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Learning 701


There is a difference between being poor and being broke. Broke is temporary. Poor is eternal. The poor and the middle class work for money. The rich have money work for them.

Too many people are too focused on money and not on their greatest wealth their education. If people are prepared to be flexible, keep an open mind and learn, they will grow richer and richer despite tough changes. If they think money will solve problems, they will have a rough ride. Intelligence solve problems and produces money. Money without financial intelligence is money soon gone. 

Most people fail to realise that in life, it’s not how much money you make. It’s how much money you keep. We’ve all heard stories of lottery winners who are poor, then suddenly rich and then poor again. Or stories of professional athletes, who at the age of 24 are earning millions, but are sleeping under the bridge 10 years later. 

In the long run, it’s not how much money you make. It’s how much you keep, and how many generations you keep it. If you want to be rich, you need to be financially literate. 

Most people, in their drive to get rich, try to build an Empire State Building on a six inch slab. While they are ignorant that they need to dig a deep hole and pour a strong foundation. 

Accounting is possibly the most confusing, boring subject in the world, but if you want to be rich long term, it could be the most important subject. 

Cash flow tells the story of how a person handles money. Money only accentuates the cash flow pattern running in your head. If your pattern is to spend everything you get, most likely an increase in cash will just result in an increase in spending. Thus the saying, “A fool and his money is one big party.”

Most people work harder but don’t get ahead. What is missing from their education is not how to make money, but how to manage money. It’s called financial aptitude – what to do with money once you make it, how to keep people from taking it from you, how to keep it longer, and how to make that money work harder for you. Most people don’t understand why they struggle financially because they don’t understand cash flow. 

There’s an important saying for people in debt, “If you find you have dug yourself into a hole…. Stop digging.”