These past 5 years I have learnt that one of the most important things you need to do in order to improve your financial situation and set yourself on a path to wealth creation is the pursuit of knowledge and organizing that knowledge into wisdom (implementing what you know). There are various avenues of acquiring wisdom but I would like to emphasis on reading. Here are 5, to mention a few, ways (from personal experience) reading can improve your situation;
To put it simply, most of us were not conditioned with the mind to create wealth. If you knew how to manage your finances and create wealth from birth you would have done that a long time ago. But the reality is most of us were not taught how to be financially intelligent. In fact most of us grew up with bad financial habits such as;
- Excessive spending.
- Saving up to buy liabilities rather than assets and not even knowing the difference.
- Poor or no financial planning.
- Not knowing where your money is going i.e not keeping track of our expenses.
- Not saving at all.
- Playing keeping up with the…
These are just a few. Most of these bad habits have been picked up from our social environment. What we constantly expose ourselves to has affected how we view and manage money. After all we are what we see, hear and eat. We may not notice these influences because everyone around us may be doing the same thing and just because everyone is doing it does not mean it is right. One of the most effective ways to do correct this is to gain knowledge in this area by reading books. There are books that can help you identify your bad habits. They can help you understand how these habits are negatively affecting you and even go further to provide you with good habits to replace them with. They can also reveal to you things you didn’t know you didn’t know. Let me explain. You don’t know what you don’t know and what you don’t know can destroy you so you need to constantly search for wisdom to become aware of what you are unaware of and identify how it is affecting you. I call this reprogramming because reading books will feed your mind with new ideas and possibilities making you think differently and more broadly. It will fill your conscious and subconscious mind and cause you to act differently towards your finances. Say bye bye to bad habits and welcome the new habits that will lead you to the path of creating wealth.
The Cure to Insanity
They say insanity is doing the same thing over and over again all the while expecting different results. I was insane for almost a year. I did not have a budget, I did not have a financial plan, I didn’t even know how much my monthly expenses were yet somehow I assumed I was still in control and was failing over and over again. This went on until I read a book by Ron Taylor called Get Rich. It helped me identify what I was doing wrong and I also picked up a few tips from that book such as setting financial goals and plans to meet those goals as well as learning to living below my means, to mention a few. It lead me to sit down and do some simple calculations and restructure my finances. At first it was a tough thing to do but after a while became second nature. I was doing something new inspired by reading a book that cost only 99 pence but would solve my costly bad habits and change my life forever. It was one of the cheapest medication I have ever purchased in my life. You don’t have all the answers nor the ideas in life. But when you search for wisdom you find solutions to your problems or be inspired to come up with an idea that solves your situation. A solution that suits you and your situation.
One of the reasons why many people are struggling in the area of finances is because they do not think big. People who think small think only about the now. They cannot think long term because they can’t see that far ahead. Their thoughts and by extension their actions are limited to only influence the now. We underestimate how not having long term aspirations, dreams and plans affect our financial situation. I am not talking about aspirations to spend. I am talking about aspirations to be fruitful and multiply our wealth for generations to come. After all just ask some of the lottery winners who only had plans to spend big when the money came, some ended up worse off than before they won the lottery. When you do not think big and money comes your way you will spend it immediately on anything that demands it. One important reason for acquiring knowledge through reading is that you are inspired to read big, to enlarge your current scope of thinking. The financial books I read made me realize that things didn’t have to be this way. That I could make a difference with wealth. I could be a source of blessings not just to my family but to my community as well. The books helped me to realize how my bad habits now could affect me in 5, 10 and even 20 years time. Seeing the bigger picture helped put me in check and made me aspire for something better with my finances.
One of the things that helps me in life is learning from other people who have gone before me. Say you have just realized that you need to put your finances in order or or you want to start creating wealth, it can be very discouraging to look at your current situation and think, “It cannot be done” until you read about other people who were in worse situations than you but were able to overcome and thrive. There are a lot of wealthy people today who started in worse situations than you and me. They started life financially handicapped but are thriving today. It would seem nice to mention a few names but I feel that would not do justice to the countless others who will not be mentioned but moral of the story? If they could do it, why can’t you. Let them inspire you.
Save Your Resources
Ever had a “I wish I had known earlier” moment? Well, pursuing knowledge saves you from having a lot more of those experiences. Earlier I spoke about how learning from other people could inspire you, well it can do a lot more than that. Although we haven’t invented the time machine yet but we can still take a look into the future, we can see what others who have gone before us have done or have not done and learn from them. This will save you a lot of grief and enable you to use wisely the most precious resource you will ever possess in your existence on this earth. More precious than money. A resource that once given away, wisely or otherwise, can never be retrieved. Time.
No other way
The knowledge you find by reading books may not easily and readily be given to you any other way even via friends and families for the following reasons;
- They simply do not know. They cannot give you what they do not have. How can someone give you advice on how to effectively manage your finances or creating wealth when they themselves do not now how to neither?
- Even if they did know about financial management and wealth creation, they are busy taking care of their business, interacting with like minded people, sharing ideas and partnering to create wealth. Unfortunately because you do not think the same way as they do, you are left behind. This often happens unconsciously. And it is not their fault. This may seem harsh, but it is a harsh truth about life. After all the soul attracts what the soul is. This is why it is important for you to seek knowledge so you can grow and not be left behind. If you do not go find it, rarely does it come find you. Even if it did you may not recognize it because you were not tuned to its frequency and you ignored it. The only person responsible for knowledge acquisition as you grow is you.
So please to go chase after wisdom, in it you will find the secret to your success.
If you feel this was beneficial to you or will be to someone please share with your friends and family. Your comments are always welcome as they will help peconomics serve you better 🙂