You’ll Always Be Poor If You Do This

One of the many useful pieces of information that we are not taught in school is the way to create wealth and life a meaningful life.

In the past 100+ years of public education, we have been trained to be obedient cogs in the industrial machine.

According to Seth Godin’s “Stop Stealing Dreams” (free PDF), “The mission [of the school system] used to be to create homogenized, obedient, satisfied workers and compliant, eager consumers.

The 16 Year Indoctrination Program

From the time we entered grade school through the time we graduated from college, we have been indoctrinated to fit the needs of an industrial society that no longer exists.

As Godin points out, “Factories didn’t happen because there were schools; schools happened because there were factories.”

The masses looked for steady jobs that provided a steady income. Organizations were looking for “Interchangeable workers were essential to efficient manufacturing” because they did not want to “shut down the line just because one person doesn’t show up for work.”

They figured that with a big enough pool of qualified workers, it would easier it is to find cheap, compliant workers who will follow their instructions.

The manufacturers thought that they could “buy your time an hour at a time, and replace you at any time.”

The Big Lie

Many have bought into the lie that working for an hourly wage can make you rich.

It’s can’t.

In the chart below we assume you start at a base hourly wage of $15 per hour. The first column assumes a modest 3% increase each year. The second column assumes a possible 5% (assuming you are a top performer). The final column assumes you are a superstar and get an annual pay raise of 8%.

Using the calculator at USInflationCalculator.com, the $31,200 you earned in year one would equal $63,961 in year 30. (Assuming the inflation in from 2019 to 2049 is the same as it was from 1989 to 2019).

Your new annual income of $73,525 means you increased only $9,564 over 30 years after factoring in inflation. That’s barely over $300 per year in additional income.

If you have the 5% annualized raise, your new income of $128,423 would have increased by $54,898, or around $1,800 per year.

How To Create Wealth

Assuming you are not living above your means, aka not in non-mortgage debt, you can increase your wealth quickly.

IF you have credit card debt, pay it off as quickly as possible.

You can easily get a 10%-29% TAX-FREE RETURN (savings is not taxed).

Start with the smallest debt and work your way towards paying off larger debts. Check out Dave Ramsey’s Debt Snowball Plan.

Remember that minimum wage is for minimum skills.

It was NEVER meant for people to try and make a living on.

When you live below your means, you will have money to improve your job skills. That will help you move into a higher-paying position, but you are still stuck in the hourly rate trap.

Break free of the hourly rate trap by finding ways to get paid many times for something you do once.

No matter if you flip burgers or are a highly paid lawyer that charges by the hour, there are only so many hours you can work and you will get to an hourly rate that will become too expensive to charge.

To gain wealth, you needed to leave the mindset of an hourly worker and begin to cultivate a growth mindset that the wealthy have.

Create Recurring Revenue

To become wealthy, there needs to be a move from an hourly income approach to one that generates S.W.I.S.S dollars (Sales While I Sleep Soundly).

One of the quickest ways to do this is through an online automated store where you sell a product multiple times that you created.

Check out the 6:21 mark of Dan Miller’s podcast. This is just one of the 100s of types of recurring revenue.

What is Recurring Revenue?

As Investopedia defines it, “Recurring revenue is the portion of a company’s revenue that is expected to continue in the future. Unlike one-off sales, these revenues are predictable, stable and can be counted on to occur at regular intervals going forward with a relatively high degree of certainty.”

Find Your FREEDOM Number

I invite you to Find Your FREEDOM Number.

This number is the amount of household income you need to make to live the lifestyle YOU want.

To do this, we must first determine your current level of spending and current income level.

Next, you decide what you want your lifestyle to be and then calculate how much money is needed to live that lifestyle; debt-free.

I then walk you through how you can use self-employment to generate the money you need for that lifestyle and to have time, financial, and moral freedom.

To begin that journey, click here to join the course.