Jakarta, Armfalcon.com – Ramit Sethi, author of the book “I Will Teach You To Be Rich,” which is now going viral on Netflix, reveals three dangerous thoughts about money that can be harmful to your personal finances in the future.
Reported from CNBC Make It, Sethi jalso said that through just a small change in your mindset about finances, you can change your life for the better.
Intrigued by the three dangerous thoughts referred to by Ramit Sethi? Here’s the review.
“Money” is not a topic worth discussing
Sethi said that financial problems are indeed a discussion that is often avoided by people in the United States. In fact, it’s definitely a topic to be comfortable talking about if you want to be successful.
“How can you move forward (in terms of finances), if you yourself refuse to talk about money either with yourself or with your partner? Finance is a regular topic of conversation in financially successful households,” said Sethi, quoted from CNBC Make It ( 2/5).
In essence, you will never be able to make good decisions regarding your finances if you yourself do not provide clarity about how much money you are making, spending, and allocating for the future.
Discussing matters related to spending habits, is part of building a healthy relationship with money.
Never question the origin of our mindset around money
Financial upbringing can be said to be the origin of the financial understanding that we have. We all have financial upbringing which are different because it is influenced by how our parents introduced us to money.
“On my podcast, I’ll ask couples around ‘what do you remember saying your family said about money when you were growing up?’ One common answer I get is, ‘we can’t afford it.’ Think what would happen if your family said this 10 times, or even 1,000 or tens of thousands of times.”
Sethi stressed that, everyone in this world has a “script” to address matters related to finance. This could have an effect on habits in managing finances when growing up.
It could be, someone feels guilty for buying coffee nowadays, even though he has planned for the future by having retirement fund savings.
Discard the financial “script” that has been in your mind since you were a child. You have to decide what kind of financial script you want to follow or create for this new chapter of your life.
Investments are only for the rich
“If your income is still mediocre, feel free to invest wherever you want, even with a capital of US$ 20 per month. That’s how the investment process starts,” said Sethi.
Sethi also added that the process of accumulating wealth is long, quite tedious, and full of methodology. If you think that you have experienced this, let’s say when you see the results of your hard work and others, then that is the process of wealth accumulation.
You may avoid investing thinking that this activity is more for the rich. Know that one can become rich by investing.
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