21 Money Secrets I Wish I Knew 21 Years Ago | How To Build Your Wealth (2024)

Here's a secret.

I used to live in a trailer park.

I used to eat Top Ramen for dinner every night…

And when I was 21…I was thousands of dollars in debt.

Now I run a full-time business that's made seven figures over the past year.

I feel great about that…but things weren't so easy during the years in between.

I made poor decisions with my money.

I can say I'velearned a lot since then.

So let me share21 secrets about money which you need to know.

Trust me – you'll be managing your funds better as long as you know these tips by heart.

Money Secret #1 – Invest In Yourself

The best money you spend is the money that develops you. Your mind, your health, your knowledge, and your experiences.

In the end…you have one life. The last thing you'd want is to be lying on your deathbed feeling regrets for not following your dreams. Be courageous enough to follow them right now and put in the investment.

Money Secret #2 – Don't OVER Invest

At the same time…you should never swing for the fences when it comes to investing. All types of investments have an elementof risk involved.

That's why it's important you weigh the benefits and learn how to gauge the ROI for any investment you make. It's okay if you're not sure how. It helps to read up and get some training online. Don't rush into this.

Money Secret #3 – Money Is Simply A Tool

The media portrays money as the root of all evil…how it corrupts the rich and tortures the poor.

No. Money is more likea double-edged sword. If you earn a lot of it AND use it responsibly…it can do so much good for your community. But it can also tempt you to cross moral and ethical lines out of greed. So be careful.

Money Secret #4 – You Don't Know What You Don't Know

Earning, spending, saving – it all starts with having enough knowledge of moneyand finance.

You have to read theright books, listen to the right voices, and be receptive to new information or insights. Remember that anything you don't know may come back to bite you…and you may not even see it coming.

Money Secret #5 – Learn From People Who Have Made Money

Let's say you wanted toclimb Mount Everest. Who do you think would be more helpful in that regard: (A) someone who studies mountains and climbing but never climbed Everest or (B) someone who already did it?

It's a no-brainer. You'd rather learn directly from someone who experienced the same journey you plan to take. They'd be more credible. They'd know all the highs and lows you ought to expect. So it's the same deal for learning how to build your wealth.

Money Secret #6 – Find A Mentor

If you're truly committed to your money goals…you want guidance from the best mentor you can find.

People rarely reach the top of anything without somebody else's help. You need solid mentorship – and you'll need to pay for it. Don't expect others to offer their expertise for free.

Money Secret #7 – First Figure Out Where You Want To Go

I'm a firm believer in setting yourself specific goals. Clear destinations. They make it much easier to map out a good path so you're unlikely to stumble along the way.

How much do you want to earn per year? How much would you want in your emergency fund in ten years' time? Those are the questions you should think about before doing stuff with your money.

Money Secret #8 – Do What You Love

What do you love to do? It's not necessarily the thing your parents suggest. Nor is it the thing that many people say is “easy” to go through. Only you can answer that. It's that simple.

Whatever it is you love doing, it's got to be a combination of something you're good at and something you're willing to work hard on. The passion has to be there because you can't expect instant results. You need that drive to make an effort each day and be consistent. The success – and money – comes after.

Money Secret #9 – It's Easier To Earn More Than Save More

Imagine if you had a goal of setting aside $20,000 a year. How doable would that be if you made about 25k every year? That's80% of your income. You'll always have bills and food on the table to account for. It's not very realistic.

But if you instead made $50,000 yearly…that 20k becomes just 40% of your income. That's far more feasible. So while it's good to stick to a certain amount of savings each year, forming a plan on how to increase income should be the main focus. Think about cutting costs later.

Money Secret #10 – No One Is Better Than You

Don't think you'll fail to make money because you're not like others. Almost everyone who achieves their financial goalsdoesn'tdo it by being smarter or better. They put in the time and effort to learn. They started from scratch and worked their way up. You're just as capable of their success. That's the mindset you need.

Money Secret #11 – Wealth Is Relative To What You Want

Wealth isn't a black and white concept. Wealth to different people isn't broken down into fixed numerical values. For example, I equate wealth with the freedom totravel, to work when I want to on what I want to, and for my family to be cared for even if I'm gone. An exact number in my bank account isn't important.

Don't give yourself super crazy expectations in terms of wealth. People around you may not be able to keep up with a guy who wants to buy mansions in Beverly Hills or own a dozen Ferraris. What is it thatreally matters? What makes you happy?

Money Secret #12 – Be Happy With The Simple Things

A simpler life = a more satisfying life. Why? Because the best things in life are free.Think about the moments you spend with family and friends. Or the hikes you take on sunny days during spring.

Money can't buy those experiences (or at least a huge sum of money doesn't make them better). So enjoy the simple stuff and you'll get to live a life ofless worry and burdens.

Money Secret #13 – Stop Being A Prisoner Of Your Own Mind

They say cheaters never win. But having a negative mindset from the get-go is another form of cheating…but this time you're cheating yourself.

Your words, thoughts, and beliefs can either pump you up or hold you back. Winners and successful people are always working to build confidence and self-esteem in themselves. “I WILL earn what I want to earn.” “I WILL double my income by the end of the year.” It's all mind over matter.

Money Secret #14 – Understand Other People's Point Of View

Differentpeople see money in various ways. Be open to them. It's not a case of some being right and others being wrong.

It's like moving a cameraaround to capture different parts of a scene on TV. You want to change the point of view so you'll end up getting a much more complete picture.

Money Secret #15 – It's Lonely At The Top

Being a leader or being the best has a downside. You start watching out for people who are after you or your money. Some of your peers become aloof since you've sort of “surpassed” them in life.

That's whyvery successful people desire the company of equally successful people. It's easier to build friendships with those who can relate to you, who understand your problems, who know what you sacrificed just to get to where you are now. Keep that in mind when your earnings increase.

Money Secret #16 – It's Who You Know, Not Just What You Know

Connections are a commodity. Don't be afraid to reach out when you're getting started on a business or investment. Even if some people are technically your competitors, you'll be glad you've gotten to know them.

Why? Those people will help you outat some point (and you'll do likewise because that benefits you as well). They might alsobecome your friends for life.

Money Secret #17 – You Become The Average Of The People You Surround Yourself With

It helps to build a trusted group if you really want to step up your game. Those people are going to be second voices when you make money- or business-related decisions. So make sure you bring in individuals with good intentions (not those who will try to put you down and shut down all your ideas).

Money Secret #18 – Multiple Sources Of Income = Stability

Remember that one source of income – especially if it's a full-time job and nothing else – isn't ideal. You should aim for fouradditionalsources to your main source. The reason?

No single source is guaranteed to last forever. It's always safer to buy properties, createor build assets, and earn passive income through other means. The economy can change uplike the weather.

Money Secret #19 – Time Is Much More Valuable Than Money

It'snever too late to set yourself money goals and work on them.You've got the time… starting right now. So use whatever time you have and use time management techniques to take action. Start by fulfilling small goals and it'll add up eventually.

Money Secret #20 – Put Yourself In A Position To Get Lucky

You can't be 100% sure about the outcome of any investment…but you can definitely maximize your chances of getting lucky with the ROI.

Spend money knowing the calculated risk. Grow enough of an emergency fund first. Take the time to research the market, absorb knowledge from experts, and then you'll feel more confident about the whole thing.

Money Secret #21 – Do Not Have The Scarcity Mindset

The reality is you can create any amount of wealth. Whatever value you aim for is possible. So get out of the scarcity mindset, don't for a second think self-produced wealth is finite. If you do…you're sabotaging yourself right off the bat with a predetermined “limitation.” Scarcity is a myth.

With these secrets, I hope I've taught you a thing or two about money (and how to actually look at it). If I had lived my younger years applying them…I would've struggled much less as a guy who comes from a modest background.

An abundanceof money means more freedom in general. You'll be more flexible with your time, check more items off your bucket list, and wake up every morning feeling in charge of your life. That should be your motivation for earning and saving. Not the numbers and dollar signs.

Click Here To Watch The Video – 21 Money Secrets I Wish I Knew Before