Financial struggles can put a lot of strain on family life. When I talk to people about the challenges in their life, many of them say that shortage of money is the main source of their difficulties. In this new series, I am giving you tips on how to be richer, starting with why to be richer!
Many people, when I talk to them about making money and being rich, come up with good “reasons” why they do not need to be rich. They tell themselves that rich people are sad, miserable, stingy and, most commonly, corrupt, and they do not want to be rich to avoid fitting these descriptions.
These beliefs were made up by poor people looking for ways to feel good about not having enough money or the skills to get it.
I hope that by now you are convinced it is better for you to be a happy, wealthy parent and all you need is some knowledge about the way to get there. As strange as this seems, not all people want to be wealthy and, sure enough, they are not.
Sabrina did not believe it when she overheard the school librarian talking about the days her grandfather had been so poor he used to walk 45 minutes to work to save the money required for a bus ticket. “He made all his money from the jar”, said the librarian to her friend. Sabrina thought he had made his money from building houses and was very surprised.
Money, whether you like it or not, can buy happiness. Is it better being poor and healthy or rich and sick? I believe the healthy and rich is the better option and I bet you do too.
A recent research has looked for the link between money and happiness and has found out that we can indeed buy happiness, but we get the happiness when we spend our money on someone else.
Last week, my son went to a small pool party and one of the kids who were invited did not show up. Somebody said Nick could not come because he was working. Nick, you should know, is a 14-year-old kid and had just started working at a donut shop that had opened next to his house. Obviously, a whole conversation started about working kids and whether or not it is good for kids to go to work.
Money is very tight in many families. We want so many things for our kids and for our family that it seems like there is never enough. This week, I had sessions with many clients who wanted to improve their financial situation. One of them earned $50,000 a year and owed $42,000. One was a single mother who had spent all her savings on tutoring. Another one spent a fortune on supplements and health professionals, and all the rest told me variation of the same story: money is tight.
Every family may reach a point in life when there is just not enough money to survive the next month. It is inevitable that some life circumstance will change the flow of money that we count on to manage our daily life. If you go over your life and ask yourself when your supply of money was at risk or when it stopped entirely, you are likely to find that it happened a lot.
We were in this situation many times in our life. It happened when Gal’s company had a wave of redundancies, whenever his contract ended somewhere in the world and we had to move ourselves from one county to another (no income, lots of expenses), after September 11 2001, when Gal had cancer and took time to recover and when we had something big and special that ate into our savings, like going overseas to see our families. Every time we stopped working, our family was at risk of not having enough to pay the bills.
Saving for a rainy day was always our solution for those situations, but saving is never enough. Sometimes, a big wave comes along and wipes you out. Gal lost his job twice after we had bought a property. We are not fortunetellers.
I was born in a poor family and I think the people in my family had poor beliefs about money. I made it my goal to raise my kids with rich and wealthy beliefs about money. I think I did. You see, poor people adopt beliefs to justify the fact that they do not have money. Because of their beliefs, they do not take certain opportunities to gain money and their situation remains the same. My job as a mother is to keep my kids away from those thoughts.
Most people think that in order to have money, you need to make, earn or win it. I think that in order to have money, we have to have good thoughts and beliefs about money, about making money, about finances and wealthy people. If you have these thoughts, the money will come to you rather than you trying to chase it.
The best way to become wealthy is to examine your beliefs about money, get rid of the bad ones and adopt good beliefs. My strategy of getting rid of negative beliefs is to find just one example where it is not true. For example, if I believe money only comes when I work hard, I think of a time when I sat on my butt doing nothing and still got paid.
Being wealthy is more than counting the money you have in your bank account. It is a mindset. In the last chapter of Happily Wealthy Family, I shared many of the negative beliefs we often have about money. By identifying these beliefs, you can do your best to replace them with positive beliefs about money.
Here is a list of 100 positive beliefs about money, wealth, investing and rich people. Reading them does not mean you automatically adopt them. Find the ones you do believe in and make sure to hang them up in a place you can read every day. If you find others you want to adopt, find a story, a situation, or a person you know that is proof that this belief is valid.
For example, I had a belief that you have to be born rich to be rich. I wanted to believe that everyone could be rich. I knew a guy (who was my dad’s boss) who was very wealthy but was born to a very very poor family. With the help of this story, I could adopt the belief “Everyone can be rich!”