the road to success.
Do you see the problem here?
The longer you wait to get started, the longer it will be before you get the money, success, and lifestyle you want.
Many people are waiting for everything to be perfect before they get going. Therefore, they never get going and never get the rewards.
No race has ever been won (or even finished) by someone who never left the starting line.
Don’t wait to get going. Start today on the road to success.
Reason #2 – Being financially illiterate:
The cornerstone of all wealth is understanding the difference between assets and liabilities.
The difference is this: Assets put money IN your pocket. Liabilities take money OUT of your pocket.
Most people think their home, car, and other possessions are assets.
But, the truth is that in most cases those things take money out of your pocket. They COST you money. They don’t MAKE you money.
Therefore, by the true definition above, those things are liabilities.
They take money OUT of your pocket each month.
When you have more money coming IN from real assets than you have going OUT to pay for liabilities, you will be financially free.
There is only one way to do this. Which brings us to…
Reason #3 – Focusing on linear income instead of passive income:
One of the millionaires I interviewed said it simply. He said, “if you’re not making money while you sleep, you’ll never be rich.”
Linear income is what you get from a job. You work for an hour and get paid only one time for that one hour’s work, and that’s it.
Passive income is when you work once but continue to get paid over and over again from work you’re no longer doing.
Investing in or creating true assets that provide passive income for you is your ticket to wealth.
Reason #4 – Not understanding or using systems for making money:
A system for making money is anything that allows you to make money without your own effort. In other words, it’s an automated way to make money.
All true assets are simply “systems” of one sort or another.
Once you create or invest in a proven system for making money, there is no limit to the money you can make.
Becoming a master of money systems can bring you riches beyond your dreams.
Reason #5 – Not being persistent or patient enough:
To finish any race you have to leave the starting line and follow through to the finish line.
Most people create their own failure by either not getting started or not following through, or both.
To get rich, successful, and happy you must have the patience and persistence to cross the finish line. You must not only get started, but also follow through.
This may sound obvious, but it’s still the cause of most failure.
Only by joining the small percentage of people who are willing to do the 5 things mentioned above will you have the greatest chances for wealth and success.
It’s really quite simple…
Decide to do these things and you can get rich too. If you don’t do them, then like most people you will never get rich.
Decide now to master the ideas mentioned above and begin your road to success now. Then follow through and watch the difference it makes.
See Also:
- Budgeting Your Family Finances
- The Frugal Guide to Building Wealth
- Eliminate Debt Before You Retire
- Wealth is Only a Decision Away
- The Wealthy Buy Assets, the Poor Buy Liabilities, and the Middle Class Buy Liabilities Believing They Are Assets
©Mike Litman
Mike Litman is the #1 best-selling co-author of Conversations with Millionaires. Networking
Times called him a ‘modern day Napoleon Hill.’ Get a free copy of Mike’s book Conversations with Millionaires at http://www.mikelitman.com