Best Investing Tips and Tricks

There’s got to be a difference between the type of person who strike it rich and the average Joe, but what is it, really? This question is an important one, and it should be given the thought it deserves. There are plenty of easy, oversimplified responses, including, “Their family is rich,” “They won the lottery,” or “They have great careers.” But these factors can’t always be controlled by the individual experiencing them– is wealth really dictated by the luck of the draw?

The bad news for those lucky people is that being in those circumstances is no guarantee of wealth. In fact, according to Robert Kiyosaki, author of the Rich Dad book series, it isn’t about how much money you bring in, but how much money you keep that determines how wealthy you are.

For instance, his father, the highly educated man to whom he refers in his books as his “poor dad,” always had a good salary. Yet, Kiyosaki said, at the end of every quarter, he was practically penniless.

The good news for you, is that becoming rich has less to do with external factors like your job or whether you were born a Rockefeller, which you can’t control, and more to do with internal factors which you can.

The real key to becoming right, is the way in which you think about money. It’s as simple as that.

Kiyosaki’s “Rich Dad” demonstrated the effects that one’s personality and attitude have on the way in which one earns and handles money using a graph called the Cash Flow Quadrant. This graph is split into four quadrants, labeled ‘E,’ ‘S,’ ‘B,’ and ‘I’– “employee,” “self-employed,” “businessmen,” and “investor,” respectively. Not only do these four categories show how a person earns his or her money, claims Kiyosaki, but they shed light on the way in which different individuals view the world.

Are you beginning to see? The people in the four quadrants are not there by chance; they are there because they experience life in fundamentally different ways.

According to Kiyosaki, the people who fit into these four categories are fundamentally different in their thoughts and emotions, and these essential differences drive individuals to behave differently towards their money.

What’s more, Kiyosaki says, it is that emotional difference that determines to which quadrant a person is drawn. And, he says, you can always tell which quadrant a person is coming from simply by listening to what they say. If you hear a person talking primarily about their benefits and job security, then that person is coming from Kiyosaki’s E or employee quadrant. He also goes on to say that it is perfectly all right to live your life in the E quadrant if security is indeed the most important thing to you. But, he adds, the E quadrant is the most difficult quadrant from which to become rich.

It sounds a little scary at first, but this is actually good news for you. It’s good news because it means that, if you want to get rich, all you have to do is start thinking more like the people who live in the I, or investors, quadrant.

If you want to be rich, you should invest, and buying properties is a great place to start. Investing in real estate, in fact, was the very path Robert Kiyosaki’s “Rich Dad” took to become rich. So, start thinking rich– quit working for your money, and start letting the money you earn work for you, building your wealth.