there's a lot of people who claim to have the secrets to getting rich or tools the only wealthy people have and guess what you can have them for just $1 199.99 well I hate to break it to you but there are no secrets to getting rich if you want to be financially free or Rich there are two things you have to do and I'm going to break it down for you right now [Applause] [Music] [Applause] what's up everybody my name is Jos pit Singh and welcome to the minority mindset you've probably seen these people who
claim to have the secrets to getting rich but are actually trying to get rich by selling you the secrets on how to get rich well if you want to be financially free it comes on to two steps and let's go over them so the first step is to make money or make more money big surprise right well this is what drives a lot of people to go into business or entrepreneur ship because of the opportunity to make a lot of money but as we're going to see just because you make a lot of money doesn't
necessarily mean you're going to be financially free so let's diagram it out let's pretend this good looking person is me drawing a turban nice mustache and a beard this is my bank account and this is my income Source like my job or my business so normally what happens is I make money for my job or business and goes into my bank and then this money comes to me so if I want to get something nice like a new car or a new boat I have to work longer hours or have to put more time into
my business so what happens I make more money here more money comes into my bank and more money flows to me and now I'm happy why because now I can get my brand new card that I wanted so what's wrong with this model well smart people learn from their own mistakes but rich people learn from other people's mistakes the singer MC Hammer had a net worth of about $33 million in 1991 but by 1996 he had to declare bankruptcy with $13 million in unpaid debts why because he had a lot of lavish spending and he
faced lawsuits that he didn't expect but even if you make more money that doesn't necessarily solve the problem the billionaire goer Ganson went from billionaire to flat broke in just one year he had a net worth of about $1.1 billion Forbes even ranked him in 2008 as the 104th richest person in the world but later on that same year after facing a down economy seeing some bad lawsuits and having a lot of lavish spending Forbes re-evaluated his net worth at $0 so how can you prevent something like this from happening that's where step two comes
in in step two make your money work for you this is why rich people can say they make money while they're sleeping because they have their money working for them so let's diagram it out now let's say this smart person is you this is your bank account and this is your job or your business so now what happens you have money coming in from your job or your business into your bank but instead of going straight to you this money gets redirected into this eyebox this will be your investment fund so what's supposed to happen
if you do it correctly this will take your hard-earned money and turn it into more money so what does this mean now you have multiple streams of income so you have money coming in from your job or your business and if you choose you can take money out of your investment fund why is this good now if you're walking down the street and you get hit by a car and you break your leg you can no longer go to work so you no longer have this stream of income from your job or your business but
you can still fall back on your investment fund and a lot of people get scared when it comes to investing because they think oh I don't have enough money to invest well if you start off with just $3 a day and you invest those $3 every single day from the time you turn 21 until you turn 65 and you just try to meet the S&P 500 Index those $3 will be worth more than 700 $1,000 when he turned 65 so maybe that's some incentive to save your coffee money every morning and the great thing about
compound investing is that if you put in more money or invest at a more aggressive interest rate meaning a better interest rate your money doesn't increase in a straight line like this you actually make more money on your money so your money grows a lot faster so with that please leave a comment below with any questions you might have and please don't forget to subscribe and like and check out a new video next week thank you [Music]
