A Lucrative Guide to Creating a Wealth Mindset
Want to build wealth?
Do your financial goals include building wealth? Without a wealth mindset, it’s unlikely that you’ll do all the things that are necessary to build and preserve wealth. While it’s not the only thing you need to reach your goals, a forward-thinking mentality is absolutely essential to success. Building wealth can shape your financial future in a big way. Your mindset is a starting point.
However, according to a recent CNBC article, “75 percent of Americans are winging it when it comes to their financial future.” So it should come as no surprise that people often possess a mindset of short-term enjoyment. They spend money on temporary pleasures that provide instant gratification, with little regard for the long-term ramifications. How often have you been excited to make a purchase that did not deliver real benefits or improvements in your life? Then a week later, that purchase is forgotten and somewhere gathering dust. This is a clear indication that a mindset shift is required.
Create a Wealth Mindset
With a bit of research, you will find that wealthy people don’t view money in the same way as financially challenged people. When your mindset changes, the way you view the world changes too. So if you want to turn your financial life around, working on your mindset is a great place to start. Here are some tips you can use to quickly enhance your mindset and improve your finances.
1. Learn About Wealth Creation
- The more you know, the more successful you can be. Unless you are very fortunate, it is unlikely that someone pulled you aside and taught you about the fundamentals of wealth management.
- You might not even know anyone who is considered wealthy. It’s up to you to learn everything there is to know about your finances so that you can take better control of them.
2. Monitor Your Spending
- Take your spending seriously. A wealth mindset requires taking your money and your spending seriously. Every dollar you spend has the potential to decrease your wealth by more than just a dollar. How? Consider this scenario. Let’s say you purchase an $80,000 luxury car. The financial impact goes beyond the price of the car alone. It also includes gas, insurance, maintenance, and more. If luxury cars aren’t your thing, perhaps you fancy the latest version of a cool tech gadget.
- Take the opportunity cost into account. How else could you have spent the money? Could you have invested that money to build your wealth instead, such as purchasing stock in the company that manufactures the car or cool tech?
- Time sometimes really is money. The time you spend on that car or the gadget could have been spent on activities that create more wealth. Is the enjoyment worth more to you than the money? Only you can decide what’s right for you in the long term.
- A wealthy person takes spending seriously and weighs both the short and long-term impact of each dollar spent.
- Focus on creating value. A job can be lucrative, but it often takes years to reach the point in your career where you’re earning a large salary. The wealthiest people have discovered how to create the most value and charge a premium for it.
- How can you contribute the most benefit to the world and get paid for it?
3. Use Your Time Wisely
- Be effective. One of your most incredible superpowers is the freedom to choose how you spend your time. A person with a wealth mindset uses their time effectively. How do you spend your free time? Are you earning, building, or learning about wealth? Or do you spend your time on other endeavors or activities?
- Spend time around wealthy people. Naturally, we become more like the people with whom we interact. Wealthy people view the world differently and make decisions through a different lens. You can gain a lot of ground by regularly being around financially-savvy people. Listen, observe and take notes.
4. Think Big
- Understand how your thoughts, behaviors, and decisions are related to your wealth goals. Before you make any financial decisions, consider how they will impact your ability to reach your goals. Each dollar you spend can take you further away from – or closer to – your goal. Each person you date will either be a help or an obstacle. When in doubt, ask yourself a simple question.
- Does what I am about to do make me more likely or less likely to achieve my goals?
- Ambitious goals, ideas, and plans will serve you well. Conservative goals are for average people, not for you. Wealth and average simply do not go together.
- If you could make steady progress for 25 years, take a moment to imagine where you would end up. Then create a plan to accomplish that in just five years. Now you’re thinking big!
Envision Your Future
Now, take a moment. Imagine how it would feel to be so wealthy that you never have to worry about money? Never be concerned that you can’t afford to purchase your dream home, put your kids through college, or retire. That’s how it feels to have #financialfreedom!
If you want to make that vision your new reality, I’d love to help. Don’t put your dreams on hold any longer. Schedule a call today because financial freedom awaits!
Lisa L. Baker is a professional life coach, career strategist, and keynote speaker. Lisa is the founder of Ascentim – a Maryland-based coaching practice that utilizes a unique G.R.O.W. process to help clients gain clarity, realize new possibilities, overcome obstacles, and win at life. She shows high-performing professionals how to Level Up – get connected, get promoted, get wealth – and Live the Life of Their Dreams.