9 Misconceptions About Money Most People Don’t Know

9 misconceptions about money that the masses don't know. Now, and when it comes to money, most of humanity have got quite a bad relationship with money. You know, religion says that, um, the love of money is the root of all evil. Well, that's, that's actually going to be my first misconception. You know, they say money doesn't grow on trees and money makes you a bad person and people who are rich are greedy. You know, all these things are projected out about money by people usually who have too much or not enough. So, um, I'm going to share with you 9 misconceptions about money that in about 2 hours' time I'm being interviewed for, um, a deep dive article on Forbes magazine. So Forbes have reached out and asked me to do an article on the 9 misconceptions about money that the masses don't know, and I thought I'd share with them first. This is kind of like a world exclusive, so I hope you enjoy this. So number one misconception about money is that money is the root of all evil, and/or the love of money is the root of all evil. So sometimes people will say money's the root of all evil, and then you'll get corrected and go, oh no, no, no, no, no, it's not that, it's that the love of money is the root of all evil. I do not believe that to be true. Now, in religious Scripture, it is said that the love of money is the root of all evil. It is also said that it's more likely that a camel will go through the eye of a needle than a rich man will go to heaven. And so this is a fundamental problem because it raises us to believe that money is bad and evil and will taint our reputation, our soul, and even our next life. But the reality is that money is not the root of all evil. The love of money is not the root of all evil. Humanity is the root of all evil. Here's why: because money is simply a tool. Money is not conscious. Money is not emotional. Money cannot think or decide or feel. Money is a tool. Now let's liken it to a hammer. If you wanted to put a nail into a piece of wood and you tried to use your hand, that would not be a very good way. You probably wouldn't be able to get the nail in. However, if you used a hammer as a lever, the hammer is an effective lever at getting the nail in the wood. Then you turn the hammer around and it's a more effective lever of pulling the nail out of the wood than your hands and your fingernails. But you know, a hammer can also be used to smash in someone's skull. But if a human being smashed in someone's skull with a hammer, the hammer would not be tried for murder. The hammer would not be put on trial, and the hammer would not get a life sentence. And that sounds so silly and obvious to say. It's the person who used the hammer. So why do we have such the same judgment and emotion and misunderstanding around money and we put a lot of, um, the root of all evil and greed and power and everything that's wrong with the world— why do we project that onto money when we don't project anything onto any other kind of tool like a weapon? You know, everyone knows that a gun isn't conscious, and it's not the gun that does the murdering, and it's not the bullet. It's the human being who uses the gun or the, you know, or the weapon. So money is a tool, and it can be used for good as well as greed. And if money is the root of all evil, or rather it's the tool— what really should be said is the tool of money can be used for evil, and that's true. But then you have to say that the tool of money can be used for good, because money is a tool. Money is a universally agreed exchange of value. It's a bloody good exchange of value. It's better than me swapping a pair of shoes for you swapping a leg of meat for you swapping something made out of iron or metal. It's a really great exchange of value, a unit of account, a store of value. So when you understand that money is a tool and you work out what that tool is used for, you can do great things with that tool. So when people judge money as evil, they are putting their own projections and judgments around money. So money becomes what they project it as, not what it is. So you must learn the universal laws of money and project onto money what it really is, not what you think it is. And when you understand that it's a great tool, a lever, then you can do great things with it. Okay, number 2 then of the 9 misconceptions about money that the masses don't know is that, um, people are saying more and more now that profit is the purpose of business. And, you know, to be an entrepreneur is to take risk in the hope of profit. It's about profit. It's actually not. And that surprises a lot of people because, you know, I am a fan of capitalism and make— or proper capitalism, not the, um, cartelism we're currently under. But people say that the purpose of a company or an entrepreneur is to make profit. No, no, that's the outcome. And this is an important distinction. The purpose of an entrepreneur and a company is to create useful and valuable products and services that make people's lives easier, faster, and better. Let me say that again. The purpose of a company and an entrepreneur is to make useful and valuable products and services that makes people's lives easier, faster, and better. And profit is the outcome and the reward of doing that effectively for as many people as possible. Because no one actually cares if you make profit. In fact, people don't want to give you money for products and services if they perceive that you just want to make profit. So useful products and services to the masses and care about humanity, and you will get a result of great profit. That's myth number 2. All right, misconception number 3 about money. Now this is quite a— it can be a paradox, this one, and it could be quite complicated. So I'm going to just say it as it is. When it comes to money, you have to understand that you get paid last, but when you get paid, you need to pay yourself first. Let me say that again. When it comes to money, you have to understand that you get paid last, not first. But then when you get paid, you need to pay yourself first, not last. So what do I mean by that? You get paid last because you got to do the product and service first, and then you get the money. So you offer the product and service, you deliver it, then you send the invoice, and then 30, 60, or 90 days later you get the money. That's how it works. Now, when you're an employee, you do the work and 30 days later you get paid. That's how it works. And a lot of people don't know that it works like that. No, I just want to get paid more. I just want people to pay me upfront. It's not fair. No, no, no. They don't understand the laws of money. The laws of money are you'll get paid when you've done something useful and valuable, but people are looking to get paid first and then maybe they'll do something useful and valuable. But that's a risk to the person who's paying. So you get paid last, do brilliant work. Now, I was taught by a billionaire two really good laws of work and money. Do the job you want, not just the job you've got, and always do more than you're paid to do. Let me say that again. This could change your life if you implement this. Do the job you want, not just the job you've got, and always do more than you're paid to do, and you'll get paid more. So you get paid last by doing good work first, and then you get paid well. And then when you get paid well, you must pay yourself first. Now I know that could be deemed as a paradox, but what I mean is If you're paying your bills and your expenses and your taxes and everyone else and you're left with nothing, you're earning money but you're going into debt. So what you need to do is when you get paid, you pay your savings, you pay your investments, and only then after that do you pay your bills and expenses and overheads. You must pay yourself first. It's a fundamental law of money. Okay, I hope you're finding this useful so far. Make sure you're following me on whatever channel you watch me on, or you're listening and watching on. Make sure you follow me, hit that follow button. I do regular content. This— I'm being interviewed, um, uh, by Forbes magazine in 2 hours on this. So, um, yeah, it's obviously an important thing, um, that Forbes deemed this to be and put out to the masses. All right, number 4 misconception about money is that it changes you. Money does not change you. Decisions change you. Actions change you. Money can't force decisions or actions. Significant events change you. Your experiences change you, but money doesn't change you. Money simply makes you more of what you already are, and it exaggerates your existing traits. So a lot of people are repelling money because they don't want to be perceived to have changed, you know. Oh, you've changed, Rob, you've changed. Well, if people who knew me 10 years ago didn't say I'd changed, I'd be upset. I want to change, hopefully for the better. So money exaggerates your existing traits. It's an enabler, an exaggerator. It's a fuel. It increases speed, and it hates friction. So money does not change you. You change you. Circumstances change you. Life changes you. Experiences change you. Money's just a tool, remember. And if you know that, then you don't repel it, because people wouldn't want to be perceived as being greedy or power hungry or evil. And, you know, so people would not want to someone to say, oh look, you made a bit of money and money's fucking changed you, look who do you think you are, that's usually just projected bitterness and envy. Um, you know, quite frankly, if someone's going to say that money has changed me, I would argue that, well, it's better than staying in the same place that they've stayed in, or it's better than judging other people without knowing the facts. Okay, number 5 then. People say it takes money to make money. No, no, it does not. This is one of the greatest myths. Um, technically, if you have money, you can make more money because you can gain interest and a return on investment. However, it's just as easy to lose money than it is make money, and it's very easy to be comfortable and complacent when you've got money. And no one is born with money. And people say, oh yeah, but some people inherit it. You know what? Inheritance can be a curse because you don't learn what it takes to make money. So it doesn't take money to make money. Here's what it takes: creativity, resourcefulness, innovation, solutions, caring about humanity. It takes, um, energy, passion, enthusiasm, persistence, consistency, value exchange, useful products and services, leadership. It's all these human traits. All these traits are human. Every human being is born passion, enthusiasm, drive, commitment, persistency, consistency, solution-focused, Innovation, resourcefulness, creativity— every human being is born with those traits. They are human traits. They're not mutually exclusive only for the billionaires of the world. You have them too. So as soon as you allow money to make money and you don't have money, the paradox is you'll never make money because you wait until you've got money to make money. See what I did there? Okay, number 6 myth or misconception around money: oh, money doesn't make you happy. Fuckin' does, I'm telling you. All things equal, would you be happier with or without money? All other things equal. Because you have to have a split test. It has to be binary. Because, you know, people say money doesn't make you happy, but if you— if everything in your life was equal but you had more money, would you be happier or sadder with more or less money if everything else was equal? With a nicer car, with nicer travel, nicer clothes, nicer food. You can, you know, spend money on your health and your wealth and your wellness and your travel and putting your kids through good schools and donating to charities and tipping big. All other things equal, I would argue all things equal, money does actually make you more happy. Now, it makes a great servant but a terrible master. Don't become a slave to it. I get that, you know, don't use it to mask things about yourself which are unresolved. But all things equal, I think having more money does make you more happy. Okay, misconception and myth number 7 around money: is that time is money? No, no, no, no, it's not! Here's why— you could do a 5-minute task and earn $5 grand; you can do a 5-hour task and earn nothing. Why? Because tasks have value of money but time does not. Parkinson's Law of Time states that you will take the time or space to fill what you give to the task. If you give yourself a day, week, month to finish a task, you'll take a day, week, month. Parkinson's law of time. So therefore, time is not money. Time can often be the opposite of money. Tasks are money. Income-generating tasks and key result area tasks are money. 5-minute task, 5 grand. 5-hour task, 5 pounds or dollars. So measure your value of tasks, measure your key result areas and your income-generating tasks, and leverage time. And try and get what would usually take people a week or a month or year, try and get it done in an hour or a day or a week. So measure tasks, not time. Okay, number 8 myth around money, misconception, is just you can save your way to wealth. No, you can't. Inflation is really high at the moment. Interest rates are really low at the moment. So cash is trash, as Grant, my friend, says. Cash is going down in value. It's definitely not something that's appreciating. It can get spent, eroded. You can get scammed out of it. Your emotions can spend it. So actually, if you want to gain wealth, you need to invest and speculate. Sorry, I just bit my own lip there, getting too excited. So you can save your way to having something to invest, but you won't save your way to wealth because it's too slow. Now, if interest rates go to 8% and inflation is 1%, that's different, but not right now. So you save to invest, and then you invest to speculate, and investing will get you to wealth, not saving. That's the 8th misconception around money. And then the 9th is that cash is king. Cash is not king. Cash is not king because low interest, high inflation— cash flow is king. You take your cash or other people's cash, you invest into assets that produce recurring and residual and passive income, And then the income is king because cash can be spent, eroded, lost, scammed, stolen. But once you've got the asset and you own the asset and you've got security on the asset, that probably can't be taken away from you. And the income keeps coming, keeps coming, keeps coming, keeps coming, keeps coming. It's relentless. You spend income this month, it comes back next month, next month, next month. So income is king. Cash flow is king, not cash. You should be investing most of your cash. Now make sure you've got some liquid and spare, of course, for irregular shocks, but you should be investing, not saving, most of your cash. So quick summary, I hope you found this little mini masterclass useful. Please share this, um, wherever you are and wherever you can. I think that there's not enough education in the world about money. I think there's a lot of misconceptions and judgments and projections and things raised in our environment, our religion, our culture, our history, and our parents which are actually really damaging for our wealth building and the, um, you know, the giving of money and time to other people. So summary: 9 misconceptions about money that are wrong. Money's the root of all evil, and the love of money is the root of all evil. No, it's not. Humanity is. And therefore, money must be the root of all good. Profit is the purpose of a company, an entrepreneur. No, it's not. It's the outcome and the result. The purpose is useful and valuable products and services to as many people as possible to make life for them easier, faster, and better. Thanks for all the kind comments, by the way, I can see coming in. And number 3 rule of money is you get paid last, so you have to do the valuable product and service first. But then once you get paid, you must pay yourself first, not last. Number 4, people say that money changes you. No, it doesn't. It usually makes you more of what you already are. It exaggerates your existing traits. It's an enabler. Okay, they say it takes money to make money. No, it doesn't. Takes creativity, innovation, resourcefulness, a compelling story, product, service, or offer sales and marketing and passion and enthusiasm and drive and desire and commitment and persistence. All these traits. Um, number 6, they say money doesn't make you happy. I say it fucking does. All things equal, more money will make you happier than less money. Number 7, they say time is money. Time is not money. Tasks are money, and no two tasks have the same value. Number 8, they say you can save your way to wealth, that you should save. No, no, you should invest. Saving is too slow. And then number 9, they say cash is king. Cash is not king. Cash flow is king. So if you've enjoyed this content, please share it around if you can, wherever you're watching it. Um, now I've got a gift for you. I always like to be the bringer of gifts. Um, I've got some money-related content on an ongoing basis I can share with you, and I confront the cost for you. So if you just go right now to robmoore.com/MMM, this is a free gift and resource from me. Rob Moore dot com www.robertmoore.com/mmm. If you go there right now, just pop your details in. Here's what I'm going to give you at no cost. I'm going to give you over 200 episodes of content, interviews with billionaires, interviews with 100 millionaires and 500 millionaires on money. Um, this is exclusive content. I'm also going to give you my new book, Increase Your Fees with Ease, once it's finished. I'm also going to give you weekly blog content like the 19 Habits of Self-Made Billionaires, I did an article for a mainstream UK magazine on 12 ways to budget to save £12,000 in 12 months, etc. So I'm going to give you all this content for free if you just go to robmoore.com/mm. Now, if you're listening on Clubhouse, I made it nice and easy for you because I pinned the link to the top. All you have to do is press the link at the top of this Clubhouse room and then just pop your details in there. There's no selling, there's no spam. It's literally once a week information from me on guests I interview. So I interviewed Floyd Mayweather twice on the subject of money. I'm interviewing a Russian billionaire next week on the subject of money. So you'll get regular content from me just once a week, not every day, on money. And then the interviews with billionaires and the Increase Your Fees With Ease book. I do make cash challenges 3 or 4 times a year. You jump— you can jump in on that as well. Ricky says he's just done that there. So if you go to robmoore.com/mmm, robmoore.com/mmm, or if you are here listening on Clubhouse, I've popped the link at the top for you, pinned to the top of the room, so you can just click that link, go pop your details in. I hope you've enjoyed this session. Please hit the share button if you are able to share this content, the 9 misconceptions about money that you probably didn't know, or the masses don't know. I'm being interviewed for a Forbes article in a couple of hours on this subject, and I wanted to give you a bit of exclusivity. Money is not the root of all evil. Humanity is the root of all evil. If money is the root of all evil, it has to also be the root of all good. So it's a tool, and it's what you do with it, not what it is. It becomes what you project onto it. Profit is not the purpose of a company or an entrepreneur. It's the outcome and the result of a meaningful product and service to as many people as possible. You get paid last, so you have to understand that you need to do the job you want, not just the job you've got, if you want to get paid more. And you have to always do more than you're asked to do if you want to get paid more and you want to get a pay rise. And that's for your clients if you're an entrepreneur, as well as for your employee, uh, or your pay rise. Money does not change you, it just makes you more of who you already are. Doesn't take money to make money, it takes creativity, resourcefulness, etc. Passion, enthusiasm. They say money doesn't make you happy, I say it fucking does, all other things equal. Time is not money, tasks are money. Value tasks, not time. A 5-minute task could make you 5 grand, a 5-hour task could make you nothing. You can't save your way to wealth, you need to invest your way to wealth. And cash is not king, cash flow is king. So thanks for tuning in on the Facebook Live. Make sure you hit the share button now. Remember, if you don't risk anything, you risk everything.