What's the one thing that rich people buy that the poor and middle class don't?
- What's the one thing that rich people buy that the poor and middle class don't? So you see it on Instagram, you see it on Facebook and sometimes you'll see it on YouTube, that you see that rich person they have these nice watches, and they drive the Lamborghini, the Ferrari, you know, the Bentley. They stay in luxurious hotels. They have huge houses. And all these things that they buy. And that's what people see rich people, that's what they have. But that's not actually what got them there, right?
So what do they actually buy? Rich people, one thing that they buy is, they buy assets that the poor and the middle class don't. Now, what are assets? I'm talking about income-producing assets. Assets that appreciate it. Assets that will make them money. So example, it could be a piece of real estate. It could be an apartment building. It could be a company. It could be
What do they buy? They buy liabilities. If you study a little bit about what Robert Kiyosaki's Rich Dad Poor Dad, you know that the definition of assets. Its assets are things that put money in your pocket. And most middle class they buy liabilities, such as their home, their primary residence. That they think is an asset. Which is not because the asset is supposed to make you money while you sleep. Versus liabilities are to eat you, it takes away money from you while you sleep. And you look at poor, middle class, you look at their financial statements, very often they have very little or no assets, zero assets and they have a lot of liabilities, their home, their car and all that stuff. But they have very little assets. So rich people, they buy assets first.
Then the assets buy our luxuries. Versus the other way around. I'll give you a perfect example, so instead of asking yourself, saying to yourself, "Oh, I can't afford that, it's too expensive." Rich people, that's not how we think. That's a very low-level poor person mentality. "I can't afford it." Right? Rich people, we ask the question, not only how could I afford it, but how can I make this make me money? How can I make this make me money? So instead of thinking, let's say for, this car, so I could have just bought this Bentley any time. But I waited for a period of time because I set a goal and said, "OK instead of just buying "a liability, I need to buy the asset first. "So I need to buy an asset "that will throw off enough cash flow," in my case a piece of real estate, "enough cash flow, that I know that would cover "my monthly payment of my Bentley." Right? So instead of me just buying a Bentley which then I have to pay for myself from my own pocket. I say, "OK, let me go through a step, "let me buy the asset, that's one thing, "buy the asset first, "when the asset throws enough cash flow "that pays for my luxuries." That pays for the car that we're filming in. So even though when this car, I was a change two-three years, when this car, when I no longer drive it, when I sell it, whatever it is. Guess what? I still have the asset that's working for me. That's the difference.
We buy, rich people, we buy nice things. We buy the nicest things. The difference is we don't want to use our own money. We buy the assets first, we invest first, we buy the investments first, then we buy liabilities. The definition of rich people, the rich is simple. Rich people we are entrepreneurs who invest. I'll say that again. We are the entrepreneurs who invest.
So high income skills and then on top of your scalable business and on top of your high return investments. So rich people are entrepreneurs who invest. So that's the one thing that rich people buy that the poor and middle class do not. Let me give you one more tip. There's one thing, that we also buy, that the poor and middle class do not. And that is, rich people buy time, poor people sell time. Rich people buy time, poor people sell time. The thing about people who are struggling financially or employees they sell their time. They get paid based on their time. How many hours I get, how many hours I work, how much do I get paid per hour, or how much do I get paid per month or bi-weekly that's how most people think. Rich people we don't do that, we buy time. We buy time because time is the one thing that you
The money I can always make more money. If I have the time. If I run out of time I cannot do that. That's why the time for
You know, a quick story, one-timeSo he knows if he spends two hours watching the movie, that movie, thendanlock was visiting a pretty successful CEO, the company's probably doing $20, $30 million a year. And he visits his office and he went to his office and He couldn't believe it. The minute he got there he was mowing the lawns in front of his office. He was like what the fuck was that? Right? Right there it tells him, my god, this CEO does not value his time. The two hours he spent mowing the lawns, he couldn't have found better things to do? He couldn't have found better ways to invest his time? He couldn't have found a better way to utilize his talents? He's mowing the fucking lawn, seriously, right? It makes no sense. Whendanlock talk with him, he was giving him a hard time, right? So rich people, we don't just thinkreturn on investment. That's one of the words that you've got to learn, ROI. We think in terms of return on investment. Your assets, your liability, but we also think in terms of return on time invested. Return on, ROTI, return on time invested. That of dan lockinvest this time doing this thing, what's his return? Right?
You did not make it, you just made yourself poorer. That's not what makes you rich. But if you can have the self-discipline and self-control and say you know what I'm gonna buy the assets first, I'm gonna buy the assets first, once you buy that and the assets you can buy all the fucking luxuries you want. Your
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