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What are seven things that poor people do that rich people don't?
In today's video, I'm going to share some fundamental behavioral things that poor people do that rich people don't.
I have been fortunate enough to build a massive amount of wealth over a short amount of time due to the fact that I changed the way I did things in business, with a fundamental approach.
I want to share my knowledge with you today so you can come to the same conclusion that I did, by seeing the different ways to approach life, business, and success so that you can ascend from the poor category to the rich category.
In this video, I am going to cover:
- The focus you should have on saving money vs. spending money and how it affects your earning potential
- Why the "fancy toys" you could buy will never make you any money, in fact, it'll cost ya!
- What happens when you have a "Plan B" for your journey in life or business
- Where you could be keeping your money that will better serve you and your future
- Why remedial tasks are killing your productivity
- How having "tough skin" in business will get you much further, much faster
- And... how to shift your perspective from price vs. value when purchasing or investing in something!
What are seven things that poor people do that rich people. Don't, that's what we're going to talk about in today's video. And if you like videos like this, don't forget to subscribe because I release new videos every week.
Hey everybody, Dan Henry here, founder of getclients.com and author of the bestselling book, digital millionaire secrets. And I would like to share today some fundamental behavioral things that poor people do that rich people don't because I have been both. I have been very, very, very poor and I have been fortunate enough to build a massive amount of wealth over a relatively short period of time. And it was because I fundamentally changed the way I did several things. And I did this because I noticed that people that knew how to build wealth, took a fundamentally different approach to the seven things that I'm going to be listing out here today. And I'm not doing this video to throw shade at poor people. I'm doing this so that you can come to the same conclusion that I did and see the different ways to approach life and business and success so that you can ascend from the poor category to the rich category, because who doesn't want that that's the American dream.
Right? So if you would like to be wealthier tomorrow than you are today, just type yes. In the comment box would love to know how many people out here have massive ambition. Like I did when I was younger and like, I still do let's jump right into the list, the very first thing. And you're going to find these to be pretty weird and unorthodox, you know, and maybe counterintuitive, but bear with me. The first one is save money. Poor people are always trying to save money. Rich people, not so much. Let me explain. If you are constantly focused on saving money, then you're not focused on bringing new money in. If you think about it, you are time your cognitive energy, just any energy that you give at a task or at a goal there's only so much of it. There's a finite amount.
And if you're always worried about saving money, you're not going to be worried about making money and trust me, the amount of money you will save. Is it pales in comparison to the amount of money you could make by shifting your focus? I'll give you a perfect example. Every year we go through all the expenses at my company that we could get rid of stuff that maybe we don't need. And when I look at it, I remind myself why we only do it once a year, because compared to what the company makes, if I say, okay, I'm going to take two hours to go through all these expenses and cut out a few grand a year in expenses that we don't need. He might say, well, Dan, that's a few grand, but if I took that same two hours and I said, okay, I'm going to develop this new product.
Or I'm going to even just write a few emails to get more people into my existing product. I'm going to make far, far more money than if I try to just save money. And so when you don't have a business and you don't have a product and things like that, I understand how you might say, well, I still need to save money. Sure. But think about this. You know, what, if you were reading a book on business and you know, you could spend the money on that book to learn that knowledge. And let's say you're in a bookstore and you see that the book is $20 in a bookstore, right. And you're on the road. So maybe you have like a three-hour drive home and you're, you're kind of out of town and you see that book at the bookstore. And so you say, well, you look it up on Amazon.
You go, well, I can get this book for $5 on Amazon and I'll have to wait two days, but I'll get it for $5. I can save $15 because the book is $20 here in the bookstore. Yes, sure. You could say $15, but if you buy that book right now and you read that book, let's say somebody else's driving or you're taking a flight or whatever. And you read that book now, not tomorrow, not in two days, not next week. Now that $15 means nothing compared to you learning that knowledge and being able to execute it faster. So rich people, they don't step over a dollar to get to a dime. If I go into a bookstore and I want to learn something or whatever it is, I don't worry about it. Can I get it here cheaper? Who cares? I buy it right then. And I start implementing it right then.
And that has made me far wealthier than focusing on saving money. So the first thing is poor people try to save money. Rich people spend that time making more money or learning how to make more money. So the second thing that poor people do that rich people don't is they buy toys that don't make money. Let me give you two specific examples of things that happened in my life, where I implemented this strategy. And again, I saw rich people, people wealthier than me doing this. And so I adopted the same principles. Here are two examples. Years ago when I was a little younger and a little dumber, little, little dumber I bought a Lamborghini and it was dumb. I hated it. I ended up selling it, but I bought it and I had two options. I could go out and buy a brand new Lamborghini for $300,000, drive it off the lot and just lose probably 50 grand immediately.
Or I could buy an older Lamborghini that has already hit its depreciation curve. And that means with exotics, you know, once they hit a certain amount of depreciation, they kind of plane off and they stay the same. They very slight decrease. So I went out, I bought a 2006 Lamborghini guy order special edition. I bought it for about 105 grand and I drove it for almost three years. And then I sold it for 98 grand. So that costs me $7,000 to drive that car for three years. If you, what would you rather do? Would you rather have a brand new Lamborghini and lose $50,000 on it, or would you rather have a slightly older Lamborghini pay? Only $7,000 cars drive for three years? See what I mean? So that by making a smart decision there, I was able to own a rich person toy, but it didn't cost me a lot of money.
A second thing I did was I've always wanted to buy a yacht. My dad used to be a yacht captain. He used to deliver yachts up and down the East coast. I always wanted a yacht. He used to tell me these great stories about it and it just something I always wanted. So I looked into it, I looked into the business end of it, the private charter end of it, the tax end of it. And I ended up buying a $2 million horizon, PC 60 luxury catamaran yacht. I bought the domain millionaire cruise and a millionaire cruise.com. And what I did was in addition to offering private charters, cause this thing for like 35 grand a week, private charters, I started selling business events and consulting events where I would charge for a small group of five masterminds to basically come out, hang out with me for the day on the yacht and talk business in a, in a very private mastermind, as well as sold one-on-one days where you can hang out with me on the yacht.
And I'd basically give you a full day of intimate consulting while we had a great time on the yacht. And, and you know, I created these products based on the yacht. Well, as of right now, as of me speaking right now, I've owned the yacht for less than a month and I've already done over six figures in millionaire cruises. And so I have the income coming from the, from the business charters or the business events that I'm holding. We already sold to people at charters. So I'm already well ahead of the game. And yes, there are costs to owning that boat. A ton of costs. It's $10,000 just to Polish that boat. But with the amount of income coming in, plus the tax deduction from it being a business, I ended up not only what it looks like. I'll not only break even. I'll probably even make some money.
So again, you know, don't go out and buy a brand, you know, buy all these toys. I mean, even this watch, this is a 2018, a Rolex Daytona. I can sell this watch right now for the same amount that I bought it for. So when you buy a toy, buy something that either doesn't appreciate too far beyond what you spent on it or buy something that'll make money. That is the second thing. The third thing is having a plan B. People always have a plan B. They always have something to fall back on. This is advice. Our parents give us, they say, what was the have something to fall back on? Well, I'm sorry, are your parents rich? Probably not. That's probably why they told you this because it's something poor people do, rich people. Don't why I've heard Arnold, Schwartzenegger talk about this, basically what he said, and I fully agree with it is if you have a plan B, then you're not fully committed, committed to plan a, you can't possibly be fully committed to plan a if you're thinking about plan B, right?
So when you don't have something to fall back on, when you don't have a safety net, when you don't have a contingency plan, your chances of succeeding at plan a are far higher because you're fully committed because you have to make it work. If you have a plan B, that means you're already thinking about plan B. You're already planning for plan B. You're already putting mental energy into a plan B and you're not giving your full effort to plan a. That is definitely something that poor people do that rich people. The fourth thing is keeping money in the bank. Poor people keep money in the bank right now. Here's the thing. First of all, this is not investment advice. I'm not a licensed investor. This is just what I do. I'm not giving you investment advice, entertainment purposes only. Disclaimer, disclaimer, disclaimer.
So here's the deal. If you keep your money in a personal bank account, you have DIC only ensures it up to, I believe it's $250,000, which means technically if you have over $250,000 in the bank, technically that money is constantly at risk. Now, if you put that same money into a brokerage account, like TD Ameritrade at my last check, they insure it up to 1.5 million. So simply by keeping it in a brokerage and you don't even have to buy stock, you don't have to trade. You don't have to "do nothing", but by simply keeping it in a brokerage account, the money, the level of the money, and being insured goes way up right now. Think about this. I like to keep my money in things like stock you know, companies that I believe in, I could take a million dollars and I could just put it in the bank, or I could take 500,000, put it in Apple stock.
And I'm pretty sure a year from now, Apple is going to be worth more in a year than it is today. Pretty short. That's just me again, not investment advice. So as well, I can take that the other 500,000 or two 50 here, two 50 there, and I can put them in funds. So right now I'm heavily invested in two funds that basically create apartments or buildings or section eight housing or loan money to certain industries. And let's say I'm making 15% on a million dollars. That's $150,000 a year. I will make taking that money, that million dollars. And instead of sitting, letting it sit in the bank, I have it sit in a, an investment fund that pays out 15%. Now, of course, you have to do your due diligence. You can't just give it to some random dude. Who's like, I have an investment fund.
You have to make sure that you research the people, do your due diligence. Make sure their funds have a track record, but past all that due diligence, I would rather keep my money and things like stocks things like investment funds because that money is going to make me money. If it's in the bank, it's not making any money. It's just sitting there and then guess who's making the money off of it, your bank because you know what your bank does with the money that sits in the bank, they invest it. They put it into things like this. They make money off your money. That's what they do. They loan it out to housing and all this crazy stuff. So your money is always at risk. Anyway, rich people know that that's why they're comfortable putting their money out of the bank and things like stocks and funds.
Poor people don't know that. So they just blindly keep it in the bank. So that is the fourth thing. The fifth thing is participating in remedial tasks. So what does that mean? Participating in remedial tasks? So let's say for a moment that you have a business or you have a career, or you have some sort of thing you're working on that is making you money. Let's just say a business, right? If you do your own laundry, if you do your own shopping, if you do remedial tasks, man, you're losing a lot of money. And here's why let's say it took me three hours per week to shop for groceries, et cetera. That's three hours. I could be working on my business, making more money. So I personally, I Instacart which yeah, sure. Again, we go back to savings, money for Instacart. It's going to cost me a few extra dollars.
So I'm not going to do that. I'm going to save money. That's the smart financial decision. Cause I sit there and listen to Dave Ramsey all day and think that he's Jesus. No. Okay. I spend a few extra dollars. I now have three extra hours that week to work on my business and make far more money than I would have saved in that Instacart. $10, whatever charge. Okay. As well as you earn more money, you should add like before you take your money and going back to this point and you put it in stocks, investments, invest it in removing remedial task, get a housekeeper, get a get somebody, get an assistant, get somebody to pay your bills gets when I say pay your bills. I mean, they go through your bills. They pay them. You shouldn't be doing that. You shouldn't be shopping. If your car has ball tires, hire somebody to take your car to the shop.
Task rabbit is one is beautiful. I remember I bought a weight, a new weight bench because I need a new weight bench. That weight bench would have taken me two to three hours to put together. That's two to three hours I could be spending on my business. It costs me $35 to go on task rabbit, hire somebody to come out to my house, put it together for me, $35, $35. And I had three extra hours to work on my business, which was worth thousands. All right, now I get it. You can't start this right away. You can't just hire everybody to do anything for you right away. But as you grow and as you get money, immediately invest in removing remedial tasks. So you can participate in hours that make more money, stop trying to save money, and create more hours to make money. So that's the fifth thing.
The sixth thing is to take things personally. Oh, this one. Okay. So poor people always take things personally. They miss out on business opportunities. They miss out on business relationships. They miss out on a lot of things cause they take things personally. Do you know how many people I've done business with that may have I've made have seen something they said on Facebook that I politically didn't agree with or whatever. I don't care if we have the potential to do business together and we can bring value to each other, or let's say they've written a book or let's say like, I'll give you a perfect example. There might be somebody that I violently in my head disagree with on a particular topic. But if they wrote a book, a book on another topic that I think I get value out of, I'm going to buy that book.
And I'm going to learn from that book. If I have somebody that I could do business with. And again, as long as they're not doing something unethical that I morally disagree with, you know, I'm going to do business that way with that person. I don't care. You know, there's all these, these, these things that we can all disagree with, you know, masks, no masks, Republican, Democrat, you know, religion, atheist, blah, blah, blah. I don't care. If we can bring value to each other, we're going to, then I'm going to do it. We're going to have a business relationship. And I'm not going to take things personal poor people miss out on a ton of opportunities or they burn bridges because they don't like one thing or who cares. Let it go. Okay. Even when you're an employer and you have employees, I have employees that mess up all the time.
They're human beings. We're, we're on a rock in the middle of space. The aliens didn't stop by and give us a fricking guidance book. Okay. We're on our own people make mistakes. Do I get upset about certain mistakes at certain times? Sure. I do. Do I, do I go, do I wake up the next day? And I say, this person's a bad person because they made a mistake and they're trying to take down my cup. No, I don't take it personally. I just try to do what's necessary to solve a problem and make sure it doesn't happen again. Okay. So stop taking things personally and missing out on opportunities because somebody doesn't agree with you. It's okay. They don't have to agree with you and you don't have to agree with them if you're a Republican and your friend's a Democrat, guess what? That's okay.
If they're a Democrat and you're a Pokemon, guess what? That's okay too. You don't have to agree. It's an amazing thing. Okay. Finally, the seventh thing is focusing. This is a long one. They focus on price overvalue. What does that mean? Okay. When you consider buying something, investing in something, or learning something and you look at the price versus the value, that is a poor mindset. When you look at the value over the price, that is a rich mindset. What does that mean? For instance, I routinely have spent 10, 20, 30, $50,000 on my own education on a mastermind, an event, a seminar, et cetera. I remember one time a friend of mine was very, very good at a very particular topic in business. It was refunds. It was, it was how to deal and manage refund requests. And I asked her, I said, Hey, you know what, you know, can you, can you tell me more about this?
Can you, can you get on a call with me? And she said she was very, very, very busy. And I said, well, I'll pay you a thousand dollars an hour to do it. Okay. So she got on the call with me. We went through it and this was years ago, but we implemented some of the things that she had told me on the call. It's saved us way more than a thousand dollars multiple times. Have I done that? I'll find somebody that knows how to do something, but they don't offer it as advice in their business. I'll pay you a thousand dollars an hour, right? You might say, well, Dan, you paid somebody a thousand dollars an hour. That's crazy. Again, focusing on price. It's not about the price. It's about what I get in return. If I say, if you hand me a $10,000 check, I'll hand you a hundred thousand dollars check, would you, would you hand me the $10,000 check?
Of course, would you be focusing on the hundred thousand dollars? Not the 10, but if I say, give me $10,000 and I will teach you how to make an extra a hundred thousand dollars this year, your next year in business. And I'll show you 50 people I've worked with that have actually done that. And if you do the work that's possible for you, if you implement a lot of people with a poor mindset, they go, it's $10,000, 10 that they don't focus on, but I could make a hundred thousand, right. They can make it sorta like if you invested into a stock that you knew was going up, would you care about how much, I mean, sure. There's money management and all that. But the point is is if you have a poor mindset, you're going to be focusing on the price, not what you get as a result of the price.
And so for me, you know, when I like, for instance, when I bought that, yeah, I was looking at two at 1.3 million and a 2 million, the 1.3 million got hardly, it was like 15 grand a week for charters. It wasn't very good at all. It wasn't a very sought out boat for charters. Not a lot of people chartered it. The one that was 2 million was booked solid for charters. It had, it had $300,000 a year in the existing charter business. It was a top charter vessel and it was over double the charter price of the other one. So me, I didn't go, well, it's only 1.3 vs. 2, and I just don't want to spend, you know, I spent the two because the spending the two, in the end, would get me more value. So I focused on what I got in return as an outcome, more than the price you start thinking like that you will ascend from the poor mindset to the rich mindset. And you'll begin building wealth. If you guys enjoyed this video, let me know in the comments, let me know in the comments, what you thought and don't forget to subscribe. So you don't miss videos like this. I'll see you in the next one.