Today I am going to summarize one of my favorite
books called SECRETS OF THE MILLIONAIRE MIND written by Harv Eker. The most interesting part
of the book for me was the part where the author The First difference - rich people think
big, poor people think small. Have you ever been grocery shopping and spent several hours in
several stores so that you can find the cheapest groceries to save 50 or 60 cents? Or have you been
waiting in line for an hour so that you can get a free hamburger? If you have done this then you
have a POOR person mentality. I am sorry to say that but let me explain. Of course, it is not a
bad thing to save money while you are shopping, but this changes when it comes to how much you
will save compared to the time you will spend for that saving. If you spend 1 hour to find the
cheapest oranges so that you can save 60 cents then the value of your 1 hour is 60 cents.
Compared to this, rich people don’t care about saving 60 cents, they understand the
value of their time and constantly think about new things they can do so that the
value of their 1 hour is equal to 6 000$. The second difference - Rich people
choose to get paid based on results, poor people choose to get paid based on time.
Let me be open with you: No one cares how much effort you put into something, what they care
about is the result. Your customer does not care that you have put hundreds of hours into
developing a product. Do you think they will buy your low-quality product just because you have put
a lot of effort into it? Of course not! What they care about is the result: If it is good they will
buy it even if you have spent a few hours on it. For example, You don’t care how much effort and
time I have put into this video. If the video is good you will keep watching if not you will just
click on another video. The fact that I have spent over 100 hours on this video is irrelevant. The
fact that I made a mistake and because of that, had to spend extra time is irrelevant.
YOU REALLY DON’T CARE ABOUT ANY OF THAT. You would never say ‘’Let me watch this
low-quality video because 100 hours work has gone into making it’’. It is about
the result, not the effort or time spent The author says if you want to know your
true value then work for the result, not the salary. Rich people believe in
their value and in their ability to deliver results. Poor people don’t and that is why a
steady salary is very important for them.
Third difference - Rich people think
“both.”Poor people think “either/or.” Poor people feel that there is not enough and you
can’t have everything. Rich people think there is plenty for everybody and you can have everything
you truly want. Poor people believe in scarcity. Rich people believe in abundance. Do you want a
successful career or a close relationship with your family? How about both? Do you want to focus
on business or have fun and play? How about Both? Do you want a blonde girlfriend or brunette?
:) How about both? :) The last one was a joke, but you got the point :) Rich people always want
both, poor people always choose one. Poor people see the world as a cake and believe that everybody
will take a slice and the cake will be over soon. On the other hand, rich people see the world as an
OPEN BUFFET - once something finishes the waitress will add more and you can eat as much as you
want. Poor people believe that they have to choose between money and the other aspects of life. Do
you have to choose between money and happiness? No! Of course not! Money is important and
happiness is important as well. You can have both! Many people have negative feelings about being
rich. They think that becoming rich makes you evil. That is why they think that they have to
choose between being rich and being a kind person. So they choose to be kind and stay broke. Probably
you have heard someone saying’’ That person really changed after he became rich’’ or ‘’Money changed
this person a lot’’. I believe that money does not change you. Money makes you more of what you
are already. If you are a kind person, money makes you a rich kind person. If you like helping
other people, money gives you the option to help even more people. On the other hand, If you are
a jerk, money makes you a rich jerk. If you do evil things after you get rich it means you were
already evil. Having money just made it obvious.
Fourth difference - Rich people focus on
opportunities, poor people focus on obstacles. This is my favorite. Whenever I come up with some
new idea I share it with the people to get some feedback. It is very rare to see someone who would
acknowledge the problems regarding the idea but at the same time focus on the opportunities it can
bring. Almost all the time I hear tons of people telling me how my idea will fail. And that is how
poor people think. They constantly see obstacles, risks and always focus on problems while rich
people focus on opportunities. Poor people make choices based on fear. Their minds are constantly
scanning for what is wrong or could go wrong in any situation. Their primary mindset is “What if
it doesn’t work?” or, more often, “It won’t work.” I’m not saying don’t take care of problems.
Of course, handle the problems as they arise, but don’t let the fear and problems stop you. If
you focus on the problems you will get problems, if you focus on opportunities you will get
opportunities. It is a simple universal law.
Fifth difference - Rich people associate
with positive, successful people. Poor people associate with negative or
unsuccessful people. Simply put: If you want to fly with the eagles, don’t swim with the ducks! If
your goal is to be rich, then study rich people, hang out with rich and successful people and
use them as a model. Do what they do, read what they read. There is a reason why they are rich.
For example: If you want to create a successful Youtube channel, find the successful channels in
your field and study what they do. Study what type of content they create, how long are their videos,
what kind of style they use. If you take the exact same actions and have the exact same mindset,
chances are you will get very similar results. When I give this advice people get very angry
and they say ‘’So you want me to just copy other people? You want me to be unoriginal? You
want me to just steal other people’s work? No, I am not saying any of that. For some reason these
days people want to be Mark Zuckerberg and invent the next Facebook:). If you are an ordinary
guy like I am then you have a better chance of succeeding by modeling successful people and that
does not mean you are unoriginal. For example, if you decide to create the summary of
the exact same book I am summarizing now, use the exact same animation format that I am
using now, use the exact same background music, your content will still be unique because
you have a unique voice, you have a unique way of explaining things. Even if you do the same
thing your content will still be different than mine. By the way, probably you have noticed
that there are already many channels that are doing the exact same thing that I am doing,
but despite that, this channel will be growing. Please don’t get me wrong, I am not trying to
brag about myself or say ‘’look guys how great my channel is’’ The reason I am talking about
myself is that you and I can relate to each other easily. If I give you an example from the founder
of Amazon-Jeff Bezos it will probably be hard for you to relate to his story but you and I are two
simple guys who are trying to improve ourselves. Another complaint I hear a lot is that I
don’t have rich people around me so how can I surround myself with rich and successful
people? Look, you don’t have to have them, you can simply find successful people and read
their books or watch their videos. You can’t ask Arnold Schwaznager to hang out with you
so that you can study him and get in shape, but guess what, he has tons of videos and
has written a book. So why not read his book, or watch his videos? I don’t have any rich friends
around me. Authors of these types of books are rich friends for me. I hang out with them by
reading their books, watching their videos, and listening to their podcasts.
Sixth difference - Rich people know what they want and they are committed to
getting it. Poor people just want to be rich. Imagine you and your friend are hanging around
in the city center and you want to eat a baguette. Your friend approaches the stand
and says ‘’Hello, I want to buy a baguette, Please give me a baguette. Most probably the
seller behind the stand will be confused and ask what kind of baguette your friend wants because
there are many types of baguettes. This is exactly the same approach poor people use when it comes to
becoming rich. They just want to be rich, but they don’t know what a rich life looks like for them.
If you don’t know exactly what you want then the girl who is selling the baguette will just give
you any baguette she chooses and you will walk away. Now imagine you approach and say ‘’Hello,
I want a tuna baguette with smoked cheese, but I don’t want this type of bread. Give me that
dark bread with sunflower seeds. Don’t put onion, put some cucumber, tomato, and toast it’’ Guess
what? The girl is going to give you exactly what you asked for. In the same way, Rich people do not
send out mixed messages, only poor people do. The #1 reason most people don’t get what they want
is that they don’t know what they want. You must know what that rich life looks like for you and
must have a plan to get there. For example, for me, a rich life means having the freedom to work
when I want, where I want. I want to be able to take a taxi whenever I want. I don’t like taking
public transport and feeling sweaty, especially if I am going to some important meeting. When I
go to a restaurant I want to be able to open the menu and choose anything I want without looking
at the price column first. I want to be able to take my parents on a nice vacation twice a year.
I want to be able to help people around me when they are having financial difficulties. I want
to be able to wake up at 11 am on Tuesday and go for a walk in the park. I want to be able to
go to the gym in the middle of the day and come back whenever I feel like it. This is my rich
life and I have a plan on how to get there. Difference #7 - Rich people are willing to promote
themselves and their values. Poor people think negatively about selling and promotion. Let me
explain it in this way: if you had a cure for some type of disease would you hide it from a person
that was suffering from it? I don’t think so. In the same way, If you believe that what you
have to offer can truly assist people, IT IS YOUR DUTY to promote it. It is your obligation
to promote it. By not promoting you are actually doing DISSERVICE to people. Maybe the product you
are selling is the product that can change my life but if you are not promoting it then I am losing
the chance to change my life. Resenting promotion is one of the greatest obstacles to success.
People who have issues with selling and promotion are usually broke. How can you create a large
income in your business if you aren’t willing to let people know about your product, or service?
Whatever work you are doing you need to be good at selling and promotion. Almost every aspect of
our life involves selling. For example: When you are trying to convince your partner to go to a
restaurant instead of shopping you are selling, when you are trying to convince your daughter
to study you are selling. In fact, right at this moment, I am selling. I am selling you my
video and you are paying for it with your time. You are paying with minutes from your life.
And I am not ashamed of selling you my video. I am not ashamed to promote it and ask you
to hit the like button and subscribe because I know that ideas from these types of books
can really help you to change your mindset. Difference #8 - Rich people believe “I create my
life.” Poor people believe “Life happens to me.” If you want to create wealth, it is important
that you believe that you are the one behind the wheel. Poor people travel through life as a
passenger. On the other hand, rich people always sit behind the wheel. Did you ever notice that
it’s usually the poor people who spend a lot of money playing the lottery? They actually have high
hopes that someone will simply try picking their name out of a hat and provide them with money
and eventually will cause them to become rich. Eker says poor people also justify their
situation. They say things like “Money is not important, happiness and love are
important.” This kind of comparison is not correct. Let me ask you a question:
Is your leg important or your arm? You are probably saying ‘’what a dumb question
is that’’ of course both of them are important. You are absolutely right: both of them are
important in the same way money and happiness are both important. Money and love are both
important. Food and water are both important. Poor people also blame others. It’s never their
fault, it’s always the fault of others. They always act like victims. I have two cousins who
grew up in the same village, went to the same school, had the same teachers, and both had poor
parents. Today one of them is very successful and the other one not. And the most interesting part
is that both of them use the same reasons for their current situation. Poor cousin blames the
bad education system, poor parents, government, and the system for his failure. On the other
hand, rich cousins used the same reasons to become successful. He says ‘’I knew that the
school system was bad and my parents were poor and because of that I started to educate myself and
learn new things’’. He does not blame anyone or anything. Another reason the poor are poor is that
they complain. When people complain, they focus on what’s WRONG with their life. What you focus on
expands so they keep getting MORE of what’s wrong. Difference #9 - Rich people manage their money
well and poor people mismanage their money. Money is just a tool like your computer or telephone
which requires you to learn how to use it. We spend many hours learning how to use the computer
but when it comes to money people ignore this simple fact and don’t want to pick up a book and
learn how money functions and how to manage it. To me this one is crazy because money is something
we sell our life for by working 9 to 5 every week, but when it comes to learning how
to manage it so many people fail. With the amount poor people complain about
their financial situations, you would think it would make sense to learn the basics of
money, but that is almost never the case. Rich people are not any smarter than poor people;
they just have different and more supportive money habits. To master money, you must manage money.
Saying “I’ll start managing my money as soon as I have money” is like an overweight person saying
“I’ll start exercising and dieting as soon as I lose twenty pounds.” First, you start properly
handling the money you have, then you’ll have more money to handle. If your son can’t even handle
and maintain his bike would you buy him a car? Of Course not! The same logic applies to the
universe and you. The Universe says: Until you show you can handle what you’ve got, you won’t get
any more! The author says even if you borrow money to live you still need to learn how to manage that
money. The more important thing is to exercise the ‘’money management muscles’’ so that it becomes a
habit. Building the habit first is very important. For example: If your goal is to go to the gym
every morning so that you can do squats with 100 kilos, you first need to learn how to lift a
1-kilo blanket before lifting a 100-kilo weight. If you don’t have the habit of lifting the blanket
and getting out of bed then there is no way you would reach your goal. To manage your money
well, the author recommends creating 5 accounts. Investment account, play account, education
account, give account, and expense account. You have to put 10% of your after-tax income into
your investment account. It is the account that is going to create the Goose that lays golden
eggs. Eker recommends also putting an equal amount (10%) into your play account. Money in the
play account must be spent at the end of the month on fun activities. You should spend this money
in a way that helps you feel rich and happy. If you always keep saving eventually the part of you
that seeks FUN will sabotage your other accounts. Difference #10 - Rich people are
bigger than their problems. Poor people are smaller than their problems.
The secret to success is NOT to try to avoid or get rid of your problems; the secret is to grow
yourself so that you are BIGGER than any problem. It doesn’t matter if you’re rich or poor, you’re
going to face problems. The size of the problem is never the issue – what matters is the size
of YOU. The bigger the problems you can handle, the bigger the business you can handle; the
bigger the responsibility you can handle, the more employees you can handle, the more money
you can handle. The things we call problems are actually only situations. We make them a problem.
Respectively, some people make it a problem, others don’t even get affected. How can it
be that the exact same situation is a problem for one but not for another? It depends on the
person. It depends on you! You might get fired and depressed all day and complain, or you can
use your free time to create your own business. Difference #11 - Rich people are excellent
receivers. Poor people are poor receivers. A poor receiver is a person that cannot receive
well. And what do we receive? We receive praise, compliments, money, gifts,and many other things. Many of us have trouble receiving such things. The
author says that we are conditioned that way. We grew up and heard things like “That’s wrong”,
“You’re not making it right” “What did you do?” These sentences all strengthen the feeling of not
being good enough. And not feeling good enough is one reason why we are poor receivers. From now on,
take everything someone offers to you. If someone tells you you’re looking good, then say “Thank
you” instead of “What? No, I look horrible today.” It's as simple as that: Just say “Thank you” and
receive your compliment. Eker says: It’s funny, when I was broke and I saw a penny on the ground,
I would never bend so low to pick up a penny. Now that I’m rich, however, I pick up anything
that even looks like money :) Then I give it a kiss f or good luck and declare out loud, “I am
a money magnet. Thank you, thank you, thank you.” Difference # 12. Rich people play the money
game to win. Poor people play the money game to not lose. In sports, teams that strictly play
defense and no offense have a hard time winning. Unfortunately, most people play the money
game on defense where their primary concern is survival instead of wealth and abundance.
Poor people want to have enough money to pay bills. The intention is a very important thing
and when your intention is to have enough money to only pay the bills, guess what? That’s
EXACTLY how much you’ll get. Nothing more. You have to aim high. You must shoot the stars
so that you can at least hit the moon. The author says If your goal is to be comfortable, chances
are you’ll NEVER get rich. But if your goal is to be rich, you’ll end up very comfortable.”
Difference #13 - Rich people have their money work hard for them. Poor
people work hard for their money. Eker says, “I agree that you do have to
work for your money. But, for rich people, this situation is only momentary. For poor people,
it’s unending. Rich people believe that for your money to work hard and take your place, you have
to work hard first. They also know that the more your money works, the less amount of work you
will have to do.” First objective should be to become “financially free” as soon as possible.
Eker defines financial freedom in a simple way: Financial freedom is the ability to live the
lifestyle you desire without having to work or rely on anyone else for money. And how is that
possible? You need passive income. In short, you become financially free when your
passive income exceeds your expenses. Many people can’t differentiate between ‘’being
rich’’ and being ‘’financially free’’. They think that first, you need to be rich to be
financially free, but it is not true. Financial freedom comes first because it is easier
and faster to do. Let me ask you a question: Is it easier to climb a ladder that has only
10 steps or a ladder that has 1000 steps? Of course, the 10 step ladder is easier, right?
By using this analogy we can say that becoming financially free is like climbing the 10 step
ladder, and becoming rich is like climbing the 1000 step ladder. First, try the easier goal and
be financially free. Once you have the passive income coming and you don’t have to work for
anyone then you can use this free time to become rich. Eker says in his seminar one of the students
realized that if she simply rented her flat and moved to a cheaper place, her passive income
from the rent would be enough to cover all her expenses, plus she could even save some money. And
that is exactly what she did. She rented her flat, moved to a cheaper and more exotic place,
and became financially free. Only then she started building her business and becoming rich.
So first focus on the 10 step ladder and creating enough passive income so that you don’t
have to work for someone. Once it is done, then you can think about the rest. There are two
primary sources of passive income. "The first is “money working for you.” This includes investment
earnings from financial instruments such as stocks, bonds or other assets that appreciate
in value’’ The second major source of passive income is “business working for you.” This entails
generating ongoing income from businesses where you do not need to be personally involved for
that business to operate and bring you income." The simplest example of this can be real estate.
Difference #14 - Rich people focus on their net worth. Poor people focus on their working income
When it comes to money, the common question that people ask is “How much do you make?” The
question “What is your net worth?” is rarely heard. A small number of people talk this
way. Wealth is measured by net worth and not by working income. It has always been like that
and always will be. To find out your net worth, all you have to do is add up the value of
everything you own, along with your cash and investments like stocks, bonds, real estate, the
present value of your business if you have one, as well as the value of your residence if it
is your own, and then subtract everything you owe. Net worth is considered the ultimate
measure of wealth because, if required, what you own can be turned into cash. After you
calculate your net worth, draw a vertical line on a page. Put ‘’0’’ to the bottom of the line and to
the top of the line write your desired net worth, let us say 1 Million dollars. Once you have
done it, put your current net worth on this line and see how far you are from your desired
amount. From time to time let us say every month or every quarter check this line and update it
accordingly. Even if right now you are at ‘’0’’ or in minus I would still recommend doing this
exercise because WHAT GETS TRACKED GETS IMPROVED. Difference#15 Rich people act despite
fear. Poor people let fear stop them. In the book, Eker talks about the Manifestation
formula. According to this formula: Thoughts produce feelings
Feelings then lead to actions And actions lead to results
For example, You think about a donut, then it creates a feeling of craving for the
donut and then you stand up and go to the shop to buy a donut. If this process constantly
repeats you gain weight. Thoughts and feelings are part of your inner world, becoming
overweight is part of your outer world. ACTION is the bridge between the inner world
and the outer world. If there is no action then your thoughts and feelings about being rich are
useless. Many people read these types of books to be rich but most of them don’t take action
and apply what they learned. It is not about how many books you read, it is about how many books
you apply in real life. Reading but not taking action is like watching the picture of the girl
you like on Facebook all day instead of going and talking to her face to face. If action is such an
essential role in achieving success then what is keeping us from taking these actions? Fear! Fear,
doubt, and worry are the most common barriers, not only to success but also to happiness. One of the
biggest differences between rich and poor people is that the rich are still willing to act even if
they feel fear, even if they are uncomfortable. Poor people, on the other hand, allow
fear to stop them. They don’t want to feel uncomfortable. If you are willing
to do what is comfortable, life will be uncomfortable. But if you are willing to do what’s
uncomfortable, life will be pretty comfortable. Fear and discomfort should not stop you! Fear
is the product of the mind. Your mind is a FEAR DETECTOR, NOT a success detector. The moment you
start doing something uncomfortable your mind will show you tens of horrible cases to stop you.
Our mind is the greatest HORROR SCRIPT WRITER. Training and managing your own mind is the most
important skill you could ever own. If you want to learn how to control your mind I would
recommend starting to meditate and reading a book called The POWER OF NOW which I have also
summarized on this channel. There is also a video about managing your fears which I covered when
I was summarizing the book called The MAGIC OF THINKING BIG by David Schwartz. I will put
links into the description for both videos. Difference #16 Rich people constantly learn
and grow. Poor people think they already know. Eker says that the most dangerous 3 words are ‘’I
KNOW THAT’’. The question is how do you know that you know something? Here is the answer: If you
live it, you know it. Otherwise, you heard about it, you read about it, or you talk about it,
but you don’t know it. Frankly, if you are not rich & happy, there is a good chance that there
is still a lot of things you can learn about: money
success And life
Consider this, If you’re not as successful as you’d like to be, there’s something
you don’t know. If you are not rich it means there are a lot of new things that you need to learn and
apply. “If you keep doing what you’ve always done, you’ll keep getting what you have always got.”
Difference #17- Rich people admire other rich and successful people, poor people
resent rich and successful people. When I was in high school there was a very rich
man and whenever I saw him passing through our neighborhood with his new MERCEDES I could hear
many negative stories about his luxurious life. Whenever I asked around if they knew what he does
for a living no one was able to give me a precise answer, but almost everyone assumed that he
is doing some criminal work and he is evil. Several years later I had a chance to talk to
this person when I was doing my internship and I learned that most of his childhood has passed
in poverty which motivated him to work harder and eventually he became a CEO. After knowing this
person and hearing his life story I realized that Poor people often look at other people’s
success with resentment, jealousy, and envy. This was the last difference, please put your
favorite idea or lesson from this video into the comment. If this video helped you just a
little bit, also don’t forget to hit the like button. It helps the channel a lot and motivates
me to summarize more books. Thanks for watching
