Thursday, October 16, 2014

Power of Money

By Adam Khoo ( Singapore 's youngest millionaire at 26 yrs.)

Some of you may already know that I travel around the region pretty frequently, having to visit and conduct seminars at my offices in Malaysia , Indonesia , Thailand and Suzhou ( China ) . I am in the airport almost every other week so I get to bump into many people who have attended my seminars or have read my books.

Recently, someone came up to me on a plane to KL and looked rather shocked. He asked, 'How come a millionaire like you is traveling economy?' My reply was, 'That's why I am a millionaire. ' He still looked pretty confused.

This again confirms that greatest lie ever told about wealth (which I wrote about in my latest book 'Secrets of Self-Made Millionaires'). Many people have been brainwashed to think that millionaires have to wear Gucci, Hugo Boss, Rolex, and sit on first class in air travel. This is why so many people never become rich because the moment they earn more money, they think that it is only natural that they spend more, putting them back to square one.

The truth is that most self-made millionaires are frugal and only spend on what is necessary and of value. That is why they are able to accumulate and multiply their wealth so much faster.

Over the last 7 years, I have saved about 80% of my income while today I save only about 60% (because I have my wife, mother in law, 2 maids, 2 kids, etc. to support). Still, it is way above most people who save 10% of their income (if they are lucky).

I refuse to buy a first class ticket or to buy a $300 shirt because I think that it is a complete waste of money. However, I happily pay $1,300 to send my 2-year old daughter to Julia Gabriel Speech and Drama without thinking twice.

When I joined the YEO (Young Entrepreneur's Orgn) a few years back (YEO is an exclusive club open to those who are under 40 and make over $1m a year in their own business), I discovered that those who were self-made thought like me. Many of them with net worth well over $5 m, travelled economy class and some even drove Toyotas and Nissans, not Audis, Mercs, BMWs..

I noticed that it was only those who never had to work hard to build their own wealth (there were also a few ministers' and tycoons' sons in the club) who spent like there was no tomorrow. Somehow, when you did not have to build everything from scratch, you do not really value money. This is precisely the reason why a family's wealth (no matter how much) rarely lasts past the third generation.

Thank God my rich dad foresaw this terrible possibility and refused to give me a cent to start my business.

Then some people ask me, 'What is the point in making so much money if you don't enjoy it?' The thing is that I don't really find happiness in buying branded clothes, jewellery or sitting first class. Even if buying something makes me happy it is only for a while, it does not last.

Material happiness never lasts, it just gives you a quick fix. After a while you feel lousy again and have to buy the next thing which you think will make you happy. I always think that if you need material things to make you happy, then you live a pretty sad and unfulfilled life..

Instead, what makes me happy is when I see my children laughing and playing and learning so fast. What makes me happy is when I see my companies and trainers reaching more and more people every year in so many more countries.

What makes me really happy is when I read all the emails about how my books and seminars have touched and inspired someone's life.

What makes me really happy is reading all your wonderful posts about how this blog is inspiring you. This happiness makes me feel really good for a long time, much much more than what a Rolex would do for me.

I think the point I want to put across is that happiness must come from doing your life's work (be it teaching, building homes, designing, trading, winning tournaments etc.) and the money that comes is only a by-product. If you hate what you are doing and rely on the money you earn to make you happy by buying stuff, then I think that you are living a life of meaninglessness
Yesterday, I was driving, and the FM radio went off for few seconds. I thought, I should have an iPod. Then suddenly I realized that I have not used my iPod😕 in last 6 months. And then, more things, Handy cam📹 in last 2 years, Digital Camera in last 2 months, DVD player in last 1 month and many more.

Now I can say that I bought that Handy cam📹 just out of impulse, I have used it twice only in last 4 years.

So, what's wrong and where ? 

When I look at myself or my friends, I can see it everywhere... ✅

We are Not Happy with what we have, but all are stressed and not happy for the things we don't have😐.

You have a Santro, but you want City;

You have a City, but you want Skoda.

Just after buying a new phone, we need another one.

Better Laptop,

Bigger TV,

Faster Car,

Bigger House,

More Money,

And, I mean... these examples are endless.🚫

The point is, does it is ACTUALLY WORTH 😐😐

Do we ever think if we actually need those things before we want them ?

After this, I was forced to think what I need and what I don't.

May be I didn't need this Handy cam📹 or the iPod or that DVD player.

When I see my Father back at home, He has a simple BPL colour TV, he doesn't need 32" Sony LCD wall mount.
He has a cell phone worth Rs 2,500. Whenever I ask him to change the phone, he always says, "It's a phone; I need this just for calls."☑

And, believe me; he is much happier in life than me with those limited resources and simple gadgets

The very basic reason why he is happy with so little is that he doesn't want things in life to make it luxurious, but he wants only those things which are making his life easier. ✅✅


It's a Very Fine line between these two, but after looking my father's life style closely, I got the point.

He needs a cell phone but not the iPhone. He needs a TV but not the 32" plasma. He needs a car but not an expensive one.

Initially, I had lot of questions.I am earning good; Still I am not happy...Why? I have all luxuries; still I am stressed.... ......Why? I had a great weekend, still I am feeling tired...... why?

I met lot of people, I thought over it again and again, I still don't know if I got the answers, but certainly figured out few things.


I realized that one thing which is keeping me stressed is the "Stay Connected" Syndrome..

I realized that, at home also I am logged in on messengers, checking mails, using social networks, and on the top of that, the windows mobile is not letting me disconnected..
On the weekend itself, trying to avoid unwanted calls 📵... and that is keeping my mind always full of stress.😤

I realized that I am spending far lesser money than what I earn; even then I am always worried about money and more money.

I realized that I am saving enough money I would ever need, whenever needed. Still I am stressed about job and salary and spend.

😐May be, many people will call this approach "not progressive attitude", but I want my life back. 

Ultimately, it's a single life, a day gone is a day gone. I believe if I am not happy tonight, I'll never be happy tomorrow morning. 😐

I finally realized that Meeting Friends, Spending Quality Time with your Loved one's; Spending Time with Yourself is the most important thing

If, on Sunday, you are alone and you don't have anybody to talk with, then all that luxuries life, all that money is wasted.. 

May be, cutting down your requirements, re-calculating your future goal in the light of today's happiness is a worthwhile thing to do.. 

May be, selling off your Santro and buying Honda City on EMIs is not a good idea. I believe putting your happiness ahead of money is the choice we need to make

I think, a lot can be said and done but what we need the most is re-evaluation of the value of happiness and time we are giving to our life and people associated with it 



Think about it !!