Are there any shortcut money secrets to success? It’s no secret that the wealthy look at money in an entirely different way than the struggling do. The wealthy find ways to stop trading time for money, and generate some kind of ‘leverage’. But they are also smart with what they spend and what they earn.
Shortcut Money Secrets – Don’t Spend, Save
For example, the wealthy develop good habits with money. They live below their means and save what’s left. Most people pay everyone else what’s due and then spend what’s left on themselves. The wealthy pay themselves first. This is a basic strategy which means they can build up savings and invest or earn interest and ‘leverage’ their money to earn for them.
Shortcut Money Secrets – Don’t Trade Time For Money
The wealthy know that trading time for money is a limited way to earn money. There’s only so much time in the day so in order to earn more money. You need to generate some kind of leverage. This can be done with businesses which can grow beyond your own efforts. Using systems like a business to generate value can be a way to generate more income, without working harder or longer hours.
Trading time for money is finite. You only have a certain amount of time in the day. If you trade time for money, your income is always going to be limited by time. You’ll always be tied to working for money, too. This is one of the most valuable shortcut money secrets of the wealthy. Learn how to stop trading time for money by building a scalable internet business.
Shortcut Money Secrets – Limit Your Spending
It’s not always so easy to earn more money. It can depend on where you find yourself in life and what kind of income you have. Everyone’s prospects are different. However, no matter your income, you can learn to live of less in most cases. David Bach talks about something he calls The Latte Factor in his book The Automatic Millionaire. The latte factor refers to your unnecessary spending habits which keep you from having more money. A coffee (latte) might only cost $4 or so, but consider this amount spent every day over a year. That’s $1460 in a year you’ve spent on coffee.
This is just an example but it could relate to anything. Do you drink or smoke? Add up your average weekly expenditure on what you spend on your habits or hobbies and look at the figure over a year, or five years. It adds up and shows you that the money you spend could just as easily be saved and earning interest. Start taking notes of everything you spend money on for a full week and see how much you waste of frivolous, unnecessary purchases.
Big Hat No Cattle?
Another useful topic in David Bach’s book is the concept of big hat no cattle. Are you big hat no cattle? Do you wear a fancy watch and drive a luxurious car, but your finances are a mess? Why? Is it so important for you to be seen as the big “I AM”? Do the external superficial ‘trappings’ of success seduce you? Then you’re big hat no cattle.
It refers to ranchers who want to look the part but actually don’t even have a farm, or any cattle. They just want the big ten gallon hat because it makes them look (and feel) important and successful. Can you afford to put on this facade all the time? It’s a tremendous waste of money and energy keeping up with the Jones’s! If you can drop it, it’ll save you a lot of cash which you can use to grow your investments and income.
If your self image is costing you more than it can afford, it might be time to think about what’s more important, you’re big hat or your bank balance! As the phrase goes in Hot Shots “Your ego is writing cheques your body can’t cash”!
Pay Off Debt
Shortcut money secrets of the wealthy include paying off mortgages early and staying out of debt. If you’re in debt, you’re paying money just to stay in debt. Interest payments grow as your debt grows and if you’re careless, you can find yourself in hot water if you can’t even make minimum payments. Getting out of debt is a priority which comes before everything else. Once you’re out stay out by living below your means and paying yourself first into some kind of savings to create a buffer for any potential hiccups that life throws at you.
See David Bach’s book The Automatic Millionaire for strategies of dealing with debt. In short, you want to pay off the debt which costs you the most in interest first. Talk to creditors and lower your interest rate by declaring yourself as in financial hardship, or shift debt to an interest free card if possible. Usually shifting debt involves a transfer fee which is a percentage of the balance. If this is going to be less than your payments in interest it might be worth doing.
Get A Better Job/ Start An Online Business
“Anything else is always something better” – Coughlin’s Law (From The Movie Cocktail)
Is there a better paid job you can do instead of what you’re doing? If you’re not making enough money it can be a frustrating and demoralising experience. Whatever job you do, you’re probably still trading time for money. An internet based business lets anyone learn how to change this old fashioned working model.
By using digital products, systems and tools, online marketers can automate sales through digital systems. The model is global and so sales can be made to anyone, so long as they have an internet connection and a laptop. Learn how to use a clever business model to build an income from the internet and replace your exiting “time for money” relationship with work.
Watch the video below (click the image) and see how easily you can have a working business model up and running in minutes. Once you have it you then need to promote it to make sales. Training and support are provided with this program but no income is guaranteed and results will differ from person to person:
