21 Ways Rich People Think Differently

14 years ago

This is a great article Isaiah! Thanks for linking to it. I've copied and pasted it here (with credits) so everyone can read it...

21 Ways Rich People Think Differently

By Mandi Woodruff | Business Insider – Tue, Sep 4, 2012 10:50 AM EDT

World's richest woman Gina Rinehart is enduring a media firestorm over an article in which she takes the "jealous" middle class to task for "drinking, or smoking and socializing" rather than working to earn their own fortune.

What if she has a point?

Steve Siebold, author of "How Rich People Think," spent nearly three decades interviewing millionaires around the world to find out what separates them from everyone else.

It had little to do with money itself, he told Business Insider. It was about their mentality.

"[The middle class] tells people to be happy with what they have," he said. "And on the whole, most people are steeped in fear when it comes to money."

1. Average people think MONEY is the root of all evil.
Rich people believe POVERTY is the root of all evil.

"The average person has been brainwashed to believe rich people are lucky or dishonest," Siebold writes.

That's why there's a certain shame that comes along with "getting rich" in lower-income communities.

"The world class knows that while having money doesn't guarantee happiness, it does make your life easier and more enjoyable."

2. Average people think selfishness is a vice.
Rich people think selfishness is a virtue.

"The rich go out there and try to make themselves happy. They don't try to pretend to save the world," Siebold told Business Insider.

The problem is that middle class people see that as a negative––and it's keeping them poor, he writes.

"If you're not taking care of you, you're not in a position to help anyone else. You can't give what you don't have."

Getty Images

3. Average people have a lottery mentality.
Rich people have an action mentality.

"While the masses are waiting to pick the right numbers and praying for prosperity, the great ones are solving problems," Siebold writes.

"The hero [middle class people] are waiting for may be God, government, their boss or their spouse. It's the average person's level of thinking that breeds this approach to life and living while the clock keeps ticking away."

4. Average people think the road to riches is paved with formal education.
Rich people believe in acquiring specific knowledge.

"Many world-class performers have little formal education, and have amassed their wealth through the acquisition and subsequent sale of specific knowledge," he writes.

"Meanwhile, the masses are convinced that master's degrees and doctorates are the way to wealth, mostly because they are trapped in the linear line of thought that holds them back from higher levels of consciousness...The wealthy aren't interested in the means, only the end."

I Love Lucy screencap

5. Average people long for the good old days.
Rich people dream of the future.

"Self-made millionaires get rich because they're willing to bet on themselves and project their dreams, goals and ideas into an unknown future," Siebold writes.

"People who believe their best days are behind them rarely get rich, and often struggle with unhappiness and depression."

6. Average people see money through the eyes of emotion.
Rich people think about money logically.

"An ordinarily smart, well-educated and otherwise successful person can be instantly transformed into a fear-based, scarcity driven thinker whose greatest financial aspiration is to retire comfortably," he writes.

"The world class sees money for what it is and what it's not, through the eyes of logic. The great ones know money is a critical tool that presents options and opportunities."

7. Average people earn money doing things they don't love.
Rich people follow their passion.

"To the average person, it looks like the rich are working all the time," Siebold says. "But one of the smartest strategies of the world class is doing what they love and finding a way to get paid for it."

On the other hand, middle class take jobs they don't enjoy "because they need the money and they've been trained in school and conditioned by society to live in a linear thinking world that equates earning money with physical or mental effort."

8. Average people set low expectations so they're never disappointed.
Rich people are up for the challenge.

"Psychologists and other mental health experts often advise people to set low expectations for their life to ensure they are not disappointed," Siebold writes.

"No one would ever strike it rich and live their dreams without huge expectations."

BarackObamadotcom via YouTube

9. Average people believe you have to DO something to get rich.
Rich people believe you have to BE something to get rich.

"That's why people like Donald Trump go from millionaire to nine billion dollars in debt and come back richer than ever," he writes.

"While the masses are fixated on the doing and the immediate results of their actions, the great ones are learning and growing from every experience, whether it's a success or a failure, knowing their true reward is becoming a human success machine that eventually produces outstanding results."

10. Average people believe you need money to make money.
Rich people use other people's money.

Linear thought might tell people to make money in order to earn more, but Siebold says the rich aren't afraid to fund their future from other people's pockets.

"Rich people know not being solvent enough to personally afford something is not relevant. The real question is, 'Is this worth buying, investing in, or pursuing?'" he writes.

11. Average people believe the markets are driven by logic and strategy.
Rich people know they're driven by emotion and greed.

Investing successfully in the stock market isn't just about a fancy math formula.

"The rich know that the primary emotions that drive financial markets are fear and greed, and they factor this into all trades and trends they observe," Siebold writes.

"This knowledge of human nature and its overlapping impact on trading give them strategic advantage in building greater wealth through leverage."

12. Average people live beyond their means.
Rich people live below theirs.

"Here's how to live below your means and tap into the secret wealthy people have used for centuries: Get rich so you can afford to," he writes.

"The rich live below their means, not because they're so savvy, but because they make so much money that they can afford to live like royalty while still having a king's ransom socked away for the future."

richkidsofinstagram.tumblr.com

13. Average people teach their children how to survive.
Rich people teach their kids to get rich.

Rich parents teach their kids from an early age about the world of "haves" and "have-nots," Siebold says. Even he admits many people have argued that he's supporting the idea of elitism.

He disagrees.

"[People] say parents are teaching their kids to look down on the masses because they're poor. This isn't true," he writes. "What they're teaching their kids is to see the world through the eyes of objective reality––the way society really is."

If children understand wealth early on, they'll be more likely to strive for it later in life.

14. Average people let money stress them out.
Rich people find peace of mind in wealth.

The reason wealthy people earn more wealth is that they're not afraid to admit that money can solve most problems, Siebold says.

"[The middle class] sees money as a never-ending necessary evil that must be endured as part of life. The world class sees money as the great liberator, and with enough of it, they are able to purchase financial peace of mind."

Kim Bhasin / Business Insider

15. Average people would rather be entertained than educated.
Rich people would rather be educated than entertained.

While the rich don't put much stock in furthering wealth through formal education, they appreciate the power of learning long after college is over, Siebold says.

"Walk into a wealthy person's home and one of the first things you'll see is an extensive library of books they've used to educate themselves on how to become more successful," he writes.

"The middle class reads novels, tabloids and entertainment magazines."

16. Average people think rich people are snobs.
Rich people just want to surround themselves with like-minded people.

The negative money mentality poisoning the middle class is what keeps the rich hanging out with the rich, he says.

"[Rich people] can't afford the messages of doom and gloom," he writes. "This is often misinterpreted by the masses as snobbery.

Labeling the world class as snobs is another way the middle class finds to feel better bout themselves and their chosen path of mediocrity."

Flickr / Wei Tchou

17. Average people focus on saving.
Rich people focus on earning.

Siebold theorizes that the wealthy focus on what they'll gain by taking risks, rather than how to save what they have.

"The masses are so focused on clipping coupons and living frugally they miss major opportunities," he writes.

"Even in the midst of a cash flow crisis, the rich reject the nickle and dime thinking of the masses. They are the masters of focusing their mental energy where it belongs: on the big money."

18. Average people play it safe with money.
Rich people know when to take risks.

"Leverage is the watchword of the rich," Siebold writes.

"Every investor loses money on occasion, but the world class knows no matter what happens, they will aways be able to earn more."

Flickr / Ibrahim Iujaz

19. Average people love to be comfortable.
Rich people find comfort in uncertainty.

For the most part, it takes guts to take the risks necessary to make it as a millionaire––a challenge most middle class thinkers aren't comfortable living with.

"Physical, psychological, and emotional comfort is the primary goal of the middle class mindset," Siebold writes.

World class thinkers learn early on that becoming a millionaire isn't easy and the need for comfort can be devastating. They learn to be comfortable while operating in a state of ongoing uncertainty."

20. Average people never make the connection between money and health.
Rich people know money can save your life.

While the middle class squabbles over the virtues of Obamacare and their company's health plan, the super wealthy are enrolled in a super elite "boutique medical care" association, Siebold says.

"They pay a substantial yearly membership fee that guarantees them 24-hour access to a private physician who only serves a small group of members," he writes.

"Some wealthy neighborhoods have implemented this strategy and even require the physician to live in the neighborhood."

Getty Images

21. Average people believe they must choose between a great family and being rich.
Rich people know you can have it all.

The idea the wealth must come at the expense of family time is nothing but a "cop-out", Siebold says.

"The masses have been brainwashed to believe it's an either/or equation," he writes. "The rich know you can have anything you want if you approach the challenge with a mindset rooted in love and abundance."

From Steve Siebold, author of "How Rich People Think."

...click here to read more >>

[ 7 ] Thanks

{{ DiscussionBoard.errors[7029517].message }}

O0o0O

14 years ago

This article is on point for the most part. People have not changed since the dawn of man. People are still driven by emotion and greed, and investors do well when they can capitalize off of this.

Thanks
1 reply

Signature

Do you offer digital/physical products, services, consultations, events or subscriptions?
Sell on our platform! We're better than Shopify (more affordable too!) [Warrior Discount Inside!]

{{ DiscussionBoard.errors[7029557].message }}

Mr Bill

14 years ago

Originally Posted by O0o0O

This article is on point for the most part. People have not changed since the dawn of man. People are still driven by emotion and greed, and investors do well when they can capitalize off of this.

When you say "people" you don't mean all people, you mean some people - right? I'm not sure it would be a great life if people focused on making money off people's emotions and greed. Emotions...maybe - but greed?

Thanks

{{ DiscussionBoard.errors[7029570].message }}

Weedy92

14 years ago

Read this awhile ago, it's pretty interesting/accuate.

Thanks

Signature

/// NEW! The Best Links At The Best Prices. PERIOD.

+ Velocity Elite: High-Status PR & AUTHORITY: Real Guest Posts FOR MONEY SITES + Real Deal Prices! Click.

{{ DiscussionBoard.errors[7029560].message }}

FIP

14 years ago

Thanks for the reminder Isaiah.

Its mindset that will determine (in my opinion at least) your success, happiness and lifestyle.

So wheres the best investment to be made in life?

[ 1 ] Thanks

Signature

"If one advances confidently in the direction of his own dreams and endeavours to live the life which he has imagined - he will meet a success unexpected in common hours"
-Thoreau

{{ DiscussionBoard.errors[7029603].message }}

ketset

14 years ago

Thanks a lot but there's nothing wrong with being a normal member of society - once you have it all, you want more and more.

Thanks

Signature

GLEN LEXITON - GAY EROTICA AND DREAMMAKER

{{ DiscussionBoard.errors[7029632].message }}

themesplice

14 years ago

Very interesting article. Thanks for sharing Isaiah!

Thanks

Signature

Learn How I Tripled My Adsense Earnings By Following These Simple Methods

{{ DiscussionBoard.errors[7029834].message }}

Jerome Y

14 years ago

Good read, although I wouldn't agree with everything on that list ! Either that or I'm still considered to have a poverty mentality

Thanks

Signature

Make Money By Sharing Cool Apps with Friends! No Selling involved, PM me for details!

{{ DiscussionBoard.errors[7030061].message }}

mervyngoh

14 years ago

Great share, it is also important how a parent teach the children, if from young they are planted with the poor mindset, it might be hard to change because bad habit dies hard.

Thanks

Signature

Embark on the Internet Marketing Journey with IM Knights
Unleash the power within you with the Secrets of self empowerment

{{ DiscussionBoard.errors[7030164].message }}

MilkerFocus

14 years ago

Most of them are exectly what I think.
I believe I will be very rich in the future.

Thanks sharing Isaiah & Bill.

marcus

[ 1 ] Thanks

{{ DiscussionBoard.errors[7030210].message }}

jackiej21

14 years ago

Parts of this article remind me of a book I read a while ago by Paul McKenna - "I can make you rich" - we have to remember there are more ways to be "rich" than with just money

Thanks

{{ DiscussionBoard.errors[7030300].message }}

Mark Kent

14 years ago

Read it sometime ago.
I am into personal development and I absolutely believe in it.
I have begun to develop most of these mindsets.

More rich people around you, more product and service you can
sell to them and you get rich faster. More people in problem around you..
give them solution, teach them how to solve them, you make money.
They are happy and you are happy.

Thanks

{{ DiscussionBoard.errors[7031853].message }}

GT

14 years ago

Thanks, Mr Bill, for posting the article so we can all read it.

Every point on the list is packed with wisdom, insight and value. Three points I'll mention are:

#3 - Action (vs. lottery)

#4 - Acquiring Knowledge (vs. formal education)

#13 - Teaching kids HOW to be prosperous (vs. how to survive)

All the points on the list are good, but these three points stand out to me.

GT

Thanks
1 reply

Signature

* You Can Begin Earning Affiliate Income Here â€“ Direct Commissions and Residual Income!
* Home Business Resources and Affiliate Opportunities
* Visit This Library to Expand Your Knowledge â€“ Blog Post
* Reinventing Your Life - Make the Rest of Your Life the BEST of Your Life!
* Follow Me On Twitter ===> MyPowerSite <===| gtbulmer | StarrBizzcom

{{ DiscussionBoard.errors[7032101].message }}

Isaiah Jackson

14 years ago

Originally Posted by O0o0O

This article is on point for the most part. People have not changed since the dawn of man. People are still driven by emotion and greed, and investors do well when they can capitalize off of this.

That maybe true but the fact is they are driven toward success. Just like we all should be.

Originally Posted by FIP

Thanks for the reminder Isaiah.

Its mindset that will determine (in my opinion at least) your success, happiness and lifestyle.

So wheres the best investment to be made in life?

Sure thing, and I also firmly believe its all in the mindset of the person chasing success.

Originally Posted by themesplice

Very interesting article. Thanks for sharing Isaiah!

Your welcome

Originally Posted by MilkerFocus

Most of them are exectly what I think.
I believe I will be very rich in the future.

Thanks sharing Isaiah & Bill.

marcus

You will be very rich in the future as will I.

Originally Posted by jackiej21

Parts of this article remind me of a book I read a while ago by Paul McKenna - "I can make you rich" - we have to remember there are more ways to be "rich" than with just money

I've never heard of that book, but it makes me want to check it out now thanks for the suggestion.

Originally Posted by GT

Thanks, Mr Bill, for posting the article so we can all read it.

Every point on the list is packed with wisdom, insight and value. Three points I'll mention are:

#3 - Action (vs. lottery)

#4 - Acquiring Knowledge (vs. formal education)

#13 - Teaching kids HOW to be prosperous (vs. how to survive)

All the points on the list are good, but these three points stand out to me.

GT

Those 3 points stood out to me also. Good to know that I wasn't the only one who felt the same way

- Isaiah Jackson

Thanks

Signature

Send Emails, Get Paid - My business summarized in four words. For the how-to go here

{{ DiscussionBoard.errors[7032143].message }}

textchx

14 years ago

I've always said there are definitely 2 different mindsets on this planet when it comes to money and wealth. That's why the majority of people fail to progress materially many times.

Thanks

Signature

BRAND NEW RETARGETING SOFTWARE! Password Your Links, Build A MASSIVE LIST WORTH $1000's!
COUPON CODE "RETARGET30"

{{ DiscussionBoard.errors[7032479].message }}

oldwarrioruser1

14 years ago

This is hard to say.. but I don't want to be in denial..

IM AVERAGE! Most of those facts, I fit right into them! I'm the average person! And it feels good to read this and see where I need to be headed.

Now, I need to focus on shifting my thoughts into the correct direction!

Thanks
1 reply

{{ DiscussionBoard.errors[7033135].message }}

bainbridge80

14 years ago

This is a great article Isaiah, thanks for posting.

These are the points that I find I need to work on myself.7. Average people earn money doing things they don't love. Rich people follow their passion. -I need to start spending more time focusing on getting my internet marketing career going and stop stressing and worrying about my job which I is not at all what I want to be doing.

8. Average people set low expectations so they're never disappointed. Rich people are up for the challenge. - I have done this because of fear. I am either afraid I will fail or maybe I'm afraid I will succeed. But I have set the bar low and I will never get out of my situation if I keeping thinking like this.

13. Average people teach their children how to survive. Rich people teach their kids to get rich. - I don't think it is promoting elitism, there is a reason why so many rich children go on to be rich adults and so many poor children become poor adults. It is not a coincidence.

16. Average people think rich people are snobs. Rich people just want to surround themselves with like-minded people. - I have found myself thinking this about some rich people. But If you are the smartest one or the most successful one in your group then you can't learn and grow.

19. Average people love to be comfortable. Rich people find comfort in uncertainty. -I feel safe in my comfort zone because I'm used to it, but I need to ask myself do I want to feel safe or be successful.

Thanks
2 replies

{{ DiscussionBoard.errors[7035504].message }}

Mr Bill

14 years ago

Originally Posted by bainbridge80

...
19. Average people love to be comfortable. Rich people find comfort in uncertainty. -I feel safe in my comfort zone because I'm used to it, but I need to ask myself do I want to feel safe or be successful.

Just on this last point; if your aim is to be comfortable then you are a success in that. I promote "Urban Wealth" which is reaching a comfortable level of urban living with cash in the bank to maintain this lifestyle for as long as you are comfortable (or at least not in financial stress or pain). It's not a "rich" lifestyle but one that brings comfort and security which are very desirable and a great way to live.

...click here to read more >>

Thanks

{{ DiscussionBoard.errors[7035529].message }}

Isaiah Jackson

14 years ago

Originally Posted by textchx

I've always said there are definitely 2 different mindsets on this planet when it comes to money and wealth. That's why the majority of people fail to progress materially many times.

I've always thought that also and the more I read on the more I start to think its true.

Originally Posted by LegitSells

This is hard to say.. but I don't want to be in denial..

IM AVERAGE! Most of those facts, I fit right into them! I'm the average person! And it feels good to read this and see where I need to be headed.

Now, I need to focus on shifting my thoughts into the correct direction!

The first step is admitting the truth to yourself. Since you done that you will be on your way to becoming more than average.

Originally Posted by bainbridge80

This is a great article Isaiah, thanks for posting.

These are the points that I find I need to work on myself.7. Average people earn money doing things they don't love. Rich people follow their passion. -I need to start spending more time focusing on getting my internet marketing career going and stop stressing and worrying about my job which I is not at all what I want to be doing.

8. Average people set low expectations so they're never disappointed. Rich people are up for the challenge. - I have done this because of fear. I am either afraid I will fail or maybe I'm afraid I will succeed. But I have set the bar low and I will never get out of my situation if I keeping thinking like this.

13. Average people teach their children how to survive. Rich people teach their kids to get rich. - I don't think it is promoting elitism, there is a reason why so many rich children go on to be rich adults and so many poor children become poor adults. It is not a coincidence.

16. Average people think rich people are snobs. Rich people just want to surround themselves with like-minded people. - I have found myself thinking this about some rich people. But If you are the smartest one or the most successful one in your group then you can't learn and grow.

19. Average people love to be comfortable. Rich people find comfort in uncertainty. -I feel safe in my comfort zone because I'm used to it, but I need to ask myself do I want to feel safe or be successful.

You are going to have let go of that fear of yours. Because its your fear of failure that is holding you back. We all have fears but your going to have to look that fear in the eyes and tell it, "I'm in control" then you take control and never let it stop you again, and if it pops up you grab it by the throat and tell it again "I'm in control"

- Isaiah Jackson

Thanks
1 reply

Signature

Send Emails, Get Paid - My business summarized in four words. For the how-to go here

{{ DiscussionBoard.errors[7035563].message }}

bainbridge80

14 years ago

Originally Posted by Isaiah Jackson

You are going to have let go of that fear of yours. Because its your fear of failure that is holding you back. We all have fears but your going to have to look that fear in the eyes and tell it, "I'm in control" then you take control and never let it stop you again, and if it pops up you grab it by the throat and tell it again "I'm in control"

- Isaiah Jackson

I like that advice, thanks.

Thanks
1 reply

{{ DiscussionBoard.errors[7036693].message }}

BizManRobert 14 years ago

AND...For the 22nd Way...

In 0ne Word -MINDSET

Ask any CEO or anyone that is successful and they will tell you why they are there - and why some individuals will always be in the poor house - simple Mindset!
Until you get your mind right YOU will never be successful.

Which is basically the crux of this article...
- Thanks
Signature
''Discover How To Make $19,289 In Just 30 Days From Biz Owners Begging You To Take Their Money!''

"Your time is limited, so don't waste it living someone else's life. Don't be trapped by dogma - which is living with the results of other people's thinking. And most important, have the courage to follow your heart and intuition." ~ Steve Jobs (RIP)
{{ DiscussionBoard.errors[7037040].message }}

Mr Bill

14 years ago

Originally Posted by Ken_Caudill

The only difference is the rich have more money.

Care to elaborate Ken? What do you mean?

Thanks
1 reply

{{ DiscussionBoard.errors[7035628].message }}

Mr Bill

14 years ago

Originally Posted by vajra123

The rich people think different because they have their pockets with full of money...

I think that's a bit backwards, "rich" people think different that's why they have money in their pockets.

Originally Posted by Ken_Caudill

I thought I was clear. The only difference between rich people and poor people is money.

There are plenty of differences. Are you saying that none of these 21 points are valid? There are probably hundreds of real differences between people who have enough money for people to call them "rich" and people who have so little money that they are referred to as "poor".

Thanks
1 reply

{{ DiscussionBoard.errors[7035713].message }}

Mr Bill

14 years ago

Originally Posted by Ken_Caudill

Yes, I'm saying the entire concept is invalid. It makes for a nice medicine show cottage industry for fleecing rubes.

There are three ways to get rich:

Provide goods.
Provide services.
Assume risk.

That's all. There ain't no more.

Everything else is technique, not attitude.

Yes, people who don't work don't eat.

Nothing new about that.

Ummm...ok. You can provide all the good service and assume all the risk you like but without the right attitutude it aint going to take you anywhere. Looking around will prove that.

Thanks

{{ DiscussionBoard.errors[7035798].message }}

vajra123

14 years ago

The rich people think different because they have money in their pockets.
Poor people always think about their basic needs ,they have no time to think about the different ideas.
So we can say that money is the difference between poor and rich people.

Thanks

{{ DiscussionBoard.errors[7035642].message }}

Mr Bill

14 years ago

I'm pretty sure very few believe that's ALL they have to do but you've got to admit it's a great place to start and they will go nowhere until they do change their attitude. I agree with what you say about those 3 ways to make money but with a bad, grumpy and poor attitude they will not get very far. Even you would agree to that.

Thanks

{{ DiscussionBoard.errors[7035831].message }}

Chris Gray

14 years ago

awesome article, keep sharing!

Thanks

{{ DiscussionBoard.errors[7036350].message }}

wave carl

14 years ago

haha..im really amazed of facts stated

Thanks

{{ DiscussionBoard.errors[7039464].message }}

PatrickBrianONeill

14 years ago

3. Average people have a lottery mentality. Rich people have an action mentality.

This was the big mindset change that had the most impact for me.

Good stuff.

Patrick

Thanks

Signature

PatrickBrianONeill.com

{{ DiscussionBoard.errors[7042053].message }}

AchTi

14 years ago

It would be interesting to see this in an actual interview style... Like if you actually had a rich person and a poor person and asked them questions that would elude to these answers.