Nobody ever got rich working for a living.
What in the world can it mean that working doesn’t make you rich? Well, how many of those fabled bad guys our progressive left obsesses over, the dreaded 1 percent, punch a clock, do you think?
To be sure, you will work hard to get rich, and the harder and smarter you work, the better your chances. As my dad would explain, “It’s OK to work eight hours a day for someone else. Just work eight hours a day for yourself too, and twelve hours a day on the weekends.” And that’s exactly what he did, all his life.
Selling your time by the hour will not get you ahead. Human resources departments know to the dime what they have to pay per hour to acquire requisite talent. Even if you have a degree from a prestigious law school and catch on with a leading firm and can bill at several hundred dollars an hour, by the time the expenses are extracted, you’ll be lucky to be grossing a third. Even if you work yourself into an early grave by billing out 3,000 hours a year, you’re not, by that effort alone, putting yourself on a track to get wealthy.
So, what do you have to know to become financially wealthy?
Probably the first insight you need is that you are out to get wealthy, not financially wealthy. Financial means pertaining to money, but you’ll need to recognize that money is simply a “parking place” for past production. The economy runs on “you buy the production of others with your production.” Land and production and equity in those things underlie wealth. Money is just a convenience for wheeling and dealing.
Knowing what you are after. Having a big operating budget is not wealth. You can be “churning” millions of dollars a year, but you are only getting wealthy to the extent you are profiting on that churning. A lot of churning with little profit is actually worrisome. A huge house of cards falls just as fast as a small one.
Financial leverage (also known as other people’s money). A business acquaintance mentions he needs 200 reciprocal capacitors (or whatever) to keep his production line going.
Spotting opportunity. The productivity cycle that creates all the goods that actually represent the economy begins when an enterprising person looks to the future and sees the opportunity to make a profit