Ten Thoughts to Make You Rich

Ten Thoughts to Make You Rich

Our lives are built on the voices of our childhood. 

What do your voices tell you? 

That rich people are greedy? That investing is risky? That money is the root of all evil?

I hope not, because you’ll stay stuck with those thoughts.

Notice what the voices inside you tell you. 

What they tell you becomes your truth. 

If you think negative things about money or investing – or even negative things about your own ability to handle money or stocks – then that will be exactly how it turns out. 

No worries though. We can change your thoughts. One by one. 

It really works wonders when you begin saying something else in your mind.

Let’s look at some alternative beliefs. 

1. Money is Energy

Money isn’t the root of anything. You can do whatever you want with it.

Money has no intentions. You can buy guns or you can donate to The Red Cross. 

Money is just a way of exchanging goods and services. It has no value in itself. It’s what you spend it on that’s important.

You can say that money enhances the qualities you already possess. If you are goodhearted, you’ll be even more so with more money. 

It’s like energy. If you have energy, you can do a lot of things, but having energy doesn’t make you bad or good. It depends on what you decide to do with it.

2. My Money Works For Me and Multiplies 

Rich people aren’t rich because they have money. They’re rich because they have assets that give them money. 

They are, in other words, rich because they know how to make money work for them so they can work less.

What are assets? Assets are little money machines. Something that earns you money. They can be stocks, bonds or rental property- or even your own company.

The opposite of that is liabilities. They cost you money. This can be credit card debt, a mortgage, overdraft, or any other loan. 

A billionaire recently said when interviewed on his luxurious yacht: “It’s difficult to have a money-devouring yacht if you are paid by the hour.”

That really hit home with me, because isn’t that what most of us do? We get a nice degree, a nice job, but we are essentially paid by the hour and are working hard to pay off student debt and the mortgage.

3. I Am Enough  

I really love this sentence.

It comes from a hypnotherapist called Marisa Peer. According to her, a lot of people overspend because they don’t feel good enough.

They might buy expensive clothes for a party because they feel insecure. They might always pick up the bill because they feel unworthy of the company.  

The sentence “I am enough” removes a lot of that insecurity that a lot of people are struggling with.  Self-doubt is a common plague, like stress. You can fight it by changing the narrative in your mind. Just tell yourself:

“I am enough.”

4. I Create Generational Wealth  

Financial freedom is really just the starting point. It’s where you get a feeling of security and freedom for life. But I want you to aim above that level.

It really gives me a sense of being on a mission when I remind myself that I’m creating generational wealth. This isn’t really about me. There’s a lot more going on. 

5. I’m Financially Free   

Even if you’re not yet, just say it to yourself, because it gives your mind a command. It shows your mind which direction you want.

In a car race, the driver is never supposed to look at the object he is afraid of crashing into. If he begins focusing on the tree, he will unconsciously steer towards that. The driver has to keep his eyes on the track and the target.

Look at where you want to go and remind yourself of that. Tell yourself that you are that.

Don’t ever look at what you fear will happen.

6. I Exploit the Fear of the Market 

I like this sentence because it reminds me that I’m a value investor, and that it’s possible to get a higher return by investing in an intelligent way.

It keeps me rational when the market goes crazy. It does go crazy from time to time, and when it does, we should be chanting our ten sentences like a Buddhist monk.

7. My Money Will Do Good in the World 

I invest according to my values and principles. That’s why I can say that my money does good in the world – because I carefully monitor what it’s doing.

What does it mean to invest according to your values?

It means investing in companies that look after the environment if the future of our planet is important to you.

It means investing in companies with a fair representation of women in management and on the board if gender equality is important to you. 

It also means avoiding anything that you cannot vouch for. 

8. I Make More Money than I Spend  

This is really the root of financial independence: Always spend less than you earn and invest the rest.

This little formula will make you rich in time.

9. Whatever I Give Comes Back to Me Manifold 

There will be costs, and there will be necessary investments. 

Maybe you have to pay someone to build a website for a business you want to launch.

Maybe you need an investing course to excel at investing.

Sometimes you need to let go of some money in order to make more in the future. If you stay stuck and clutch your money too tight, you’ll have a hard time progressing to the next level. 

Think about what you send out into the world and trust that it will return to you manifold. Because it will. 

10. I Attract Money from Unexpected Resources

I like this sentence because it makes me look for new ways to make money.

It’s like a command in the computer of my mind to find money.

When I had less money than I have now, I was pretty good at renting out my apartment through Airbnb when I went on vacation and selling used baby stuff or pitching myself for a paid talk. 

Today I use this mindset in my business and my investing practice. It no longer makes sense for me to spend time on getting an apartment ready for Airbnb or selling stuff on eBay because I can use the same time somewhere else where I make more money with that time. 

And what a relief that is.  

Don’t forget to read my e-book ‘Free Yourself’ that shows you how I became financially free and how I invest. You can download it here

Charlie Munger’s Seven Rules for a Happy Life

Charlie Munger’s Seven Rules for a Happy Life

It’s easy to say you’ve lived a happy life if you’re a nearly 100-year-old billionaire.

But it wasn’t always like that.

When Charlie Munger was 31 years old, he lost his nine-year-old son Teddy to cancer. Munger had gotten divorced a year before his son was diagnosed.

Munger was alone, heartbroken, and financially broke. His ex-wife got the house, and he lived in a bachelor’s apartment and drove a wreck of a car. His friends say he walked the streets crying every night as he returned from the children’s ward at the hospital. 

What could have ruined his life made him determined to prosper. This is what happened in the years after the death of his son: 

  • He got remarried at age 32 (and had four more children)
  • He met Warren Buffett at age 35
  • He was financially independent at age 38

This is incredibly impressive and bears witness to a strong personality and a wise soul. Munger is like an old owl, and he’s worth listening to.

What does he say about living a great life?

Here are his top seven rules for achieving a happy life:

1. Avoid Envy

“Someone will always be getting richer faster than you. This is no great tragedy,” he says. 

His partner Warren Buffett adds that the world is not run by greed, but rather by envy.

In other words, envy will make you miserable, and it’ll also turn you into a lousy investor.

2. Avoid Resentment 

If you want a miserable life, you just need to wallow in resentment. Write a list of all the things you regret and resent, and blame it on people around you. Look at the list every day, and you’ll have a guaranteed miserable life.

What’s the antidote?

Just do the opposite. Think of all the things you are grateful for, and the wonderful memories of people you love, and think about them everyday.

3. Don’t Overspend   

Charlie Munger is no Scrooge.

Whereas Warren Buffett drives his old Cadillac to buy breakfast every day at McDonald’s in Omaha, Charlie Munger likes entertaining friends at his enormous Channel Cat catamaran somewhere on the Californian Coast (or in Florida). 

Charlie Munger isn’t telling you to be stingy. He’s just saying, don’t spend more than you make (and since Munger makes a lot of money, he gets to spend a lot of money). 

“There once was a man who became the most famous composer in the world but was utterly miserable most of the time, and one of the reasons was because he always overspent his income. That was Mozart. If Mozart can’t get by with this kind of asinine conduct, I don’t think you should try,” he said in a commencement speech in 2007. 

4. Stay Cheerful Despite Adversity  

Life is sometimes hard, and it’ll be hard for all of us at some point.

If you expect your life to follow a certain predetermined path, you’re in for a great disappointment.

But if you expect potholes, roadblocks and the occasional traffic accident, you are better equipped to deal with reality and to stay cheerful even when your life takes its own – surprising – turns. 

“Life will have terrible blows in it, horrible blows, unfair blows. It doesn’t matter. And some people recover and others don’t,” Munger said, adding that you should try to learn something from each blow.

5. Surround Yourself with Reliable People  

I’ve spent too much time trying to figure out why people do what they do. 

“Why doesn’t my boss say good morning? Why isn’t my barista smiling today? Why doesn’t a colleague cough up his share of some gift expenses? Have I done something wrong to offend people?” 

Well, the truth is you probably haven’t done anything. People just do what they always do. People react in patterns.

Be good at reading them and avoid any unhealthy patterns.

What’s a healthy pattern?

Reliability is key.

Reliability is about doing what you say you’ll do. It’s about being somewhat predictable and reasonable. Which brings us to the next point….

6. Do What Your Supposed to Do 

Do what you’ve said you’ll do and keep your word. 

Keep doing it. Do what you’re supposed to do every day.

Success is in the detail. It’s about consistency and keeping at it. 

Like Munger says:

“If you’re unreliable, it doesn’t matter what your virtues are. You’re going to crater immediately. Doing what you’ve faithfully engaged to do should be an automatic part of your conduct. You want to avoid sloth and unreliability.”

7. Read, Study, and Learn  

I constantly see people rise in life who are not the smartest, sometimes not even the most diligent, but they are learning machines. They go to bed every night a little wiser than they were when they got up,” Munger says. 

You should both learn from your past mistakes and learn from books and studies. Munger says to become as educated as you possibly can.

Read, study, learn.

Munger is known for a book or more every single day (and so is Buffett). 

Like Munger says:

“You’re not going to get very far in life based on what you already know.”

 You can get a step further today by reading my free e-book Free Yourself that explains how to become financially free by investing like Warren Buffett and Charlie Munger. You can get it here.

 

Seven Things Warren Buffett Can Teach You About Living a Good Life

Seven Things Warren Buffett Can Teach You About Living a Good Life

When Warren Buffett speaks, people listen.

He is, after all, one of the best investors the world has ever seen.

His quotes on investing are famous. 

But what does he say about living a good life?

I believe you become a better investor by copying more than just his investing techniques. You’ll benefit from following his wisdom and life skills as well.

Why is that? You won’t have much success as an investor if the rest of your life is a mess, because you won’t be able to focus. 

Apart from being an excellent investor, Warren Buffett is a wise man with nine decades of experience, and yes, he does have an opinion about how to live a good life.

I’ve collected seven of his most important snippets of wisdom that relate broadly to living life and not just to investing and making money. These seven pearls of wisdom have made an impact on my life.

Who knows…maybe they’ll change yours too. 

1. Choose Friends You Like and Admire

Make some good friends, keep them for the rest of your life, but have them be people that you admire as well as like.”

This is the most important piece of advice Warren Buffett has given the Microsoft founder Bill Gates. They have been friends for around 25 years, and you might be surprised that it’s this piece of advice that Bill Gates highlighted when Warren Buffett turned 90, because at first glance it seems a bit trivial for such brilliant minds.

But before your eyes glaze over this, do yourself a favor: think a moment about who your friends are and where you know them from.

Some you might know from school.

Some lived in your neighbourhood.

Some you know from university.

Some of them were friends of friends or colleagues.

You’ve probably chosen most of your friends because they happened to be there.

Do you admire them? Do you really like them?

Think about them one after the other.

This little piece of advice to choose friends you like and admire is important, and if you think about it, it’s also quite different from how most people go about friendship.

When I did this little exercise, I discovered to my own horror that I have some friends who I would consider unkind, and even some friends who display behaviour I can’t approve of.

I just didn’t really think that someone else’s behaviour was my problem. But it is. 

“You will move in the direction of the people that you associate with. So it’s important to associate with people that are better than yourself. The friends you have will form you as you go through life,” Warren Buffett told Bill Gates. 

If this is true about friendship, imagine what he says about marriage… 

2. Marry the Right Person 

Marrying the right person will be the single most important decision you make in your life, Warren Buffett says.

It’ll determine your destiny.

Warren Buffett’s first wife was Susan Buffett, with whom he had three children and a marriage lasting three decades.

Today he is married to Astrid Menk, to whom Susan introduced him before she decided to move to California to pursue a singing career.

Warren and his first wife remained married and friendly until she died in 2004 …despite the fact that they both had separate partners.

Before his first wife, Warren Buffett dated a woman who was an emotional whirlwind. She later married one of Buffett’s friends – a marriage that ended bitterly.

If Warren Buffett had married a person less kind and stable than Susan Buffet, if he had entered into decades of marital struggles, would he have been able to make the impact that he has? Would he have been able to focus?

Marry the right person. I’m serious about that. It will make more difference in your life. It will change your aspirations, all kinds of things,” he said at Berkshire’s annual meeting in 2009.

3. Protect Your Reputation 

Warren Buffett is all about avoiding losses and investing conscientiously.

Apparently, that’s also what he values in other spheres of his life. 

“It takes twenty years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently,” he says. 

His investing style is about considering data and avoiding rash decisions and emotional investing.

When it comes to living a good life, his style is similar.

He’ll extend himself far to avoid letting anger destroy his reputation or important relationships. 

4. “You Can Always Tell Someone to Go to Hell Tomorrow”

This is something ABC Inc.’s CEO Tom Murphy told him more than 40 years ago, and according to Warren Buffett himself, it’s been one of the best pieces of advice he has received during his career.

“It’s such an easy way of putting it. You haven’t missed the opportunity. Just forget about it for a day. If you feel the same way tomorrow, tell them then — but don’t spout off in a moment of anger!” he has said in the book Getting There: A Book of Mentors

Don’t risk all your wins on an emotional spur-of-the-moment. Just wait. Postpone your anger.

Whenever I find myself getting caught up in an emotion, I’ll take a deep breath and say “Mañana”. 

5. Follow Your Inner Scorecard 

“The big question about how people behave is whether they follow an inner scorecard or an outer scorecard,” Buffett has famously said. 

What’s the difference?

If you follow an outer scorecard, you measure your success in things outside of your control, such as other people’s actions and opinions.

This could be striving for winning a prize, getting on the cover of a magazine, getting a raise or promotion – or even getting enough likes on social media.

Inner scorecard is about measuring your success by how you think you’ve done. Do you think you did a good job?

Can you be happy about it even if the boss doesn’t notice it?

I already navigated by an inner scorecard in my previous career as a journalist when I decided to stop worrying about front pages and nominations for awards and focus on the content of my news articles and the problems I helped disclose or solve. That was a reward in itself. 

6. Go to Bed Smarter Than When You Woke Up 

Learn something every single day. 

Warren Buffett reads about 500 pages a day. He says he spends 80 percent of his workday reading.

Why?

He says knowledge is compounding.

“That’s how knowledge works. It builds up, like compound interest.”

I couldn’t agree more.

Maybe 500 pages doesn’t fit your lifestyle with a full-time job and kids.

Then make it 10 pages or 20 pages. But learn and study something every day. Consistency is key. 

    7. Invest in Yourself

    Warren Buffett has framed a 100-dollar Dale Carnegie certificate in public speaking which hangs in his office.

    He calls the course one of the best investments he’s made in his life.

    He was afraid of speaking in front of people before taking the course. This is something you don’t notice today at all when he goes in front of big crowds or on TV. 

    If you lack knowledge in a certain area, go get the knowledge. Improve, train, get better. Get a good teacher. 

    There are only so many things you can learn from books. Courses – online or offline – will get you to the next level.

    “By far the best investment you can make is in yourself,” Warren Buffett has said.

    You are your most important asset. You earn the money and you make the investment decisions.

    Honor that by upgrading your skills. 

    You can upgrade your investing skill set this very minute by downloading  my free e-book Free Yourself here.  

    Ten Things Rich People Teach Their Kids About Money

    Ten Things Rich People Teach Their Kids About Money

    You’re shopping for groceries when your kid begs you to buy a toy that he or she has spotted while you were walking around looking for organic oatmeal.

    The kid says in a whiny voice: “But all my best friends have it.” Or. “But you NEVER buy me anything!”

    What do you say?

    Do you sometimes give in, and other times slip in a comment that you can’t afford it?

    Congratulations.

    You are teaching your kids a poverty mindset.

    I know you didn’t mean to, but you are teaching them that money is out of their control, better spend what they can quickly since the flow is irregular and moody.

    Oh well. We’ve all been there. Me too.

    Let’s move on.

    Today is the first day of the rest of their childhood. 

    Let’s get inspired by those with an abundance mindset. What do rich people teach their kids about money?

    1. They Talk About Money

    Rich people give money attention. 

    They talk about money, and they are not ashamed of it. It’s a welcome and natural aspect of their lives. Something to be addressed. 

    They talk with their kids about how much things costs, and they compare it with the cost of other things.

    They tell them what they are saving for and how much they look forward to buying it.

    They tell them about earning money and investing money. It’s not a taboo. 

    2. They Teach Them to Manage Money 

    They don’t stop at talking about money. 

    They teach them how to manage it.

    They give them pocket money that they have the full control over.

    When I was a kid, my father gave me pocket money, and I remember the joy of counting the coins in my tin box and looking forward to buying a new tiny thing for my doll house.

    I remember when I was older, I looked forward to buying the best roller skates I could get.

    I really treasured the toy that I bought because I had waited for it and ignored other tempting things in order to finally be able to buy it.

    Give your children pocket money from the time are big enough to count to ten.

    • Let them play with it.
    • Let them drop a coin and be upset about it (my son recently dropped a coin in an elephant dung at the zoo. He now carries his money in his wallet). 
    • Let them buy something frivolous sometimes and let them regret it. 
    • Let them save money for something they really want.
    • Let them buy something for someone else and feel the joy of generosity.
    • Let them experiment.

    When you let go, they learn valuable lessons that only experience can teach them. They learn how to direct and manage their money. 

    It’s much better to be a little generous with the pocket money and stop giving them random things that they ask for.

    Look at your monthly account statement. How much do you actually spend on miscellaneous things like snacks and toys for your kids?

    Give them the ability to control that money instead. The lessons they learn will be very valuable – much more valuable than the pocket money itself.  

    3. They Teach Them Abundance  

    You must stop saying scary things like “we can’t afford that”, or “you are ruining me”.

    Now, you are probably thinking that it’s easy for rich people to avoid saying they can’t afford something, since they have a lot of money.

    But honestly, admit it, you’re saying this to your kids even when it’s not true, right? It’s just something to say, like an automatic response. 

    Teach them that money is not a limited resource. There is plenty of money – you just need to figure out how to make more of it.

    If you think of money as limited, you will never really feel comfortable earning lots of it, because you will feel that you are taking something from someone else. What you get is something someone else is not getting.

    But it isn’t like that. When money flows fast, there is more of it. It’s not like a cake that can only be eaten once. Money is unlimited.

    Teach your kids that there is plenty for all of us. Tell them that. 

    4. They Teach Them to Make Money 

    Let them make money. Let them experiment and be creative with it. 

    • Let them sell used toys on a flea market.
    • Let them collect bottles.
    • Let them walk the neighbor’s dog for pay.
    • Let them get a bit of interest on the money they’ve saved.Let them get the dividend on stocks they has been paid out, and give it to them in cash.

    Earning money will give them valuable lessons for life.

    If they ever need money in the future, their brain will be conditioned to think of solutions – instead of being conditioned to ask their parents for money to fix the problem. 

    5. They Teach Them About Assets and Liabilities

    They teach them that some belongings cost money.

    They teach them how some belongings make them money.

    Let your kids get a taste of it from an early age.

    A liability might be something small like having to pay for pet food. They get used to considering recurring costs and taking responsibility.

    An asset could be getting interest on money saved in their piggy bank. It doesn’t have to be big. It’s a question of getting used to the concept of money flows created by assets and liabilities.  

    6. They Teach Them About Patience and Postponing Needs

    You’ve probably heard of the marshmallow study that had kids sitting in a room with a marshmallow in front of them, and testing whether they could postpone eating it. 

    They were told they would get a second one if the marshmallow was still in front of them when the grown-up returned.

    Follow-up studies showed that the kids who managed to distract themselves and control the impulse to eat the fluffy sweet were more successful later in life.

    The conclusion was that postponing your needs and controlling your urges are important skills to master.

    How do you teach that? Well, you are well under way in letting them manage their own money. They will learn to let some things go in order to get what they really want. 

    There might be other exercises that you can think of in your everyday life.

    7. They Teach Them to Be Consistent

    Success is the result of consistent action. 

    I really got that the day my English teacher said that if I learned one new word every day, my vocabulary would increase with 365 new words in a year. Two new words a day would be 730 in a year. One or two new words a day seemed like such a little effort, and the result after a year seemed enormous. I decided to learn five new words a day. I lived in Denmark at the time and wanted to move to Canada where my older sister lived.

    What is your child interested in? How many dinosaurs will he know if he learns about a new one every day? How many words can she read if she learns a new one every day?

    8. They Teach Them to Take Care of Themselves  

    We all know some adults who approach life with the attitude of a sulking child.

    You know who I mean.

    The person who feels like life or certain people around them owe them something.  The person who is still expecting to miraculously be saved by a shining knight. The person who can still talk at length about how their sister got more from their parents than they did.

    These people. Those who feel it’s someone else’s fault that they did not get what they want. 

    Rich people make their children aware that no one owes them anything and no one is going to save them. If they want something, they have to make it happen. 

    9. They Teach Them to Solve Problems     

    All self-made billionaires solve problems.

    If you want to get rich, you have to either solve a big problem or solve a problem for a lot of people. 

    Train your children to think in terms of problems that have to be solved, and they will never go hungry. It’ll make your children great entrepreneurs or leaders. 

    10. Teach Them the Basics of Social Rules

    One of Warren Buffett’s favorite books is Dale Carnegie’s How to Win Friends and Influence People.

    It has taught Buffett to be diplomatic, and Dale Carnegie’s strategies have probably helped him create his fortune.

    But that is not the most important thing about following some smart social rules.

    Social rules are basic for a happy life. Teach your children the principles of the book, and they’ll do better both in their careers and their relationships. I’m going through the principles these days on the Instragram account Moneyandfreedomwithstocks

    As Warren Buffett puts it: “If the people you want to love you actually do love you, you are a success.” 

    What good is all the money going to do it if you have no one to share it with?

    Don’t forget to read the e-book that will set you free. You can get it here.

     

    Five Ways to Make Investing More Fun

    Five Ways to Make Investing More Fun

    Some people find any dealings with their finances as tiring as flossing their teeth. It’s not exactly what they look forward to doing on a Friday night after the kids have fallen asleep.

    Other people enjoy looking up stock symbols and researching companies, and they prefer to check their portfolio than watching the latest series on Netflix.

    What’s the difference between these two kinds of people?

    How do you become one of those who finds stock investing thrilling?

    Here are five simple hacks to make stock investing more fun.

    1. Trust That it Will Eventually Make You Rich

    Many new investors feel that stocks are risky business, and they fear losing all their money. This creates resistance on a subconscious level, and it’ll make it difficult to enjoy researching companies.

    When you’ve invested successfully for a while you begin to trust that investing will make you wealthy in the long run.

    In order to find joy in investing, you’ve got to hack into that trust prematurely.

    You have to convince yourself that investing works.

    You do that by reading about successful investors and by meeting people who have succeeded.

    You also get more confidence by accumulating more knowledge about investing. 

    2. Set Ambitious Goals   

    You need specific goals so you know where you are heading. But more than specific goals, you also need ambitious goals.

    Small, mediocre goals leave you feeling deflated. Big goals lift you up and make you work on a higher energy level.  

    Big goals can really change your life.

    When you set your big goal, you might want to think long term. How is your life going to look in ten years? Ten years is enough time to become financially free for most people. What will your goal be in ten years? How much do you need to become financially free? Have you calculated that number? If you need help, you can book a strategy call with me right here to set up your goals.

    What about including your family in your goal? Working for a goal that is bigger than you will make more sense on a deeper level. What is your goal for your children? How about creating generational wealth? And if you have no children: what cause would you like to support? What will you contribute to? 

    3. Invest in Something That You Like   

    Invest in something that you understand – that is rule number one when finding investments. But you should also invest in something that you like.

    Many people invest in something that they don’t know anything about, and some people even invest in something that they can’t fully support.

    Investing outside your level of competence and outside your values will make investing feel like a chore, because you are working against yourself. 

    4. Reward Yourself 

    When you have smaller successes with your investing, you should reward yourself. 

    I know of a woman who always buys designer bags with the dividend that she gets from her investments. It motivates her.

    Now, I’m not sure how many bags a woman really needs, and I prefer to reinvest any dividends or gains to let the effect of compounding do its wonder. But I do applaud the idea that you should avoid spending money on luxury directly from your salary. Make your money work for you for a while in the investing machine before you spoil yourself. 

    You don’t necessarily have to reward yourself with material things like designer bags. You can reward yourself with experiences like dining out at a nice restaurant. Your reward doesn’t even have to cost anything. It can be a trip to the summerhouse or day off work and chores.

    How and when is up to you. The point is to celebrate when you have achieved some kind of success – and the definition of success is up to you too.

    How to celebrate your success might be another blog post for another day. If you have a nice habit of celebrating your success then tell me about it either through mail or on social media, and you can inspire me for the next blog post. 

    5. Build a Peer Group Around Your Investing Practice

    If you can talk with like-minded people about your investment ideas, it’ll become more fun for you to find them.

    If, on the other hand, you don’t know anyone who understands what you are trying to do, it’s going to feel a little lonely.

    Fortunately, it’s very easy today to meet other people with the same interests through social media.

    There are, for example, plenty of investing groups on Facebook. Try to find one that matches your style of investment and your temperament.

    You are welcome to join my group Managing Money and Freedom here

    Do you want to learn how to invest like the famous investor Warren Buffett? I teach you how to do that in my e-book Free Yourself. You can download it here.  

    Seven Mindset Hacks Rich People Use

    Seven Mindset Hacks Rich People Use

    Becoming wealthy has a lot to do with your mindset.

    The way you think about money really determines how much of it you make, keep and make productive.

    If you see abundance, freedom and unlimited opportunities, you’ve set the path towards wealth.

    But if you see scarcity, few choices and limited opportunities, you will be your own barrier. 

    Here are seven specific mindset hacks you can use to think in a way that will help you attract wealth. 

    1. Money is Something They Make

    Rich people think beyond earning an hourly or monthly salary.

    They think more like an entrepreneur, and they look at all the possibilities for making money.

    Once they have made money, they make that money work hard for them, since they are very aware that money itself is a source of more money.

    One of the most efficient ways to make money work hard for you is stock investing. If you want to learn how to invest in a way that gives a high return, you can read more about that here.

    2. They Think Positively About Money 

    First of all, they see an abundance of money. They are not ashamed of wanting plenty of it, because they see the source as infinite.

    This is crucial. If you see a shortage of money, you will feel that you take something from someone else every time you get some more. People who believe in a shortage of money, tend to feel shame about wanting money. 

    They also focus on all the good things they can do with the money they earn and they look forward to it as if it’s already done.

    Finally, they think positively about rich people. They don’t feel envy if they see a nice car or a beautiful house. Instead of envy, they feel inspired. They think it’s something they deserve too and could decide to have in the future. 

    3. They Set Very High Goals    

    Wealth isn’t something that accidentally happens to you.

    You only become rich if you decide to become rich. You have to set high expectations to get there. 

    I once had a coach who talked about 10x’ing your goals. Whatever your financial goal was, you had to make it ten times bigger. Why? Because it would stress you a little, increase your brain waves and make you search for new opportunities.

    What is your financial goal?

    Wait a second. Did you just think of a monthly salary? Well, that is a mistake. People who become rich think of their net worth – they don’t really care about a salary.

    Think of Warren Buffett. He earns $100,000 from his position at Berkshire Hathaway. That’s it. That is his income. Despite that modest annual income, he became the world’s richest man (until he began donating his money to charities).

    He would never have gotten there by focusing on his income. He focused on building assets, true wealth. 

    4. They Commit to Their Goals  

    Successful people keep working at achieving their goals, and they keep trying even when it seems impossible.

    They are truly committed to getting what they want and to do what it takes.

    They have a very clear understanding that rejections and mistakes are not necessarily a bad thing. As Thomas Edison (the inventor of the light bulb) famously said: “I haven’t failed. I’ve just found 10,000 ways that don’t work.”

    True commitment – really deciding to do whatever it takes – is the key to anything you want in life. Rich people understand that there will be challenges in any path you choose and that the important thing is how you handle adversity. Do you let it break you or do you consider it a lesson learned and move on?

    5. They Are Good Receivers

    Have you ever given a lovely gift and been disappointed with how it was received?

    Have you seen someone react with embarrassment and heard them say: 

    “Oh, you shouldn’t have. That’s too much.”

    Next time you will probably give them something that’s smaller, less embarrassing.

    Good receivers see the effort you made in picking the gift. They say something like “Thank you. That is a wonderful dress. You picked my favorite color. How did you know what?”

    Next time you will do it again, because they truly appreciated it. 

    It’s the same with attracting wealth. You have to feel that you really deserve it and when money shows up, you have to be grateful for it.

    Rich people feel they deserve wealth, and they are not ashamed of asking for it. 

    6. They Block Out Fear

    At the latest annual meeting in Berkshire Hathaway, Warren Buffett said something that astonished me. 

    “Fear is like the virus. It strikes some people with far greater velocity than others. Fear is something I never felt financially and Charlie neither.”

    That is pretty astonishing. He juggles enormous amounts of money, and he has been through some trying times such as the scandal at investing bank Salomon Brothers that he had to step in to save. 

    I think Warren Buffett is a mortal like the rest of us, but I believe he has taught himself to block out fear.

    How do you do that?

    The more knowledge I have about an investment, the less I worry about the mood swings of the stock market.

    In stock investing, having some kind of checklist to take you through the investment decision is key to blocking out fear. You can use my checklist here.

    I also find that having cash savings helps me stay cool in both investing and running a business. 

    7. They Constantly Learn and Grow

    The most expensive words in the English language are: “Yes, I already know that.”

    It will keep you from learning and growing. Successful people are aware that there’s a lot they don’t know, and they are humble and constantly try to learn and grow.

    Most people have two objections to taking courses: Lack of time and lack of money. Benjamin Franklin once said: “If you think education is expensive, try ignorance.”

    If you have any questions or comments, feel free to ask them in my free Facebook group Managing Money Freedom, here

    If you want to learn more about investing, you are welcome to download my free e-book here