Is Making Money Psychological?

While our more popular posts have detailed analytical explanations on how to increase income… this post is going to take on the qualitative side of the equation. It will be similar to our post on finding your type of intelligence. If applied correctly? Your income should increase *materially*. There are many hurdles that you will face as your income rises. Primarily when you push up on barriers:

For ~85% of the population this is the ~$100K/yr barrier,  ~10% stuck at the ~$200-350K/yr level, ~4% at ~$351K-750K/yr level and then… those that break the $1M level.

While our percentages may be off it does splice the USA into distinct groups.

The First Group ($100K): Most get rich scams targeted at the masses tout “$100K” per year. Why? It is “unfathomable” and a dream income for average people. According to income statistics, roughly 85% of households cannot break $100K (our blog does not cater to this group)!

The Second Group (Career Plateau): This group gets capped at the $200-300K range. Either 1) they didn’t start a business on the side or 2) they tried to “play by the rules” to get ahead. At some point you have to start a venture on your own *or* take advantage of your standing within the firm and politely ask for more responsibility. The best way to gain hand is by generating revenue of course. We recommend doing both if possible.

The Third Group (Risk Aversion): At the mid-six figure level practically everyone is comfortable. They are more concerned with keeping their income stable than generating more money. In reality? They can break their plateau.

The Fourth Group (Wealthy): This group is simply eccentric. If someone is making 7 figures, they could be battling sex/drug addictions or they could pretend to be poor. You never know. The one thing they did do? They continued to build a *recurring* revenue stream. Everything is about creating a *recurring* revenue stream. If you sell one $1,000 product but you can get just $10 a month for life (see all software companies/many internet products/any re-bill) then you are building a massive stream of cash flow.

With the high-level section out of the way here’s the overview:

1) Mainstream Ways to See Psychological Differences

2) Personal Psychological Mistakes to Avoid

3) Actionable Ways to Change Your Thoughts

4) What to Do When the Money Flows In

5) Continuing to Improve

MAINSTREAM WAYS TO SEE PSYCHOLOGICAL DIFFERENCES

Money is an emotional topic. Highly so. Knowing this, we can look at our everyday lives and see clear psychological differences amongst those that make a large amount and those that never seem to get anywhere.

In short? Wealthier people are practically “emotionless” when it comes to money.

Game Show Example: While we don’t recommend watching Television (it is the definition of “when you’re not working, someone else is”; you’re watching someone work while you do nothing) you can learn the basics by comparing audiences.

Jeopardy and Who Wants to Be a Millionaire: Just take a glance at the winners here. You’ll find that they do not jump up and down screaming when they win a large sum of money. In fact? They come off as arrogant and emotionless. While you don’t *need* to be arrogant, the emotionless piece is critical. Why are these people emotionless? Simple. They believe they deserved it. They strategically chose questions, strategically answered questions and made gambles when they had to. Now lets move onto “the masses”.

Family Feud, the Price is Right, Wheel of Fortune: There are always “exceptions”. But. You’ll find that the winners here get *hyped up* immediately if they win. They literally jump up and down, clap and have a huge ear to ear smile. Why? The show is much more luck based than skills based. Even if they win a small sum of money $25K (~$17K after tax) they will become emotionally high immediately.

In Short: A game show can quickly tell you how wealthier people act relative to poor people when they receive money. Wealthier people are emotionless as they realize they primarily earned what they received.

The Past or the Future: You can use this to determine if someone has faith in themselves. You won’t need to go anywhere. Simply look at your contact list and ask yourself if your friend lives in the past or in the future.

“Don’t deal with people who live in the past. You don’t look back if your future looks brighter.” – Wall Street Playboys

The Future: If you live in the present and future, the implied message is that you believe in your future worth. You are progressing. People like this are typically very hard to get a hold of. They are constantly doing things and don’t ignore you simply to “play mind games”… They actually are too busy. These are the people you want to emulate. Our readership is primarily full of people who focus on the present and future (we ban people who dwell on about the past).

The Past: An obvious sign a person is going nowhere. Constantly talking about their previous accomplishments (or complaining about their past failures). The only time you do this is if your previous accomplishments will never be trumped. In addition? They will also dwell on how much better it was “before” (this is never the case). Every year the world gets better… So you know that anyone who believes his past was better… simply stopped improving.

In Short: Ignore everyone who lives in the past or talks about the past. Their best days are behind them. While you may lose a large sum of money at some point ($100-200K+) or you may have a serious physical injury, there is nothing you can do about the past. It is dead and doesn’t exist. Similar to people who live in the past, forget about any negative events in your past as well. It is irrelevant compared to today and tomorrow.

Sociological Excuses: Finally, the end-all-be-all of excuses between the winners and losers in life. “You can’t have it all mentality”. Having money and good social skills is practically a curse. You should hide it as much as possible. Why? Less than 1% of people will be happy for you because you break their belief system. If you have money, mediocre people will assume you have “weak social skills”. In addition? If you have solid social skills many will then assume you are broke! Naturally, you know what to do. Use your social skills to appear harmless and use your money to push across the finish line (many of our readers are nodding and laughing as they understand that sentence all too well!).

You Can Have It All: The sub heading says it all. If you’re extremely *efficient* with how you manage your life you can have it all. This is going to mean something different for everyone. But. At the end of the day? You can have anything you want if you understand the dynamics behind managing money and freeing up time.

You Have to Compromise: These people make up the masses. They assume that you have to compromise to get something instead of taking on the harder task of finding a *solution*.

“Pessimist = Complain about the rain. Optimist = hope the sun comes out. Winner = invents the umbrella, goes outside (and makes millions!) – Wall Street Playboys

In Short: Instead of taking a compromising attitude, you should take on a solutions attitude. Any problem you are facing is being faced my millions of other people. If you can find the solution, you’ll fix your problem and get rich! If you complain about the problem? Nothing happens. Someone else is going to solve the pain point. This. Again. Is why life continues to get incrementally better every year.

PERSONAL PSYCHOLOGICAL MISTAKES TO AVOID

The vast majority of our readership is likely nodding in agreement to the first section. Lets move onto the uglier section. We have made every single psychological mistake mentioned here at least once.  Assuming you have the general framework down you’re going to catch yourself making mistakes and we’re going to try and avoid each one here.

Do It Once: The classic phrase is “measure twice cut once”. It is true. If you are going to do something you should do all of your research up front and set it up appropriately. After that, you don’t have to worry about it and know that the sky is the limit once the infrastructure is in place.

Business: If you plan on starting a company (you should) then you need to do it correctly from the start. One of our readers asked if he should take a short cut “for now” and switch over “later”. This is a massive psychological mistake. If you know that the way you are setting it up is to “test the waters” what you are mentally telling yourself is that you are not taking it seriously. This is only okay if it is a hobby. Otherwise you are better off doing all of the research up front so you can scale up seamlessly. It is mentally taxing to know that your business is not set up to scale efficiently from day one. Not worth the mental barrier. If you plan on succeeding, do every single thing you can to set up the infrastructure once. Otherwise the backward work is going to take an immense amount of time. The idea that you make “small incremental improvements” is a *hobby* belief. This only work for hobbies and wage slaves who attempt to negotiate an increased salary from $40K to $45K.

Hobbies: Now you see the line. If you intend on making real money, you never go in blind swinging from day one. This only works for hobbies (sports, meeting girls, this blog, etc.). When you’re not working on creating a recurring revenue stream (business) or improving your career you should have a much more relaxed view when it comes to making mistakes. If you have to un-learn specific bad habits, just consider it part of the learning process. It’s not a big deal since you’re not in it for the money.

In Short: Separate your tasks between fun (hobbies) and money. If you plan on making a specific project a revenue generating item you should set it up once and only once. By doing anything else “for now” you’re setting a mental ceiling that you cannot exceed X income level. Do not do this.

Thinking in Small Chunks: This is the biggest and most common way to back track. It happens over and over again and is quite similar to the piece above. Stop thinking in incremental steps. This is not how making large amounts of money works. The most common example is believing that you need to get “one dollar from a million people” instead of simply shooting to get $1,000,000 dollars from a single *event*.

Event: We have talked about *events* many times. But. This is critical to understanding when you’re in the middle of an event. Lets say you are selling items online and you realize that when you spend $10K on advertising spend it is leading to $20K in income. For some reason you are scared to spend *more*. This is foolish. Just because your income went from $1K in a month to $10K in a day… does not mean it is suddenly going to die! You somehow hit the right niche and you need to KEEP SPENDING. Spend every single penny you’ve got until it is no longer profitable. For those of you making online income we will go ahead and bet that many of you have made this mistake before! When an event occurs, the money floods in and you should take advantage of it!

Small Chunks: This creates a massive separation between the rich and the poor. When you are targeting the masses (fools) you should sell them on the idea that they will “get rich” by negotiating a *salary increase* ($5K salary raise from their current $50K salary). This is pure poverty mindset but this is exactly how the masses think. They think that the 10% move is “reasonable and obtainable” and you can sell them this “dream” and easily take a $500 commission. No joke. This is how all head hunters work as well! Knowing that the masses think in terms of small incremental gains you know what to do… Do the opposite. Think in one time events. You have to be odd to be number 1.

In Short: Stop thinking in small incremental gains. Small incremental gains are for maintaining your assets and for hobbies. It is not for *increasing* your net worth. If you think small, your gains will also be small.

Not Keeping the Customer: By avoiding customer retention you are hitting singles consistently. While there is value in basic one time sales, it should be a springboard for *recurring* income. It does not matter which business you are in (fitness, finance, content, etc.). The goal is to create a recurring customer through either 1) the business model or 2) psychological loyalty. People are all the same. People sit in the same seats and go to the same stores for a reason. They are interested in being comfortable. By the same token, there is a reason why you receive free goodies when buying larger gift cards at coffee shops and other similar venues. They want to create a *habit* (see recurring customer) and are willing to invest a few dollars through a discount to make that happen.

Recurring: Many people will make this mistake. They will create a business that sells a product at a $100 average selling price and they won’t keep the customer. They simply sell them an item and they run away. Huge mistake. By doing this you are increasing your costs and decreasing your revenue. Think about it like this. The cost of the first sale (acquiring the customer) is always the same.

Revenue – cost of acquiring customer = profit

Therefore… If you do not find a way to set up recurring income from the customer, your revenue number is flat while your cost is also flat. If you find a way to add value that creates a re-bill (even $5) your revenue line is up while your cost is flat. Enormous difference over the long-run.

One Time: This goes back to the small chunks idea. Trying to get one dollar from a bunch of people. It is similar to the homeless person sitting on the corner begging for just a “quarter” from every passer by. It simply doesn’t work! Never has and never will. Your only shot at the one time sale being a great idea is a one time large event as outlined in section above. If you sell a $10M house? Sure. Getting $10 from 10 customers isn’t going anywhere.

In Short: At all times, think of a way to keep the customer coming back. If you put in all of the work to obtain the customer, the last thing you want to do is give them no reason to return! It simply won’t make you rich. You did all of the leg work up front, so you may as well find a way to retain them.

ACTIONABLE WAYS TO CHANGE YOUR THOUGHTS

If you’ve made mistakes in the section above, don’t worry about it (it’s part of your irrelevant past). We’ll flip to a list to condense all of the ways to “un-learn” psychological traps and expand upon improving your beliefs.

1) You Deserve Money: Step one is realizing money doesn’t care what you look like. It does not care if you are poor or if you were born rich. In fact, many people get rich by being utter failures. There are hundreds of CEOs who run their stock prices dead into the ground (50% declines) yet they still make eight figures. If these people can get rich, don’t feel bad for one split second that you’re making $X.

2) Stop Thinking In Incremental Gains: Again and again, this is how poor people think. “If I can increase my income from $200K to $220K I’ll be thrilled! It just doesn’t work that way. This is a great way to think if it is a hobby (weight lifting is the best example). Why? It is literally impossible to see a 100% gain in your bench press in two days. But look at real estate, in a bull market, you can put down 20%, and every 10% increase you are 50% richer.

3) There is No Limit: People have made billions of dollars. Remember that there is literally no limit to how much money you can generate. If you can make $10,000 a day there is no reason why you cannot make $1,000,000 a day. It is simply an issue of scale and demand. (Reminder the biggest market is the masses)

4) Generate and Own Only: These are the only two ways to make real money. Generate money or become an owner of an entity that generates money. Everything else is a time for money exchange and will never work. Anyone who encourages increasing your time for money exchange (negotiating salary increases) is teaching you to be poor.

5) Become Emotionless to Money: If you think about money and then envision yourself jumping up and down or telling people off… you’ve already lost. When you’re ready to make money you should be emotionally flat. If a $10K wire hits your bank or a $100K wire, you shouldn’t change one bit (just numbers on a screen). Most people think about money and become “hyped up” in their heads. They imagine all the people they like and dislike (partying and yelling at people they dislike). Pure poverty belief. These people never make anything. If they do? They typically lose it all very quickly. Become emotionless with regards to money.

6) Search for Hyped Events: Any major event for the masses will be full of emotion. Sports, parties, holidays etc. This is where *companies* make a killing (hence seasonality in their P&L) while the masses tend to lose money in these periods of time. Any time there is an event that is widely hyped up you should think of ways to monetize it. The money is circulating aggressively.

7) Honesty Creates Recurring Revenue: Broke people think honesty doesn’t work and you have to “screw people” to make money. This is false. If people are going to buy alcohol and caffeine pills there is nothing wrong with selling these unhealthy items to them. There is something wrong if the products aren’t what they asked for though. Huge difference. The market is going to charge what the market will charge. You cannot change reality. So simply sell what you can as long as you are giving the customer the product they want. If you give them what they want (regardless of your interest in the product) they will come back for more. Perfect set up for recurring revenue.

8) Your Current Income Is Irrelevant: Many wealthy people go from millions per year. To zero. To millions. To bankrupt. To millions again. Why? They continue to focus on generating and owning. If your income is $100K a year today, it is 100% unrelated to your income next year.

9) Never Under Sell: While you should always deliver more value than you charge… do not sell yourself short (literally). If you spent 20 hours working for someone, you are being paid *less* than you are worth by definition! Re-read number 8 to drive this point home.

10) What You Like is Irrelevant: This is paramount to changing your psychology. If you wouldn’t buy the product, it does not matter! This is why a hobby is for fun and business is for money. Follow emotions and you’ll find a way to create recurring income.

In Short: If you’re incredibly good at controlling your thoughts, you will never slip (extremely difficult to master, to this day, cannot do this 24/7/365). If you find yourself slipping into the wrong psychological thought process… Pause and take a break.

WHAT TO DO WHEN THE MONEY FLOWS IN

We’re getting more questions like this. Many people find that when the money comes in, their emotions get out of whack and they suddenly have more “friends”. This creates a lot of problems. The last thing you want to do is make promises to new friends when you’re extremely happy. This is similar to never speaking your mind when you’re extremely unhappy.

Lump Sums: Don’t make the same mistake we’ve made (in the past). When you make your first large sum of money, do not blow 20%+ of it on useless items. Most people end up buying material items and go on a big party/fun binge (vacations, alcohol, drugs etc.). While spending some of it is fine, do not let your dopamine levels get ahead of you. A decent guideline below assuming you are *not financially independent*:

$5,000-$20,000: Simply keep it. This is enough to help make a dent in your financial future but it is not enough for you to waste if you’re not independent.

$20,001-100,000: Spend ~5%. At this point you’ve likely made career/business progress and are in a situation where the lump sum is going to occur again (made a commission selling a home or otherwise).

$100,001-300,000: Spend 5-10%. We’re making a slight increase here since you’re already nearing *event* income where you won’t need to worry about working anymore. At this level simply spending a bit more is not a big deal since you’re probably close to financial independence in the first place.

$300,000-600,000: You’re practically at the event level. We’re drawing  the line here as anything beyond around $600K and most people could live a basic life off of the passive income. You can spend anything that is *above* your financial independence marker.

*Event* Income: Anything above $600K is likely enough to set you up financially for life. In short the two best things to do are 1) not touch it for a year and 2) educate yourself on money management. When you push past the seven figure net worth area, many people will begin asking you for money. People will also volunteer to “take care” of your money. Do not listen to any of these groups, lock your money away for a year and start educating yourself.

Step 1 – Small Purchase: Your dopamine levels will be off the charts. You should make a single small purchase that is at maximum 1% of your event level lump sum. This will give you a one time jolt to reward yourself and if you can limit yourself to one percent you’ll be able to control your emotions going forward.

Step 2 – Lock it Away in Low Risk Items: Since we have no interest in opening a financial consulting business at this time, you should simply lock it away for ~12 months in low risk items (CDs, Investment Grade Bonds, etc.). While the majority of our posts focus on dollar cost averaging into index funds, once you clear a high net worth your job is to *first* protect the principal at your financial independence level and *secondly* focus on growing your worth with the remainder.

Step 3 – Financial Education: Everyone has a different risk tolerance once they clear the financial independence cliff (usually around early-to-mid 30s). We’ve looked for a few tools to use and have added a page to recommend Personal Capital as a way to learn the basics (for $100K+ net worth only).

In Short: Until large sums of money can set you free, you’re going to have to take the punches and spend a small amount of it to avoid running on the treadmill forever. You’re going to need to money to help advertise and increase your sales anyway (re-invest in yourself). Once you’re financially set, you’re doing yourself a dis-service by not educating yourself on how to manage your money. Learn the basics before letting anyone give you advice. Otherwise you’re going in blind with something you’ve worked extremely hard for.

CONTINUING TO IMPROVE

At this point we’ve covered a lot of psychological topics with regards to making money: 1) how we create mental barriers in our minds, 2) thinking small, 3) setting things up to lower the bar instead of raise the ceiling, 4) thinking in terms of recurring revenue instead of one time sales, 5) multiple ways to change your psychology and 6) how to deal with the dopamine impact when you receive a large sum of money.

At this point? Many people get bored. They lose interest in what they are doing and even make the mistake of selling their company below its value! Do not do this. Alternatively, some people become obsessed with making large amounts of money at the detriment of their personalities! Do not do this as well!

Instead you should begin striking a balance between heavy hobby interests and growing your business at a reasonable rate. You’ll find that without any work to do you go insane (many people develop drug issues).

The best way to track your progress is seeing improvement in both subsets: hobby interests and business growth. Assuming that you are getting better at your hobbies and your business is growing, you’re in the clear. If either one begins to stagnate it is time to focus more effort on the flat or declining piece (hobby or business).

Oh and to answer the question? This was a long way of saying… Yes. Making money is 100% psychological.

WEALTH BUILDING RECOMMENDATION

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Updated for 2017 and beyond.

Comments

  1. Another Real Estate Guy says

    I’d like to add that if you’re in one time real estate sales that you should find a way to use your customer to get more customers. I don’t work in a recurring income business since all of my commissions come from one time sales but I do try to keep the customer coming back by getting them to refer other customers to me.

    If you can help a guy get a good deal on one property he will be more than happy to refer you to his friend who is looking to buy his first property as well. That’s how you create a recurring income stream IMO.

    Also loved the quote you guys have in there “Pessimist = Complain about the rain. Optimist = hope the sun comes out. Winner = invents the umbrella, goes outside (and makes millions!)“

    Most people resort to complaining instead of figuring out a way to solve the issue and move on.

    • Wall Street Playboys says

      100% Agree!

      That is good selling. Extremely similar to a good car salesman. If you have a happy customer leaving… Keep in contact. They will refer you to new clients. That is the best option to create a *somewhat* recurring stream of income.

    • RE Guy says

      Agree with AREG.

      Also cross sell to your own businesses, that is find a way to get complementary businesses to work together synergistically.

      AREG for example could open up an insurance brokerage inside of his RE office and get the majority of insurance policies for new settlements.

      He could open up property management so that when he’s selling turn-key rentals to hands-off investors he can sell them on having him manage the place.

      He could open a maintenance business and throw in a free $100.00 fix for the first thing that goes wrong with the house. Or sell home warranties.

      Or sell title insurance.

      (check local laws before implementing any of my advice by the way, often times other interests have to be disclosed etc.)

      • says

        Your point about cross selling to your other businesses is spot on. There is a family owned company here in the northeast that operates under the name Irving. Their success can be directly traced to this approach. With its beginnings in New Brunswick in the 1920s they have since grown into a 3rd generation empire. Its about as vertically integrated a company that you will ever find. Things are changing a bit now but traditionally very little money spent ever left the “mother ship”. Cross selling catapulted this company into one of the largest privately held companies of its kind.
        I read recently that its theorized that the three main owners have a combined worth of over $90 billion – making them some of the richest individuals in the world. Its theory due in large measure to the fact they are privately held and extremely secretive ( rightfully so) about the businesses they are involved in and the net worth of each.

  2. Gary says

    So for people who have enough money you guys don’t recommend a financial advisor? What are some good books to read on money management? Thanks…

    • Wall Street Playboys says

      First sign up for the software product we linked to. Simply click and link up your portfolio takes less than 5 minutes.

      After that spend 2 weeks figuring out what your risk tolerance is and feel free to drop us an email after that. (there are many tools to use)

      Step one is everyone needs to learn the basics and PC has a good platform for doing so!

  3. Jack says

    Hi guys awesome post! I’m reading Think and grow rich by napoleon hill and I must say that being rich yes it’s all about the mind, if you have a poverty mindset then you need to change it!

  4. Art21 says

    “Winner = invents the umbrella, goes outside (and makes millions!)” Ahah well said guys! Really solid post.
    Absolutely agree about the fact that only losers live in the past, i noticed it talking with people of different wealth.

    A question guys, unfortunately i missed the first part of the blog. Exactly, what kind of mansion do you have in Wall Street? or maybe do you have your own business?
    Thanks.

    • Wall Street Playboys says

      What?! Funniest troll in the world. The question is so funny we’re letting it stand.

      Yes all the authors work on wall street and own a business on the side as well.

      Not going to give any info beyond that. Read our start here section as we have met some people privately but won’t give any details to people we don’t trust. Especially not on the Internet!

      Literally got a laugh over here.

  5. Trap says

    Not sure if this a psychological trap or a very bad habit. Making significant forward progress for weeks at a time or whatever it may be and falling into a “party” mindset for a few days a losing some momentum and regretting it (living in the past). Significantly see this among peers under 26.

  6. DVY says

    Wow. This post has so much truth in it. Scary perceptive.

    The 4 groups- 100k, 200-300k, 350-750k, 1MM+ are spot-on.

    Id extrapolate further and say
    1M-3M : flash money. Dude hasn’t learned the game yet. Leases and flosses (well at least in LA)
    3M-10M: learned how to shut-up and keep quiet because you already got burned out of a 500k+. You still are scared that tomorrow you’ll wake up and it’ll all evaporate.
    10M+: Rub shoulders w/ local politicans and high-level biz dudes (if thats what you want) or you go ultra-stealth and rock a pair of levi jeans, T-shirt with a “quiet flash” 50k watch + 1k unbranded dollar shoes

    • Wall Street Playboys says

      Ha spot on!

      A lot of rich guys simply lie down. This is what we recommend. Dress nice but not flossing. (Everyone is different).

      Also 100% true with the T-shirt + jeans + Patek watch combo. Dead giveaway you’re talking to a multi-millionaire.

      No need to flash a lot of money if you have social skills. You just use the money as the “closing” part of the sell.

      Queue laughter for guys spending $50K on tables. Completely unnecessary. Just befriend the owner + promoter to get the table for free. If it’s your friend’s birthday? Then sure get the table. Otherwise joke is on you.

      • The Player says

        Dress nice but not flossing. < What do you mean by this? Is it some local American saying or my English is being chic again? 🙂

  7. Costello says

    Solid, as usual.

    I’m 25 with a lot of work to do. Soaked up poor advice over time and have a mindset to match.

    Not looking for help. For hands to be held.

    Looking to thank you. Your actionable posts allow me to collate information that I can use to dramatically improve my relationship with money.

    I do still have poverty thoughts and influences but I know the path now.

  8. C says

    Fantastic post guys.

    – If you think small, your gains will also be small.

    &

    – point #1, #2 & #5

    My favorite parts in this post. Especially number 5 (emotionless to money). I notice a lot of people put money on a pedestal…and if the majority do it…

    side note: stop losing money page the aff-links don’t work, takes me to a dead, blank page.

    • Wall Street Playboys says

      Thanks. All the links work just checked.

      As stated on the *start here* section of the blog yes everything is an affiliate link. This blog makes peanuts (~$100 a month if you’re interested) ha!

      • Fred says

        I’m having the same issue – affiliate link to personal capital goes to a blank page. Tried another browser and still get the same issue. I’ve tried trimming the link to go directly to their main page and it ends up at a blank page as well.

        Love your site.

        fred

  9. trap says

    Huge one for me (only 24), but:

    “If you’re income is $100K a year today, it is 100% unrelated to your income next year.”

    I guess this also goes along with incremental thinking:

    If my end goal is actually $1 mil a year, and I’m only making $100K I tend to be think oh maybe if I can start this side hustle and make $100/day in a couple of months, and then scale this.. blah blah blah.

    Need to stop this – great post!

  10. Anon says

    Hi WSPs,

    In your opinion, what is the best sales strategy for a product in this day and age between consumer direct sales and distributor-wholesale channels?

    As a new business owner, it is difficult to persuade a shop to carry my product, where as it’s much easier to pitch my sale to a customer. Distributors and shops are picky but they are much more established.

    Then again, they are kind of dying off. What would be your strategy?

    • Wall Street Playboys says

      Go to the person who you want to sell your product.

      Give them *better* margins than you get.

      Once they realize they make more than you do per sale. They will have no problem selling it. Otherwise your pitch or product is bunk.

      If they know they are making *more* than you. There is no way they can say they are not getting their fair share for selling it. So now you have a pitch or product problem instead of a “who knows what’s wrong” problem.

  11. Over Confidence says

    “You somehow hit the right niche and you need to KEEP SPENDING. Spend every single penny you’ve got until it is no longer profitable”

    I know you guys are not referring to debt here but would want to highlight that as a potential issue here. If you are getting cash on cash returns that are solid then you can spend all you like. Now if you’re using debt it gets a lot trickier since we don’t need to look too far back to remember the last mortgage crisis.

    If you’re going to keep spending to get the return remember that debt is additional risk. Many of my friends (I also lost several hundred thousand dollars) went bankrupt by getting ahead of themselves.

    Tolerance for debt should be mentioned, that is, don’t over lever yourself just because you’re doing well right now.

  12. User1 says

    Hey,

    I know you guys are against hourly payed jobs, but what is your opinion about somebody making a $210/hour, 50 hours a week = $500k/year ? Is your main criticism that he is capped at that and there isn’t much room for increased earning ?

    Regards,

    Avid Reader

    • Wall Street Playboys says

      Sure if you are making $210 an hour that’s fine.

      Don’t really know of any positions that pay that much per hour.

      As mentioned the positions that pay $500K+ (vast, vast, vast majority have an equity component or performance component).

      If you know of a ton of positions paying $210/hr people will thank you immediately! (Exclude positions that require 8+ years of schooling and the required debt)

      *Generally* most salaries get capped in the 200K range. Unless you’re extremely high up the chain…. But then you’re in a performance based role again.

      Hope that makes sense!

      • User1 says

        Locum Doctors here in the UK earn £100-150/hour, with 45-60hours/week contracts, not sure if there is anything like this in the US. But as you guys said, there is the med school and a ton of training before you get to these figures (around the late 30s I would Imagine).

        It just seems like a nice stress free “chill” way to live, you work 9-6 (45 hours a week) + about 0-15 hours on weekends and you get paid £300k/yr. You don’t have to worry about your performance to the same degree as if you were on a revenue generation/owning role, you just turn up, put the hours in and get paid. But then I guess in Wall Street you could retire by your late 30s.

      • Wall Street Playboys says

        Yeah, that is a terrible way to get rich. Going into medicine to get money is beyond crazy if you want to make money. You don’t want someone operating on you who is “in it for the money” that’s for sure!

        If you’re not making $250K+ by 25/26 and ~$400-600K by 30-32 on Wall Street it means you did something wrong. (Yes it is competitive and most quit/get fired in 3 years but we don’t focus on that group)

        25-26 y/o associate will make $250K or so
        30-32 year old VP is going to make $400-600K… No debt.

        —-

        Debt math especially for education is beyond brutal.

        $100K debt? This is more like $150K already.

        Why? You have to pay off the debt with *post tax money*.

        $100K/(1-tax) = $150K you have to earn just to pay it off.

      • User1 says

        Thanks, this blog is unreal in terms of how much information we get for free, the closest thing to a free lunch I have ever seen. In fact I regularly find myself going back to old bookmarked posts for references; there is just so much implementable advice. Next time you guys do an overhaul I think it would be great if you include a way of seeing all blog entries in a list as opposed to having to scroll back pages upon pages (search function doesn’t always get to whats required). Each post is like a mini guide and there is no way one reading does justice to the information therein.

        “Yes it is competitive and most quit/get fired in 3 years but we don’t focus on that group”

        I am myself going to start as an full time IBD analyst this September in London. Would be great to get a post on how we can avoid being in the group that gets fired and ensure we make it to associate after 3 years.

      • Wall Street Playboys says

        1) post on office politics
        2) how to prepare for your investment banking analyst job

        Both of those should help

        We will add an archives in the future. Some of those old posts are simply terrible + written by people too young so they need to be updated. Half done posts overall.

      • Stealthy1Percenter says

        “Debt math especially for education is beyond brutal.

        $100K debt? This is more like $150K already.

        Why? You have to pay off the debt with *post tax money*.

        $100K/(1-tax) = $150K you have to earn just to pay it off.”

        Good advice.

        This also made me think of a psychological trap that I see far too often. Feeling the need to “invest” in yourself with needless education. You guys talk about skipping the MBA. I would say (unless your firm or company pays for it), avoid grad school entirely. (Exceptions for Med school perhaps or Law school as you have no choice, but even then, stop once you have what you need.) LOL at those who trumpet their “credentials”: MBA, J.D., CPA, CFA, etc., etc., etc. Very nice, but you are 55 and live in a 1000 sq ft cottage (not by choice, but because you can’t afford more).

        If you’re rich or on the way, don’t give in to the need to prestige whore. Your money speaks for itself.

      • Wall Street Playboys says

        No surprise that we think exactly alike!

        Look at this post there is literally a section called “prestige is a trap”.

        “F*** prestige get money”

        http://wallstreetplayboys.com/get-out-of-the-middle-class/

        We go further. Both the JD and MD are not good degrees to have becuase you lose too much time. You could make $150K a year instead so you lose out on $400K more or less (post tax basis).

        Finally, that doesn’t include debt.

        The only time you go to grad school is if it is paid for. Then it’s not a big deal at all.

        Now if you have to get an mba becuase your career is stuck in a non-performance roll? Then we say run the math.

      • BaDaVumba says

        Just 150K? 400K?

        The opportunity cost is far higher. 150K + 3-6 years of wasted earnings, health and real world education. Plus catching up stress.

        That’s a 1MM mistake in those years already, and many more MM over a lifetime.

  13. Stealthy1Percenter says

    I’m ok with the JD or MD. It’s a personal choice that at least offers you opportunities to make up for lost earnings later on with smart career moves. MD might be worse since it requires significantly more $$ and time investment, but I know plenty (business partners) who’ve done it right.

    The real key is to not get stuck in “wage slave” mode with any degree. The stuff on this site still applies mostly even if you take the grad/professional school sidestep. Always look for ways to give the masses what they want and provide value. Always be looking to sell (even if its just your services) and build an income stream that can scale based on your efforts.

    Some personal comparison examples from people I know:

    Law grad A is satisfied to make $160K at a big law firm and eventually top out at $265K after 8 years of toiling away. Law grad A despises business development. Law Grad A continues to make good $$ at $265-$300K for life perhaps, but works a ton of hours, is always nervous about being canned, and is at the whim of Law Grad B (explained below). Law Grad A is Law Grad B’s bitch.

    Law grad B does the hustle. Starts at the same place as Law grad A, but understands the importance of sales. Law grad B starts aggressively building a client base from day one. Law grad B makes partner after 8 years, and at around 12 years, has a large enough client base to bring in $3M revenue to his firm each year. Law grad B is now bringing home a cool $1M per year (pretax). Law Grad A (and many like him) now work for Law grad B and are at his whim.

    Med School Grad A is satisfied with obtaining a comfortable gig with a small suburban practice. $300k a year to start (which isn’t that much considering he is carrying $400K of loans). 10 years later, Med School Grad A is still at the same practice, comfortable, but bored, overspending to look like a “successful” doctor, and still carrying a $100K loan. Med School Grad B now makes $350K. $50K salary increase in 10 years. Weak.

    Med School Grad B takes a job at a local hospital. Pays significantly less than Med School Grad A. Maybe $185K/yr. Same $400K worth of loans. Med School Grad B however, is hungry and has an eye on finding something that appeals to the masses. Med School Grab B consults on the side (with equity) and helps invent a new spine widget (using generic term to keep confidentiality). Spine widgets are in high demand because the general population in this country is fat and even if not fat, prone to sitting in terrible positions due to the sedentary nature of most jobs. Spine widget sales double, triple, quadruple, etc. over 10 years. Company manufacturing spine widgets is bought by large surgical corp. Med School Grad B cashes out and is now worth $20M. Pays off balance of loans. Continues receiving ongoing royalty for sales of spine widget.

    Anyway, I probably wrote too much, and I’m not being 100% coherent. Just putting some stuff out there so people who didn’t or aren’t going the wall street route don’t jump in front of a train in despair.

    • Wall Street Playboys says

      Agree with the analysis.

      On the MD front, guess the point is that you don’t really want someone operating on you who is thinking about $$. Doesn’t make much sense.

      Overall great comment as usual S1%.

      • Alex says

        Wow awesome, the comments are just as good as the articles, thanks Stealthy1%

        I think both cases of the B person, tie well with the previous post of WSP (1mil 10 years). To me, I am between year 1 and 2 in progress, so the gist of it (as you and WSP adviced) is, keep doing your correctly chosen job and on the side try to do a career. You might not get paid anything meaningful from the side hustle, until you become really good.

        But, as you both said, if you have done the right moves, you will cash out like a boss in a few years.

        Considering your advice that growth is exponential, it makes sense.

        Personaly, l am working on establishing a side career right now.

        Thanks for your awesome advice guys.

      • Wall Street Playboys says

        Nice work.

        Usually lots of nothing for 3 years, real gains occur after that (generally around year 5-6).

        We moderate comments aggressively. This is also why we respond to a ton of them as well.

      • Andy says

        If willing to work in the UK – law school there straight from high school and be working by early 20s. Only worth it though if a top school (Oxbridge, UCL, LSE…). In general – only time undergrad is actually worthwhile for law and *maybe* make up for time lost – study something that is necessary for/gives you an edge in a lucrative practice area…ex. electrical engineering undergrad –> IP lawyer.

  14. James says

    How would you invest 400k? I am 31 and although I have a college degree (useless geography) I don’t have much marketable skills. I got lucky and just made a ton of money from defense contracting in the last 4 years. Fortunately, I was able to save most of it. I plan to stay in defense contracting for another 3 years. But this is not something I want to do for a long term. The job requires me to work in the middle east and there isn’t much freedom. I currently have about 300k in equities, and 60k cash and 40k in retirement. Should I buy a couple of investment properties for diversification?

    • Wall Street Playboys says

      Same suggestion as above.

      First sign up for Personal capital.

      Just click the link and sign up takes less than 3 minutes to link up.

      Play with the tools for 2 weeks based on your risk tolerance. Once you get an idea after seeing where your profile stands on the risk metric and what you want to do it’s much easier to give high level opinions. Owning a bunch of equities that are small cap versus large cap can make a big difference!

      Then drop us a line after.

  15. Anxiety says

    Psychological block that I will get is “wanting” to do something to make money, but not knowing what to do/what to do first.

    This comes with “well I SHOULD/must be doing something”, and now I’m not = anxiety/irritability/frustration.

    Did you guys ever deal with this one?

  16. Jan says

    “What You Like is Irrelevant: This is paramount to changing your psychology. If you wouldn’t buy the product, it does not matter!”

    This is interesting. I’m reading Zig Ziglar’s “Secrets of closing the sale” at the moment (btw: great recommendation, thank you) and he writes about buying the product you want to sell. “If you are selling Fords and driving a Chevrolet, then my friend, it’s costing you a great deal of money.

    Are there other things in the book you can recall off the top of your head where you would disagree?

    • Wall Street Playboys says

      It is easier to sell something you personally like in a 1 to 1 sale.

      His book is tailored to one time sales not recurring sales.

      It’s a great way to start.

      The real point is realizing where the value is. While you would probably never buy women’s purfume, it does not mean it has no value. It does. No one will really debate that.(Not to mention costs $0.02 to make).

      In short, you can *recognize value* without using a product. Huge difference. Otherwise it would be impossible for a man to sell women’s products to women… This belief is beyond false… The creator of Victoria’s secret was a man! (Roy Raymond)

      Contrast that to this blog which only recommends products being used.

      • Jan says

        Thanks guys. I think, like you say, it’s not my job to determine what should be of value to people and that they only buy what’s good for them in my oppinion.

        “If people are going to buy alcohol and caffeine pills there is nothing wrong with selling these unhealthy items to them.”

        If they think the benefit (be it fun or whatever) of X is greater than the healthcost of X then that should be perfectly alright for me and with selling these items I’m actually contributing to their wellbeing by increasing their utility.I think emotionally I would still have a hard time selling unhealthy items even though I logically think it should be their decision what they consume and how they value their health.
        With sales being mainly about transferring emotions this is quite an obstacle. Any suggestions on how to overcome this?

      • Wall Street Playboys says

        No. If you don’t see the value in the product, don’t try to sell it.

        Notably, this is a slippery slope. If there is no value in practically anything then you’re running the risk of becoming a deranged frugal person

  17. says

    “In short? Wealthier people are practically “emotionless” when it comes to money.”

    There it is right there. That’s the conclusion I’ve come too as well. It was only when I started learning about the history of money, and fiat currency, and the federal reserve, and business, and emotions about money, and everything related to the subject of the dynamics of money and business and people, that I became more objective about it and felt less and less emotion about it.

    That was when I was able to make better spending and business decisions. I began to see money more as a tool than as a part of me like most people do. You ever notice how people say “My Money” as if they created it, or cared for it, or are going to keep it for the rest of their lives, only to give it away a moment later to a stranger? Most people are so emotionally attached to these filthy pieces of paper in their pockets.

    My contribution; became emotionless about money by learning how it came to be and how it works today.

  18. Go_Galt says

    Just discovered this blog so I am a little late to the party so this is a general comment not specifically related to this post. The 20-something readers of this blog better be taking your advice (especially the marriage advice!) for a successful life. To fully illustrate this point, let me use some of the concepts mentioned in this blog to compare 3 men who all started out with the exact same money (none), education (business degree from same State U in ’97) and brainpower (roughly same ACT / grades). 2 never followed (retroactively) your advice and 1 did. The results are staggering.

    Guy #1 – the “Lazy”. Went the sales route out of school but never put in the time to succeed. So quickly hit the path of least resistance and started working for his dad with dreams of “taking over one day”. Got married at 25 to a ball buster who made more money than him and had some $300k inheritance so he let her keep control of the finances. Can things get worse than that? Yes indeed. Dad’s company goes bankrupt and he has no skills and basically needs to start over. Low point was making bagels at the local Einstein at age 34 for $8/hour during the downturn. Not kidding. Wife stopped having sex with him and finally frivorced him at age 40. Since she always spent more than what she made and since he never made over $100k (ever), they literally had only $300k to split 15 years later. So what that means is that they didn’t save ONE DOLLAR in 15 years together. NOT ONE. So now he sees his kid a couple days a week, lives in a small one bedroom, has effectively zero savings ($150k at age 40 is zero), and now is looking forward to 20 years of busting ass not to get rich, but just to avoid the poor house. That’s called living in fear.

    Guy #2 – the “Company Man”. Started off at Deloitte (audit!) and worked and worked and worked. I mean, this guy would take on clients with a 6/30 year end so he was in constant busy season. Partner track! Got married at age 30 to mediocrity, and AFTER 16 FUCKING YEARS working 70 hour weeks was making $180k as a senior manager “thisclose” to the brass ring ($400k…sigh). And guess what? They told him to piss off. Forced to take some lame corporate job. 6 months later wife frivorces him, takes 40% of his money (net worth was about $600-$700k or so…solidly middle class!) and he is literally stuck. Young guys don’t fully get the child custody side of the divorce equation. Yes, they take almost half your money but after that you 1) are stuck with massive child support, which is an end run around a prenup 2) stuck location/travel wise. Modern day indentured servant. Worst of every conceivable world – (meager) net worth crushed, annuity payments to a cunt you hate, cant move away from buttfuck middle America because custody arrangement says so, cant even travel on an extended vaca because every other weekend is literally the only time he can see his kid. ‘Murica!!!

    Guy #3 – Me. Constantly taking risks and reinvesting in myself, both small and large. Was in the same start class as the Company Man but leveraged my Big 6 (now 4) job into a regional i-banking job which got me into a top 5 MBA program. High ROI given the (top 5) MBA because 1) more doubled my pre MBA income 2) Opened a lot of doors rest of my career (which proved true). So after school I was a 3rd year BB associate feeling good about my income ($300k+) but my reviews were mediocre and I had no political air cover. Only choice? Need to leave while I still have leverage working my current job. People in my start class thought I was “crazy” to leave in a good year (2005). My gold plated resume convinced some highly talented entrepreneur to hire me as his CFO (sales matter, especially selling yourself). Negotiated immaterial salary for material equity. Flipped the company in 12 months and tracked well above your hurdle ($1mm+ net worth in 10 years). At this point did I think like a middle class shlub and think of ways to blow cash, like buying a $1mm condo? (note – I’m in flyover country so that buys quite a bit) Nope. I “double down” and rolled 80% of my payout into this guy’s next venture. Tripled that in 4 years. Two big trades is all it took. Now at 40 I am approaching 8 figures, location independent (Europe in summer, South America in winter), bang 28 year olds, and have 12% body fat.

    If any of you 20-somethings read this blog and think these guys are full of shit, read my post. Read it again and again and again. Which man do you want to be at age 40?

    • LondonPlayboy says

      LOL – lengthy but was well worth the read.

      Thanks to your comments and Stealthy 1 Percenter. Some real life examples are fantastic for young individuals like myself.

      Like WSP Twitter page said:
      “To all of you young ambitious guys. You *think* you don’t have friends. But really you’re just surrounded by retards and losers for now…”

      Thanks all!

      • m says

        “To all of you young ambitious guys. You *think* you don’t have friends. But really you’re just surrounded by retards and losers for now…”

        Jesus this makes sense.

    • Wall Street Playboys says

      In short correct.

      (On a side note your mba actually made sense – it hits our hurdle of needing to havs debt meet *increased* income. Doubling your income certainly covered it easily).

      People don’t get it. Sales, politics, leverage are everything (career). Value of customer – Acquisition cost = everything for business. Otherwise you’ll be that strange guy still there at 35 with nothing but $300K in the bank to show for it.

    • Anon1 says

      Thank you for your contribution man, financial independence [and avoid the big 3 costs] is so important. i keep kicking myself for not starting earlier

    • RE Guy says

      As a guy between the targeted age of most of this blog (early 20’s) and Go_Galt, I’ll just say what Go_Galt is doing is where I plan to be at his age and where I am on track to be. So call that another data point in this being legit.

      Also I date women 5-10 years younger and will continue that trend probably even going to 10-15 years younger (or even 15-20) as I get older similar to Galt (also for young guys who didn’t get the reference, google “Ayn Rand Galt”).

      Here’s a key piece of advice that all guys should remember:

      Dating younger women is good financial planning.

      Younger women (18-25) don’t press you for marriage and kids the way older women (26-30) do. As a result you are in a much better position whether it be a mini-LTR (3 months) or a real LTR (1-3 years) to continue in the casual relationship zone.

      There are many benefits to this but one of the biggest financial ones is wealth condensation, or as it’s known colloquially, the rich getting richer. That is if you have 1M, it will be much much easier to make 250k a year leveraging your wealth than when you had very little in the bank. However if you suddenly take on a huge expense (house, kids, wife), all that financial momentum you built up is slowing down and you need to double back down on the hustle to get ahead again.

      Solution: When you finally get ahead and can make money by leveraging your accumulated net worth keep going for at least another 5-10 years so that if you do decide to have kids, you’ve got a ton of momentum at this point. Since this point will likely happen in your late 20’s to early 30’s, don’t date the women your age or close to it who will attempt to stop that momentum dead in it’s tracks with the w/h/k snare.

      • Wall Street Playboys says

        Great comment (as usual).

        Unrelated funny part.

        Very few people in their early 20s read this blog.

        Why? Early 20s can’t figure out if it’s real or fake (not enough experience). People in their mid 20s can do quick google searches + quick calculations to see if it’s legit. They can also take the time to check nunbers on here.

        You’d be surprised to know less than 15% of our readers are now under 25

      • m says

        I’m 22.

        I started to read this site, then went to the Wall Street club at my school. The guy who spoke told of EXACTLY what I saw on here. Drive revenue, sales is everything, blah blah…

        (Yes, a few did get internship offers this year. Surprisingly legit club).

      • Air says

        I’m 20 and fortunate enough to have the gift to recognise truth as soon as I see it. Likewise I can also tell when something is bull**** (As when I did with “I will tell you how to get rich”, lol)

        This site is unique in the fact that it doesn’t have to lie to keep you reading. As soon as I found it I was hooked and read everything I could find. In particular I liked the absence of sugar coating and advice that actually works.

        I’m currently working on my own business, and decided not to pursue a degree since it isn’t helpful to build my dream/business. I live in Europe so degrees mean even less anyway. I feel like I dodged multiple bullets by absorbing the info here.

        Thanks a lot for this great site WSPB!

  19. Canadian says

    I agree with the bulk of the previous comments, but there are diamonds among the coal too. Not every woman is out to separate you from your hard earned cash.

    My spouse is a partner in our real estate sideline and just as hungry for opportunities as I am. It is also nice to have a business partner whose goals are 100 percent aligned with your own, and when he/she is growing the business, it is in both of your interest.

    With regards to the sales aspect of your post, I think you touched on two key points.
    1. Sell what you use. This should be a no brainer for 95 plus percent of sales. If a client asks me how I’m invested, I want them to know that my money is invested right next to theirs (as a wealth manager). If I’m not using my own product/service, why the hell would they?
    2. Not sure I totally agree on the don’t dive in with regards to starting a business. When building and buying buildings, I did substantial due diligence, but at some point after the 100th + building, I also pulled the trigger. It is far too easy to do analysis and research forever looking for the “perfect” opportunity. It doesn’t exist. There will always be a reason not to move, you need to overcome the inertia of “acting in the abstract” and not accomplishing anything. Example: I attended a real estate conference a few years ago, thinking I would be meeting property managers, developers, and contacts who could help me streamline and grow my business by outsourcing. Not so. The overwhelming majority were wannabe real estate investors telling me they had quit their jobs to become investors, and were passing out business cards that read “real estate investor.” Anyone who has to quit their job to become a real estate investor is a fool. I left at the lunch break and never attended another circus like that.

    Glad to hear your next post is regarding analysis paralysis, with all the advice you provide, it was a key element that was omitted (intentionally I imagine).

    • Stealthy1Percenter says

      “I agree with the bulk of the previous comments, but there are diamonds among the coal too. Not every woman is out to separate you from your hard earned cash.

      My spouse is a partner in our real estate sideline and just as hungry for opportunities as I am. It is also nice to have a business partner whose goals are 100 percent aligned with your own, and when he/she is growing the business, it is in both of your interest.”

      Good statement. For those married (or want to be married), if you treat it as a business decision to some degree, it can work out well for you. Also doesn’t hurt to find a highly paid spouse who will have no interest in taking your money. The marriage penalty with regard to taxes, however, is still a reason not to get married though, or at least save it for later when kids enter the picture, etc.

      In my mid 20s, my “career” was in the shitter. (This is one reason why I say I wish I found this site sooner). I was making a 5 figure salary with very little hope of any meaningful increase. Things looked bad. I lucked out since my significant other made a six figure salary with large guaranteed salary increases. She floated me for a year and a half or so while I woke up and got things going.

      Then everything took off. A few years of large income increases (15-60% per year) and a couple of liquidity events later, the “passive” (quotes, since it’s never really passive, always have to put in a little work) income now exceeds earned income from the career. Could I have done this all myself? Of course, but it was very helpful to share the journey with someone who had similar goals..

      Funny, somewhat related story. One of those annoying disability insurance salesmen called recently and asked what would happen if i were hurt, etc. Asked how long I could live on what was currently in my bank account. I pretended to sound concerned and then told him I might be able to eke out 95-100 years with zero income coming in each year. Dead silence on the phone for about 20 seconds. He then told me to enjoy the rest of my day and hung up.

  20. says

    Timberland is a great investment for high net worth individuals. I currently have a handful of high net worth clients for whom I am always on the look out for nice parcels of timberland. With good research, connections, savvy negotiating and hustle its not uncommon to find parcels where the value in the timber alone is equal to the purchase price. The beauty of timber is that it keeps increasing in value regardless of whether there are geopolitical problems or not. Although perishable its shelf life is nothing like other crops. This enables one to time the markets efficiently.

  21. AspiringPlayboy says

    “Stop thinking in small incremental gains. Small incremental gains are for maintaining your assets and for hobbies. It is not for *increasing* your net worth. If you think small, your gains will also be small.”

    Hit the nail on the head with this one and got me thinking. Ever since I started working in IB, I’ve noticed the “well-off” (i.e. comfortable, not *rich*) are some of the most frugal people around. My VP literally buys the same £4 lunch every day because “it adds up over time.” I find it incredible that a guy who clears £200,000 can be so tight!

    Funny thing is, I used to have that mindset, until I discovered this blog, “nobody ever got rich saving”.

    Anywho, back to work!

  22. Gary says

    From a financial point of view, I just finished watching Jose canceco s downfall to becoming broke. He mentioned not getting married young, and getting a prenup when you do. I thought about your blog listening to him. He finally learned about money management. Never get married or move in with a women is good advice. How do u protect yourself when u never got married but have a child? How do you protect tour assets? Thank u guys…

  23. Gary says

    Whole life insurance? And all this time I have been following Dave Ramsey’s and suze ormans advice on getting term life insurance. How can you protect your cash assets from child support through whole life insurance?

    • Wall Street Playboys says

      Step 1) don’t take financial advice catered to regular people

      Step 2) we suggest you at least consult with 5-7 professionals. They will give you an hour+ meeting for free and you can gather some ideas. If you are rich they will bring you in for free consultations with ease.

  24. Rob says

    What would you guys do in this situation?

    – Didn’t start with any of the career advices (Sales, Silicon Valley, Wall Street) and probably not the opportunity to do so.
    – Do have the possibility to work at a semi-top agency, working my ass off in my twenties to get as much as experience as people.
    – Start a company in that field of knowledge (let’s say I know I can do it better but I lack the overall experience)

    Yes or no? I know the company part is great to get rich, but it will take me around 4 – 5 years to get on a good level (and I mean 10h – 12h / day work).

    Extra info:
    21 of age. Graduating college in september.

  25. Khoacandoo says

    Guys, I found your blog really eye-opening (and sometimes jaw-dropping too), even for someone living in an SEAsian country (of course not as elite as Singapore) like me.

    Needless to mention, I read your blog after work, everyday, and it makes me feel inspired by the facts and figures you guys has shown.

    However, I’m a bit dissappointed when some of you guys said that this blog is for US market only. I’m really expecting this blog can help me to figure out more clearly my own money-making strategy. But anyway, great content!

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