Throughout my years of marketing offline-and-online, I have read stories of how people went from nothing to making millions.
I have also read stories of how people went from millions to nothing and ends meet
But until now, I never said or posted anything publicly and in here.
And the reason is because some of those mistakes in those stories are also my mistakes.
Having said that and knowing most of you already read about how people went from nothing to making millions, I am going to post about how people went from millions to making nothing and what the world is really like in terms of money now.
Having read and understood Robert's other book Cash Flow Quadrant.
The reasons why they went from millions to making nothing are because:
1. They do not do proper finance planning. It may sound very simple but it is also because of its simplicity, people don't bother especially when they have a lot of money and think the money will be theirs forever.
2. They spend on things that give them short-term pleasure but long-term pain.
Especially luxury stuff which goes beyond what an average person spend in a month.
3. They trusted and hanged out with the wrong people which resulted in broken relationships.
Not just family and friends but boyfriends and girlfriends who do not understand and appreciate the value of saving but just want to spend to get what they want.
At all costs.
That is why throughout the years of my internet marketing journey, I no longer hanged out in casual networking events whereby "we just get to know one another because we are S'poreans" all that BS stuff.
Because during my pre-internet marketing days which happens to be sales and marketing employment, I came to realize that people socialize and network for 2 things.
One is money and two is to date and have sex with the opposite sex.
Meals and socializing are just baits organizers set up to hook people.
4. They failed to understand the importance between SPENDING and INVESTING.
There is good reason why I typed those words in caps.
Because of bad conditioning by their families and friends who have no clue and no idea other than to work and save.
Which in Robert Kiyosaki's Rich Dad Poor Dad, it is the poor dad's mentality.
5. They never do enough homework before marketing or investing on things that may or may not make them money.
According to Robert's Cash Flow Quadrant, there are 4 types of income.
1. Employment Income which is what most people are in,
2. Self Employment Income which is where I am at now
3. Business Income which is when you have a team of people under you and what most MLM companies are focusing on.
4. And last but not least, Investment Income which is what most people considered as the most risky but can yield you the highest ROI if you know who to trust and how to do correctly.
Insurance is considered as the final one but under the MAS or our local finance government institution's guidelines for my non-S'porean friends, you have to set aside a certain amount and save for 2-3 years.
Before you can cash out.
That is how the world is like right now.
It is either – what Patric Chan said before – you invest your time OR
You invest your money.
It is as simple as that.
But not easy to do that as each of those 4 has its pros and cons.