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The richest people I know, that is the behavior that they typically use.

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They're like, I want this thing, and so I'm going to go make the money to buy the thing.

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I'm not going to use my existing income, I'm not going to use my existing resources,

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I'm not going to use my savings, I'm not going to go into debt unless I know that I'm

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going to pay it off of the year and I have no prepay in the penalty, not a clear plan

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of how I'm going to do it.

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They have a clear plan of how they're going to make the money, I'm a very defined time

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period and it's from doing above and beyond.

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What's going on?

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Welcome back.

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I've been stockpiling some ideas and I had a free morning and I slept well, so I figured

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I would just unload them and for those of you who are, you've got some time between

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sales calls, between customer calls, maybe you're in your lunch break, whatever it is,

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maybe I'll give you a little something.

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A lot of people talk about money beliefs.

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I tend to not like it.

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I prefer thinking of things in behaviors, so what are the ways to change about what I do?

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I think that if you think in terms of behaviors, then there are behaviors that people who

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have money do, that people who do not have money, don't do.

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There's also the reverse, behaviors that poor people do, that rich people don't do.

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I want to talk about one very specific one that served me exceptionally well and I can

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try and break this down as well as I can imagine.

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I'll give you a few tactical examples as we go through.

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Right now, I'm in a studio that probably cost me some of the neighbors about $500,000,

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which is egregious, but it cost me about $500,000 to build this thing.

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Sitting inside of a building that cost me, I think, $9.1 million, something like that.

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I think I put like $2 or $3 million on this building, so call it a $10 million building

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conservatively.

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I paid for it in cash.

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The reason I bring this up is because I think that I've noticed different spinning habits

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between rich and poor, and that seems obvious, but I want to dive a little bit deeper.

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Not that long ago, I overheard somebody say, go buy that motorcycle because you could always

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make money in the future.

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I hated that, and I thought about where are the sources of money that I tend to draw

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from in order to make a purchase.

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The reason I bring up this building being a significant purchase is it was less that

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the price was a significant purchase and more so that I didn't need this building at

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the time.

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I just wanted to have a place to have a home gym that would be more than a commercial

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gym, and I wanted to have a place for meetups and things like that.

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I could come up with a rational explanation that between all the portfolio companies, we

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were spending about $4 million a year in event spaces, and I was like, well, if I had

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a big enough space for all of them to do their internal meetings, their quarterly, fly-out,

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their staff, and their team, and have a venue, then I could probably save that and do a pay

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for the building.

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But I remember Layla was like, hey, maybe we should just get like a 5,000 square foot

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building.

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So this building is about 36,000 square feet much better.

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I remember hearing this, and I was like, that's appropriately sized for where we're

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at now.

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But it's not the size building that I would want it to be for where I want to go.

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And so I remember telling her, I said, I promise, if we buy this building, I will make sure

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that it makes us more money than it has cost us.

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And so this goes to the sources of cash, and so there are basically four.

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And you can pretty much determine how wealthy someone is by where they're spending from.

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And so let me walk you through it.

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You've got what I would consider past money.

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So that would be savings.

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So that's earnings that you had in the past, and that's money that you put away.

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The next money is you have income money.

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So this is the money that you make every single month.

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You can spend this money rather than touching your savings.

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This makes sense.

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Then you've got debt money, which is basically future earnings.

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Like this is money, I'm going to take debt, and I'm going to pay with future money, right?

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And I'm going to have to pay this debt off.

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And then finally is the category that I like to have, which is, I'll call it new money.

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Now you're like, what is that even me?

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That's what I'll explain.

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So I've noticed amongst the friends that I have that are the best with money,

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that they're wealthiest with money, they're okay buying things that are big grandiose, right?

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Now some of them buy big houses, some of them buy big cars, and buy big yachts, big buildings,

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whatever it is, right?

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I had a business owner who came here and he was like, hey, I'm choosing between two offices.

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I've got basically a sensible office, and I've got a much bigger office that I'm really excited about.

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He said, which one do you think I should take?

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And I said, which one do you want?

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And he said the big one.

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And this guy was a very good salesman.

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And I said, okay, here's the deal.

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You can buy the big one who was two and a half times the size, or at least two and a half times the price,

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and it was a little bit nicer, whatever.

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As a bit the deal is, you got to pay it off in a year.

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He was like, I can do that.

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And I was like, right, then don't worry about it.

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And so the thing is, is that I would say, these are kind of almost like different personality types

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in terms of where people are taking the money from.

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And I would say that a behavior that has served me extraordinarily well is looking at new money.

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Meaning, if I buy this building, can I find something that would pay off the building?

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Now, of course, I had the expenses on the portfolio side.

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We could have just saved the $4 million a year that we spent in venues and all that stuff.

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Sure.

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But I was like, I'll bet you there's something that we can do with our existing resources.

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And this is the key part is that it's sawdust money.

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It's money using your existing resources that you're currently underutilizing to generate new money for a specific project.

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And so my favorite way of doing this is like, hey, if Daniel wants to buy a boat or wants to buy a car,

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I love the idea of him being like, so I'm just going to work one extra day per week over the next year.

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And then I'm going to buy it.

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Hey guys, as always, this podcast only exists because of one person.

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And that's you.

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You always listening to this, you always watching this.

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And first off, thank you.

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Second, the behavior that continues to grow, this is you sharing it.

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And so that's you posting it on Instagram, giving this to a friend or inciting this to your team.

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This has been the only source of growth for the podcast and it continues to grow a month after month.

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So I just want to say thank you.

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And if you think this is valuable to somebody else, please share it.

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And the richest people I know, that is the behavior that they typically use, is they're like, I want this thing.

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And so I'm going to go make the money to buy the thing.

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I'm not going to use my existing income.

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I'm not going to use my existing resources.

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I'm not going to use my savings to buy it.

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I'm not going to go into debt unless I know that I'm going to pay it off of the year.

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And I have no prepay in the penalty and I have a clear plan of how I'm going to do it.

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They have a clear plan of how they're going to make the money.

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I'm a very defined time period.

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And it's from doing above and beyond.

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It's looking at all the stuff you got.

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And the reason that I like this is I was talking to a good friend of mine, Shuron.

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Shuron said he's a president of real.

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I actually just became a board member, excuse me.

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And he said, oh, you just want to write yourself a swimming pool.

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And I was like, what is that mean?

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He said, so Paul McCartney, the Beatles, used to say he wanted a swimming pool.

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Everyone's like, well, how are you going to pay for it?

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Now, obviously, he has the money for a swimming pool.

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But he didn't want to use his savings.

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He didn't want to use his income in his royalties.

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He didn't want to go into debt for it.

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And so what do you do?

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He was like, I'm just going to go write a song.

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And so he writes a song and he writes himself a swimming pool

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from the money that he collects from the song, right?

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And so I think about this a lot because I think it's a different way of thinking about money.

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It's like, I want this thing.

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And so I don't want to limit that thing.

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If anything, I want to use that thing to motivate me to find other resources.

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So what I'm being is resourceful rather than draining resources I have,

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I'm finding new resources by utilizing existing assets that are currently under my control.

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And so this is fundamentally like people are like, well, you know,

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you could air be and be one of the rooms out.

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And it's like, okay, that's one of the things I'm going to do.

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But I also have some time.

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So it's like, maybe I'll drive Uber.

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There's one of my favorite customers ever at my gym.

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She was a mom of four, single mom.

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And she didn't have the money for the gym membership.

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She was like, well, I could drive Uber one day a week and that I would be able to afford it.

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And I was like, great, and do that.

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And so that's what she did.

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And she was one of my longest standing members lost 100 pounds.

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And it's like, there's a shift that happens when you decide to do it that way.

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And I think there's something to be said about creating a vacuum, about creating space.

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I further saying like, make yourself poor, right?

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Of the idea of like, how do I, how do I create this deprivation?

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How do I create this threshold that also increases my demand for money?

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Because everybody has a demand for money.

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Like you have a certain lifestyle that you have grown accustomed to.

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And so that's your minimum threshold.

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That's your minimum requirement for living.

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Now everyone's as different.

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The real wealth comes from being able to continue to jack this up while keeping this low, of course.

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But in those instances, when you do want to buy the sweet ride,

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because I'm not like, people think of me as an aesthetic.

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And I am to a large degree.

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But if I want to buy a sick-ass home gym, which I do have,

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I would rather that money come from new stuff.

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And so either you can do extra stuff to get the thing.

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Or I think the two or one version of this is, how do I use the thing to make even more money?

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And so part of the reason we spun up the advisory services was actually like,

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Nephaphilika promised a layla of like, okay, we'll find a way to use the building

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to generate income to cover the building.

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Because I do want to have the sick home gym, which will be complete in other ways to space.

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Besides the fact that I think it's dope and why I have money if you can't spend it.

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And you can't take it with you anyways.

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And so this may seem like a wild departure from some of the content that I make.

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But this is obviously targeted.

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Somebody probably has a little bit more as a little bit further along.

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All right, if you are broke, don't do that.

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If you're broke, just focus on the new money stuff, right?

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But if you have some, I think that you stay ahead of your spending

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by not increasing your lifestyle relative to your income.

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But by increasing the new money relative to the new purchase,

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which typically are defined.

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And so it doesn't have to be forever.

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So if you're like, why don't I want to work overtime all the time, fine.

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Then you can just work overtime for a year, work overtime for six months,

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work overtime for a month, so that you can afford the thing.

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When you think about it like that is I have to take, I have to add this on top.

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I don't touch my flows, right?

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I don't touch my income flow.

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And I don't want to create a liability with the debt.

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And savings is like, that's my nut, right?

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I don't want to, you know, use up my, my nest egg.

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So I got to go make it.

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And if this has just been this behavior that I have observed from the people that I know

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that are the wealthiest and the people who enjoy their money the most.

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And I think that's the thing is it's like, it's one thing to be money to have money.

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Because I know it's plenty of people who obviously have money.

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But some of them I don't think they enjoy their money.

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And it's because they're always if they're like afraid and there's some of this old idea

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of like, you have to be abundant and all that stuff.

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I know it's time to be more super scarce.

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You might say never lot of money because they just don't like spending it.

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And so like, there's something to be said for that.

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But that's if you make money the goal.

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And if you make money the goal, then by all means don't spend it because then money is

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the goal.

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So fine.

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But if money isn't your goal, then the people that I've seen that are the happiest that

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I think spend money well, they use money like a tool is they use an expense or use something

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that they know they're going to consume.

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They know it's not a good investment.

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And they say, fine, I know it's not a good investment.

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So I'm not going to use my income to buy it.

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I'm going to use something that I already have that I'm under utilizing which might be

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just your time.

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You might take on a new client project.

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You might take on some 101 services that you wouldn't normally take on.

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Those types of things can be defined period because you're like, well, it's not going

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to increase the enterprise by the business.

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It's not going to be some sellable asset.

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But I do want this thing and I don't want to touch how my existing infrastructure functions.

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And so it's just one behavior and I think many of you, if you're like me, like I don't

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like spending money and I've tried to learn my way out of it, which is I don't like spending

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money that's like my mean money.

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It's like my core money is the money comes in from businesses, distributions.

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That's my mean thing.

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But if I want to buy something crazy, then I've just got to be willing to do something crazy

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for it.

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And the weirdest thing happens is that I get almost more excited about making that money

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than the money that I make every single day because I know that that money is going towards

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this specific thing.

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So I'm like, I'm building a home gym right now, I'm buying equipment right now.

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Like as I'm doing this, I'm almost like more joyful about doing the work because I know

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exactly what it's going towards.

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And so just a little behavior that I picked up over the years, something that I've observed

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in other people that I've used myself that has been wildly valuable.

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And if you have that, you know, if you've got two machines that you could buy for your

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business and was a little bit sweeter than the other and you can't really justify the

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expense, then just take the delta and be like, I'm going to go make that myself because

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I think it's sicker.

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And I have never been disappointed about doing it.

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About once have I done that and been like, this was a mistake.

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And the thing is that I bought plenty of things that I thought were expensive.

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I can minimize my regret by saying, I'm not using money that I otherwise want to use

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somewhere else.

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And so that's my little money behavior that has served me very well and I hope it serves

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you well.