AI Hustle Talk
AI Hustle Talk is a high-energy podcast that breaks down how AI is revolutionizing business, entrepreneurship, and personal growth. Hosted by Zay & Rico, it’s all about leveraging AI to work smarter, scale faster, and hustle harder—giving listeners the tools, mindset, and motivation to stay ahead in the digital age. 🚀🔥
AI Hustle Talk
Wealth Is a Mindset: Transforming Your Financial Future
Have you ever wondered why some people seem to effortlessly attract wealth while others constantly struggle? The answer lies deeper than mere financial tactics – it's rooted in mindset and internal programming.
In this eye-opening exploration of wealth psychology, we unpack the concept of "wealth files" – those core beliefs and habits that distinguish financially successful people from everyone else. You'll discover how wealthy individuals see themselves as architects of their financial lives rather than victims of circumstance, and why this sense of agency makes all the difference. We examine how your relationship with money – including your ability to receive, promote your value, and admire rather than resent successful people – shapes your financial destiny.
Beyond mindset, we dive into practical strategies like shifting from time-based to results-based income, focusing on net worth rather than just paychecks, and the power of consistent saving coupled with compound interest. For aspiring entrepreneurs, we share inspiring stories of successful businesses started with minimal capital, proving you don't need substantial resources to begin your wealth-building journey. The $100 Startup approach emphasizes finding that sweet spot where your skills meet genuine market needs, then taking decisive action rather than endless planning.
Whether you're looking to transform your financial mindset, start a business, improve your personal money management, or build long-term wealth through investing, this episode provides a comprehensive roadmap. The path to financial freedom begins with understanding that success is 80% behavior and 20% knowledge – and having the courage to take that first step, no matter how small. Ready to rewrite your financial story?
Have you ever noticed how some people just seem to have this like natural flow with money? Wealth just doesn't seem like a constant uphill battle for them.
Speaker 2:Yeah, it's like they have a different mindset.
Speaker 1:It really does make you wonder what makes that difference Like, what is it about their thinking? Well, in this deep dive we're going to try to get to the bottom of that.
Speaker 2:Absolutely. We're going to unpack those core ideas and practical steps that can really help you shift how you think about building wealth. We've pulled some awesome insights from some key resources, those fundamental principles of a wealthy mindset. We've got some actionable business strategies, all designed to help you find a clearer path towards financial well-being.
Speaker 1:Yeah, totally. And before we get too far, I want to make it clear this isn't about some magic formula to get rich quick or anything.
Speaker 2:No, not at all.
Speaker 1:It's really about those fundamental shifts in how you think and those concrete actions you can take to build a solid foundation for lasting financial success. Okay, let's dive right in. Let's talk about the power of mindset. We'll start with some insights from Secrets of the Millionaire Mind.
Speaker 2:Okay, great. So one of the most interesting concepts in that book is the idea of wealth files. You can think of them as like your internal programming around money, like those deep-seated belief and habits that really distinguish the wealthy from well everyone else.
Speaker 1:It's realizing that sometimes the biggest obstacle to building wealth is actually internal, not external yeah, that's fascinating, right, it's like the operating system running in the background of your financial life. Huh, and one of the core programs for the wealthy is this belief that they create their lives, especially their financial lives. They feel in control rather than feeling like things just happen to them.
Speaker 2:And that raises a really important question for you when you think about your own finances, do you generally feel like you're the architect, like you're making deliberate choices, or do you feel more like you're just reacting to whatever life throws your way?
Speaker 1:Right, because that sense of agency that's a huge part of a wealthy mindset, absolutely, and that control connects with another wealth file.
Speaker 2:Yeah.
Speaker 1:Wealthy individuals are committed to being rich. It's not just like, oh, that'd be nice.
Speaker 2:Right.
Speaker 1:It's deeper than that. It's a real dedication.
Speaker 2:Yeah, and think about it. Achieving any big goal requires that level of commitment. Right, right. Wealth often takes consistent effort. You've got to overcome setbacks, you've got to stay focused on the long term. So that commitment, it's your fuel.
Speaker 1:It is Okay. This next one might be a little controversial. Rich people actually admire other rich and successful people. They're not jealous or resentful, they're inspired, they want to learn.
Speaker 2:Yeah, that's a good point. It really highlights the impact of your environment. When you surround yourself with successful people, it can create a really positive, empowering atmosphere, and that makes a huge difference in your own belief that you can do it too.
Speaker 1:Yeah, and the book mentions how negativity towards wealth or wealthy people can be a real downer. It can block you from achieving it yourself.
Speaker 2:It's like a subconscious barrier.
Speaker 1:Exactly so. It's about shifting that perspective. Instead of envy, try to understand and learn from their positive traits.
Speaker 2:Exactly, and this leads us to another key point Wealthy people are willing to promote themselves and their value.
Speaker 1:Ooh, this is a tricky one.
Speaker 2:Yeah, I know right, there's often this negative feeling around self-promotion, like it's bragging or something.
Speaker 1:Totally. You don't want to come off as arrogant.
Speaker 2:Right.
Speaker 1:But the book makes it clear. It's about having the confidence to show your worth, the benefits you bring. If you don't believe in yourself, how can you expect others to?
Speaker 2:It's all about self-worth. People with a wealthy mindset know their own value.
Speaker 1:That's so true. And this brings us to another interesting idea value. That's so true, and this brings us to another interesting idea. Rich people are good at receiving. They can accept compliments, gifts, even financial opportunities, yeah, and the book contrasts that with people struggling financially who often have trouble receiving, maybe feelings of unworthiness or guilt.
Speaker 2:That can come from deep-seated beliefs. You know about money and deservingness. It's really important to challenge thoseated beliefs you know about money and deservingness. It's really important to challenge those limiting beliefs if you want to open yourself up to abundance. Receiving is part of the flow. It's the other side of giving value.
Speaker 1:It makes sense right Like give and take.
Speaker 2:Exactly.
Speaker 1:Okay, another wealth file. Wealthy people choose to be paid for results, not just for their time. This is a big shift from the traditional salary or hourly wage we're all used to.
Speaker 2:Right. And if we look at the bigger picture, time-based income kind of limits how much you can earn right, there are only so many hours in a day. Result-based income, on the other hand, links your pay to the value you create.
Speaker 1:Think about it Sales consulting, starting a business Focusing on performance, can really unlock some serious growth. Just trading time for money can make you feel stuck. Okay, here's another key difference Shifting your focus from just your work income to building your net worth. People struggling financially often just focus on that paycheck and daily expenses.
Speaker 2:And that creates a short-term view that makes it harder to build long-term wealth. The book really emphasizes that.
Speaker 1:Net worth, which is your assets minus your liabilities, paints a much clearer picture of your financial health. It's not just about what you're earning right now.
Speaker 2:Focusing on net worth makes you think long-term about accumulating assets and building a solid financial base term about accumulating assets and building a solid financial base.
Speaker 1:Okay, now, this might sound obvious, but the book points out that rich people manage their money well. I know right, but it's a skill that's often overlooked, especially by those who haven't achieved financial success yet.
Speaker 2:Yeah, it's easy to fall into bad habits without even realizing it.
Speaker 1:Exactly. No budget impulsive spending, just a lack of financial know-how. Even something as simple as making a budget and sticking to it can make a huge difference. It helps you understand where your money's going and make better decisions.
Speaker 2:Definitely it's about awareness and control.
Speaker 1:Right. Here's another principle Rich people put their money to work through passive income and investments.
Speaker 2:It's not just about working harder. It's about making your money work for you.
Speaker 1:This is where compounding comes in.
Speaker 2:Oh yeah. By building passive income streams and investing wisely, your money can generate more money over time. It can free you from always needing to trade your time for income. Just relying on active income can really hold you back in the long run.
Speaker 1:That's powerful. Right your money, making more money.
Speaker 2:Yeah, definitely.
Speaker 1:Now this next wealth file is all about facing challenges. Rich people take action even when they're afraid.
Speaker 2:Courage under fire.
Speaker 1:It's not about having no fear. It's about not letting fear paralyze you. If you want to create the life you want, you have to act despite your fears. If you want to create the life you want, you have to act despite your fears. It allows you to step out of your comfort zone, take risks and go after those opportunities that can lead to big success.
Speaker 2:Letting fear control you, on the other hand, leads to missed opportunities. It keeps you stuck.
Speaker 1:Last but not least, on the mindset front, the book emphasizes that rich people are always learning and growing. They have a growth mindset, always searching for new knowledge and skills.
Speaker 2:Yeah, that's crucial.
Speaker 1:The world changes fast and if you want to stay ahead you have to keep learning and adapting. Thinking you already know enough. That's a recipe for getting left behind.
Speaker 2:It's a recipe for disaster.
Speaker 1:Okay, we've talked mindset, now let's get practical. Our next source, the $100 startup, has a really encouraging message. It says that anyone can build a profitable business. You don't need tons of money or a fancy degree.
Speaker 2:Yeah, it's a very empowering message.
Speaker 1:It's all about using your passions and offering something useful to the world. The book is full of inspiring stories of regular people who turn their hobbies or skills into successful businesses.
Speaker 2:Like unexpected entrepreneurs.
Speaker 1:Exactly. The formula is pretty simple when your passion or skill meets a need that other people have, that's where the magic happens. Yeah, we see that with Jaden Hare, who turned her love for Asian cooking into easy recipes for busy people.
Speaker 2:Right, and she ended up with cookbooks, tv appearances, the whole nine yards.
Speaker 1:Then there's Brandon Pierce, a piano teacher, who used his tech skills to create software that solved a problem in his field. Smart. And Kelly Lester, who saw that busy professional women needed more convenient yoga options and tailored her studio to meet those needs. These are just a few examples, but they show that finding that sweet spot where your abilities meet a real need is a great place to start, and you often don't need much money up front, right. So for someone listening who's thinking, hey, maybe I could start something, what are some first steps they can take, even with limited resources?
Speaker 2:The book lays out a very clear process. First, decide what you want to offer your product or service. Then set up a basic online presence. Even a simple website is fine. After that, create a compelling offer that clearly shows the benefits for your customers. Make sure you have a way to accept payments like PayPal, and then get the word out, announce it to your network and, finally, be prepared to learn and adjust as you go.
Speaker 1:It sounds pretty straightforward, but the key is just to start and be open to learning along the way. It's crucial to understand what your customers really want. The book says people basically want more love, money, acceptance, free time and less stress, long commutes and bad relationships. If your business can tap into that, you're golden.
Speaker 2:Absolutely.
Speaker 1:The book also talks about freely receive, freely give.
Speaker 2:Oh yeah, that's a great one.
Speaker 1:It's about focusing on giving real value and helping others. That often creates a positive cycle that attracts success back to you.
Speaker 2:Like karma Kind of yeah.
Speaker 1:Now your offer has to be enticing. It's not enough to just have a good product or service. You have to present it in a way that shows its value and makes people want to jump on it.
Speaker 2:You need that wow factor.
Speaker 1:Yeah, that's right. Think about Jonathan Field's offer for his yoga studio Unlimited classes for a crazy low price, but only for a limited time. It creates value and a reason to act now.
Speaker 2:Urgency.
Speaker 1:Yes, or the Alaska Coupon Books. Bundling high-value experiences at a discount. It's a clear and appealing proposition. Makes sense and to build trust. The book strongly recommends offering a satisfaction guarantee. It takes away that hesitation and encourages people to try your offer.
Speaker 2:Takes away the risk.
Speaker 1:Exactly. I also like this idea of shifting from a martyr mindset, where you feel like you're always sacrificing, to a hustler mindset in a good way. Okay, yeah, it's about creating something valuable and then promoting it with confidence. Don't just expect people to magically find your amazing thing.
Speaker 2:Right.
Speaker 1:Now, financially speaking, the book's advice is simple Spend as little as possible and make as much as you can.
Speaker 2:Makes sense.
Speaker 1:Stay focused on generating income and keep your costs down.
Speaker 2:Lean and mean.
Speaker 1:Exactly, and it doesn't have to be a brand new, revolutionary idea. The book talks about tweaking your way to the bank, improving on existing models, offering upsells, showcasing customer success stories using affiliate marketing.
Speaker 2:Best strategies.
Speaker 1:And there are tons of examples of businesses started with very little money. A tour guide business for $28. A publishing venture for $80. You don't always need a fortune to get started.
Speaker 2:That's encouraging right.
Speaker 1:It is Another key takeaway compete on value, not just price. Trying to be the cheapest can be a race to the bottom. Offer something unique, excellent service and you can charge more and build a stronger business.
Speaker 2:Yeah, quality over quantity.
Speaker 1:Sure and for the long haul. The book talks about building a scalable business, one that can be taught to others and is valuable enough to grow or even be sold.
Speaker 2:Makes sense.
Speaker 1:But the most important message is to take action. The book says the real failure is not trying. Plan as you go, launch as soon as possible. Don't get stuck in planning mode forever. Get out there, learn and adapt.
Speaker 2:That bias towards action. It's super important. It goes hand in hand with that idea of creating your own outcomes.
Speaker 1:Totally All right. We've covered mindset and starting a business. Now let's talk about taking control of your personal finances. The total money makeover argues that financial success is more about behavior than knowledge 80% behavior, 20% head knowledge. It means that often the biggest obstacles aren't about not knowing enough, but about our spending habits and emotional responses to money. Dave Ramsey, the author, famously says you are the problem with your money. It's a call for personal responsibility.
Speaker 2:Taking ownership.
Speaker 1:Absolutely, and the book tackles common money myths head on, like the myth that debt consolidation saves you money, when it usually just rearranges the problem or the lottery as a path to wealth, which the book says is actually harmful, especially for those who can least afford it.
Speaker 2:It's like a false hope.
Speaker 1:Yeah, Lending money to loved ones is another myth. It can ruin relationships. Then there's cosigning loans those 90 days, same as cash offers and leasing cars, which can all lead to more debt. Even buying a new car with 0% financing is questioned because new cars lose value so quickly.
Speaker 2:Depreciation is a killer.
Speaker 1:It is, and the myth that you need debt for a good credit score. Forget about it. The book says focus on building wealth, so you don't need credit in the first place. Pay cash for big purchases yeah, that makes sense. Even mobile homes as investments get a thumbs down because they tend to lose value, and be careful with debt management and credit repair services. They can sometimes backfire or be straight up scams.
Speaker 2:It's about being informed and cautious, totally.
Speaker 1:The key takeaway here is focused intensity. Changing your financial situation takes real effort and dedication. It's about resetting those spending habits and prioritizing your financial goals.
Speaker 2:It's a commitment.
Speaker 1:And that's where the book's famous baby steps come in.
Speaker 2:Can you walk us through those? First, save a starter emergency fund of $1,000. Then attack your debt using the debt snowball method. List your debts from smallest to largest, regardless of interest rate, and focus on paying off the smallest one first. It creates momentum.
Speaker 1:I like that, those quick wins.
Speaker 2:Right. Then fully fund your emergency fund to cover three to six months of expenses. Next, invest 15% of your household income for retirement. After that, save for your kid's college, aiming to pay cash if possible. Then pay off your mortgage early and finally, build wealth and give generously.
Speaker 1:That debt snowball is interesting. It prioritizes the psychological aspect of getting those wins early on, even if focusing on high interest rates might save a bit more in the long run.
Speaker 2:It keeps you motivated.
Speaker 1:Yeah, and that fully funded emergency fund is crucial. It gives you peace of mind and prevents you from falling back into debt when unexpected things happen.
Speaker 2:It's your safety net.
Speaker 1:The book is a huge advocate for investing in your retirement, aiming for 15% of your income and paying cash for college is a big deal, considering how much student loan debt people struggle with.
Speaker 2:It's a burden.
Speaker 1:For sure. Even making extra payments on your mortgage to shorten the loan term is encouraged.
Speaker 2:That can save you a ton of money and interest over the life of the loan.
Speaker 1:It all starts with a spending plan telling your money where to go instead of wondering where it went. This helps align your spending with your values and goals.
Speaker 2:It's about being intentional.
Speaker 1:The book also talks about increasing your value in the marketplace to earn more. It's not just about cutting back. It's also about investing in yourself and your skills.
Speaker 2:Growing your earning potential.
Speaker 1:We even hear stories about how negative beliefs about money can hold people back and how changing those beliefs can be life changing.
Speaker 2:It's a mindset shift.
Speaker 1:The book distinguishes between financial security having enough to cover your needs and financial independence, where working becomes optional.
Speaker 2:Two different levels of freedom.
Speaker 1:Winning in life isn't just about having the most money. It's about freedom and control over your choices.
Speaker 2:Living life on your own terms.
Speaker 1:Absolutely Okay. Our last source is Money Master the Game. This one's all about long-term wealth building strategies. It starts with what it considers the most important financial decision Saving a percentage of your income consistently.
Speaker 2:The power of habit.
Speaker 1:And the magic of compounding Even small amounts saved consistently over time can grow significantly. The book of habit and the magic of compounding Even small amounts saved consistently over time can grow significantly. The book urges you to take action now. Asking would now be a good time. Action is key.
Speaker 2:No more procrastination.
Speaker 1:The book also explains how those average returns we hear about can be misleading. It differentiates between time-weighted returns, what investment managers report, and dollar-weighted returns, which reflect your actual returns based on when you invest.
Speaker 2:Timing matters.
Speaker 1:Dollar-weighted returns factor in when you contribute and withdraw money and they can be quite different from those smooth average returns we often see.
Speaker 2:It's about understanding the nuances.
Speaker 1:Strategic asset allocation is another important concept diversifying your investments to manage risk and potentially boost returns. The book is a big advocate for low-cost index funds, arguing they often outperform actively managed funds over time and save you money on fees.
Speaker 2:Index funds are a classic.
Speaker 1:Those fees, even if they seem small, can significantly impact your long-term returns. Minimizing them is key. The book also talks about fiduciary financial advisors, who are legally obligated to act in your best interest, providing transparency and minimizing conflicts of interest.
Speaker 2:That's a valuable distinction.
Speaker 1:Roth retirement accounts are highlighted with their tax-free growth and withdrawals in retirement, and creating a lifetime income plan for retirement is crucial knowing how you'll use your savings to generate income.
Speaker 2:Planning for the future.
Speaker 1:Money Master. The Game is all about giving you the tools and knowledge to take control of your financial future. It encourages you to find the strategies that work for you and emphasizes the importance of combining the right mindset with effective action.
Speaker 2:Empowerment through knowledge.
Speaker 1:Just like the total money makeover. This book talks about different levels of financial freedom, from financial security to financial independence. It also explores ways to potentially accelerate your wealth building, like through real estate, and reiterates practical steps like making extra mortgage payments.
Speaker 2:Smart moves.
Speaker 1:Re-evaluating expenses and creating a spending plan are crucial for taking control and once again increasing your value in the marketplace is highlighted as a key driver of success. The book also encourages you to stay ahead of trends and capitalize on new opportunities.
Speaker 2:Being proactive.
Speaker 1:So, as we wrap up, you can see how intertwined these ideas are. Building wealth isn't just about the numbers. It's about cultivating a wealth mindset. Believe in yourself, commit to your goals, learn from others and don't be afraid to promote yourself.
Speaker 2:It's about the inner game and the outer game working together.
Speaker 1:Exactly, and the strategies we've discussed starting a business, controlling your spending, saving consistently, investing wisely these are the actions that turn that mindset into real-world results.
Speaker 2:Putting it all into practice.
Speaker 1:The takeaway here is that taking that first step, no matter how small, is crucial. Be proactive, start where you are, be open to learning and don't let fear hold you back.
Speaker 2:It's about taking charge.
Speaker 1:Here's something to think about. Imagine what's possible, not just financially, but in every area of your life, If you embrace your potential for wealth and cultivate that proactive mindset. Imagine the impact greater financial freedom could have, not just for you and your loved ones, but for the world around you.
Speaker 2:It's about expanding your horizons.
Speaker 1:Take some time to reflect on these ideas, Maybe revisit your financial habits and beliefs. Until next time, keep exploring, keep learning and keep taking those steps towards the life you desire.
Speaker 2:Onwards and upwards.
Speaker 1:Zayay and Rico together. Let's get it.
Speaker 2:Outro music.