We’ve all heard the term ‘wealth mindset’.
It’s a phrase successful people use to explain how they got where they are, and it can be the most frustrating statement.
After all, if wealth mindsets were a thing, you would’ve thought yourself into a Mercedes Benz years ago, wouldn’t you?
Evidently not. As much as we would all like to think ourselves into money, that’s never going to happen (sorry to disappoint!)
Luckily, that doesn’t mean that your outlook can’t still create more cash in the bank.
Let us explain – far from being a case of persuasive thinking, a wealth mindset is a proactive outlook that helps you to better appreciate the money you have/stand to earn.
It might not be magic, but getting this right can certainly feel like casting a spell.
Luckily, you don’t need to understand the first thing about magic to harbor a wealth mindset that works for you, and we’re going to prove it in three easy steps.
Step 1: Learn to utilize your finances
When we think of wealth, we too often assume that it refers to the amount of money someone has, but wealth has nothing to do with what’s in the bank. Instead, it’s all about how you utilize your cash flow to meet your needs. This might mean looking at used cars for sale instead of Teslas, or something as simple as eating out a few times less each month. Either way, you’ll automatically find yourself with more money in the bank, starting you on a path towards wealth at last.
Step 2: Set realistic goals
If you’re sitting on a $40k salary and dreaming of million-dollar luxury real estate, then you’re never going to feel wealthy.
Equally, if a millionaire is constantly dreaming of breaking the billion boundary, they’re going to find even their finances lacking.
As such, a wealth mindset is also about setting realistic goals that take into account where your income is, and where it would need to be to achieve your end goal.
Increasing your work hours to achieve a deposit on that suburban house is doable, for instance – moving to a mansion in Beverly Hills probably isn’t.
Trying the latter would only leave you feeling worse off than you are, while achieving a closer to home goal can make you feel wealthier straight away.
Step 3: Minimize your ‘want-it’ mentality
You’re never going to feel wealthy if you spend money as soon as you get it.
Rather, you need to reduce your ‘want-it’ impulses, and get into positive saving habits that create the wealth you crave.
Treating savings as another monthly expense can help, reducing your expendable income and your desire to spend it.
It’s also worth keeping the goals we discussed above in mind as a new kind of spending ceiling that involves playing the long game rather than working with an easy-come easy-go money mindset.
Try these changes today, and you might just find that you start feeling wealthy far sooner, and with far less money, than you expected.
(Disclaimer: This content is a partnered post. This material is provided as news and general information. It should not be construed as an endorsement of any investment service. The opinions expressed are the personal views and experience of the author, and no recommendation is made.)