Motivation Daily by Motiversity - RICH VS POOR MINDSET 2

Episode Date: February 28, 2022

"The Gap Between the 1% and the 99% is Massive." ROBERT KIYOSAKI. So what do you do?RICH DAD, POOR DAD book (https://amzn.to/316zZTQ).RICH DAD, POOR DAD Audiobook (https://amzn.to/2VIYuZ2).Special thanks to Patrick-Bet David from Valuetainment. Subscribe to them for more inspiring interviews (http://bit.ly/ValuetainmentYouTube).Music by Audiojungle (https://audiojungle.net/). Hosted on Acast. See acast.com/privacy for more information.

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New episodes are being released every week. The link is in the description. The most obsolete idea is go to school, get a job, work hard, save money, get out of debt and invest for the long term of the stock market. See, why would you save money when they're printing trillions of dollars? The gap between the 1% and 99% is massive. You see, it's not just money. You have to step back and look at the bigger picture.

So what do you do? In every one of us is a poor person. There's still a poor person inside me. There's also a middle class person. And that middle class person wants security. They want that steady paycheck. And there's a rich person. And they're all inside of us except that it's not taught.

You're taught to go to school, get a job, and get a paycheck. Not taught to how to get rich. If you read Rich Dad, Poor Dad, My Rich Dad refused to pay me. He said the paycheck was one of the most damaging things you could take in your life. He says, the moment you take a paycheck, you're an employee, and that's the mindset. So my rich dad never paid me. It drove my poor dad, you know, government employee, nuts. You got to pay people.

You got to pay people. And Rich Dad was not saying that the paycheck was bad. He says, you didn't want to be a slave to money. So as an entrepreneur, you know, if Rich Dad folded, I just start another company. I don't need a paycheck. I don't need anybody to take care of me. If my government doesn't like me, I move to another country because they need entrepreneurs there. So the entrepreneur is not so much the business.

The entrepreneur is really the mindset and the skill sets and the different set of rules. You see, I don't operate. Small business does not operate in the same rules as big. business. Entrepreneur is a mindset first, a skill set, and rules. And depending upon whether your employee or a small business, the roles are different. The mindsets are different. The skill sets are different. You could say one thing to somebody who has never been an entrepreneur and they're thinking about making the leap of faith into becoming an entrepreneur. What could you tell them? Well, I'll just tell them the same thing that happened to me.

You know, my last paycheck, I still remember it clearly. It was one of the worst and the best days of my life. And I was in Puerto Rico. I was working for Xerox. And my boss gave me my last, it wasn't a paycheck, it was a bonus check. I think it was about $30,000. Taxable, it's only problem with that. So I got this check and I went, holy mac.

You know what I mean? So I was excited, but I was also disturbed. And so this other guy comes up to me, his name was John. And John says to me, he says, you're going to be back. I said, why? He says, because you're going to fail. I looked at him and said, look, few expletive words. Because that's what he did.

He left Xerox, failed, and he came back. And I said, look, da-da-da. You failed and you came back. But I'm going to fail, and I'm never coming back. And that's the attitude. Do what I mean? Yeah. If you say, well, if I fail, I'll go back to Mommy and Daddy, then that's what you'll do.

So if you fail, that's when I became an entrepreneur because I had no money. I had no money for years. I didn't have a paycheck. But that's what my rich dad encouraged me to do is when you don't have this paycheck, you get hungier, smarter, and you're the test of your character. Will you become a crook? Will you become dishonest? Will you cheat and steal?

Or will you become a better human being? So really, that's the benefit of becoming an entrepreneur. You really find out who you are when you don't have any business. when you don't have anything. You always have to look at the big picture. Too many people look at, well, what's going to happen to me? When you look at the big picture, you're also going to know

that when something bad happens, something good's going to happen. But you've got to prepare for whatever it is coming. If you think next 20 years will be like the last 20 years, you're going to be creamed. You know, when you and I go to the supermarket and we buy a carton of milk,

we always check for the expiration date. But most people do not check for the expiration date on their brain. Instead of get out of debt, I get into debt. I just refinanced 300 million in debt. I went from 5% to 2.5% of interest. I made a fortune. Every month, more money comes in because my cost of money has gone down.

So while some financial experts are saying, get out of debt, I'm saying learn how to use debt. So when I came back in Vietnam in January 73, the first thing my rich dad said to me was go to school, to learn how to invest in real estate. It wasn't real estate. It was how to use debt and taxes. Debt and taxes make the rich richer.

Debt and taxes make the poor, the middle class poor. So all the rich guys who are doctors and lawyers or, you know, those guys, they're getting creamed. And they don't know why. Doctors are getting creamed. Oh, yeah, they make it more money, but the take home is less. Sure. You know, my doctor just yelled at me and he's happy. He says, oh, guess what, I finally made a million dollars.

And I said, yeah, this is just three weeks ago. And so I said, yeah, well, how much you pay in tax? He says, 750,000 in taxes. So his net was about 400,000. That's not bad. But when I make a million bucks, I keep a million bucks. And the reason is, because I don't make it by working for money. See, if you work for money, you're taxed.

So that's why lesson number one in Rich Dad Poor Dad is the Rich Don't Work for Money. What we do instead is we create businesses as entrepreneurs. we acquire real estate. I don't invest in the stock market. So the reason is because as entrepreneurs I have more control over my income, how much I make, and how much I pay in taxes. And because I'm an entrepreneur, as well as an investor in real estate, I pay zero tax. So every time I make, let's say, a million dollars as an entrepreneur, I immediately invested in real estate. I have a four-to-one step-up. So I put a million dollars in real estate. I get four million from the bank. That's why I love banks. But the banks are screwing everybody else.

You know, terrible. But it's good for me. That's why you say when you print, it's good for you, but when you print, it's bad for people that work for money. Because when you print, savers get creamed and people who work for when they get creamed. When they print, debtors get rich. You see, debt and taxes make the rich richer. And debt and taxes make the poor middle class poorer. When we have obsolete ideas, we get obsolete results. So what's happening for most people, the idea of going to school,

getting a job, working hard, saving money, getting out of debt, buying your house because it's an asset and investing for the long term, is obsolete. The world has changed. The world changed in 1971 when President Nixon took us off the gold standard

and money became debt. What if we get rid of school, then what would happen? Would it be better if we had no educational, system at all? No, I'm saying education is more important before. It's just obsolete. You know, there's Moore's law that Moore's law which states information doubles every 18 months. In other words, everything's obsolete 18 months. So, and this is just a recent phenomenon. So when you come out of school, you're obsolete. And that's why I'm the old guy, you know. I meet my friends who went to Harvard.

See, I went to Harvard. I said, yeah, that was how long, 50 years ago? Today, the banks are charging you interest to save money. In other words, banks don't want your money because they printed too much of it. And that's why there's as bubbles in stocks and bubbles in real estate and all this. People are dumping the cash because as I said in here, savers or losers and cash is trash. And yet people are, well, I want a high paying job. Well, that's an obsolete idea. Get out of debt is an obsolete idea. You should learn how to get into debt, how to use debt to get rich. And they'll never teach you about taxes. The reason the 1% is way up here and the 99% are going this way is because when you print money, two things happen,

inflation in taxes. It's crushing. And any entrepreneur thinks, I'm just going to make money, I'm going to start a business to make a lot of money because we talk about, they really have got to smell the roses, man. You know, that's not what the real entrepreneurs are doing. Most entrepreneurs, There's 28 million small business owners in America. 24 million are what are one-person entrepreneurs. They're called non-employee entrepreneurs. And that's what happens is when people don't really understand what an entrepreneur does. So most people are self-employed, but they're not really entrepreneurs.

The self-employed pay the highest taxes up all. And nobody tells them that. It's also called the entrepreneurial spirit. But what we were actually talking about was there's no such thing as a bad economy. You know, there's externally, you and I, we all have an external economy, but we also have an internal economy. And the willpower is to change our internal economy. So for me, I can see the good and I can see the bad. I don't really give a damn because I'm going to be rich anyway.

But a poor person with a poor personal economy. all they're going to see is a bad economy because they don't know how to make money in any economy. And a middle class person, they have a middle class economy. You know, but they want a nice house, a steady pay check, and the job and the car. And so when you take their job away to them, that's disaster. Well, since an entrepreneur doesn't have a job anyway, it's no big deal. So all I'm saying to people is what Bucky Fuller taught me, is always two sides. You know, I mean, you know, to use plural, at minimum two.

So if you think the economy is bad, it's because your economy is bad. If you think that steady, you know, employment is important, then you'll see an economy without jobs. Your economy. Your economy versus the external economy. What you control versus what you can control. I can control. Yeah, it's called an internal focus versus an external focus. So the real entrepreneur has an internal focus. that if they fall down, they say, oh, this is good, because I'm going to go up higher.

You know, the average person will fall down and say, oh, I'm going to take some Prozac. Or somebody has some mistakes, oh, the mistakes don't matter. Well, mistakes matter. It means you didn't know something. But a real entrepreneur, the weather, they fall down, they go, they always can go out. They can stand back up and go higher. And no matter what happens to them, they get stronger and better and smarter and happier. but person with a weak internal mindset

is that they're so afraid of what happens it generally happens like people who are afraid of losing their jobs they generally lose their jobs you know what I mean? Yeah so everything comes to you Yeah so the entrepreneur first job is control inside here, not outside there

the moment you take that paycheck you're an employee you've got to be stronger than that it's what inside control Thank you.