So, what’s the difference between being rich and wealthy?
There are many answers to that questions. Here is mine:
To be rich is to have “lotsa dough – cash on hand.”
To be wealthy is to have “lotsa dough and the time to enjoy it” – no financial or time constraints on activities.
With that being said, there are plenty of careers that will help you get rich, but in my humble opinion, only two that will get you wealthy.
So what are they?
As we look at the entrepreneur ladder, we see that there are six levels. I’d go further into classifying these six levels into three categories:
Level 0-1: Broke Masses – Employees & The Self-Employed
This is where the majority of people linger their whole working career. Either they work for someone or they created a job for themselves that the call a business. They typically spend their money on “stuff” and very rarely pay themselves anything so they can have capital to invest. Ultimately, they works to get rewards.
Level 2-3: Rich Middle-Class – Managers & Business Owners
This is where the majority of business professionals – doctors, lawyers, scientist, etc. – spend most of their time. Either they are managing the business that they use to be self-employed by, or they are running the business, while their manager handles the day-to-day activities. They typically spend their money on more expensive “stuff”, but do pay themselves first, which provides them with capital to invest in stocks, bonds and other low-risk investments. Ultimately, they work to get bigger rewards, like retirement.
Level 4-5: Wealthy Elite – Investors & Entrepreneurs
This is where the magic happens – where only a small fraction of people in the business world ascend to. This is the level where your investors and entrepreneurs hang out. At this level, you’re either buying, improving and selling businesses, or you’re creating investments and them selling them to others in the wealthy elite and rich middle-class. Money on this level is typically invested to earn more money. However, once you get to this level, money isn’t your main focus because it is a by-product of what really matters to you most – having an impact on your fellow man. Whether that’s providing more employment or producing more goods and services for the benefit of all, you work not for rewards but for impact, which is why life rewards you with wealth.
A word of caution: when I speak of broke, rich and wealthy, I’m speaking more about state of mind than how much money these people have in their bank accounts.
Moving forward, which level is the best to produce wealth?
Level 4-5 of course. Why?
Whether you want to believe it or not, working for someone else will never produce the level of wealth you desire simply because trading time for money is not the formula for becoming wealthy. And quite frankly, that’s all you’re really doing until you reach level 4-5.
It isn’t until you adopt the habits of investors and entrepreneurs that you begin to see wealth being created in your life. It’s not until you begin trading money for money, and then create automated system that do most of the work without you that you truly being to create wealth in your life.
Remember: as you get better at business, it gets easier for you. Make the commitment to grow yourself so that you can reach level 4-5 and enjoy the luxury experiences you desire, instead of settling for a life at the bottom of the ladder receiving promotions and better jobs under the illusion of career advancement.
If you’re ready to take on the world and become a true entrepreneur, the first action you must take is to prepare your mind for wealth by reading books and networking with other wealthy people. Secret Entourage is a great way to do both. Don’t believe me though. Check it out for yourself.
Make it a great day!
Keep IT Wealthy,
Dhane Diesil
