If your current way of living is keeping you poor, it's time to make a change.
Let me be clear that being poor doesn't equate with failure. I am in no way, shape, or form labeling you.
The knowledge that I am going to share with you today is meant to empower you so that you can become the master of your life.
Once you have identified where you stand financially, you will know what you need to do in order to create more wealth in your life.
Are you ready to become financially abundant? I'm here to show you how!
Watch the video below:
(Click here to watch on YouTube)
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Being poor is connected to feeling poor.
I can relate to this because I used to struggle financially. There was a time in my life when I was in a lot of credit card debt and living on my friend's couch. I always felt like there wasn't enough of anything. Not surprisingly, by adopting this mindset, I wasn't able to attract money into my life. Not only did my bank account reflect my financial woes, but I also felt poor.
ln his research, Princeton psychologist, Eldar Shafir found that being poor requires so much mental energy that those with limited means are more likely to make mistakes and bad decisions than those with bigger financial cushions.
The path that your life takes depends, in part, on the mindset that you adopt. Many years ago I possessed a scarcity mindset. Needless to say, I wasn't operating at a high vibrational state. I was stuck in one place and wasn't making any progress in my life. That didn't feel good.
Eventually, I hit my emotional threshold and decided that I wanted to change my life. I started living from a place of abundance, even when it didn't feel natural to do so. After years of reprogramming my money beliefs, great things started happening in my life and it snowballed from there. Today, I have achieved financial freedom.
There isn't one second that goes by that I take my success for granted. I worked hard to become the person that I am today. Everything in life begins and ends with a decision. If you are tired of struggling, decide to stop struggling. I know it sounds easier said than done, but it's really not. Your mind can be your best friend or your worst enemy. Choose wisely.
Enough about me.
Let me ask you something… do you want to be a multi-millionaire who travels the world, with freedom of time and money? Or do you want to be a minimum wage worker who lives paycheck to paycheck? I think we can all agree that the first option is enticing. However, it all depends on what is important to you in life. If you're reading this article, I'm assuming that you are intrigued by the idea of creating more financial wealth in your life.
However, before you can do this, it's important to be aware of the 3 types of income that exist. It is possible that one or two of them may be keeping you poor. Knowledge is power, but knowledge without action is a waste of time. Let's dive in!
1. Active Income
This is a type of income where you trade your time for money. This is the worst type of income that you can make. However, most people start here. One of the biggest disadvantages of active income is that you are limited in the amount of money that you can make. What's worse, the moment that you stop working, your income stops.
The biggest illusion that you have been taught by society and your parents is that active income gives you a sense of security. Having a job is NOT secure. At any moment, you could get fired, outsourced or replaced. Lastly, by making active income, you aren't really developing skills to generate long-term wealth.
This is why the wealthiest people in the world do not follow this path. Conversely, when you are an entrepreneur, you have the power to transform your time into money in order to generate revenue for yourself. Trust me when I say that this is the path you want to take.
2. Portfolio Income
This type of income is otherwise known as capital gains. This is when you take some of your money and invest and buy assets, like bonds, stocks or real estate. However, this type of money is only made once you sell your assets. With capital gains, you get taxed a fairly high amount, depending on the country where you live. That being said, you can get capital gains exemptions if you are selling your personal property.
For example, let's say that you buy a home in Canada. Not only that, but you decide to live in that home and end up selling it. You will get an exemption and pay less in taxes depending on the capital gains that were made on that property. However, if it's a rental property that you don't personally live in, and you end up selling the house, you will pay a higher tax on that property.
3. Passive Income
Making passive income is the ultimate goal. This is when you have money that is working for you. Trust me when I say that making money while you sleep is an awesome feeling. Money is coming in on autopilot every single day. In the initial stages of setting up your passive income streams, you may have to trade your time for money. It will take some time to build the foundation.
However, once you've put in the work, it won't require any more of your time. More importantly, it will continue to make you passive income. In my eyes, this is the only path to achieve true financial wealth. This is one of the reasons why I love online businesses. It's a set and forget it type of model. There is no limit to the amount of money that you can make.
Now that you know what is keeping you poor, you can take action.
Passive income gives you freedom of time to do what you want, where you want, with whom you want. Time is your greatest asset. In my opinion, it is far more valuable than money ever will be. Yes, building a passive income stream is a long-term investment, but your future will thank you for it.
Financial freedom is yours for the taking. Are you ready to start building long-term wealth?
Do you want to learn which online business is right for you? CLICK HERE to take my FREE business quiz!