Making money is an art, those who are good in this art are those who end up with the bounty. It is a balance between attack and defense, many folks focus on attack and all you need to do to make money but few focus on keeping wealth. You can lose your wealth faster than you gained it, in moments… hence you need to be prepared. Let’s look at ways we can keep our wealth from evaporating…
Maintain your level
Know your worth per time,if you keep on taking on task which brings lesser returns, you’re going to end up at a lower level. It’s only a matter of time. Everything either takes money from or gives you money. Every deal, every relationship, every act. Everything you do gives or takes time,money, energy from you and this accumulated over time may lead to big losses if left unchecked. It’s as easy as that. This is the most basic rule. We shouldn’t over complicate it. Everything has an effect.
Don’t solve problems with money, unless necessary
We think money can solve all problems but not always so. There are problems which are solved by setting boundaries, communication and clarification. Some problems are solved by being decisive and assertive. Some others are solved by the passage of time. Problems are always there and always throwing money in all the time doesn’t provide solutions mostly. Solutions are provided through self control, thinking and wisdom not reckless spending.
Money will solve your physical needs like food clothing,and shelter. However it’s harder to solve emotional problems with money. An in depth understanding of life and the law of cause and effect is what is required in this case. Even some health needs we spend money on are better solved through lifestyle changes.
If you’re out of control because of a bad experience, spending money to get revenge will only worsen the issue because now your heart will be where your money is and you’ll end up in a vicious cycle.
If you’re trying to feel important due to your net worth and you keep spending money to show off in order to feed your ego, its unsustainable and will end up putting you in more financial distress. Taking good care of yourself, having peace of mind and solving bigger human needs to generate even more money is enough to show you as wealthy. You need no validation.
Many billionaires have gone broke this way, a little at a time.
You can help some people but you cant help everyone
You’re worth a billion dollars, yes quite a big amount right. But all you have to do is help 100,000 people with $10,000 each and you’re flat broke. You can not even think of giving everyone in the world $1 each you’ll be in massive debt. Hence wealth is relative, what seems huge is actually small compared to the problem it is employed to solve. When I was earning $1000 dollars a month, $10,000 a month looked big but when I earned $10,000 a month, life style creep came in and I couldn’t still solve all my problems. Then I realised I had to be strict on my self and put money away from my reach. It is how much we put aside that really matters not how much you earn. You could actually spend all you earn no matter how much. This points to the fact that self control is key.
Help people, that’s a good thing. But don’t think you can save everyone else you’ll drown yourself.
When last did you sit down to do nothing but think? Most people don’t think because we don’t value free gifts… thinking is free so why should I bother? We naturally prefer activity as that makes it seem we’re making progress. But not true
Thinking is the one of the most powerful weapons of control and awareness.
Thinking about things that worked for you and things that did not.
Things you can improve on,
Lessons you’ve learnt over time,
Things you knew before but may have forgotten
Your future plans and ways you can get there,
Risks you’re taking now and how to mitigate them
How you were before compared to now
Your dependants needs and how best to handle them
Any potential projects you may have at hand
How much time you have till you’re old
Do I really need that stuff I want to buy?
Those you haven’t seen in a while and what they may be up to
… and you know just random stuff. The more you think the more you begin to realise some blind spots, you become more conscious and aware. This helps
No matter how busy you are set a daily time to just lie,sit then think. Even if for 5 minutes. It will help in self control and money management.
Stay broke and hungry and keep your money away
Once you stop being hungry you need no food. Once think you have enough money, you need no more hustle for money. This makes us complacent and relaxed. it’s best to keep the hunger by putting aside your wins. Diligently invest you money in precious metals,stocks, real estate,cryptocurrency etc while working to make more. The moment we feel we’ve made it is the peak at which decline starts. Keep less money close to your reach else you run the risk of impulsive spending and frittering away your wins. Remember it may be more difficult to make same money back immediately depending on many factors, hence it’s best not to lose gained money in the first place.
Never stop playing the game
When you think you have achieved much and give yourself accolades and receive praises from people is when you should be most careful. That means you have reached the peak in you mind and the next thing that’s going to happen is down down down because your mind sees no where else to go, because the peak is the highest point you know. Look at a mountain, after the peak is the valley. So never ever reach your peak…always be on the way up. The moment you feel at your peak is the most dangerous moment. The game of life and money never ends, it’s a continuous process of continuous improvement.
Physical versus mental work
As momentum gathers on the money you have made, you have to slow down on the physical work a bit and employ mental work. Too much continuous physical work will make you lose what you have earned. There is a need to pause for a while and re-strategize. Some say you don’t need to work for money but truth is you still keep working but the type of work only transforms from physical to mental.
Pride is a killer
Don’t be too proud and arrogant. The moment you become over confident in you abilities not realising it takes more than just you to be successful, that’s the moment you start to decline because you start neglecting growth and focus on you. This has brought many great men down. It’s also good not to be too humble, too much of everything is bad. Too much humility and people will misjudge you and treat you as you present yourself, this also leads to downfall because you get less than desirable treatment which takes away from your wealth. What you will like to do is find a sweet spot where you communicate your achievements while not making others look small.
Mike Tyson was a great boxer and was on top of the world for years, he could literally knock anyone down, he got all the wealth and fame but then what happened. We know how humble he is now many years later.