{"id":1857,"date":"2015-12-29T17:56:23","date_gmt":"2015-12-29T17:56:23","guid":{"rendered":"https:\/\/leadershipshape.com\/wardroom\/?p=1857"},"modified":"2015-12-31T17:59:05","modified_gmt":"2015-12-31T17:59:05","slug":"10-financial-mistakes-rich-people-never-make","status":"publish","type":"post","link":"https:\/\/leadershipshape.com\/wardroom\/10-financial-mistakes-rich-people-never-make\/","title":{"rendered":"10 Financial Mistakes Rich People Never Make"},"content":{"rendered":"
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\"10<\/h1>\n<\/div>\n
\n
\"Daniel<\/a><\/p>\n
DANIEL ALLY<\/div>\n
CONTRIBUTOR<\/div>\n
Self-Made Millionaire & Business Expert<\/div>\n<\/div>\n
Image credit: Shutterstock<\/a><\/div>\n<\/header>\n

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I\u00a0hear\u00a0people giving financial advice all the time.\u00a0Most\u00a0of them\u00a0aren’t\u00a0rich.<\/p>\n

Those who are rich would disagree with what many charlatans preach. The other day, I came across an article proclaiming, “Skip your lunch, don’t buy expensive coffee, cut your hair less often.” This is a horrendous way to live your life and it promotes poverty.\u00a0It’s smart to\u00a0be thrifty, but you don’t want to be cheap. You should never do anything that will deprive you from your joy.<\/p>\n

I promote prosperity–and taking away these simple pleasures will not make you rich. It\u00a0will drive you to be more frustrated from these\u00a0unrealistic\u00a0disciplines. Most of these\u00a0hypocrites\u00a0who profess these antics haven’t even made it financially. They just sit at a keyboard\u00a0in a\u00a0delusional\u00a0manner,\u00a0waiting for a payday that often never happens.<\/p>\n

Financial advice is freely given by most people, but most of it is horrible.\u00a0Conversely, the words you are currently reading are written by someone\u00a0who is a self-made millionaire.<\/em>\u00a0Therefore, watch whom you learn from, for\u00a0it is in your best interest (pun intended).<\/p>\n

If you’re naturally a hard\u00a0worker with a great career and have been diligent in all your affairs, you can have prosperity now. However, you might be asking, “Why haven’t I made it yet?” The answer to this question is in the way you think, feel, and act toward your money. Making better choices with your money can turn your life around.<\/p>\n

There are certain financial mistakes that rich people never make. The journey in becoming rich will require you to make a few mental changes in your behaviors. Once you make these adjustments, you will begin to see the progress as your create more positive results in your life. Acquiring wealth is a great goal, but who you become in the process is even more worthwhile.<\/p>\n

Here are 10 financial mistakes rich people never make:<\/p>\n

1. Not Investing in Yourself<\/strong><\/h2>\n

America’s first millionaire, Benjamin Franklin, was known for saying, “An investment in yourself pays the best interest.” Often, people depend on their employers to buy them books, send them to seminars, or provide them with coaching. However, you must take your education into your own hands if you want to prosper. Invest in yourself.<\/p>\n

Related:\u00a07 Networking Tips From a Real Millionaire<\/a><\/strong><\/p>\n

2. Over-Entertainment<\/strong><\/h2>\n

Yesterday,I popped into a local Dave and Buster’s to\u00a0see\u00a0the grand opening.\u00a0It was crowded with\u00a0hundreds of young adults (ages 21-35) who were wasting precious time and money.\u00a0Most people spend 30-50 percent\u00a0of their paychecks on entertainment, while they\u00a0temporarily escape the realities of life. Instead, rich people use that time and money to fund their dreams.<\/p>\n

3. Buying on Credit<\/strong><\/h2>\n

Many people\u00a0purchase objects\u00a0they can’t afford with money they don’t have to impress people they don’t like. This tragedy decimates many people, leaving them with a hopeless feeling when they repay their high-interest loans. If a person hopes to become rich, they will use their credit cards for growing and promoting their business, not funding personal expenditures.<\/p>\n

4. Hiding From Your Spouse<\/strong><\/h2>\n

Millions of married couples don’t talk about money. It makes them uncomfortable, which sometimes leads to arguments. However, you cannot get rich unless you disclose your financial precepts with your spouse. Money is only\u00a0multiplied\u00a0<\/em>when love is in the mix and both members of the household have a clear understanding\u00a0about\u00a0their finances.<\/p>\n

5. Mortgaging a Home<\/strong><\/h2>\n

Some “rich” people mortgage their homes, but they aren’t really rich. Mortgaging your home leads to an endless battle of re-financing, bill-paying, and inflation. When you mortgage a home, you’re likely to pay\u00a0twice as much asthe original price!\u00a0Rich people rent until they can buy their house with straight cash, like I did.<\/p>\n

6. Traditional Retirements<\/strong><\/h2>\n

Our retirement\u00a0system is a joke that must be evaded by those who want to become rich. If you’re depending on mutual funds, 401(k), and certain life-insurance policies, you’ll do better boarding the Titanic.\u00a0Plus, if you’re saving money to enjoy it for your sixties, that’s like saving up sex for retirement! Instead, build your fortune while you are young.<\/p>\n

Related:\u00a010 Questions Every Aspiring Millionaire Should Ask<\/a><\/strong><\/p>\n

7. Buying Inferior Goods<\/strong><\/h2>\n

Price shoppers and coupon clippers will hate this, but when you buy shoddy goods, you get shoddy\u00a0results. If you live by the price, you die by the\u00a0price<\/a>. Instead of buying what is “cheap,”\u00a0buy the best goods that are available. Rich people know that buying a $40 shirt\u00a0which\u00a0will last for four\u00a0years is better than buying\u00a0a\u00a0$10 shirt that must be replaced every year.<\/p>\n

8. Lack of\u00a0Enjoyment<\/strong><\/h2>\n

Consumerism is funny.\u00a0During\u00a050 weeks at work, people think about vacations and when they finally get their two weeks, they only think about work. The truth about becoming rich is that you must enjoy the money that you already have, whether it’s $10 or $100. Your money will only expand if you appreciate it and think about how you can\u00a0enjoy it more. You’ll always get more of what you enjoy.<\/p>\n

9. Not Saving<\/strong><\/h2>\n

Most people blow their money on miscellaneous goods. When they see ‘X’ amount in their bank account, they automatically think of what they “need”\u00a0and purchase it immediately. However, this impulsive behavior must be eliminated. Rich people save at least 10 percent\u00a0of what they earn and rarely\u00a0take out personal loans for themselves, even if they think they need it.\u00a0Save<\/a>.<\/p>\n

10. Working For Money<\/strong><\/h2>\n

The majority of people in this world work for money, but rich people let money work for them. They know that their money will be a byproduct of the service that they render to the marketplace. Rich people also acknowledge the fact that their material wealth is the sum total of their entire contribution to society. That’s why they never work for money.<\/p>\n

Making these mental shifts can dramatically alter your life. When you start changing your financial habits and avoiding these mistakes, you will be on your path to be rich. Remember, it’s not what you acquire that makes you rich, but who you become in the journey. And of course, I hope to be your neighbor one day; maybe I’ll invite you to my\u00a0home!<\/p>\n

Related:\u00a07 Tips to Becoming a Millionaire<\/a><\/strong><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

DANIEL ALLY CONTRIBUTOR Self-Made Millionaire & Business Expert Image credit: Shutterstock December 29, 2015 I\u00a0hear\u00a0people giving financial advice all the time.\u00a0Most\u00a0of them\u00a0aren’t\u00a0rich. Those who are rich would disagree with what many charlatans preach. The other day, I came across an article proclaiming, “Skip your lunch, don’t buy expensive coffee, cut your hair less often.” This … Continue reading 10 Financial Mistakes Rich People Never Make<\/span> →<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"pmpro_default_level":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[4],"tags":[],"class_list":["post-1857","post","type-post","status-publish","format-standard","hentry","category-leadership","pmpro-has-access"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p4MGMb-tX","_links":{"self":[{"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/posts\/1857","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/comments?post=1857"}],"version-history":[{"count":1,"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/posts\/1857\/revisions"}],"predecessor-version":[{"id":1858,"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/posts\/1857\/revisions\/1858"}],"wp:attachment":[{"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/media?parent=1857"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/categories?post=1857"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/leadershipshape.com\/wardroom\/wp-json\/wp\/v2\/tags?post=1857"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}