3544: Understanding the Seven Habits of Wealth by Rob Berger with Get Rich Slowly on Building Wealth Mindset

[00:00:00] Dell PCs with Intel inside are built for the moments that matter. For the moments you plan and the ones you don't. Built for the busy days that turn into all-night study sessions. The moment you're working from a cafe and realize every outlet's taken. The times you're deep in your flow and the absolute last thing you need is an auto-update throwing off your momentum.

[00:00:22] That's why Dell builds tech that adapts to the way you actually work. Built with long-lasting batteries so you're not scrambling for the closest outlet. And built-in intelligence that makes updates around your schedule, not in the middle of it. They don't build tech for tech's sake. They build it for you. Find technology built for the way you work at dell.com slash dellpcs. Built for you.

[00:00:47] This is Optimal Finance Daily. Understanding the Seven Habits of Wealth by Rob Berger with GetRichSlowly.org Quote, We are what we repeatedly do. Excellence then is not an act but a habit. Aristotle We tend to define our lives by the big events. Graduation, marriage, children, a big promotion, retirement.

[00:01:16] What often gets neglected are the little things we do every day. The little things that make the big events possible. As Aristotle said, it's what we repeatedly do that produces excellence. When it comes to money and wealth, what do you repeatedly do? Financial security cannot be reduced to a simple formula. Like excellence, it's the result of your daily habits. An individual with high income who has poor daily habits will fail to find financial security.

[00:01:46] But a person with relatively low income can achieve financial freedom through the power of good habits. So, what are the habits of wealth? Number one, hard work. Quote, By working hard, old man, I hope to make something good one day. I haven't yet, but I'm pursuing it and fighting for it. Vincent van Gogh Hard work is the habit first among equals.

[00:02:13] Achieving financial security is often the result of consistent diligence. We've all heard of individuals who found wealth through inheritance or the lottery, and these stories are the most memorable. What we rarely hear about, however, is the school teacher who works hard for 40 years and along with some of the other habits that follow, manages to save a million dollars or more on a salary that never exceeds $50,000 per year.

[00:02:38] Hard work enables us to appreciate all the more the financial security that it produces. Number two, modest living. Quote, A just and reasonable modesty does not only recommend eloquence, but sets off every great talent which a man can be possessed of. Joseph Addison This habit is the great equalizer. Modest living can produce great wealth on a modest income.

[00:03:05] In contrast, frivolous uncontrolled spending can result in financial turmoil for the highest paid among us. My grandmother lived modestly. A nurse by education and training, her income was modest by the prevailing standards. Yet she managed to pay cash for her home and save enough for a generous retirement. More importantly, modest living produced a contentment in her that money just cannot buy. Number three, patience. Quote,

[00:03:54] Shortcuts born out of impatience lengthen the trip. With wealth, impatience often leads to decisions with dire consequences. Patience, however, should not be equated with inaction or passivity. Rather, practicing the habit of patience produces thoughtful, long-term decisions that can produce wealth while minimizing risk. Warren Buffett epitomizes the patient investor. His investing success is often the result of patiently waiting for the right time to buy a stock or a company.

[00:04:24] Number four, perseverance. Quote, Life is difficult. This is the great truth. One of the greatest truths. It's a great truth because once we see this truth, we transcend it. M. Scott Peck. If it were easy, everyone would do it. The fact is, obtaining financial security requires working through challenges. These range from the small daily choices we make, which over time have a monumental impact on our finances.

[00:04:54] To the big money events in our lives that are the most memorable. Perseverance keeps us focused on our goals and enables us to confront all challenges, big and small. Number five, balance. Quote, The word happiness would lose its meaning if it were not balanced by sadness. Carl Jung. We are constantly bombarded with imbalance in the financial press.

[00:05:20] Either real estate beats stocks or stocks beats real estate. But rarely do we hear of a healthy balance of both. Balance in all aspects of our lives produces completeness in a way that obsession never will. But balance does not mean a lack of passion. To the contrary, balance in our relationships, work, finances, and other areas of our lives enables us to pursue life with passion while remaining firmly rooted.

[00:05:47] In our finances, balance shows us the importance of living for today and for the tomorrows that come our way. Number six, self-awareness. Quote, I think self-awareness is probably the most important thing towards being a champion. Billie Jean King. I'm trying to find myself was a common refrain among teenagers when I was growing up. It was the best excuse we could muster for avoiding the realities of adulthood.

[00:06:16] But a healthy dose of self-awareness brings into focus the motivations behind the daily decisions we make. Self-awareness allows us to understand what motivates us to spend money, what investments are best for us given our tolerance for risk, and ultimately what will produce contentment in our lives. Practicing the daily habit of introspection leads to self-awareness. And number seven, learning. Quote,

[00:06:44] I went to the woods because I wished to live deliberately, to front only the essential facts of life, and see if I could not learn what it had to teach, and not, when I came to die, discover that I have not lived. Henry David Thore It's what we don't know that's the most dangerous. The habit of lifelong learning enables us to improve our careers, investments, and spending, as well as other areas of our lives.

[00:07:10] The older I get, the more I realize that learning is a process, not an event. As soon as we think we've got it all figured out, something comes along to remind us just how fragile our understanding can be. Make learning a daily goal, and your finances will thank you for it. What do these habits teach us? In the words of Aristotle, they teach us that who we are and what we have is a result of what we repeatedly do.

[00:07:37] Wealth, then, is not the result of an act, but the result of our habits. You just listened to the post titled, Understanding the Seven Habits of Wealth, by Rob Berger, with GetRichSlowly.org. Dell PCs, with Intel inside, are built for the moments that matter. For the moments you plan, and the ones you don't. Built for the busy days that turn into all-night study sessions.

[00:08:05] The moment you're working from a cafe and realize every outlet's taken. The times you're deep in your flow, and the absolute last thing you need is an auto-update throwing off your momentum. That's why Dell builds tech that adapts to the way you actually work. Built with long-lasting batteries so you're not scrambling for the closest outlet. And built-in intelligence that makes updates around your schedule, not in the middle of it. They don't build tech for tech's sake. They build it for you.

[00:08:35] Find technology built for the way you work at dell.com slash dellpcs. Built for you. I don't know about you, but even with regular cleaning, it seems like dust is never-ending. That's why so many listeners have discovered Air Doctor, the air purifier that's changing how people breathe. With Air Doctor, users consistently report fewer odors, reduced allergy symptoms, and noticeably better sleep.

[00:09:03] Its powerful three-stage filtration captures particles about 100 times smaller than typical air purifiers, including dust, pollen, pet dander, wildfire smoke, bacteria, viruses, and VOCs. Plus, it's whisper quiet with an auto mode feature for optimal air 24-7 and filter change reminders, so there's no guesswork. And Air Doctor even won Newsweek's Reader's Choice Award for Best Air Purifier.

[00:09:31] Head to airdoctorpro.com and use promo code OFD to get up to $300 off today. Air Doctor comes with a 30-day money-back guarantee, plus a three-year warranty, an $84 value, free. Get this exclusive podcast-only offer now at airdoctorpro.com. A-I-R-D-O-C-T-O-R-P-R-O.com. Using promo code OFD. As demonstrated in the article today,

[00:10:01] building wealth is not just about earning money. It's about cultivating a mindset and habits that lead to financial security. The book The Millionaire Next Door by Thomas Stanley and William Danko found that most millionaires did not inherit their wealth or make a lot of money through high-paying jobs. Instead, they lived frugally, invested wisely, and built wealth slowly over time. Science tells us that habits are formed through the process called habituation,

[00:10:30] in which we repeat actions until they become automatic. This means that if we want to cultivate habits of building wealth, we need to start by taking small actions consistently, such as saving a portion of our income each month, tracking our expenses, paying bills on time, and investing regularly. Consistency is the key to building wealth over time. Other habits that can be helpful are networking and being mindful of the people we surround ourselves with.

[00:10:58] Building a strong network of professional and personal contacts can help create new opportunities for wealth building. Networking can help you find mentors, job opportunities, and potential business partners. And at the risk of sounding like a broken record on this show, gratitude is a powerful tool for building wealth. When we focus on what we already have and appreciate it, we're less likely to overspend or make impulsive purchases.

[00:11:26] Practicing gratitude can also help us feel more content with our lives, which can lead to greater financial security over time. Building wealth does not require earning a high income or getting lucky with investments. It's about cultivating daily habits that promote financial security over the long term. And that will do it for today. Have a great rest of your day. And I'll be here reading to you tomorrow, where your optimal life awaits.