I was POOR - These 17 Mindset Shifts Made me RICH: The Secrets Of The Millionaire Mind

Summary

In 'Secrets of the Millionaire Mind' by T. Harv Eker, the book differentiates the mindsets of the wealthy and the poor, highlighting that rich people think big, value their time, and focus on results over effort. They embrace abundance, see opportunities, and associate with successful individuals. Wealthy individuals are also proactive in self-promotion, take control of their lives, manage money effectively, and continually learn and grow. The book emphasizes the importance of a growth mindset and action over fear to achieve financial success.

Takeaways

• 💭 The mindset of wealthy individuals is characterized by thinking big and valuing their time, unlike those with a 'poor' mentality who often focus on small savings at the expense of time.
• 💼 Rich people prioritize compensation based on results rather than hours worked, understanding that value is derived from outcomes rather than effort.
• 🤝 Wealthy individuals embrace an 'abundance' mentality, believing in the possibility of achieving multiple goals and desires, as opposed to a 'scarcity' mindset that limits aspirations.
• 🚀 Successful individuals focus on opportunities and see potential for growth, whereas those less successful often concentrate on obstacles and are hindered by fear.
• 🤑 Rich people associate with positive, successful individuals, recognizing the value of mentorship and the influence of social circles on financial success.
• 🎯 Wealthy individuals have clear, specific goals and are committed to achieving them, unlike those who have vague desires for wealth without a defined path.
• 📢 Successful people are not afraid to promote themselves and their values, understanding that self-promotion is essential for personal and financial growth.
• 🛠 Rich people believe in their ability to create their own success, taking an active role in shaping their financial destiny rather than being passive victims of circumstance.
• 💰 Effective money management is a key habit of the wealthy, who view money as a tool to be learned and mastered, in contrast to those who mismanage their finances.
• 🏆 The wealthy play the 'money game' to win, aiming for financial abundance and growth, while others play not to lose, focusing solely on covering their basic needs.

Q & A

What is the first difference between rich and poor people as described in the book 'Secrets of the Millionaire Mind'?

The first difference is that rich people think big while poor people think small, often focusing on small savings at the expense of their time.

How does the author illustrate the concept of valuing time differently between rich and poor people?

The author uses the example of spending an hour to save a small amount like 60 cents, implying that if a person's time is spent saving such a trivial amount, their time is valued very low.

What is the second key difference between the mindsets of rich and poor as outlined in the transcript?

The second difference is that rich people choose to get paid based on results, whereas poor people prefer to get paid based on time, focusing on effort rather than outcomes.

Why does the author emphasize the importance of results over effort?

The author emphasizes results over effort because customers and clients value the outcome of a product or service, not the amount of time or effort put into it.

What is the meaning of 'both' and 'either/or' thinking as it pertains to rich and poor people?

'Both' thinking means rich people believe in abundance and that they can have multiple good things in life, whereas 'either/or' thinking means poor people see life as a series of trade-offs, believing they must choose between different aspects of life like success or family.

How does the author suggest that rich people's view on money differs from that of poor people?

Rich people view money as a tool and believe in abundance, meaning they think there's enough for everyone and they can have everything they want. Poor people, on the other hand, believe in scarcity and feel they must choose between money and other aspects of life.

What is the fourth difference between rich and poor people's mindsets according to the book?

The fourth difference is that rich people focus on opportunities while poor people focus on obstacles, with the latter often making choices based on fear.

Why is associating with successful people important according to the transcript?

Associating with successful people is important because it allows one to learn from their habits, mindset, and strategies, which can lead to similar success.

What does the author mean when they say that rich people know what they want and are committed to getting it?

The author means that rich people have a clear vision of their financial goals and are dedicated to achieving them, unlike poor people who may only have a vague desire to be rich without a concrete plan.

How does the author view the role of promotion and self-promotion in achieving wealth?

The author views promotion and self-promotion as essential because if you have something valuable to offer, it's your responsibility to share it with the world.

Outlines

00:00

💭 The Mindset of Wealth vs. Poverty

The first paragraph introduces the book 'Secrets of the Millionaire Mind' by Harv Eker, focusing on the contrasting mindsets between the rich and the poor. It discusses how poor people tend to think small and focus on immediate, minor savings, valuing money over time. In contrast, rich people think big, understanding the true value of their time and aiming to maximize their hourly worth. The author emphasizes the importance of results over effort, suggesting that the true measure of value lies in outcomes rather than the time or effort expended. Additionally, it touches on the 'either/or' versus 'both' mentality, where rich individuals believe in abundance and the possibility of having multiple aspects of success, while poor individuals often see life as a series of trade-offs and limitations.

05:00

🔄 Shifting Focus from Obstacles to Opportunities

Paragraph two delves into the difference in perspectives regarding challenges and opportunities. It suggests that while it's important to address problems, allowing fear and obstacles to dictate one's actions can hinder success. The universal law mentioned implies that focusing on problems will only attract more, whereas seeking opportunities can lead to their discovery. The paragraph also stresses the importance of associating with positive and successful individuals, as they can serve as models for emulation. The author dispels the myth that learning from successful people equates to being unoriginal, using the analogy of creating similar content to demonstrate that individual uniqueness remains intact. The advice to engage with the works of successful people, such as books and videos, is given as a means to 'hang out' with them in their absence.

10:06

🎯 Clarity and Commitment in Goal Setting

The third paragraph underscores the significance of knowing exactly what one wants and being committed to achieving it. Using the analogy of buying a baguette, it illustrates the vagueness of merely wanting to be rich versus having a clear vision of what that entails. The author encourages creating a detailed and personalized roadmap to wealth, which includes specific lifestyle aspirations and a plan to attain them. This section also addresses the misconceptions around self-promotion and selling, advocating for the necessity of promoting one's values and offerings to avoid doing a disservice to potential beneficiaries of one's products or services.

15:09

💰 Beliefs and Actions Towards Wealth Creation

Paragraph four discusses the belief systems that differentiate the wealthy from the less fortunate. It contrasts the 'I create my life' mindset of the rich with the 'life happens to me' perspective of the poor. The author argues that taking control and being proactive is essential for wealth creation. It also touches on the lottery mentality often found among the poor, who hope for external forces to bring them wealth. The paragraph highlights the importance of not blaming others or circumstances for one's financial situation but instead taking responsibility and control. The concept of managing money well is introduced, emphasizing that money, like any tool, requires knowledge and skill to use effectively.

20:11

🏦 Strategies for Effective Money Management

The fifth paragraph provides practical advice on money management, suggesting the creation of five distinct accounts: investment, play, education, give, and expense. It explains the rationale behind allocating specific percentages of one's income to each account, particularly emphasizing the importance of the play account for maintaining a balance and enjoying the fruits of one's labor. The paragraph also discusses the need to grow beyond one's current problems, viewing them as situations that can be overcome by personal development and growth. It concludes with the idea that successful individuals are often excellent at receiving, both in terms of accepting compliments and managing financial gains.

25:11

🚀 Pursuing Financial Freedom and Passive Income

Paragraph six continues the theme of financial empowerment by discussing the concept of financial freedom and the role of passive income. It differentiates between being rich and being financially free, suggesting that the latter is a more accessible and quicker goal to achieve. The author provides examples of how passive income can be generated and the importance of focusing on net worth rather than just working income. The paragraph also touches on the power of action despite fear and the continuous learning and growth necessary for success, emphasizing that knowledge and application are key to overcoming financial challenges and achieving wealth.

🌟 Embracing Success and Personal Growth

The final paragraph emphasizes the importance of admiration for success and the continuous pursuit of knowledge. It contrasts the attitudes of the rich, who admire and learn from other successful individuals, with the poor, who may resent success. The author shares personal anecdotes to illustrate the point that success is often the result of hard work and learning, not ill-gotten gains. The paragraph concludes by encouraging viewers to reflect on the lessons learned from the video, to apply them, and to share their favorite insights, reinforcing the idea that knowledge and action are the pathways to wealth and happiness.

Keywords

💡Wealth Mindset

The 'Wealth Mindset' refers to the attitudes, beliefs, and habits that contribute to financial success. In the video, it's described as the fundamental difference between rich and poor people, where rich individuals think big and prioritize the value of their time over small savings, contrasting with the 'Poor person mentality' that focuses on immediate, small financial gains at the expense of time and potential earnings.

💡Value of Time

The 'Value of Time' is the concept that an individual's time is a finite resource that should be used efficiently to generate income or achieve personal goals. The video emphasizes this by contrasting the behavior of rich people, who equate their time to potential high earnings, with poor people, who may spend significant time for minimal savings, thus undervaluing their time.

💡Scarcity vs. Abundance

The terms 'Scarcity' and 'Abundance' represent two opposing perspectives on resources and opportunities. 'Scarcity' is the belief that there is not enough to go around, while 'Abundance' is the belief in plenty for everyone. The video uses these concepts to illustrate the differing worldviews of rich and poor people, with the latter seeing limitless possibilities and the former feeling constrained by limited resources.

💡Opportunities vs. Obstacles

This concept highlights the different approaches to problem-solving and goal achievement. 'Opportunities' are the potential advantages or prospects that arise from a situation, whereas 'Obstacles' are the hindrances or difficulties encountered. The video suggests that rich people tend to focus on identifying and seizing opportunities, while poor people are more likely to focus on the obstacles and risks involved.

💡Passive Income

'Passive Income' is income earned with little to no effort, such as from investments or rental properties. The video explains that rich people work towards creating passive income streams to achieve financial freedom, which is defined as living the desired lifestyle without reliance on a job or others for money. This is contrasted with poor people who may not prioritize or understand the concept of passive income.

💡Net Worth

Net Worth is the total value of an individual's assets minus their liabilities. The video stresses that rich people focus on building their net worth, which includes investments, real estate, and businesses, as opposed to just their working income. It is presented as a key metric for measuring wealth and financial health, rather than just the income one earns from their job.

💡Promotion and Selling

Promotion and selling are key aspects of personal and business success, as discussed in the video. Rich people are portrayed as understanding the necessity of promoting their products, services, and ideas, while poor people may harbor negative views towards selling and promotion. The video argues that self-promotion is not only acceptable but essential for achieving wealth and success.

💡Money Management

Money Management refers to the careful handling of personal or business finances. The video underscores the importance of learning and practicing good money management habits, such as budgeting, saving, and investing. It contrasts the proactive approach of rich people, who actively manage and grow their wealth, with the passive or neglectful approach of poor people, who may mismanage or avoid dealing with their finances.

💡Action and Inaction

The video discusses the importance of taking 'Action' to bridge the gap between thoughts and results. It suggests that while both rich and poor people may have similar thoughts and desires, the rich are more likely to translate these into actionable steps, whereas the poor may be hindered by fear or complacency, leading to inaction.

💡Learning and Growth

Continuous 'Learning and Growth' are presented as essential for personal development and financial success. The video implies that rich people have a growth mindset, always seeking to learn new skills and knowledge, while poor people may believe they already know enough or are resistant to change and new learning.

💡Fear

Fear is depicted as a common barrier to action and success in the video. It is discussed as something that rich people confront and act despite, while poor people may let fear stop them from taking risks or making changes. The video encourages viewers to manage their fears and take action towards their financial goals.

Highlights

Rich people think big, whereas poor people think small, focusing on immediate savings rather than the value of their time.

Wealthy individuals prioritize the value of their time, aiming to equate it with significant earnings, unlike those with a 'poor mentality'.

Rich people are result-oriented and choose to be compensated based on outcomes, not hours worked.

The importance of focusing on results rather than the effort put into a task, as perceived by customers and employers.

The abundance mentality of rich people, who believe in the possibility of having everything they desire, compared to the scarcity mindset of the poor.

Rich individuals see opportunities in every situation, while poor individuals are preoccupied with potential obstacles.

The necessity for rich people to associate with positive and successful individuals to foster a similar mindset.

Commitment is key for rich people in achieving their goals, in contrast to the vague desires of the poor.

The importance of self-promotion and the misconceptions around selling and promotion as barriers to success.

The belief of rich people that they are the creators of their life, in opposition to the poor who feel like victims of circumstance.

Effective money management as a critical skill for the wealthy, in contrast to the financial mismanagement of the poor.

The concept that problems are inevitable but it's the individual's size and ability to handle them that matter.

Rich people's ability to receive compliments and positive feedback graciously, unlike poor receivers who struggle with acceptance.

The strategy of playing the money game to win, rather than playing not to lose, as a characteristic of the wealthy.

The necessity for money to work hard for the rich, as opposed to the poor who work hard for their money.

The focus on net worth rather than working income as a measure of wealth and financial success.

The importance of acting despite fear for rich people, as opposed to the poor who are stopped by fear.

The value of continuous learning and growth for the rich, in contrast to the poor who think they already know everything.

The positive admiration of success in rich people, contrasting with the resentment often found among the poor.

Transcripts

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