21 Ways Rich People
Think Differently
We found an interesting article about the thought process behind wealthy people, read it and let us know what you think.
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World’s richest woman Gina
Rinehart is enduring a media firestorm over an article in which she takes the
“jealous” middle class to task for ‘drinking or smoking and socializing’ rather
than working to earn their own fortune.
What if she has a point?
Steve Siebold, author of ‘How
Rich People Think’ spent nearly three decades interviewing millionaires around
the world to find out what separates them from everyone else.
It had little to do with money
itself, he told Business Insider. It was about their mentality.
“[The middle class] tells
people to be happy with what they have,” he said. “And on the whole, most
people are steeped in fear when it comes to money.”
Average people think MONEY is
the root of all evil. Rich people believe POVERTY is the root of all evil.
“The average person has been
brainwashed to believe rich people are lucky or dishonest,” Siebold writes. That’s why there’s a certain
shame that comes along with “getting rich” in lower-income communities. “The world class knows that
while having money doesn't guarantee happiness, it does make your life easier
and more enjoyable.”
Average people think
selfishness is a vice. Rich people think selfishness is a virtue.
“The rich go out there and try
to make themselves happy. They don’t try to pretend to save the world,” Siebold
told Business Insider.
The problem is that middle
class people see that as a negative––and it’s keeping them poor, he writes. “If
you’re not taking care of you, you’re not in a position to help anyone else.
You can’t give what you don’t have.”
Average people have a lottery
mentality. Rich people have an action mentality.
“While the masses are waiting
to pick the right numbers and praying for prosperity, the great ones are
solving problems,” Siebold writes. “The hero [middle class people]
are waiting for may be God, government, their boss or their spouse. It’s the
average person’s level of thinking that breeds this approach to life and living
while the clock keeps ticking away.”
Average people think the road
to riches is paved with formal education. Rich people believe in acquiring
specific knowledge.
“Many world-class performers
have little formal education, and have amassed their wealth through the
acquisition and subsequent sale of specific knowledge,” he writes.
“Meanwhile, the masses are
convinced that master’s degrees and doctorates are the way to wealth, mostly
because they are trapped in the linear line of thought that holds them back
from higher levels of consciousness…The wealthy aren’t interested in the means,
only the end.”
Average people long for the
good old days. Rich people dream of the future.
“Self-made millionaires get
rich because they’re willing to bet on themselves and project their dreams,
goals and ideas into an unknown future,” Siebold writes. “People
who believe their best days are behind them rarely get rich, and often struggle
with unhappiness and depression.”
Average people see money
through the eyes of emotion. Rich people think about money logically.
“An ordinarily smart,
well-educated and otherwise successful person can be instantly transformed into
a fear-based, scarcity driven thinker whose greatest financial aspiration is to
retire comfortably,” he writes. “The
world class sees money for what it is and what it’s not, through the eyes of
logic. The great ones know money is a critical tool that presents options and
opportunities.”
Average people earn money doing
things they don’t love. Rich people follow their passion.
“To the average person, it
looks like the rich are working all the time,” Siebold says. “But one of the
smartest strategies of the world class is doing what they love and finding a
way to get paid for it.” On
the other hand, middle class take jobs they don’t enjoy “because they need the
money and they’ve been trained in school and conditioned by society to live in
a linear thinking world that equates earning money with physical or mental
effort.”
Average people set low
expectations so they’re never disappointed. Rich people are up for the
challenge.
“Psychologists and other mental
health experts often advise people to set low expectations for their life to
ensure they are not disappointed,” Siebold writes. “No
one would ever strike it rich and live their dreams without huge
expectations.”
Average people believe you have
to DO something to get rich. Rich people believe you have to BE something to
get rich.
“That’s why people like Donald
Trump go from millionaire to nine billion dollars in debt and come back richer
than ever,” he writes. “While the masses are fixated
on the doing and the immediate results of their actions, the great ones are
learning and growing from every experience, whether it’s a success or a
failure, knowing their true reward is becoming a human success machine that
eventually produces outstanding results.”
Average people believe you need
money to make money. Rich people use other people’s money.
Linear thought might tell
people to make money in order to earn more, but Siebold says the rich aren’t
afraid to fund their future from other people’s pockets. “Rich
people know not being solvent enough to personally afford something is not
relevant. The real question is, ‘Is this worth buying, investing in, or
pursuing?’” he writes.
Average people believe the
markets are driven by logic and strategy. Rich people know they’re driven by
emotion and greed.
Investing successfully in the
stock market isn’t just about a fancy math formula.
“The rich know that the primary
emotions that drive financial markets are fear and greed, and they factor this
into all trades and trends they observe,” Siebold writes. “This
knowledge of human nature and its overlapping impact on trading give them
strategic advantage in building greater wealth through leverage.”
Average people live beyond
their means. Rich people live below theirs.
“Here’s how to live below your
means and tap into the secret wealthy people have used for centuries: Get rich
so you can afford to,” he writes. “The
rich live below their means, not because they’re so savvy, but because they
make so much money that they can afford to live like royalty while still having
a king’s ransom socked away for the future.”
Average people teach their
children how to survive. Rich people teach their kids to get rich.
Rich parents teach their kids
from an early age about the world of “haves” and “have-nots,” Siebold says.
Even he admits many people have argued that he’s supporting the idea of
elitism. He disagrees. “[People] say parents are
teaching their kids to look down on the masses because they’re poor. This isn’t
true,” he writes. “What they’re teaching their kids is to see the world through
the eyes of objective reality––the way society really is.”
If children understand wealth
early on, they’ll be more likely to strive for it later in life.
Average people let money stress
them out. Rich people find peace of mind in wealth.
The reason wealthy people earn
more wealth is that they’re not afraid to admit that money can solve most
problems, Siebold says. “[The
middle class] sees money as a never-ending necessary evil that must be endured
as part of life. The world class sees money as the great liberator, and
with enough of it, they are able to purchase financial peace of mind.”
Average people would rather be
entertained than educated. Rich people would rather be educated than
entertained.
While the rich don’t put much
stock in furthering wealth through formal education, they appreciate the power
of learning long after college is over, Siebold says. “Walk into a wealthy person’s
home and one of the first things you’ll see is an extensive library of books
they’ve used to educate themselves on how to become more successful,” he
writes. “The middle class reads novels, tabloids and entertainment
magazines.”
Average people think rich
people are snobs. Rich people just want to surround themselves with like-minded
people.
The negative money mentality
poisoning the middle class is what keeps the rich hanging out with the rich, he
says. “[Rich people] can’t afford the messages of doom and gloom,” he
writes. “This is often misinterpreted by the masses as snobbery. Labeling
the world class as snobs is another way the middle class finds to feel better about
themselves and their chosen path of mediocrity.”
Average people focus on saving.
Rich people focus on earning.
Siebold theorizes that the
wealthy focus on what they’ll gain by taking risks, rather than
how to save what they have. “The masses are so focused on
clipping coupons and living frugally they miss major opportunities,” he writes. “Even in the midst of a cash
flow crisis, the rich reject the nickle and dime thinking of the masses. They
are the masters of focusing their mental energy where it belongs: on the big
money.”
Average people play it safe
with money. Rich people know when to take risks.
“Leverage is the watchword of
the rich,” Siebold writes. “Every investor loses money on occasion, but
the world class knows no matter what happens, they will aways be able to earn
more.”
Average people love to be
comfortable. Rich people find comfort in uncertainty.
For the most part, it takes
guts to take the risks necessary to make it as a millionaire––a challenge most
middle class thinkers aren’t comfortable living with.
“Physical, psychological, and
emotional comfort is the primary goal of the middle class mindset,” Siebold
writes. World
class thinkers learn early on that becoming a millionaire isn’t easy and the
need for comfort can be devastating. They learn to be comfortable while
operating in a state of ongoing uncertainty.”
Average people never make the
connection between money and health. Rich people know money can save your life.
While the middle class
squabbles over the virtues of Obamacare and their company’s health plan, the super wealthy are
enrolled in a super elite “boutique medical care” association, Siebold says.“They
pay a substantial yearly membership fee that guarantees them 24-hour access to
a private physician who only serves a small group of members,” he writes.
“Some wealthy neighborhoods
have implemented this strategy and even require the physician to live in the
neighborhood.”
Average people believe they
must choose between a great family and being rich. Rich people know you can
have it all.
The idea the wealth must come
at the expense of family time is nothing but a “cop-out”, Siebold says. “The masses have been brainwashed
to believe it’s an either/or equation,” he writes. “The rich know you can have
anything you want if you approach the challenge with a mindset rooted in love
and abundance.”
From Steve Siebold, author of
“How Rich People Think”
