MONEY IN CIRCULATION
The exact same amount of money for the most part is in circulation. It stays constant for the most part. So when someone gets rich it means someone else or a group of peoples wealth has gotten less.
So pretty much people get rich by slowly taking a little bit away from other people. So how can you be on that circulation chain that ends up with the money?
There are 5 core things I do to make sure I am on the circulation side that gets to keep the money:
1. Never go into debt. By paying any form of interest that you are not leveraging to make more money is a complete no no. I have a simple rule to always pay all credit cards in full and on time. There is no need to pay even a cent in interest to the bank and make other people rich with your hard earned dollars. I will never borrow money from the bank unless it is going to guaranteed make me more than the interest I am paying.
2. Open up a business. People will spend their hard earned dollars and give it to you. Their money is now coming to you and while they get poorer, you get richer.
3. Save on taxes. There is no need for you to pay high taxes to the government. Be aggressive with how much you write off and look at options if possible for your business to go into tax free countries. Let other people who are not so smart pay the big tax dollars. Don’t let politicians burn your money by traveling on private planes.
4. Avoid all financial planners. Don’t trust anyone with your money. I have seen family members burned with so called trusted people. Invest the money in your own business and grow it to be larger. Don’t give your money to anyone who wants to put it in circulation for you because they will either lose it all and never give you the return you can do yourself. Don’t make them rich with your money.
5. Never loan anyone money unless you are charging them interest. I don’t care if it is friends or family but if someone needs to borrow money from you, make sure you charge them interest on that money and make sure you get some form of assurance if they don’t pay you back.
By following the 5 simple core rules above, you will always stay ahead and on top of the money chain.
MONEY IN CIRCULATION