5 ms·

I can tell you how to get rich. Make more money than you spend. Think of ways to increase the amount of money coming in by investing the left-over money. It ac

I can tell you how to get rich. Make more money than you spend. Think of ways to increase the amount of money coming in by investing the left-over money. It accumulates. My new startup is going to help you do that (FIRST HINT :))

icey 18y ago
Respectfully, that's advice on how to not be poor before it's advice on how to get rich. To be rich, you have to consider the way you make your money. Getting paid lots of money per hour is not going to make you rich on your own 99 times out of 100 (the other time being those people who make $1000 an hour or something), because as soon as you stop working, that income stream is gone. You can only also work so many hours in a day. Investing helps, for sure; and many people have gotten rich that way. However, investing on its own has a very slow velocity for someone getting started. The best way (from what I can tell) is to find a way to decouple the money you make from the amount of time you have invested in it. That means royalties or licensing fees for something you have created or own the rights to.
- maxklein 18y ago
  You don't understand how to get rich then. Let me give you an example. I work and make $1000, and spend $700. This leaves me $300 extra. I work another month and the same thing happens. Now I have $600 extra. I take this $600 of extra money, and I purchase 300 shoes in china, and sell them for $3 a piece. I now have $1800 in extra cash. I work another month, and I have $2100 extra (in 3 months). I take the $2100 and buy two medical devices, which I then sell in the 3rd world for $4000 a piece. I now have $8300 in excess money after 4 months. Notice that each business I did required roughly the same time, but the profits increase because I am able to buy more and more expensive things. Now, with my $8300, I buy a second hand taxi and I lease it to a pakistani guy to drive around. He pays me $2000 a month. Now, each month my excess income is $2300. I repeat the process. I can quit my job after 4 months and still earn more money. What we say does not disagree with each other. Every business you do has to not require much of your time. But the basic philosophy is that you need excess income, and you need to keep investing and reinvesting this excess income in things that bring a percentage income. You then end the process by putting the money into something that guarantees an excess of income every month above what you started off with. That's the REAL way of getting rich. The other ways are just playing lotto. Unfortunately, most people buy flatscreen TVs, Playstations and drinks with their excess $300.
  - icey 18y ago
    I think you should re-read my last two sentences. This is exactly what I said to do. I think perhaps the emphasis is different. You say that it's just "spend less than you make", and I say that it's primarily "don't sell your hours for a fixed price".
    - deleted 18y ago
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      - deleted 18y ago
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    - maxklein 18y ago
      No, it's a different philosophy entirely. Making money in a way that does not require you to work is only half the picture. The MAIN and MOST IMPORTANT part of things is that you need to KEEP REINVESTING in things that keep bringing higher returns. Nothing you do keeps bringing in steady income without requiring time. It starts of good but just drifts downwards as time passes. It is imperative to keep changing your investments for higher returns, otherwise you cannot get rich.
      - LarryV 18y ago
        I am currently reading 'The Black Swan' and he does a good job of explaining how some fields lend themselves to extremes and others don't and that it is hard for our minds to wrap themselves around this. He explains that if you take the shortest person ever and the tallest person ever - the differences would be a lot but not orders of magnitude greater. Yet, if we were to take this year's best selling book, it would be so many orders of magnitude more than the least selling book. Our minds have a hard time dealing with comparisons that don't have real world equivalents. What this does is create an opportunity for some industries to have 'winner takes almost all' scenarios. Book publishing and POP music are two examples where the very top people take almost all the rewards. Brain surgeon is not one of these industries - being the very best brain surgeon would still require a (in comparison) a lot more time than the author of the Harry Potter books takes to sell another book. Most wealth is created by massively scalable business models such as licensing, show biz and mass media. And interestingly not that many fortunes come from Wall Street.
ivankirigin 18y ago
I'm not sure if this is related to your next project, but I think there is a market for personal outsourcing, and especially local outsourcing. Getting people to plan events, organize your inbox, or run errands should be a lot easier. Part of spending more time working on things that make you more money is spending less time on things that are valuable but take a long time. This is pretty independent from software writing, where more work on engineering scales well. That's why such a tool would be good - a non software based methdod of scaling work.

icey 18y ago

Respectfully, that's advice on how to not be poor before it's advice on how to get rich. To be rich, you have to consider the way you make your money. Getting paid lots of money per hour is not going to make you rich on your own 99 times out of 100 (the other time being those people who make $1000 an hour or something), because as soon as you stop working, that income stream is gone. You can only also work so many hours in a day. Investing helps, for sure; and many people have gotten rich that way. However, investing on its own has a very slow velocity for someone getting started. The best way (from what I can tell) is to find a way to decouple the money you make from the amount of time you have invested in it. That means royalties or licensing fees for something you have created or own the rights to.

maxklein 18y ago
You don't understand how to get rich then. Let me give you an example. I work and make $1000, and spend $700. This leaves me $300 extra. I work another month and the same thing happens. Now I have $600 extra. I take this $600 of extra money, and I purchase 300 shoes in china, and sell them for $3 a piece. I now have $1800 in extra cash. I work another month, and I have $2100 extra (in 3 months). I take the $2100 and buy two medical devices, which I then sell in the 3rd world for $4000 a piece. I now have $8300 in excess money after 4 months. Notice that each business I did required roughly the same time, but the profits increase because I am able to buy more and more expensive things. Now, with my $8300, I buy a second hand taxi and I lease it to a pakistani guy to drive around. He pays me $2000 a month. Now, each month my excess income is $2300. I repeat the process. I can quit my job after 4 months and still earn more money. What we say does not disagree with each other. Every business you do has to not require much of your time. But the basic philosophy is that you need excess income, and you need to keep investing and reinvesting this excess income in things that bring a percentage income. You then end the process by putting the money into something that guarantees an excess of income every month above what you started off with. That's the REAL way of getting rich. The other ways are just playing lotto. Unfortunately, most people buy flatscreen TVs, Playstations and drinks with their excess $300.
- icey 18y ago
  I think you should re-read my last two sentences. This is exactly what I said to do. I think perhaps the emphasis is different. You say that it's just "spend less than you make", and I say that it's primarily "don't sell your hours for a fixed price".
  - deleted 18y ago
    [deleted]
    - deleted 18y ago
      [deleted]
  - maxklein 18y ago
    No, it's a different philosophy entirely. Making money in a way that does not require you to work is only half the picture. The MAIN and MOST IMPORTANT part of things is that you need to KEEP REINVESTING in things that keep bringing higher returns. Nothing you do keeps bringing in steady income without requiring time. It starts of good but just drifts downwards as time passes. It is imperative to keep changing your investments for higher returns, otherwise you cannot get rich.
    - LarryV 18y ago
      I am currently reading 'The Black Swan' and he does a good job of explaining how some fields lend themselves to extremes and others don't and that it is hard for our minds to wrap themselves around this. He explains that if you take the shortest person ever and the tallest person ever - the differences would be a lot but not orders of magnitude greater. Yet, if we were to take this year's best selling book, it would be so many orders of magnitude more than the least selling book. Our minds have a hard time dealing with comparisons that don't have real world equivalents. What this does is create an opportunity for some industries to have 'winner takes almost all' scenarios. Book publishing and POP music are two examples where the very top people take almost all the rewards. Brain surgeon is not one of these industries - being the very best brain surgeon would still require a (in comparison) a lot more time than the author of the Harry Potter books takes to sell another book. Most wealth is created by massively scalable business models such as licensing, show biz and mass media. And interestingly not that many fortunes come from Wall Street.

ivankirigin 18y ago

I'm not sure if this is related to your next project, but I think there is a market for personal outsourcing, and especially local outsourcing. Getting people to plan events, organize your inbox, or run errands should be a lot easier. Part of spending more time working on things that make you more money is spending less time on things that are valuable but take a long time. This is pretty independent from software writing, where more work on engineering scales well. That's why such a tool would be good - a non software based methdod of scaling work.