Making and managing money can be quite complex. The struggle to make it simpler has led some people to create myths — which are what they truly are ‘myths.’
The truth is creating and sustaining wealth is largely a function of your attitude to and about money. If it’s negative, you may be subconsciously and unknowingly sabotaging yourself from becoming rich and living the life you really want.
Having an understanding of money, and how it works is fundamental to becoming financially stable. Understanding the workings of your bank accounts and how things like overdrafts work is essential. If you don’t have this, then you’re unlikely to make any progress.
Below are the top money fears and myths to rid yourself off and start living the lifestyle you truly desire.
1. The rich were born lucky
This is also tied to some myths about some people having luck in their stars and therefore riches flowing their way with little effort.
If you buy into this fallacy, you’ll simply be subconsciously blocking yourself from growing wealthy because you believe you’re not chosen by ‘destiny’ or the universe to be rich.
Some rich people you know may be former neighbours, classmates, colleagues or some other people you know from a distant. They’re in every way much like you and me. They had their struggles, rough times and experiences, but managed to carve a path that led to a wealthy lifestyle.
2. The love of money is the root of all evil
Sometimes, this is misquoted as “money is the root of all evil,” but with apologies to people who quote Paul in the Bible to back up these claims, both assertions are untrue.
Critically viewed, the love of power — not money — is the root of evil in the world. Behind every major or shocking crime, whether by individuals or a terrorist group, money is incidental. Evil is borne out of lust for power to control others.
Money is gets involved in the mix because it is one of the vehicles to acquiring power. But take away the power-lust, and you’ll see money and the love of money are beautiful things.
Actually, with money you can help make the world a better place. And you should love it.
3. The bank is the best place to keep your money
No, a viable investment is the best place to “save” your money. People hold on to this myth of the bank being a secure house for their future security because they think investing is too risky and more like gambling.
It is understandable to get wary about the short-term volatility in the money and stock market, but in the long term investments guarantees you a better shot at becoming wealth than keeping your money static ina savings account.
And in any case, investment is not gambling. If you leave your money in a bank account, even with a decent 1% interest growth, it cannot catch up with inflation and will drop in value in the long term.