The Difference Between The Rich People And The Poor People
There are quite a few things separating the rich and those less fortunate people than fancy cars, luxurious homes and seemingly expensive lifestyles. In fact, it’s not the cover which sets them apart, but rather the contents of the book itself. The key difference is in the mindset.
Hello everyone and welcome back to my blog. In today’s article, we are going to have yet another look at the reasons why you shouldn’t judge a book by its cover. I have already written about this subject before, but it’s been a while since then, and I would like to have another go at it. And yes, you guessed it right – it’s going to be yet another post about the importance of your mindset. To put it bluntly – if you are struggling with your financial situation, chances are that there’s more to blame than unfortunate circumstances. If this is your first time, then be sure to subscribe. If you are a regular then leave me a like, comment, and also share, your support is an encouragement. Check out my other blogs, such as “The Guide To Success In 2020“.
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In essence, it all comes down to this – money gives you the freedom to make long-term decisions. Long term decisions often have a higher “up-front” cost than short-term ones, but they are more efficient over time. People without money will often resort to “band-aid” solutions, because it seems like the logical thing to do given their financial situation, while in reality, it only pushes them further away from achieving their dreams. And, in today’s article, I’ll give you a couple of examples of why that is.
Health is wealth
Now, since I’m such a huge advocate of healthy living, let’s kick things off with a quick glance at medical bills. I’ll use dental health as an example here, but this can be applied to just about any health situation.
When poor people have a bad tooth, they’re usually going to put off their visit to the dentist until they can’t stand the pain. Because, let’s be honest here – dental services are quite expensive, right? However, there’s a tiny detail here– the more you put off the problem, the worse it gets. And, naturally this makes the procedure more expensive as well.
But wait, there’s more. When you are in pain, your productivity and confidence suffer. You have a difficult time concentrating, you are constantly annoyed and you are likely to overlook the finer details. If only you had the money, you would have taken care of your tooth problem immediately. That’s exactly what rich people would do, right?
In reality, however, it’s not just the “rich” and privileged people who can do this, but anyone who is even remotely good at budgeting. As long as you think ahead, manage your spending wisely and set aside some money for emergencies, you can do the exact same thing. You will be healthier, happier and more productive. And this is the first step towards coming out of poverty. Because health is wealth. It is your biggest treasure. If you do happen to “make it big” but you are in poor health, you won’t be able to enjoy your success anyway.
The “Half a tank” misconception:
When you are strapped for cash, you are likely to avoid filling up your entire gas tank. It makes sense, right? You aren’t “tying up” what little money you have available in something that won’t be of immediate use. But is that really good in the long term? Spoilers – it’s not.
Okay so, I know that half a tank weighs less and it makes your driving “feel” more efficient, but believe me when I say this – it’s not. I’m no car expert, but even a quick google search can provide you with good reasons to avoid it.
First and foremost, filling up the tank all the way it saves you time and trips to the gas station. Time, which you could’ve spent on improving your financial situation, relaxing, learning or being with your friends and family. Besides, those trips to the gas station will also cost fuel, right?
Then, there’s also the whole thing with condensation. The fuller your tank is, the less room there is for condensation to occur. And, well, nobody likes condensation, right?
Again, the answer here is budgeting. Learn how to manage your finances well, lose the bad habits and you will never have to worry about driving around with just half a tank.
Credit scores and declined cards
A lot of people think that being rich means being able to go on careless spending sprees, but they could not be farther from the truth. If you spend without thinking, you are going to end up poor. Rich people are rich, because they’re exceptional at budgeting. And while it is indeed easier to make big purchases when you have a lot of money on hand, it doesn’t mean that you can spend without a thought. That’s, in fact, a shortcut to poverty.
Missing payments, applying for too much credit in a short period of time and defaulting accounts are all but guaranteed if you are bad at budgeting and decide to rely on credit. This will hurt your credit score and end up costing you a lot more in the long run. It will also prevent you from applying for low interest loans and generally hamper your overall budgeting options.
Then, there is also the mentality factor. Having to count your pennies, being unable to afford simple near-necessities, comfortable and decent looking clothes and so on, can have a really nasty impact on your confidence and mindset. If you let the worries get to your head, you are going to lose efficiency and miss out on opportunities.
Diet and eating habits
Rich people eat well, not just because “they can afford it”, but because they appreciate the benefits of a healthy diet. More nutritious food is generally going to be more expensive and the products themselves are going to be of a higher quality. And if there is one thing that you should never be stingy about, it’s your health.
Eating well and ensuring that your body has access to the necessary amount of nutrients, vitamins and minerals is essential. A good diet includes a healthy balance of fish, meat, fruits and veggies does wonders for your health, productivity and overall physical appearance. As a result, the people who are “privileged” enough to eat well are going to not just look and feel better, but they will also be a lot healthier, saving time and money from visits to the doctor’s office and medical expenses.
Value to Your Time and Effort
When people find themselves strapped for cash, they are likely to undersell themselves. They are willing to work for less than what they could be getting. They are willing to spend their time on things that just aren’t worth it in the long run. And, they’re much less likely to ask for a raise or look for a new job that pays more. All of this is understandable, especially if more people rely on them.
Of course, not everyone ends up here because of their poor budgeting skills. Sometimes, the unexpected happens, and the circumstances put you in a rough spot. But if you want to have a shot at getting back on track, you cannot allow yourself to fall for this mentality. Wealthy and successful people are rich and successful because they value their time. Because they focus on the “long-term”, rather than the “short-term”. They know that they’ve got a set number of hours in their day and they spend them wisely.
Value Your Money
Or, as I like to say “DIY is great … until it’s not!”.
Fixing and improving things around your home is fun and sometimes cheaper than calling a professional, but you should know your limits. Even if you are strapped for cash, you should not attempt to fix things that you don’t understand, or you risk damaging them. And, if you end up damaging your vehicle, TV or laptop, you’re going to end up spending a lot more money than you would have spent initially.
There is so much that can set the rich people apart from the poor, but the truth is that the attitude and mindset of a poor person are what keeps them poor. Changing your mindset, looking at things objectively and aiming for the long-term results is the first (and most important) step towards success. This is where the journey begins.
And that’s where we’ll leave it for today. If you want to read more on the subject, I’ve got a couple of links waiting for you down below. As always, don’t forget to subscribe so you can stay up to date with my latest posts. Also, please take the time to leave a comment, like, and share if you enjoyed today’s content.
Thank you all for being here with me today and until next time:
Stay green and clean!
Recommended books for further reading: