My Philosophy On Making Good Money - The Humble Penny (2024)

My Philosophy On Making Good Money

What does making good money look like for you?

Are you more interested in fast money? Or abit of both?

We all want to make more money for various reasons. For some of us, it's about security, whilst for others it's about survival.

For yet another group it could be for status, whilst for others, it's for debt freedom or financial independence.

Seeking to make money is often viewed negatively by many as it's usually aligned with greed and the never-ending quest for more.

I personally have no issues with making more money, especially if it's not money just for the sake of it.

I've written alot about making money and continue to encourage it.

However, there are principles about money making that ought to be practiced, otherwise most money making efforts you make will not only be unsuccessful, but will frustrate you alot.

The origin of alot of these ideas has alot to do with the fact that we make money from interacting with other people through a variety of exchanges.

These could include solutions to problems, buying and selling, offering advice etc.

If you observe people or businesses that have done well for a long time, you'll observe that they too operate by a series of principles.

Pick Apple, Microsoft or Amazon. Beyond the uniqueness of their technologies, systems and processes, there are more subtle principles at play.

Not everyone's principles are the same ofcourse, however, you'll find that alot of the principles for successful people and companies won't be too far from certain universal truths.

Some of these principles can certainly be explored and applied to our personal lives, giving us a greater advantage and a high chance of success in the quest to make or do more with our money.

My personal principles have changed over time, and sometimes it takes learning through mistakes for the way you should view life to be revealed.

Below are my philosophies on making good money:

Tell H.I.T Stories

Of everything I write about in this post, this is by far the most important.

Telling H.I.T Stories refers to doing life through the lens of Honesty, Integrity, and Transparency.

To some, these may be buzzwords that sound nice, however, making them a central part of your life will not only transform your opportunity to make more money but will enrich your whole life massively.

The honesty I am referring to above really starts with being honest with yourself first.

[yellowbar]Only when you’re able to keep it real with yourself can you be truly honest with others.[/yellowbar]

Honesty with yourself could translate into coming to terms with your lack of personal investment in improving your mind.

Other examples might include challenging your real motivations for wanting to make more money.

You might just be doing it to keep up with others. Or to live an unnecessary life of excess.

Honesty with others includes such things as selling products as high quality knowing they're truly high quality.

If could even be demonstrated by having transparent returns policies for your business or being honest with an employer no matter your shortcomings.

Honesty, Integrity, and Transparency are in such short supply in society today, that you'll immediately stand out and build trust faster if these qualities are truly a part of who you are.

You don't need to sell yourself. H.I.T Stories draw people to you and they want to work with you.

A guy I admire is Martin Lewis, founder of Money Saving Expert (UK's largest Personal Finance site).

When I see him on TV or online, I naturally trust him and want to hear what he has to say. This is because he has spent years telling H.I.T Stories and fighting real causes (more on this below).

Giving vs Scarcity

Trying to make money from a place of scarcity introduces a totally different behaviour compared to coming at it from a place of giving.

Desperation is a terrible thing. However, just because you are desperate for some money does not mean that you should do absolutely anything to make money.

It's usually in the face of scarcity and desperation that irreversible mistakes are made.

People will always know when they're being taken for a ride by someone who is desperate for a quick buck.

This is one of the big criticisms of direct sellers. This is not helped by the often aggressive selling you come across both online and offline.

Related: The Power Of Generosity And Why It Pays

Set Targets Not Goals To Impress

I am a big fan of setting goals but it's easy to get caught up in how the goals can be achieved rather than on why they exist.

The comparison trap can keep many of us imprisoned. Just because your friend (or someone you admire) makes 6 or 7 figures annually does not mean that you also have to.

I've definitely been caught out with this in the past. It's the potential problem that comes with hanging around with high earning friends.

It's very subtle and often times, you might not even know that you're comparing yourself with others.

Ask yourself today, who am I comparing myself to?

If you do admit that you're somewhat comparing yourself to someone else, then it means that you're not living life your own way.

One way to get around it is to change the circles around you and hang around with people who aren't always making more money or those who focus less on it.

Another way is to completely remove all references to money from your relationships with friends and focus on supporting each other in different ways.

Related: Why Money And Friendships Should Never Mix

Therefore, setting targets rather than goals (driven by others) is what it should be about.

In order to set such targets, it helps to know what you want out of life.

Focus On Sustainability

Not all ways of making money last forever, however, some are way more sustainable than others.

Whether It's money making in your career or business, it's always better to focus all your efforts and resources on sustainable sources.

You're far more likely to do this if you're coming at money making from a place of giving (I.e. value) than from a place of scarcity.

Focusing on Sustainability also helps you do better business and create better products.

All of this helps to reinforce the strength of relationships built.

Get Rich Slowly

Have a go at typing “Make Money Fast” into Google and you'll come up with millions of search results.

One of the reasons why many people never get rich is because they never give their money enough time to compound and work.

The same goes for starting a job and disappearing after a year.

Or launching a business and expecting miracles within 9 months, less time than it takes for a baby to come into the world.

Allowing time for money to work or for your ideas and efforts to bear fruit also gives you time to try things, make mistakes and learn from the process.

There is no shortage of getting rich quick schemes out there, with many promising outcomes that just aren't true.

I recall when I was 17 at college, there was a huge amount of pressure to appear as though one was popular.

In order to keep up with this trend, alot of the guys at college got involved with a type of credit card fraud called “The AC”.

It promised quick money ultimately at the expense of others.

17-year-old boys who should really have focused on learning were motivated by the need to make money fast and unethically.

Thinking of all those guys now, most of them have either been to prison or continue the spell of a life of crime.

Alot of them could not foresee the future costs of their actions in those days. You could argue that not many 17-year-olds could have.

You'd be amazed how many people in their 30s and 40s today are considering such opportunities.

Wealth from get rich quick schemes quickly disappears. Whereas, wealth from hard work grows over time.

Related: How To Teach Your Kids The Magic Of Compounding Interest

Build Real Relationships

They say that it's not about what you know but who you know.

I find comfort in ancient wisdom that has been passed down over many years.

Building real relationships takes alot of deliberate work.

If you build these with the goal of taking advantage of them one day, my experience is that this never works.

It's absolutely right to call on the potential of your relationships when an opportunity presents itself.

However, doing it for mutual gain usually guarantees a positive outcome in my experience.

The Journey Is The Reward

If you've ever been on a road trip, you'll know that the journey is just as important as the destination.

When we go on trips, we play “I Spy”, we laugh, we get tired, we stop over for a break etc.

The same applies to money making as the process of actually making money is more important than the money itself.

It's the process that would get repeated as it would have been proven successful and generated you some money.

Money is a silent applaud for a job well done. It's usually the result of value creation or delivering an outcome or a meaningful result to someone else.

The process of getting to this outcome usually requires alot of work over a period of time, with alot of trial and error, and tweaks to processes etc.

This same process is what's extremely important on your path to Financial Independence.

It doesn't happen overnight and requires discipline and a relentless focus on process and the journey.

Serve Others

Whether you are on a career path or running a side hustle or a business, keeping the focus on people (and their problems) and not the money is what matters.

What's guaranteed is that if you do it this way around, the money will most definitely follow.

In addition to that, you'll have an army of true fans.

To conclude, Money making shouldn't be as difficult as it might currently be. When all is said and done, it's the people that matter.

I believe strongly that if you focus on reframing your approach to money making, you'll not only make alot of money, but you'll enjoy what you do even more so and live a less frustrated life making money.

In addition, you'll not only be authentic in your approach to making more money, but you'll do it ethically.

Related:

• My Philosophy On Saving Money
• 7 Guaranteed Ways To Make An Extra £1,000 A Month
• 85 Ways To Make Extra Money
• How Much Money Is Enough?

What does making good money look like for you? Please share your thoughts below.

Do please share this post if you found it useful, and remember, in all things be thankful and Seek Joy.