Thursday, June 05, 2008

"You Are Definitely On Drugs!"

"You Are Definitely On Drugs!"

On_money_drugs
Image supperrabbit

Have you ever known anyone with a serious drug problem? Or seen a bad addiction on a movie?

Well, have noticed that as soon as the "druggie" runs out of their supply they'll do almost anything to get more. They'll do anything to get another "hit". They will do what ever it is that they know to get more.

Well, last week I was reading Robert Kiyosaki's book, The Cashflow Quadrant, for a second time and I stumbled across this idea that came to life for me last week.

Ready for it?

Are you sure?

Here it is...

You are on drugs too.

Yeah, and you know what your drug is?

Come on, guess!

Your drug is MONEY. You are addicted to it.

Yeah, it's true. Money is your drug.

Think about it. When you need more of it what do you do?

You'll do what ever it is that you know to get more.

Hmmm...read that last sentence again, sound familiar (if it doesn't...then read about the druggie mentioned earlier!).

If you make your money by trading your time for money then you'll ask for more time at your place of employment.

If you make your money by getting commission checks then you you'll work for more commission.

If you are self-employed you'll work longer and harder for more revenue.

If you make your money by having your assets produce extra cash flow then you'll find a way to get more assets or extract more from what you have.

So there you have it.

Why do what you do? Because that's what you know. Over the years you've slowly and unknowingly taught yourself to make money in a specific way. And when you need more money you do more of what you've always done.

If you've been making money by going to work then you try to work more for more money.

If you know how to make money by extracting it from assets then that's what you do.

The difference is in what you know. There's nothing wrong with how you make money but some ways are like hauling buckets back and forth from the "money well" every day and other ways are like building pipelines that produce money at will.

How do you change the way you make money? Education first. But don't over do it. Six months of reading about something should be more than enough. Then you start down the new path with action. Making money in new ways is definitely a process.

It doesn't happen overnight like you may want to. You'll make mistakes, there will be pain and frustration but if you stick with it before you know it you'll be feeding your addiction much easier. And something strange happens.

Once you know how to make money in multiple ways you don't worry about it any more. You've put yourself in the driver seat and the addiction becomes much less strong.

Last week two different friends were talking about making money.

One has worked for a company his whole life and never bothered learning about anything new. He's almost proud that he hasn't read a book since college. So he's going off to make more money by working harder.

Another friend is an investor in single family homes. He needs some money to buy a new car. He also works for a company but a few years ago went through the process of learning how to invest in real estate.

So he's decided to extract some money from a property by selling an option on it to a tenant. That way he still owns the asset, didn't trade time for dollars, and now has the money for his new car.

Neat huh?

How do you feed your addiction?

Tom Karadza
Income For Life Toronto
http://www.therealestaterenegades.com/