Have you ever wondered why the rich keep getting richer and the gap between the rich and the poor keeps widening?
Well, today I’m going to help explain a little about this, give you some facts and share some of my personal findings having mentored over 2,000 successful and some not so successful business people, entrepreneurs and investors.
Yes…the rich are getting richer; there’s no denying that.
They get a lot richer.
And the poor get – well, what do they get?
Too often, they get ignored.
Or we don’t even know who they are.
According to the Organisation for Economic Cooperation and Development (OECD) the income gap between the rich and poor around the world is at its highest level in 30 years and in its 34 member states, the richest 10% of the population earn 9.6 times the income of the poorest 10%.
One of the factors that the OECD blames for growing inequality is the growth in what it calls non-standard work – casual, temporary and part-time work which includes temporary contracts and self-employment.
The good news is that Australia is not only one of the wealthiest countries in the world but also has one of the most equal distributions of wealth.
The OECD study also shows that Australia stands out as one of the only advanced countries where the distribution of income has become more equal over the seven years since the Global Financial Crisis.
What does all this mean?
Well…the richest 5% of Australian households have a net wealth equivalent to $US2.2 million ($2.78m), which is marginally above the OECD average, while the richest 1% have net wealth equivalent to $US4.5m, slightly below the average.
However, the middle 60% of households have net wealth of $US211,000, which is 41% higher than the OECD average of $US140,000.
By contrast, in the US — which has the greatest inequality of wealth — the richest 1% have assets of $US15m while the median household has assets of only $US56,724.
The only countries with higher average net wealth than Australia are the US and Canada.
But have you ever wondered?
- Why the rich keep getting richer and how you could join the ranks of the rich.
- Why the gap between the rich and the average person keeps getting wider
- Why some people work less and earn more, while others seem to be on a treadmill
- What the rich think, know and do that makes them rich
- How to maximise your success with money, your finances and your future.
So how do the wealthy get rich?
Well, it’s not luck and it’s not that they had a better formal education or rich parents.
For many it’s because they have they had a special “money education” and have learned the right way of thinking and they display “Rich Habits” every day.
What can we learn from the rich that will help us become successful in life?
This is an important question because 80% of all of the affluent rose up from poverty or the middle-class.
Somehow they were able to break out of their social class and become wealthy and successful.
How did they do it?
What secrets do they possess?
What do they know that everyone else does not?
That’s exactly what I’m keen to share with you in my book, but here’s a sneak peek at three reasons:
- The rich think in a different way and this leads them to act in a different way to the average person.
- The rich have success habits that separate them from the average Australian.
In fact I share the 39 ways the rich think (very) differently in my book Michael Yardney’s Guide To Getting Rich –so click here now and order your copy.
- A lot has to do with property.
All around the world the wealthy invest in real estate.
Not that I discuss a lot about property in my Guide To Getting Rich – there is too much other important material to cover.
However, the enormous rise in home values and the fact that the rich own real estate is one of the reasons they keep getting richer and the wealth inequality gap will widen.
Over the past century much of the new wealth has come from owning land rather than from other forms of capital.
In 2014, Australia minted 43,500 new millionaires, but the question to ask is: are these people really wealthy?
Many people are technically considered millionaires even though they lack the lifestyle of a millionaire.
They don’t have an abundance of both time and money.
In other words, they need to keep working; keep plodding away on the incessant treadmill in order to earn an income, only to give up much of it in taxes.
- Also read:Here’s how to avoid these 12 common reasons property investors fail to build a Multi Million Dollar Property Portfolio
- Also read:Latest property price forecasts for 2024 revealed. What’s ahead in our housing markets in the next year or two?
- Also read:Sydney property market forecast for 2024
- Also read:Boom to bust: What makes property prices rise and fall
- Also read:This week’s Australian Property Market Update – Latest Data, State by State November 28th, 2023
They are often asset rich but cash flow poor.
You probably know somebody like that, don’t you?
Becoming asset rich and cash flow poor really isn’t really smart is it?
Having money stuck away where you can’t get at it is pointless.
Here’s a simple truth:
If you want to become rich just look at what most people are doing and do the opposite.
My study found that the sad reality is that the most people will never achieve financial freedom.
They will continue running on that mouse wheel for most of their lives, only to retire with less money than they gave the tax man during the many years they struggled with the nine to five grind.
Further my study found that the main reason most people will never become rich is because is because of their money habits – what the average person does about money and this is because:
- They are not financially fluent. They don’t understand how money works.
- The “programming” they received about money, wealth and rich people when they were children, at the age when their brains soaked up all the information around them like a sponge.
The fact is your brain is hardwired to think, feel and respond in a certain way to different ideas, events and objects – including money and wealth.
We weren’t born knowing how to handle money and unfortunately most of us are programmed in an unwealthy way.
The good news is, you can be reprogrammed.
You wake up each day and for the most part you rethink 90% of what you thought yesterday. Isn’t that amazing?
You use the same words, you go through the same motions and you often do the same things over and over again.
But I bet you’re hoping for a new result.
Now that’s called insanity!
So what should you do?
If you’d like to learn the Science of Getting Rich and join the wealthy then you must buy my latest book, my Guide to getting Rich, so you can enjoy the lifestyle you deserve.
Click here and order your copy now – Kindle or Hard Copy.
Now of course you would expect me to recommend that you buy my book, but this book is based on what I’ve learned about how the rich act very, very differently to the average person.
I’ve gleaned this by mentoring over 2, 000 people over the last 10 years in my twelve-month mentorship programme.
I’ve learned what the rich and successful do differently to the average person.
You see…I’ve mentored people at all stages of their wealth journey so in my book I’ve included information for people who…
- Are living from month to month but want to get out of the rat race and become rich
- Are already financially comfortable, but aspire for more
- Want to create lifetime wealth
- Want to teach their children how to become rich and leave a legacy.
There are NO get rich quick schemes here and this is not theory – my award winning team and I have helped thousands of ordinary Australians succeed in property investment.
In fact we’ve been involved in over 2 billion dollars worth of property transactions.
But I’ve also learned that most investors fail - I’ve learned what works and what doesn’t work and more importantly why the rich keep getting richer and I’ve documented this in my new book.
This means you can grow your wealth faster and safer than average, but the real benefit is you going to have the financial independence that all of us want and you’re going to have the choices in life that wealthy people have.
So click here now and order your copy of my Guide To Getting Rich and get a financial blueprint for your future.
Now is the time to take action and set yourself for the opportunities that will present themselves as the market moves on
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