Advertising
Advertising

15 Surprising Ways Rich People Think Differently

15 Surprising Ways Rich People Think Differently

Rich people don’t think like average people. That’s the world we live in.

Being able to maintain a massive wealth over a long period of time is not something easy if you don’t have the right mentality. How would you explain that a large number of lottery winners who go broke after a few years?

They don’t have the rich people mentality.

When you look at the way rich people think, you will notice some intriguing similarities.

Advertising

They think about themselves first.

Before giving large sums of money to charities, they make sure they help themselves first. They did not get rich and stay rich by helping everybody carelessly. When they do something, they know what’s in it for them. It’s not selfishness, it’s staying rich.

They are constantly thinking about the future.

The future is only the present waiting to happen. Wealthy people know that if they want to keep their lifestyle, they have to think about the long-term. Globalization, financial crisis, and world conflicts are opportunities or threats for the rich individual. Not seizing long-term opportunities and ignoring potential threats is a recipe for becoming average.

They are action-oriented.

They don’t just relax and wait for interest to come in. In an ever-changing world, rich people think about the future, but have the means to act now. Good investors know how to make a quick decision to seize a fleeting opportunity.

They are passionate.

Their passions can vary, but rich people have the money and the time to fulfill their passions. If they don’t like to do something, they can always find somebody else to do it for them and then spend more time hunting deers if that’s what they like.

Advertising

They prefer specific knowledge over formal education.

Since they are action-oriented, they prefer an education that serves a concrete goal. Education is important, but becoming excellent in a specific area is more important. Rich people become extremely rich by being excellent at doing something or at doing something nobody has dared to do. College drop-outs following their start-up dreams to become billionaires are a long-lasting cliché, but the truth is that developing specific expertise early on will give them an edge.

They are outrageously ambitious.

And they need to be. If they were not, they would settle with “richer than average.” Very rich people will never be satisfied with the amount of wealth they have. They have an internal compass that directs towards “more money,” which means bigger projects.

They are not afraid to invest.

Rich people have been presented with countless get-rich-quick scams, and they know what it takes to be where there are: effort, time, or money. Since they got to a point where the biggest leverage they have is money, and that’s what they have more of than the others, they know they will have to invest to earn. You win some, you lose some.

They know how to leverage other people’s money.

Even if they have a lot of money, they know how to use other people’s money to get what they want. Bank loans, strategic partnerships… a global vision will allow them to find other people’s money to make their investment worthwhile.

Advertising

They surround themselves with like-minded people.

Having the lifestyle of rich people is very peculiar… they don’t share the same interests as other people, and there are not many people with whom you can share your concerns about having to pay millions in income taxes. They will flock together in similar gatherings and enjoy being together anywhere in the world.

They choose the best employees.

They know that their success lies upon the people that work for them. Rich people know what they want, have very little time for administrative stuff, and rely enormously on their employees. Since there is a lot at stake, they will choose the best and pay accordingly.

They can size anybody up in an instant.

Rich people are always solicited by average people, who always come to ask them for something. After a while, it becomes easy for them to evaluate people. It’s a matter of practice!

They have a very accurate detector.

They will ask few questions, but they will learn a lot from you. Since they have a global vision, they will challenge your proposals with their experience or outside-the-box comparisons. They will see if you are faking expertise, even if they don’t know your field.

Advertising

They don’t care about what you think of them.

They don’t have anything to prove any more. They won’t feel the need to show off their money or to show some kind of status. They will be very subtle in showing that they belong to a higher social class.

They think of the world as a small place.

The super wealthy are not stuck in a specific country. They are buying the best places around the world and consider the world as being a small place. Being in three different countries in one day is not surprising for them, and they will get a feel of where the world’s pulse is.

They raise their children to be rich.

Their children will handle a huge fortune as well. It is quite a sad prospect to think that your children will dilapidate the money you or your parents made with hard work. They will try to teach them the value of money so that they learn to take nothing for granted.

More by this author

20 Ways to Describe Yourself in a Job Interview 10 Sales Skills to Help You Excel at Work Powerful Methods Of Practice You’ve Never Tried 25 Things You Should Stop Putting Off And Do This Year 15 Surprising Ways Rich People Think Differently

Trending in Money

1 How to Nix Your Credit Card Debt in Less Than 3 Years 2 Top 5 Spending Tracker Apps to Manage Your Budget Smart in 2019 3 How to Use Credit Cards While Staying Out of Debt 4 How to Use Debt Snowball to Get out from a Financial Avalanche 5 How Personal Finance Software Helps You Get More Out of Your Money

Read Next

Advertising
Advertising
Advertising

Last Updated on April 3, 2019

How to Nix Your Credit Card Debt in Less Than 3 Years

How to Nix Your Credit Card Debt in Less Than 3 Years

Debt is never a fun thing to be in. But, there are many actions that you can take that will help you rid yourself of the burden of debt once and for all.

By coming up with a set plan, eliminating your debt can feel much easier than constantly thinking about it.

This post will provide some tips on how you can do this to help you nix your credit card debt in less than 3 years.

Hint: there are ways that are easier than you think.

1. Consider Consolidating Multiple Credit Cards If Possible

This may not be applicable to you, but if you have multiple cards – it is something to consider. Keeping up with multiple bills is time consuming.

It will depend on the balance you have on each. Consolidate ones you can but do not do it to the point that you get too close to the maximum limit. Also, it is ideal to pick the card with the lower interest rate.

Consider if there are any fees or alternatively, rewards, with transferring a balance to another card. Watch out for fees. Note that some cards offer rewards for transferring a balance to them. This is extra cash that can help go towards paying off your debt.

Advertising

Having one or two cards can make nixing your debt much simpler than keeping up with the balance of a bunch of cards. Keeping track of paying the minimum towards a bunch of cards is time consuming. Spend the time to consolidate instead to make the overall process simpler going forward.

My tip: Have one main credit card. Have a second one that you use for necessities – such as groceries or gas – that offers rewards for those purchases (a lot of cards do) and set the second one on auto-pay. You should be able to pay off a smaller amount on auto-pay if it is a necessity. If you think you cannot, then you may need to cut down a lot on expenses.

Why do I suggest doing this? Having one thing set to auto-pay is one less thing to think about. One less thing to waste time on. Same idea with consolidating to one main card. Tracking down too many is a hassle.

2. Try to Pay the Full Balance You Spent Each Month at the Very Least

You need to pay off the amount you are spending each month when that bill comes in. This is the amount you spent THAT month.

Do not let the debt keep accruing while you work on paying any unpaid debt that has accrued. It will become a never-ending battle. Try as best as you can to be current on paying for each month’s expenses when that month’s bill comes out.

If this is a strain, consider why. You may need to cut expenses. Or you may need to consider other cards. Or look at where this money is going.

3. Pay Extra When You Can – Every Small Amount Counts

This cannot be emphasized enough. If you are looking at a lot of credit card debt, it can look daunting, but each extra amount that you can put towards the debt will really add up – no matter how small it is.

Advertising

It does not just reduce the principal amount that you have left to pay off, but it reduces the amount that is collecting interest. You will always save money with that reduced interest.

4. Create a Plan on How to Pay Extra

Back to the main point, having this plan is giving you one less thing to think about.

This plan should be a plan that works for you. If it does not work for you, your spending habits, and your views on debt, then it will not be an effective plan.

For instance, if a set plan of an extra $50 (or another amount that you know you can afford) works for you, then do that. Set that aside every month and pay that extra amount. Treat it like a bill. Choose an amount that works for you and pay it like clockwork as though it was a bill you had to pay each month.

Little amounts will not nix it entirely, but they will help tackle it and having a set plan can make it less of a chore. Creating a new plan of how much to put towards it each month is an unnecessary added stress.

5. Cut out Costs for Services You Do Not Use

If you are signed up for subscriptions that you do not use because of some free trial or for some other reason, cut it out. Your overall financial position will look better.

In turn, that will make cutting your credit card debt easier. Look at your statements to find these expenses. If you do not use them, you may forget you are paying some unnecessary amount each month. Cutting it out can really add up in savings that you can put towards other needed expenses.

Advertising

6. Get Aggressive About It

Consider these points:

Depending on the interest and the level of debt, you may need to give up a few indulgences. For example, instead of ordering delivery or going out to eat, cook at home. Everything adds up.

Other things may be more of a sacrifice. It may be a trip you wanted to go on, or a daily latte habit you’ve picked up. In these instances, consider how important it is to you and if it’s worth the sacrifice. And if it is a costly expense, think whether you can wait to indulge.

Cutting an extravagant expense can really help make a dent in your overall debt. Try not to add to debt when you are trying to pay it off. It will be a never-ending battle. Make it less of a battle with these tips and it will feel easier.

Bottom line: Do what you can to make this process easier for you. Implement steps that do this. It takes time now, but will help overall. Also, keep track of your spending and paying down of your debts. Which is the next point.

7. Reevaluate Your Progress at Set Intervals

Doing a regular check-in can help you see your efforts pay off or maybe indicate that you need to give this a bit more effort. If you check every 3-6 months, it will not feel so much like a chore or feel so daunting.

By doing this, you will be able to better understand your progress and perhaps readjust your plan. Bonus: if you see it pay off, it will feel great to do this check-in. You will get there.

Advertising

Finally (and most importantly)…

8. Keep Trying

Do not get discouraged. Pushing it off will make it worse. Just keep trying.

Once your debt becomes lower, each monthly payment will reduce the balance more. Why? You are paying less towards interest. It will be a snowball effect eventually and it will become much easier to manage. Just get to that point. And know once you do, it will feel easier and motivating.

Start Knocking out Your Debt Today

The best way to eliminate debt is to get started right away. Begin by implementing the above steps and watch your debt just melt away. Try out some of the above strategies and see what works best for you. Soon you’ll be on your way to a debt free life.

More Resources About Better Money Management

Featured photo credit: Pexels via pexels.com

Read Next