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Rich vs Poor Mindset: Key Differences & How to Change Your Thinking

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Are you always broke at the end of the month? Do you wish you were rich? Staring at the $4.56 balance on your bank statement with a week left to go in the month is no way to live your life? So, how do you get rich?

There are plenty of articles showing you the methodology rich people use to amass their fortune. However, most of these articles miss out on the most critical factor – the millionaire mindset.

It might surprise you to learn that wealthy people think very differently to poor people. They develop a mindset that propels them toward success, helping them focus on achieving their goals in life.

You’ll find that most rich people aren’t only rich in the financial sense of the word. Most rich people have their success spill over into every area of their life, and that’s a direct result of their thinking.

In this article, we’ll look at the difference in thinking between the rich and the poor. If you find yourself erring toward the poor mindset, then we suggest you change your thinking.

Rich People Believe in Abundance, Not Scarcity

The first part of a wealthy person’s mindset involves the principle of abundance. What is abundance? Abundance describes a situation where there is more than enough for everyone. For instance, most people grew up in Baby Boomer households with parents that tried to scrape together every penny they could towards savings.

If you’re like us, then you probably heard your parents say the classic clichés like, “I’m not made of money,” _we can’t afford it,” or the classic, “money doesn’t grow on trees.” Unfortunately, these statements are not only categorically false; they are a reflection of the person’s scarcity mindset.

A scarcity mindset believes that there’s not enough to go around. Money is tight and hard to earn, so you had better take care of every penny you earn.

Rich people don’t see things this way. In the world’s currency markets, more than $5.5-trillion trades every day. Can you imagine how much money that is? And that’s only one market. The world’s stock, bond, and commodity markets see similar flows as well. Therefore, there is an abundance of money, not a shortage.

Where rich people differ from poor people is that they think about ways to tap into those money flows to get a piece of the pie for themselves. Poor people believe that the world owes them something, and they never step outside of the box to look for alternative solutions to their problems in life.

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Rich People Never Stop Learning

Poor people can’t wait to get out of high school or college. As soon as they graduate, they toss the books in the corner, start working, and will rarely read another non-fictional book again in their lives. Rich people believe that learning never stops in life.

After school finishes, you’ll find them continually updating their skillset and knowledge base by reading books and attending conferences and seminars on personal growth and business. This attitude to learning keeps their minds open for possibilities in life.

If you find yourself struggling in any aspect of life, it’s because you don’t know what to do. Once you have the knowledge of the subject, you’ll find that what you thought was holding you back was only the illusion of not understanding something.

Rich people read books, and in a survey of the reading habits of successful CEOs, the results show that the average CEO reads around 60-books a year – with most of them being about business or autobiographies of people they admire.

Rich People Think Big

Poor people think in terms of their immediate environment. As a result, they end up on autopilot, and they never chase their dreams. If you don’t learn to control your environment, then your environment will control you – that’s the reality we all live in our lives.

Rich people take life by the horns and never back down from achieving their goals. A rich person will fantasize over what they want to accomplish in life. They’ll spend their free time thinking about how they can grow their business and investments, and the potential rewards for doing so.

Poor people think that they’ll never escape poverty, and they believe that no matter what they believe, they’ll end up living the same life, destined for poverty.

By thinking about the future and the possibilities, rich people present the intention of achieving their goals to their subconscious mind. The sub-conscious is like a permanent recorder for your memory that sits outside of your conscious thinking. However, the thoughts remain in your sub-conscious, and they affect your conscious thought processes.

When rich people build a burning desire to achieve their goals in their mind, their sub-conscious pays attention, making them more aware of the opportunity when it presents itself. “What you think about, you bring about.”

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Rich People Don’t Play the Victim

Poor people love playing the victim. You’ll often hear poor people complaining about everything in their lives. “I can’t afford it,” “It’s not my fault,” This person let me down,” so on and so forth. All of these phrases are victim language, shifting accountability for their actions to someone else.

Rich people hate other people that play the victim. Rich people stay accountable for everything that happens in their life. You’ll never hear them passing the blame onto someone else. In most cases, the rich person will assume the responsibility so that they can move forward with the situation and find a solution to the problem.

However, poor people would rather sit back and play the blame game to account for the bad things happening in their life.

Rich People Admire Other Rich People

Speak to any wealthy person, and ask them to list the top 5 people they admire most in life outside of their families. Rich people will often cite other rich people as their mentor or idol that they live up to in life. Rich people see other people getting rich as a confirmation that they are living a life of abundance.

You’ll never find rich people shouting down another person’s success. They don’t see scarcity in life. As an example, think of money as the ocean. You can go out there and take as many buckets of water as you want, and you won’t make a dent in the sea-level.

Poor people see it as taking water from a bathtub, and every bucket you take leaves less for everyone else. As a result, it’s common to find that poor people resent the rich. A poor person might see a rich person fly by them in a Lamborghini, and drop a comment like, “I bet they’re a drug dealer,” or think about all the starving families that could use the money he paid for that car.”

A rich person would probably lean out the window and whoop the driver as they changed gears and sped away.

Rich People Reach Up in Relationships

“You are who you hang around with.” It’s a proven fact that who you interact with the most is who shapes your personality and your thinking. Rich people reach up in their relationships. This strategy means that they are always looking to engage with people that are richer or more successful than they are.

As a result, they surround themselves with like-minded individuals that are chasing the same goals as they are in life. Poor people do precisely the opposite; they reach down in relationships.

As a result, they may latch onto people with limited thinking, or they might take advice from people that have no experience in what they’re talking about in their life. These types of people are often toxic, and they pollute other peoples thinking with their brand of negativity.

Rich People Embrace Selling

When you think about a salesperson, who do you imagine standing in front of you? Poor people have a problem with salespeople. They see salespeople as con-artists trying to trick them out of their money. As a result, they never bother to learn the basic principles of selling that everyone uses in life to get what they want.

Rich people know that they are selling in every moment of their life. They see selling as an essential life skill – not as a parlor trick designed to manipulate people. Selling is a fundamental skill and the foundation of success. When you learn the art of persuasion, you can achieve more in life using the talent, time, and money of other people.

Rich People Focus On Growing Their Net Worth

Rich people watch the numbers in their bank account carefully. Every day they wake up intending to grow their wealth. By the time they experience success in their life, they have these principles hardwired into their thinking, and they focus all of their attention on moving themselves forward.

Rich people treat their net worth like a game, and they play to win. They run budgets that account for every cent they spend, and they have a team of accountants and lawyers that look after their interests. Wealthy people understand that they are only as successful as the team that they build around them.

Poor people usually run out of money before the end of the month because they don’t budget properly. They typically have a negative net worth, and they do nothing to track it or make a plan to increase it. Poor people receive money and have it fall through their fingers because of their bad spending habits.

An example of this behavior, a lack of accountability and responsibility exist in lottery winners. By in large, most lottery winners are back in the same financial position three to four years after hitting the jackpot.

They blame others for losing their money, but the reality is that they never had the mindset to deal with that level of riches.

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Rich People Use Other People’s Money to Grow Wealth

Poor people have the opinion that debt is terrible. However, this doesn’t stop them from overspending on their credit cards. Most people take on consumer debt that does nothing but takes away from the dollars landing in their bank account.

Rich people see debt as a good thing. They leverage loans to buy investments that pay them a monthly return. Wealthy people understand that you use other people’s money to make money, not your money. For instance, a poor person thinks that their home is an asset.

They’re paying done the mortgage, and when finished, the house is theirs. That’s not entirely true. You still have to pay property taxes, and if you fail to settle with the government, you’ll quickly find out who really owns your home.

The reality is that the home you live in is a liability, not an asset, even if the market value grows over time. Rich people buy investment properties and then rent them out to tenants. More often than not, the cost of the mortgage, management fees, taxes, and maintenance are less than the amount of money they receive in rent. Therefore, they receive monthly payouts in the form of “passive income.”

The Final Point – Rich People Take Massive Action Towards Their Goals

Above all, rich people don’t sit around and wait for things to happen; they make them happen. Rich people are masters at taking massive action in their lives. Action is what propels you forward toward your goals.

Every step is a step closer to achieving what you want in life., When rich people encounter a pitfall in their financial or business plan, they take action to overcome the problem.

Poor people don’t take any action, and if they do, it’s not enough. Nothing short of MASSIVE action will get you to your goals. As a result, poor people end up sitting around complaining about how unfair life is to them and then wonder why they never go anywhere in their career, family life, or relationships.

If there’s one tip we can give you in this article, it’s to start taking action in your life. Do it right now, today – and make a change in your thinking.

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Oliver Dale is Editor-in-Chief of MoneyCheck and founder of Kooc Media Ltd, A UK-Based Online Publishing company. A Technology Entrepreneur with over 15 years of professional experience in Investing and UK Business.His writing has been quoted by Nasdaq, Dow Jones, Investopedia, The New Yorker, Forbes, Techcrunch & More.He built Money Check to bring the highest level of education about personal finance to the general public with clear and unbiased reporting.oliver@moneycheck.com


Editorial Disclaimer: Opinions expressed here are the author’s alone, not those of any bank or credit card issuer and have not been reviewed, approved or otherwise endorsed by any of these entities.


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