How Rich Parents Raise Their Children To Become Successful
Sometimes we take easy lessons for granted, even if they may be life changing. We some how expect practices that change life to be so challenging and take so much out of us. And that’s where most fail before they even start. The following 5 lessons can be applied by anyone at any age; its just more fruitful to bequeath them to our children.
People who are wealthy and happy are not caught up in a world that most are. A world that its mundane has become hours on social media, fast food, Netflix and YouTube. Nonproductive habits have crept into the life of most without them realizing that precious hours are wasting by, hours that could be spend by making dollars.
The rich teach their children not to expect to get rich quick. So winning a the lotto and get rich quick schemes are out. Rich parents teach their children about long term thinking, which drags along quality and worthiness. Think beyond 5 years, let the 5 years be checkpoint because the chances of you living for more than 5 years are probably good. The rich don’t plan for just a year ahead, they plan for decades ahead.
2. How to use money
People who don’t have money tend to blame their misfortunes on the lack of money, which makes them believe that money will solve all their problems. But once they have money, they seem to have more problems. If more money equals more problems, then you most likely have a problem with how to money. And look at expected outcomes as problems.
Money is a tool that it’s main objective (aside from others)has remained to use it as an exchange for material value. And how you use money is how you see money.
3. Solving problems make you rich
The world of business has shown that the most successful in it have been the ones to solve problems. And that is exactly what the rich teach their children.
Something the rich are quick to teach their children is the fundamental difference between getting paid and getting rich. They hardly do repetitive work because it is easily outsourced. Instead they focus on big problems, the bigger the problem the more likeliness of greater success. A few examples of big problems include; private data, home security, internet for everybody and artificial intelligence. Business that provides solutions always thrive.
Your children will be at a good start once they learn that people will pay for you to solve their problems.
4. The difference between assets and liabilities
In simple terms; asset is what makes you money and a liability a costs you money. Most people don’t realize that the cars they drive and the houses they live in are liabilities. And some don’t realize that all they have is liabilities; and that’s what keeping them form actually having money.
To make money, you need to focus your time and money on things that make you money. Then once you have money you can spend on luxuries; but before that, keep away from spending on luxuries.
5. Increase ways of income
Some think lowering expenses helps in increasing their income; it really doesn’t. Let’s say you earn $ 3 000 monthly, and you decide to cut your expenses to $1 700 from $2 300 every month. That’s a pretty good change but please do realize that your income still remains the same. You still earn $ 3 000 a month. What the rich or those who became and are becoming rich do is find ways bring in more income. There’s no shame in starting small, it might start of as an extra $100 and that’s okay. It very rare that someone will call you and say, “I have this extra $100 and I felt like you should have it so am sending it to you right now”.
People who make money perfectly understand that they have put in the necessary time and work to own money. And that there are certain ways one must follow. Best of all is that they teach these ways to their children.
Originally published at https://businessinchildinvestment.com on February 5, 2021.
