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How the Wealthy Think

We all know these people. They seem to have an endless amount of money as evident in the way they live, what they own, the places they go on a whim, and by the topics of their conversations. But what are some of the distinguishing characteristics between the truly wealthy and regular people? Moreover, how can regular folks like us who aspire to attain this level of financial freedom make these aspirations a reality? Below are a few key ingredients to understanding how to acquire a mindset for wealth accumulation.


First, the wealthy are owners of their assets. From my work experience in wealth management, most high net worth (HNW) investors have acquired wealth through owning a family business. For those of us not born into a family with its own enterprise, you can still think like an owner at your place of employment. As you progress through the corporate ranks your compensation package will begin to include a number of additional income opportunities. For example, corporate executives can be rewarded above their salaries through stock options, incentive-based compensation, and additional cash bonuses based on how the business performs. Alternatively, you can be independently ambitious with a unique product that creates value for people and use that to start your own business. If you chose the entrepreneurial route, start testing out ideas or products while you still have your day job. Continue to refine your product with the ultimate goal of having its sales outpace your current income before making the switch to full time entrepreneurship.


Secondly, wealthy individuals think like investors. They make their money work for them. This can be accomplished through using a strategic investment plan in the stock market or real estate. The point is to find an established, proven plan to create wealth, master the plan, and begin to implement the process into your own finances. Reading books and financial blogs, attending seminars, or seeking out a mentor are great options in your quest for knowledge on a particular subject matter.

Third, financially successful people know the language of money. They know how money works and how to make it work for them. They have a high degree of financial literacy and may even be an expert in a particular area of business or investing. In order to acquire wealth you need to speak like the wealthy. In doing so, your actions with your assets will begin to reflect what you are saying. You will be more respected around wealthy people too, which will open doors for more opportunities. Spend time around the wealthy and you will begin to pick up on some of the unspoken habits that have led to their success.

There are no promises in life, but for most people wealth can be a reality. Unfortunately, most people feel too daunted by all the information available or overwhelmed with debt and burdens of everyday life that they never make any progress. The key is to start small and keep adding to your knowledge base. Make it your goal to learn something new about money each day. This will help you move from your current financial situation to a life of financial freedom.

The primary motive for starting my blog, Wealth in Words, was to provide financial information that I have acquired through my own experiences, work, and independent studies and share it with others in a straight-forward, applicable way. Keep striving toward your goals and understand the feelings of frustration or uncertainty are part of the process. Hopefully this advice is relevant and can help you begin to shift your mindset towards wealth acquisition as it has done for me.


As always, if you have questions or comments, feel free to send me a message. I’d be happy to hear about your suggestions and experiences. Thanks for reading.


JD

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