3 Best Habits of Rich People
There is one thing I have observed about rich people: before they became wealthy, most of them already know they’d be wealthy. So, I asked myself, “is it just the belief or the mindset?”
As time went by, I understood that potentially rich people get to know that they would become wealthy because they have successfully adopted the habits of rich people and it appeared that this has always worked out for them all.
With this session, we will briefly discuss the three best habits of rich people.
Rich People Monitor Their Cash Flow:
In the book “The Millionaire Next Door,” the authors took to account that the wealthy people always kept record of all their expenses and incomes; they know how much they spend on food, clothes, transportation and vehicles, tax, maintenance and everything but the poor people on the other hand, do not have any proper record of their expenses or incomes outside basic salaries –that’s if they have any other source of income.
To grow your income, you need to cultivate a habit of tracking your cash flow to have a solid understanding of where your money goes. By monitoring their cash flow, rich people are able to find out which expenses to cut down in order to meet up with their set goals. In doing all these, they appear to display a significant level of financial literacy which is one major attribute that is not found in poor people.
Rich People Invest Part of Their Earnings:
The rich men have a habit of saving and investing a certain percentage of their income on a regular basis no matter how small their incomes are. By saving and investing a certain portion of their earnings regularly, they accumulate wealth over a period of time but the poor people do not have this habit as most of them give a common excuse that their earnings are too small for them to invest; many say their incomes can barely cover their bills, anticipating that they’d save when they get a raise in their earnings but that never happens. Why? This is because they never nurtured the habits of saving and investing.
Rich People Aspire to Grow and Improve Their Abilities to Earn:
In one of his books, Brian Tracy wrote: “Getting a new job, it takes only a few months over a year to learn all you need to perform your duties effectively but for you to stand out and perform exceptionally well amongst your peers, you have to continually work on improving yourself.” This is exactly what the rich people do, they improve on what they already know how to do and sort other means to learn something new in order to create more value because the values you create is commensurate to the income you earn. As simple as this concept may seem, poor people don’t have this habit. So, the rich people today are rich because they have developed a habit of continuous learning and improvement of earning skills.
It is obvious that one cannot become rich by just waving a magic wand; it demands you to develop the habits that the rich people have developed. With the understanding of the power of habits on our financial well-being, there is little wonder to the saying that we create the future we so desire. So from today, start creating that future; start building the habits of rich people.