In the past, I used to believe that I could find answers in “Self-Help” books, when in reality, these are just reflections and real turning points that make us think. The fact is, seemingly harmless thoughts can actually be extremely damaging when the goal is to become wealthy and prosperous.
Due to my experience with various cultures and customs, I can confidently say that many people, especially in Brazil, have a certain reluctance to aim for these more substantial results and often remain stuck in their comfort zones. These thoughts are directly or indirectly related to money, dealing with wealth concepts, work, or daily life.
However, I can say with certainty that simply reflecting on these thoughts can be a big step toward increasing your wealth in the medium and long term. To have a millionaire mindset, you don’t need to already be a millionaire.
In fact, it’s quite the opposite. When you adopt positive thoughts and visions that aim to add intrinsic value to society, you’ll receive your fair share of capital or rewards, as part of the modern capitalism we live in. I even like to call it Capitalism 2.0, due to the rise of cryptocurrencies and digital assets.
With that in mind, in this special article, I want to share some reflections I made with myself between 2013 and 2016 to change my future reality based on practical steps and changes in thought patterns that can keep us stuck in the rut.
“I can’t afford this”
This is one of the most common statements, especially in Brazil, due to the high tax burden included in product prices (on average, 18-32% of taxes you carry on your back). However, saying to yourself that a particular purchase or investment is out of reach is a realistic thought, but it can lead to complacency in the long term. Don’t worry, let me explain further.
Instead of saying this phrase, in the book Rich Dad Poor Dad by Kiyosaki, he suggests adapting it to: “How can I acquire this?”. The goal of this mindset shift is not to encourage unnecessary spending, but rather to focus on ways to make or save more money so that purchases can fit into your budget.
Photo by Joslyn Pickens
“I’ll do it tomorrow or later”
This is another classic. There’s no denying that procrastination can be extremely harmful when it comes to money. There’s no perfect time to start saving or investing, especially if the goal is to have a peaceful retirement. The earlier you start investing, the higher the return will be, even if your initial contribution is small.
Nowadays, both in national and international markets, there are many investment opportunities that require low initial contributions, so there are no excuses for not starting to invest today. Some examples include: Treasury Direct, stocks, real estate investment funds, and cryptocurrencies. The public debt system even accepts investments starting from just 30 dollars (investing in Treasury Direct is cheaper than going to the movies).
Even those who need to pay off debts before starting to invest can already start focusing on expanding their financial planning knowledge. This is especially important to avoid facing the same issues again, such as having your name restricted by credit protection agencies or facing limitations in your life plans.
“Investing is only for rich people”
This mindset is completely wrong on every level. If you think that only the wealthy invest, or if you’re afraid of investing because you think you’ll lose money, know that this is one of the biggest mistakes you’re making! Investments are the best way to make money work for you. For this reason, start studying and find out which investments can be your best friends and allies when it comes to making your money multiply.
“I can just split this purchase or use my credit card”
There’s no doubt that splitting purchases is a common situation—especially in Brazil, where buying power is extremely low. However, this becomes a problem when it turns into a habit, and you start splitting even smaller purchases into smaller installments. Installments exist to help balance a budget, such as paying for an item in installments or financing investments.
Constantly relying on installments can harm your financial life, and you’re at risk of losing track of your expenses, which can lead to debt. If you have this habit, stop now, because those who do this rarely manage to get their finances organized.
This habit also leads to a bigger problem: losing money due to credit card interest payments. Therefore, try to avoid splitting payments as much as possible. Only buy what you truly need and try to pay in full. In this case, the ones who win are always the banks and payment institutions. I often tell close friends: “It’s better to pay in full so you don’t lose sight of your money.”
“I’ll wait for luck and buy a lottery ticket”
Who hasn’t heard the phrase, “Being rich is a matter of luck”? I even remember reading an interesting American study that revealed a surprising fact: poorer people believe they can only become rich through luck, which is why they buy more lottery tickets and participate in “miracle” prize draws. This logic, of course, also applies to Brazil, and I would say even more so here than in the United States.
I can categorically state: study and access to information are liberating. And don’t expect schools, universities, or traditional means to provide you with this information. If you don’t study, whether it’s about your field, topics that interest you, or current affairs, you won’t learn, you won’t internalize new ideas, and you risk staying stuck and out of touch with the times.
Study various subjects, especially entrepreneurship and finance. Learn from experts and come up with brilliant ideas based on what you’ve learned. For this reason, I strongly recommend focusing on financial education to learn how to use your money responsibly and make it grow. Knowledge is never too much, as my wise grandfather used to say.
And you, what did you think of the article? 🙂
Photo by maitree rimthong
