I had no idea where the phrase came from “More money more problems” but I looked it up… Apparently it’s a song by the rapper B.I.G. (love him) (love rappers).
Which, according to my book Rich Dad Poor Dad, can be very true.
The answer in life is not more money. See, we all think (me included), “If I could just make more money, then I’d be set. I could save, I could do everything I’d like, I could make better financial decisions,” etc.
But, according to Rich Dad Poor Dad, more money only amplifies our level – or lack – of financial literacy. Cause the more we make, the more we start to spend, and we have all the same problems just with bigger numbers going on.
This is actually encouraging, though: you can be broke. You can make minimal money. And you can still become financially literate. This stuff is for you, it’s not just for the people making the big bucks.
Okay, so here are my main tips I’m going to share right now based off of what I am reading. All credit goes to Rich Dad Poor Dad and I will continue to try to post as I continue to learn and grow. Some of this I learned a while back, some of it recent, from my dad, from Gerald, from reading, from this Indian guy on TikTok who is funny and also educated on money: @thelaymaninvestor
- Soft income
- Your paycheck is not the only way to make money. There are ways that money can enter your bank account without having to work. Example: you invest in mutual funds or the general stock market. It goes up. Your money just doubled. Random example. Or you write some crazy good song and you get royalties on it. The work was already done, the income just rolls in, for example.
- Wealth is…
- When your monthly living expenses equal the amount of “soft income” you make. Any work, or paycheck, is on top of that. You could live without working. You’d be surprised for how many people this is true.
- The term “Financial literacy”
- I had just never heard of that concept. The idea that we are not educated on money, but we all have to use money. So we need to invest in our own financial literacy. So that we actually get how money works in life.
- Buying stuff that literally starts making money on its own, instead of just “stuff.”
- When we make money, instead of just spending it all – money in, money out – we can buy a little bit of something that will start making money… like a blended ETF in the stock market, for example. If you’re conservative, a bond.
- Buying nice stuff with that free money, and you still have the original money
- Then, with the money that makes, you can buy the new nice stuff. But you still have the original investment. You’re not just going back to square one all the time.
- Honesty and self-reflection
- Humility to try new things and not get defensive
- If you’re “not interested in money” you’re the very person who needs to learn about money so you can quit having to work for it
- It can be fun! Your money can literally grow itself
- I asked my dad if it was better to keep all these things a secret. Sorry, I’m selfish. Like, if everyone got smart with money and started investing would it not work anymore? He said the opposite is true… that the more people invest and grow their money, the more the economy grows, etc., so the more the merrier. So I guess I’ll share my secrets haha.
This blog is not extensive enough to actually educate on these things, but since it’s my current adventure I just wanted to share and if it whets your appetite, please join this journey with me, and I would love to learn from you as well. And let’s all start living off of our values, hustling in the direction of our dreams, and not just doing what has been done before because we bought the lie that we “have” to, and being a slave to our own lack of life understanding. As Gerald says, money isn’t really about money. It’s about life. And how you view life, and how you run your life, and how you live life. I’m all for increasing the quality and focused intention in our lives.
p.s. I’m really happy I finally got a picture of me with my tongue sticking out snuck in here. My girlfriends will tell you that it is my go-to facial expression, especially while dancing, but I guess it’s not always considered professional?…. anyway, glad you finally got to see a tongue-sticking-out-pick I’m sure it won’t be the last