Too Brilliant to Be Intelligent! Part 2
In fact, it is so simple that it becomes so difficult for people to understand because of their academic junks. In this jungle of life, the only thing that will save us from being broke is acquiring financial wisdom. We must understand that whether we earn or not, we must spend …… so everybody is a spender by default, in fact, what we commonly share together, whether rich or poor is spending habits.
Secondly, If I may ask: “What have you gotten that is not through your active sweat?” the answer is none. Meaning, 99% of humanity earns actively (no work, no pay!) in fact, people are completely ignorant of the word ‘earning passively’ and so they squander all their earning on acquiring liabilities thinking they are assets.
Whenever I have the opportunity to speak to people about financial intelligence, which is quite often, I am amazed at how everyone wants to prosper financially. When I ask people who are sure they will become wealthy to raise up their hands, all hands fly up. A closer look however, quickly reveals that it’s all wishes. The hard cold reality is that most of the hands raised up don’t stand a chance without a radically different philosophy and paradigm.
If you are curious to know if you are insulated from the vital statistics that says that 99% of humanity will not achieve financial freedom, please answer the following questions sincerely. If you want to be one of the 1% and want to be a part of a move making the 1% stretch into 10%, simply follow the simple tips I will share after this brief survey.
1. What is your current financial net worth? When you add your assets together and subtract your debts what number does it give you? Please do not count cars, and household equipment as assets, they are not. In simple terms, assets are things you have that bring money to you, and liabilities are things you have that take away money from you. How much of what you have is cash, how much is liquid and how much is not liquid?
2. How many income streams do you currently have? How many sources of income do you have? What is your total monthly income?
3. How many of your income streams are active and how many are passive? Do you enjoy any passive income currently?
4. How many years from now do you desire to be financially free? Don’t be in a hurry to fix a small number, think deeply about this and set a target that is reasonable but stretches you a bit.
If you answer these questions, you will get a realistic picture of where you currently stand. It’s sad that many of us don’t ask ourselves these questions early enough. However long it has taken you to stumble on these thoughts and finally ask these questions, is only as significant as what you decide to do from this very moment.
Remember that you cannot solve a problem, thinking at the same level that you were thinking when you encountered the problem; the solution requires a change of thinking, a whole different paradigm. Many of us grew up with the goal of financial security, the truth is, moving from a financial security mindset to a financial freedom mindset is a major leap. Many of us for many years have been taught to sow, to give, to make sacrifices for our faith, the honest fact is that even though this is good, if you don’t have a store house there is nothing for even God to multiply. While we have celebrated people for how much they have or how much income they earn, we now need to shift away from how much income they earn to how much passive income they earn.
At this point, I will let you ruminate over what you have read so far. If you can read it all over again please do so that it can sink into you. And also, you should act positively on it. After that, you can read the next part of this effective post.
Originally posted 2012-06-09 08:00:08.