What’s up! Thank you for locking in with us about how to build your wealth of knowledge. Let’s keep it REAL, I’m sure everyone that’s reading this wants to be rich, but why does this always equate to financial wealth instead of knowledge? Becoming rich with knowledge will inevitably lead to financial riches, but the opposite is not always true. When someone is awarded or given a large amount of money, this does not always mean that they will automatically be smarter, wiser, etc.
When you consider financial wealth or independence, how does someone usually obtain it? We will briefly discuss the basics, but go read this affordable Financial Independence book if you want a more in-depth perspective about finances. If you are starting from scratch, you’re typically ahead of the game because most of us are in debt. If you’re like the majority, it’s important to figure out a way to pay this off first. The reason is because of interest and the sooner you pay off your debt, the least amount of interest you will have to pay.
The next thing you want to do to build your wealth is to begin to accrue cash flow income, which can be done in numerous ways. Check out Side Hustle if you want to go from idea to income in less than a month! Building a few streams of income will be important for limiting further debt and maximizing our next strategy, which involves investing in wealth-building assets.
Let’s keep it REAL, most of us get assets and liabilities confused. Simply put: an asset builds wealth and a liability decreases wealth. You can learn more about the difference between assets and liabilities from Rich Dad’s Cashflow Quadrant: A Guide To Financial Freedom, but trust us when we say you should consider adding assets and subtracting liabilities to your portfolio. You do this consistently and you will become financially free sooner than you think!
Now, let’s consider how this applies to knowledge. If you’re in debt, this means you have a lot to learn about life. To keep it REAL, these are the individuals who have not yet understood the power of education and learning, but that’s okay, because we have our Recognize Education And Learning post to help. The first step to getting out of debt is to recognize that education and learning are the foundation necessary to build.
Next, the cash flow process regarding knowledge is done through consistent habits that enhance learning and create learning opportunities. As we’ve mentioned before, our brain is a muscle that must consistently be trained to grow. This means we have to provide our brain with consistent opportunities to do so. Try it! You’d be surprised at the benefits you start noticing when you train your brain consistently. Not only will you be able to retain more of what you learn, but you’ll also be able to use what you learn in a variety of different ways throughout your life.
Finally, what are assets and liabilities when it comes to knowledge? Great question. An asset is meant to build wealth so this means anything that builds knowledge and helps you grow is considered an asset and anything that decreases opportunities for you to grow is a liability. This can be a person, place or thing. We are not here to provide any recommendations as to who or what to consider as an asset or liability in your life, but we are here to support your efforts to recognize them and treat them as such.
Again, we appreciate you taking the time out to check in with us. We are forever grateful for your support. We hope this post helped you understand the importance of building your wealth of knowledge and hopefully you also understand and value knowledge for its role in your life.
Keep it REAL.
Recognize Education And Learning 