Introduction:

- Hosted by Dr. TMac, this episode focuses on helping women entrepreneurs and professionals transition from just making money to building sustainable, generational wealth.

- Overview of providing tools, mindset, and knowledge for effective money management and multiplication.

Key Topics:

- Difference Between Making Money and Building Wealth: Understanding the fundamental differences and why building wealth matters.

- Client Case Study - 'Kate': A success story about a client who quickly achieved significant financial gains but lacked wealth-building knowledge.

- Wealth-Building Principles:

1. Start Saving and Investing Early: Emphasizing the importance of beginning your investment journey as soon as possible, regardless of the amount.

2. Setting Financial Goals: The critical role of clear, defined goals in wealth building.

3. Budgeting and Tracking Expenses: Insights into managing expenses effectively for better financial control.

4. Making Smart Financial Decisions: The necessity of choosing the right financial products and being cautious with credit.

5. Diversifying Investments: Advice on focusing on one investment avenue before diversifying.

6. Long-term Perspective in Wealth Building: Highlighting the importance of patience, discipline, and perseverance in building wealth.

Cultural Insights:

- Discussion on societal and familial influences on our approach to money and wealth.

- Analysis of the 'hustle hard' mentality versus building true wealth.

Defining True Wealth:

- Dr. TMac’s perspective on what constitutes real wealth and an invitation for listeners to share their definitions.

Conclusion:

- Encouragement to understand and apply these principles for genuine wealth creation.

- Invitation to visit richfriendsbook.com for further insights and to acquire Dr. TMac's book, "We Should All Be Rich Friends."

Endnotes:

- A reminder from Dr. TMac that achieving holistic success and wealth is possible for everyone.

Why do we get so caught up in

the making money part of it

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all and not wealth building?

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Um,

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And I'll see you

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Hey, rich friends, it's Dr.

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TeMac here and welcome to another

episode of the rich friends show where

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we help women entrepreneurs and women

professionals achieve financial freedom

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and build real wealth, real generational

wealth by providing the tools, mindset,

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and knowledge to make, manage, and

multiply your money with confidence.

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I'm going to jump right into

today's episode and topic.

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And that is going from making

money to building wealth.

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So the goal of today is to talk

about the difference in making

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money versus building wealth.

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And I'm going to talk about One of my

previous clients, and she is a rockstar

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client, I'm going to call her Kate.

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When Kate came into my mentorship,

within 30 days, she'd already

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had her first six figure week.

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And then she'd had several

six figure weeks after, or

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six figure months after that.

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But the thing about Kate was,

she didn't quite understand the

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principles of building wealth.

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And I'm going to talk about those

principles go into those principles.

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1 of them is you have to start

saving and investing early.

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Well, some people say,

well, how early is early?

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You know, I may be in my

30s and I haven't started.

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We'll start today.

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Start with whatever you have.

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You have to start setting aside

some money so that you can invest.

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You have to save in order to invest.

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So start today.

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If it's, if you make 500 a week, take

50 of those dollars and put it back,

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save 50 every single week, and then

you can start investing from that.

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Start small, don't worry about,

oh, I don't have 100, to invest.

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Just start somewhere.

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Okay, so that's the first principle.

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Start saving and investing early.

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Well, see, Kate didn't

have any investments.

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She understood how to make money and how

to keep making the money, but she didn't

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know how to manage it and multiply it so

that the money will start working for her.

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So the second principle I want to talk

about is setting your financial goals.

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This may not be sexy.

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A lot of people don't want to talk about,

Setting goals and, you know, creating

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a budget and doing things like that.

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But this is like really the,

these are principles and this

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is the essence of wealth, right?

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So in order to build wealth, you

have to have a clear understanding

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of what you're working towards.

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Like it can't be, I'm working,

I'm in between clients, I'm making

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money, , from launch to launch,

but It has to be something where

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you're, you're doing what you love.

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You're making a lot of money doing

it, but you're also creating wealth

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by investing the money into different

instruments and different avenues to where

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your money will start working for you.

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So you have to set those goals.

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If that's, I want to.

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, By my 1st investment property, uh,

within a year, then that's a goal

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and that's an achievable goal.

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But you, if you don't have that, then

you're going to keep going from client to

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client launch to launch and you're never

you're going to be on a hamster wheel.

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You're never going to

be able to create that.

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Well.

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And then the next principle, again,

budgeting and tracking your expenses.

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It's not hard to track your expenses.

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Like, literally, write down, pencil,

paper, write down every single thing

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that you spend your money on, everything.

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And then write down your income.

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It's, it's all a matter of, this is what's

coming in, this is what's going out.

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And if you have more

month, then you have money.

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Then there's a problem, then you have

to learn how to budget and how to

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say, okay, this, this can't happen.

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Crack your expenses.

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Why am I spending this on that?

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You know, I love I'm not gonna

say I love Starbucks, but no.

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I love a good tea.

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Let's say that, but instead of me

going to Starbucks to buy tea every

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day, I have oodles and oodles of tea.

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Like I have tea everywhere where

you can buy a box of tea for like

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three or four dollars, five dollars

max, and this is good quality tea.

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So, versus going and buying one

cup of tea from Starbucks and Hey,

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that's a lot that adds up to a lot.

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So just, just tracking your expense

expenses is very important, important.

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And then another principle is

making smart financial decisions.

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You have to make smart financial decisions

because that's a part of building wealth.

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It's not about saving and investing.

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Only, but it's also about making

smart financial decisions, like

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choosing the right financial products,

such as, um, like, your investment

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accounts loans, like, making sure

that your loans are solid and you're

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not spending this astronomical amount

of interest because that's that's.

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Cutting into the money that you can

use to invest also credit cards.

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I'm big on credit cards.

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I love, love, love credit cards.

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But one thing I want to say is you must

pay these cards off every single month

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and you should always go for the low

interest, zero interest to low interest.

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I love using Amex cards because I have

that 0 percent interest and I utilize

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these , promotions and things like that.

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So.

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Shop around, make great financial

decisions because you got to

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understand these instruments

well, before you invest in them.

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And also, , it helps you keep

track of your expenses when, you

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know, exactly what you're doing,

making those financial decisions.

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Another thing is another principle is.

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, diversifying your investments.

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I know that a lot of people get

really, really confused when we talk

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about diversifying our investments.

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A lot of people say, well, I

don't know a lot about stocks.

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I don't know a lot about

the different asset classes.

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I don't know a lot about real estate.

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Here's what I'm going to say to you,

rich friend, I'm going to say, jump in

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one thing, learn that one thing before

you start diversifying your investment.

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I do not know a lot about stocks.

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But I started investing a little

bit into the stock market after I

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solidified my real estate portfolio.

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So that's something that, you know, that

just happens to be my thing, real estate.

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Some people buy businesses, that's all

they do is buy and sell businesses, you

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know , purchase these types of assets.

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Whatever it is that you want to

do, just focus on that one thing.

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My rich friends know what I

love to say, 10 and 2, 10 and 2.

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Uh, keep your, keep your hands

on 10 and 2, but it is true.

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Like focus, put both hands on the

steering wheel, look straight ahead.

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Don't look to the left.

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Don't look to the right and just.

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Put your head down and understand

your vehicle, the investment

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vehicle that you've chosen

before you start diversifying.

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, and then lastly, I want to talk

about this principle, and that is

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having a long term perspective.

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Building wealth is not

a get rich quick scheme.

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And for those of you who've been

following me, You may know a little

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bit about, , a friend of mine.

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She was a really, really good friend.

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I consider her a really,

really good friend and she

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literally burned so many people.

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, With different, different

schemes that she had.

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One was a, I didn't consider it a

scheme because it was a long-term play.

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It was like a five year investment.

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But then she has some other schemes

in there where, where one was, um,

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you give her, let's just say you give

her a thousand dollars and she'll

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give you back $3,000 in 30 days.

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Like where do they do that?

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Like nowhere and she burned a lot

of people that I know personally by

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using those get rich quick schemes.

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, you have to be aware of that.

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Rather than, you know, doing that,

you should go think about your

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long term process that requires.

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Patience, discipline.

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And perseverance.

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Like, I don't know any person who

has built wealth who did not practice

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patience, discipline, and perseverance.

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So listen, if it sounds too good

to be true, nine times out of

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10, it is too good to be true.

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So just want you to know that

wealth creation is a process

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of compounding over time.

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Where your money will work for you

rather than you work to actively earn it.

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I love to use this

example with my clients.

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You go, You learn how to make a whole

lot of money doing what you love in a

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little bit of time, and then you take

that money and you go and invest it.

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My particular, my favorite

strategy is real estate.

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Go invest it in real estate,

but you have to understand that.

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So I wanted to bring up another

topic, and that is, like, where

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did this behavior come from?

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Like, where in our culture or our

society did this behavior come

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from where you just want to make

money, make money, make money, make

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money and not really build wealth?

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Well, I'd like to say that a

lot of it comes from family.

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You know, a lot of us were raised,

, You know, by our parents telling us

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that money doesn't grow on trees.

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We're not rich.

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Don't ask for anything.

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You go in the store, don't touch

anything because if you break it,

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I can't afford it kind of thing.

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And, , this whole, you gotta go

out here and you have to live from

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paycheck to paycheck like that,

that a lot of that came from family.

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But then also in today's time, we

have this social media world where

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people just want to go out here and

make money, make money, make money.

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And then they go rent these nice

Airbnbs and rent nice cars and nice

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boats, and then make you think that

they are wealthy, but in all actuality,

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they are not, they're hustling.

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And they want you to buy into the

lifestyle that they're showing you

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on social media so that they can.

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Keep up and continue that lifestyle,

but not really build wealth.

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And 1 thing that I learned

and I saw was that.

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After the cobit era, and after the

PPP era, things started shaking out.

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, Latter part of 2022, but for sure,

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entrepreneurs were struggling in that

particular area where they were making

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all this money when the, when we were

living in this artificial market.

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Right?

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So.

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That is something that.

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You know, I talked to my husband about

it one day and he was like, well,

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the one thing that I'm glad that you

did during the time of feast was that

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you were continuing to build your

real estate portfolio, , with your

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money instead of spending the money

on lavish vacations, blah, blah,

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blah, where you can't get this, you

know, you can't get this money back.

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There's nothing wrong with

vacations moving away.

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So don't come after me.

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There is nothing wrong with vacations.

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However, I must say that you

have to use your money wisely.

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Let's say that.

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There are so many different ways

you can go on vacation and not use

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your earned money to pay for it.

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, another thing.

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, Hustle hard.

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Work hard mentality.

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Like, I really feel like there's

nothing that says there's nothing

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wealthy about the hustle hard, the

work hard mentality, you know, it was

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going around in 2023, the soft life.

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I want to live the soft life, soft life.

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And then I started thinking about

it and I did, I listened and I

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watched and I read a couple of posts

about, you know, women saying that

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they wanted to live the soft life.

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And I was like, Shouldn't we

have always wanted to live

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the soft life, but guess what?

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Social media wants you to think

you have to hustle, hustle,

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hustle hard when you really don't,

because that's not creating wealth.

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Yes, work smart.

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Understand the principles first, and when

you understand the principles, then you

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can use the tactics and the strategies

and they work for you versus against you.

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So what is true wealth and what

are the benefits of true wealth?

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I feel like true wealth is being able

to go where you want, when you won't,

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, and spend time with who you want.

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without having to ask for permission.

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That is just my definition of wealth.

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, I'd like to know like shoot me a message.

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I want to know what your definition

of wealth is and if you are seeking a

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wealthy lifestyle versus making money.

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I really, hope that this episode

at least enlightened you a little

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bit about the difference in Making

money versus building wealth.

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I hope that you got principles.

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I hope that you understand the, tactics,

the strategies and the different

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ways that we can all be rich friends.

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And if you didn't, then I urge

you to go to rich friends, book.

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com.

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And pick up a copy, your copy of

we should all be rich friends.

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It is your ultimate circle of success.

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And you'll learn more and more

about, the different principles of

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creating wealth and real riches.

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It's Dr.

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T.

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Mac here.

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I want you to remember

that you can have it all.

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See you on the next episode.

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And I'll see you