Are you conditioned to be Wealthy?

Dear friends,

We’re already 3 months into the year! Some of you may have just recovered from huge visa bills at Christmas…but how many of you have ACTUALLY actioned your New Year’s resolutions in relation to finances?

I read an article recently, titled, The Way of the Wealthy by Leisl Baker. It compares behavioural patterns between the Ultra Rich & Regular People. Let’s gain a few tips on how to continue the rest of 2008 with a MINDSET that encourages greater success!

Security, safety, control, fitting in and keeping up with the Jones are typical concerns of the middle class that can limit ones capacity to create greater wealth.

Many members of our society are conditioned NOT to be wealthy. Therefore, we should identify the subtle conditioning from society that influences our actions, so it becomes easier to break away from these molds. Success means different things to everyone. If one of your goals is greater financial freedom, perhaps understanding the Ultra Rich mindset might help you re frame some old beliefs…and remove mental obstacles to clear the way for financial success.

Here are a few points that were mentioned:

1. “DECIDE & ACT”. How we make decisions.Regular folks tend to adapt to life and allow things to happen rather than sticking with plans or decisions. They often do not make decisions until ALL the information is gathered which often means NO DECISION is made, or, decisions are made too late when opportunities expire. The rich make life adapt to them and have a plan. The rich are strong about keeping commitments, they like orderliness and look for decisiveness. They also make decisions they stick to until new research requires their reassessment.

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2. “MOTIVATED BY THE PAST”. We are motivated by either a desire to move toward something or away from something. An understanding of them is very important to help design a success plan that drives you. A large number of ultra rich have a move away motivation strategy, often fearful of poverty or difficult childhood.

You can’t change your motivation and it is definitely possible to be wealthy with a move toward motivation as well. E.g. One where you focus on the rewards and benefits of your success.

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3. “MEASURE BY YOUR OWN STANDARDS”. Some measure themselves internally and some externally (what others think about them).

It’s common to use a bit of both.Regular people tend to be more externally referenced, needing someone to tell them how they’re doing. They need assurance and feedback from others to measure themselves, can be easily persuaded and rather inconsistent with their decisions.

The rich are more internally referenced and know they have done well without needing outside opinion.

Someone like this makes decisions without assurance from friends or relatives. The internally motivated are very self reliant and can sometimes be regarded as stubborn or self centered. So, they tend to be more focused and seize opportunities when they arise without having to see what everyone else is doing first.

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4. “STEP BY STEP”. Do you prefer a systematic process or flexibility and options?

The ultra rich don’t want to find new creative ways to do things. They are interested in HOW not WHY . They prefer to use a model that already works and apply the most leveraged way possible. There is no need for them to reinvent the wheel. A large proportion of the rich are surprisingly not clever or creative in how they accumulate wealth.

If a system works, they will just invest more in it over time and watch their wealth compound over time.

We all know real estate values increase over time. So the simple step by step approach for astute investors is:

1. Borrow (leverage) to invest
2. Hang on to their real estate
3. Enjoy compounding capital growth over time
4. Reinvest the equity your investments have given you

 

Real estate investing has been a proven system that is why some say that property millionaires outnumber many other investment classes.

 

5. “LEARN FROM SUCCESS”. Do you pay attention to your past failures or past successes?

Many dwell on past failures and focus on what can be fixed or avoided in the future. They often review failures and failures become their focus. I have observed how some clients have made bad financial decisions in their past and carry the fear of failure with themselves through life. They than choose to do nothing rather than try again because of their focus on the fear of failure.

The ultra rich tend to focus on their successes, notice what did work and also know what part of the failure were successful so that they can give more thought to how they can repeat the successes. Sometimes failures are virtually ignored. Success focus creates more positive outcomes.

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Below is a summary of the author’s findings.
How Middle Class think vs. How The Rich think

You have to work hard for money
Money is free, a tool, an imaginary concept
You have to prove yourself to be worthy
I am entitled

To be rich you must “score” big
Wealth creation is incremental and compounding

I have to be in control
I trust those smarter than me to be in control and reward loyalty

There is never enough
I generate money & opportunities out of thin air. I live in abundance.

Formal education is important
Education is irrelevant. Systems are critical.

“Thomas Alva Edison, the famous inventor of the light bulb was interviewed after innumerable failed attempts to invent the light bulb. He was asked why he pursued his quest even after 10, 0001 attempts. Not the type to focus on failure he simply replied, “I have not failed. I’ve just found 10,000 ways not to build a light bulb.”

Are “YOU” focusing on what may fail if you invest or What you could POTENTIALLY ACHIEVE?

Property is one of the oldest investment opportunities there is. Its success has been proven over hundreds and thousands of years. “How much did your parents buy their house for?” “What is that same house worth today?”

For those of you who have not had the opportunity to learn how to become a successful investor, seize this opportunity here and register for a FREE INVESTMENT CONSULTATION. This is your opportunity to learn how to lead a financially independent retirement!

Have a successful 2008 everyone!Treasha Lim MDp.s. Have you contacted your KlearPicture advisor to schedule a “finance health check” this year?

p.s.s. Newsletter Subscribers are also welcome to schedule a “free finance health check” too! Call 1300 788 971