Since this is an off topic and everything is fine to post. I would like to share my thread that I've created few months ago but unfortunately get deleted
. Its just an advice for all people here and just a bit of a trivia. Warning it is a long post
. Its fine if it will be deleted too at least I tried to share
I know you came to this thread because I said to my channel a way to get rich right?? Well, read until the end of it and you will see how.
Actually, there are 2 ways to become rich.
Learn to Gamble and Invest in HYIP's . Kidding
I don't know where to start in this topic but Hmmmmmm. Where can I start??
Anyway, recently I started reading the book of Robert Kiyosaki which is Rich Dad, Poor Dad. I haven't finished yet reading the whole book (2 Chapters done out of 6) but in those 2 chapters, I have learned something that I didn't know until I started to read it. This is not related to crypto but since crypto is money and financial literacy is very important, I will share some facts in the world of money.
Rich People don't work for money - Owner of McDonald, Jollibee. SM and Robinson. Did you saw them cleaning or working on their own company?? No because they have employees to do their job.
I hate to say this but we have a mindset of working for others. Believe it or not, this is one of the reason why most of us stay in the poor or middle class. We are working for the others so that they can become rich and us?? Nahhh at least I can eat 3 times a day and save a bit that is fine. That is how most of us think which is a bad thing. The increase in income will be going to the entrepreneurs, businessmen and investors and not in the employees.
Savers are Losers - This is one of the things I learned as I read the book. I will share a bit of my experience regarding money. To be honest, I don't store my money in the banks and I don't have a bank account. I only have a savings account so that if I need money, I can withdraw it thru bank and for me that is the sole purpose of banks - for withdrawal purposes.
Maybe some will disagree with me but if you will store your money in the banks for a long run you will regret it. I have asked my family, relatives and other people this "If you store 10000 PHP in your account, how many will it be in 1 year?? 3 years?? 5 years??. Many will say it will increase but how much is the annual interest in banks? Less than a percent??
Inflation will make your money worthless and in our country, prices of different things are becoming expensive. The value of our money is slowly withering. I have watched a video documentary about money on Youtube and on average, the value of money is decreasing by ~2% per year. If you are saving your 1 Million PHP in the banks, maybe in 5 years the value of that will be at around 500-600k already. How? Prices of different necessities are slowly increasing. Oil has increased and since it increase, so is the fare. The foods are becoming expensive already and in the long run, the value of our money will decrease because of inflation.
Now the best part. I just shared some of my thoughts on that 2 things but that helped me changed my mindset too. Now the question is how to become rich?? I will say it now. If you want to become rich, you must need to know the difference of assets and liabilities and invest your money to buy some assets.
What is an asset?? It gives money in your pocket. What is a liability?? It takes money out of your pocket. Simple accounting right. I'm not an accounting graduate and didn't took accounting in college but to be honest, many people doesn't know the difference of the 2.
I have read in the book that some people are considering their home as their asset which is very wrong. I explain. You're home can only be an asset if you will use it as an apartment or dormitories or for renting. If not then it will be a liability because you will pay maintenance for it, mortgage etc. It takes money out of your pocket and not putting in your pocket.
Now what are different kinds of assets. In our country the most popular are stocks and bonds. I'm not familiar with mutual funds. We can become rich if we invest our money in assets and not storing it in banks. One reason is that statistically speaking, the value of stocks in our country is slowly increasing. One trivia is the stocks of Jollibee. When they launched their IPO in 1993, the price of their stocks per one piece is 9/share. Now 2019, the all time high of Jollibee stocks is 328/share. Imagine it
. If you choose to store your money in banks and left it there, it will not grow that much but if you invested it in stocks it will grow.
Well, we know that every investment has a risk already and that is why we must learn how to invest in different assets in a perfect time. So that is one way to become rich. Know the difference between asset and liabilities and invest only on assets.
Another reason that I know is already obvious. Build your own business. Nothing to explain I think regarding this because we know that every rich man in our country have their own business already. One fact. No employee has became rich because they are working for others. The rich people don't work for money because they let their money work for them. Passive income
.
Anyway, that is just my thoughts on how to become rich. I just shared what I have read in the book. It is not guaranteed that you will became rich if you do this. You need patience, learn to take risk, learn to stand up after failures, knowledge and discipline before achieving it. I have invested in stocks already but only a small amount but since I see stocks as a way to earn profit in the long run, I keep investing and investing on it monthly so that in the future, I have money to use to build my own business.
Lets make this a discussion so that many of our countrymen will become rich in the future. Lets share some of our opinions so that many will have an idea to how to become a rich men
. Negative comments are open if I have said something bad.