How to Create a Wealth Mindset

By: Mo Elhammady @the_business_lounge_ @moelhammady

Photo Credit: www.pantheon.io

One of the biggest misconceptions when it comes to wealth is that only people with millions of dollars in their bank accounts are “wealthy”.

In fact, that couldn’t be further from the truth. I bet if you were to ask three different people to define wealth you’ll get three different numbers and definitions. The bottom line is, if you want to be wealthy, you’ll need to think like the wealthy.

The first thing you’ll need to do is actually write down your financial goals. How much money do you want to have in one year’s time? Five years’ time?

Do you have that number? Great!

Now, if you want to see any of that money, you need to learn to develop a wealth mindset, which unfortunately today seems like a lost art. You may not know this, but 60% of Americans live paycheck to paycheck, and if you consider the rising levels of credit card debt, it really only gets worse. Most credit card holders have impulsive spending behaviors, and waste money they don’t have on items they don’t really need. By the way, this isn’t a problem just in America; the number of people living this way and racking up their credit card debt is increasing everywhere around the world. All this does is create a vicious cycle of debt that’s very hard to get out of. That’s why having that wealth mindset is so important.

So, what exactly is a wealth mindset?

First of all, I want you to think of any of the wealthy people you know or read about. If you were to dig deeper into the stories of these wealthy people, I’m sure you would begin to notice a pattern. Most, if not all of them never boil down their success to one, single moment. Instead, they’ll talk about mindset being their main reason for their prosperity.

A wealth mindset is a set of beliefs, habits, and behaviors that separate the wealthy from the rest. A wealth mindset will guide you to make the most of the money you have. However, this doesn’t come easy. It means you’re going to have to spend less, make wise investments, and look for ways to improve your financial standing with the least risk possible. Fortunately for all of us, with a little dedication, anyone can develop this kind of mindset.

The first thing you need to do is understand and follow the W-E-A-L-T-H acronym, where each letter represents an action you should take towards your journey to wealth; as in:

W – WRITE DOWN WHAT YOU WANT

E – ENVISION YOUR FUTURE

A – AFFIRM YOUR DESIRE

L – LISTEN TO YOUR INNER VOICE

T – TAKE ACTION AND TRANSFORM

H – HOLD THE VISION

Let’s dive into each one of these to get a better understanding of what I’m referring to.

WRITE DOWN WHAT YOU WANT

The reason it’s so important to write down your goals is simple. They become tangible and realistic. Doing this forces you to clearly define your goals; it forces clarity, if you will. Another really important reason you should be writing your goals down is it will free up room in your mind to take your thinking to the next level, and stimulate your creativity. You need to make sure to have your goals strategically placed where you will see them every day, more than once a day.

ENVISION YOUR FUTURE

This one is pretty straight-forward. Whether your dream is to be debt-free, having that amazing super car, or simply being free of the world’s expectations, try to envision your future every waking moment that you have a free minute. A lot of people think this is just daydreaming and a waste of time, but that’s not true at all. When you begin to imagine or visualize yourself having reached your goals, these mental images will inspire you to take action and motivate you to crush your goals.

AFFIRM YOUR DESIRE

Now I know there are a lot of people out there that think it’s a sin to desire wealth. In my opinion though, it’s all about intention. It’s what you intend to do with that wealth that makes it a sin, or a blessing for you and those around you. So, as long as you remain a good person who is contributing to society, go ahead and keep thinking and speaking of your desires, the actions required and dedication needed to attain them. If you’re not willing to do that it’s only logical to think you’ll lose motivation and dedication to stick with it for the long haul.

LISTEN TO YOUR INNER VOICE

Simply put, your gut feelings are your guardian angels; they know best. You have to think of them this way. Trust your gut and act accordingly. You should also speak positively to yourself as much as you can. Remember, what you think is what you can achieve. Chances are your inner voice is trying to align your work with your passion and values. Whether your passion is helping small businesses succeed or becoming an independent consultant, the closer your passions align with your work, the more satisfied you’ll be.

TAKE ACTION AND TRANSFORM

Vision will paint you the picture, passion will fuel the fire, but action alone will give life to your goals. Remember, a plan without action is nothing but a dream. You need to prepare yourself for what it is that’s required to reach your goals of wealth. It might require early mornings, late nights, time spent alone, not going out with friends and probably a lot of stress and being tired. Believe me though, six months of dedicated time spent focusing on your goals will get you places you never imagined possible. The good news is when the vision is clear and you’re truly passionate about it, the action becomes a joy – not a chore.

HOLD THE VISION

You’ll be fooling yourself if you think this journey is going to be an easy one. You have to know your hustle will have some tough times, but you also need to make sure you don’t lose your focus. Go back to what you’ve written down to hone in on what you need to do in advance. Envision your future over and over to keep your motivation up. People who review their vision statements or goals on a daily basis are significantly more successful than those who don’t. There is one documented study showing that everyone who wrote out and then read their vision statements daily, all became millionaires. Where we put our focus every day bears the fruit in our lives; that’s important to remember.

Now, what’s the best part about developing a wealth mindset?

You can start working on it immediately. You do it by educating yourself, strategizing, and then following through with action. The key is to start small. Tackle the bite-sized goals first. These small investments in yourself will build up over time, and progress you further towards your wealth goals. Trust me, within months, weeks, or even days your goals will be on the fast track to wealth.

There’s one last thought I’d like to leave you with. There’s no simple or straight-forward formula for wealth. You might have a brilliant idea and follow it through to its fruition, or you might start a business with a great partner or co-founder. Maybe, like most of us, you’ll work hard – and save smart and invest your way into riches.

At the end of the day, we all have to take the road that’s right for us. The ones who stick with it and make it to the end will be the ones who develop and maintain a wealth mindset.