Lessons Learned about Money

[Sahil Pandit]

What are some insights you wish you had learned about money when you were younger? Or...

What is some financial advice that really made you look at money and finance differently? 

[Charlotte]

5 hours ago, Sahil Pandit said:

What are some insights you wish you had learned about money when you were younger?

Money can change certain people. Become part of their identity. Live in fear because of it. (I know money itself isn't the problem it's the person but this would of helped me when I was younger)

5 hours ago, Sahil Pandit said:

What is some financial advice that really made you look at money and finance differently?

It's a form of control. Fundamentally it's a piece of paper. We assign the meaning.

[Preetom]

(fantasy question)

If everybody in the world woke up one morning and tore apart all the money, would the value of the world decrease, increase or remain the same?

[Wyze]

2 hours ago, Charlotte said:

Money can change certain people. Become part of their identity. Live in fear because of it. (I know money itself isn't the problem it's the person but this would of helped me when I was younger)

It's a form of control. Fundamentally it's a piece of paper. We assign the meaning.

Agreed. Money, or the meaning of money is social construction. It is designed to help with trade goods and services (for living a life). It is not the means to an end. But somehow the meaning got mixed up today, and some people chase money as a means to an end.

Edited November 16, 2018 by Wyze

[Bluebird]

Rather than focusing on pinching pennies. Focus on producing more value.

[Sahil Pandit]

@Bluebird That's what it boils down to. Increasing your value in the market place, hmm. 

[aurum]

@Sahil Pandit

Just seeing the sheer amount of scarcity mentality people (including myself) have around money. Once you start seeing it. your entire world view changes.

Quick story, I was standing in line at a convenient store the other day. The guy in front of me was buying a pack of cigarettes, and it turned out that this pack of cigarettes was $3 more than what he was used to paying outside Miami.

This guy must have gone on a five minute rant about how ridiculous the price was, how Miami is bullshit because of how expensive everything is, so on and so forth. The cashier had no idea what to do.

I honestly feel bad for that guy. Because if $3 is a big enough deal to make you start ranting, what does that subconscious say about your self-belief to create wealth for yourself? If you were to put a dollar amount on how much this guy valued his time, how low would it be?

But he probably grew up in poverty, and so that way of thinking is all he knows.

Conversely, I am also blessed to have experienced some of the most extravagant living. Being in nightclubs and watching billionaires blowing hundreds of thousands of dollars in a single night. A dinner for a few people that costs $5,000. Art pieces that sell for millions of dollars. And they do this with essentially no hesitation.

The monetary gap between people who have money and those that don't is so absurd. Even if you're making 100k a year and think that means you're doing well, you are an absolute peasant to many of those people.

And you have to be around people who have this kind of money for the gap to truly sink in. I'm just continually blown away not only by the differences in money, but by the differences in thinking and what is considered "normal".

So yeah, there is a crazy amount of money out there. For anyone who owns a business and is worried about the price they charge, realize that people are spending probably 1000x your price on products that don't help them at all. They literally might do that just out of boredom. So you don't need to feel guilty.

[Joseph Maynor]

My overarching goal is to take the work I would do as a hobby if I were retired and find a way to make sustainably adequate income doing that work. This is the vision behind my whole career metamorphosis strategy that I’m implementing in my Life Purpose Work.

Video on point to watch:

 

Edited November 16, 2018 by Joseph Maynor

[Sahil Pandit]

@aurum I appreciate the thoughtfulness you put into your comment! 

I can see you making a video on a topic like this using the examples above 

[Sahil Pandit]

@Charlotte Yes indeed, especially if one went through very hard times or some type of trauma related to money.

It's really sad when money and relationships get conflated. 

I wish it wasn't so.. 

[Sahil Pandit]

@K VIL How did you feel when you started paying instead of her? 

[aurum]

28 minutes ago, Sahil Pandit said:

@aurum I appreciate the thoughtfulness you put into your comment! 

I can see you making a video on a topic like this using the examples above 

I most definitely will be. It’s important to talk about.

[Rinne]

Time, Money, Energy 

[universe]

Some advice when buying (especially luxury items) - If an items costs 99$, think of it in terms of how much hours you work for this amount of money. If you make 15$/h its now costing you 6-7 hours of work. So 6-7 hours of doing what you do at work. Helps to put things into perspective.

[Charlotte]

@Sahil Pandit Yes. My dad lives in fear. He uses money as his safety net. It's also become part of his identity. Sad really but it's up to him to see that ? 

[Annoynymous]

What is the relationship between ones income and his/her relation with other people?

Many says that those who have big income and lives a fancy lifestyle his/her rltn goes pretty well with people. Like they are respected and loved. If the same person's income goes down, his/her existing rltn starts to change in a negative way. 

Anyone has any perspective on this? 

[Shadowraix]

2 minutes ago, Annoynymous said:

What is the relationship between ones income and his/her relation with other people?

Many says that those who have big income and lives a fancy lifestyle his/her rltn goes pretty well with people. Like they are respected and loved. If the same person's income goes down, his/her existing rltn starts to change in a negative way. 

Anyone has any perspective on this? 

From my experience, People tend to look down on the poor because they perceive them as lazy or not applying themselves. Settling for the bottom barrel. The poor don't like the rich because they feel like they are greedy and corrupt. Money driven over sustaining life. But i'd say a lot of the poor only feel that way because they are so low in the wealth scale. You want fairness more when it benefits you. The rich funny enough though depend on the poor to be poor in order to be rich. Not everybody can be rich. At least in a capitalistic society. 

[7thLetter]

Not specifically about money, but I guess I’ve learned quite a bit about the sales perspective when it comes to get-rich-quick-schemes. Maybe its obvious for some people, and maybe its not for others, but just wanted to share.

Money is definitely an emotional topic, so often times what the sales people do is play with your emotions in order for you to buy their course or their service, etc. I’ve seen this many times, they take some business opportunity like MLM, trading the financial markers, e-commerce, whatever it is, and they market it as a get rich quick. They make it sound easy, they make it sound like its the best opportunity, and that way you buy whatever it is they’re marketing to you. Especially when they mention that its not a get rich quick. They will say something like, “If you find a get rich quick then please let me know because this is not one!” They’re trying to do a bit of honest marketing there, but I still see that as a way to manipulate others.

But don’t get me wrong I’m not saying that there aren’t great opportunities out there, you can definitely make money in these opportunities but the reality of it is that it takes time and effort like a lot of things. For example, Forex trading is something I do on the side, and I often see it marketed as a get-rich-quick. Sure it definitely can be one if you have a large starting capital, risk your whole account, and trade short time frames, but trading that way often results in a huge loss. With a long-term approach to it, the reality of it is at best maybe around 50% profit of your account size in a year. So with a $1000 account, a good long-term trader would be able to turn that into $1500 within a year.

So these days I’m starting to see the reality of most of these online businesses. Dropshipping reality, you need to generate a ton of traffic first before it takes off, through ads and perfect audience targeting. Trading reality, consistent practice with a potential of around 50% your account. Amazon FBA, potential profits are under 50% of your investment with some exceptions. Although you can sell your business for a large sum of money if it does well. MLM, manipulative as heck, reality is manipulate friends and family to join and that money gets split between you and several other people. 

Okay this is getting a bit long so those are my thoughts.

[Aaron p]

@Preetom

On 16/11/2018 at 7:57 AM, Preetom said:

(fantasy question)

If everybody in the world woke up one morning and tore apart all the money, would the value of the world decrease, increase or remain the same?

I would say the value of the world would stay exactly the same, since all value is belief (or so I would believe). Regarding the functuality of the world (financially), if everyone ripped up their money the global economy would probably die instantly, leaving everyone to their own power to extract oil from fossils for their fuel, harness the power of electricity from somewhere somehow to power their phone and house. Everyone would either have to instantly agree to a different method of trade, or probably die. Lol but sure death apparently doesent exist either (that one I still need to discover.)

[brugluiz]

I never saw a way of making money without effort. I think that even people who make passive income need to put effort. There are some folks who say that money can come without effort or easily, but I still can't believe it (like Access Counsciousness people / the technique is great though).