What exactly is the meaning of wealth? Robert Kiyosaki, author of “Rich Dad, Poor Dad,” define wealth as the number of days you can survive forward if you stop working tomorrow. This assumes you maintain the same lifestyle after you stop working.
This definition has a profound impact on me because unlike most people who tends to measure wealth in terms of possessions e.g. becoming a millionaire; Robert choose to define wealth from the perspective of capability. Thus, if you asked how many days you will last if you don’t go to work tomorrow and the answer you give is very small; then that would means that you are not very wealthy. But if your number is large then you can consider yourself…fairly wealthy. Obviously all of us wants to make the number BIGGER. However if you are extremely rich then your answer should no longer be a number it should be the word “FOREVER”; which means you should be able to survive forever without having to work anymore.
So this has an impact on our financial goals depending on whether we define wealth in this manner or in terms of the millions you want to accumulate. It will change our financial strategies. Some millionaires cannot last forever if they stop working tomorrow. This could be because their income will stop if they stop working and they have expensive life style. We have heard of successful rich celebrities who ran into financial problems when they are no longer working. I suggest to most people to adopt what I called, the Ultimate Financial Strategy; which is to reach Total Wealth (defined by the ability to say “forever” when asked how long you will last if you don’t work) within the shortest possible time.
The next logical question, of course, is, “How do we achieve this Ultimate Financial Strategy?” Someone once said to us that the key to being rich is spending less than you earn and investing the difference.
That, to a large extent, is true. However, where do we invest so that we can create more wealth? In our Money Mastery Community, we advocate building Money Making Machines.

The Money Making Machines (MMM)
There is a huge difference between making money and creating wealth. Many of us know how to make money but don’t know how to create wealth.
In general, if your objective is just to make money, it is not too difficult. As long as you are willing to work very hard, putting in time and effort, you will definitely make some money. However, creating wealth requires more than that. It requires you to have a different mindset; it requires you to work smart.
Creating wealth means creating Money Making Machines. So what exactly is a Money Making Machine? These so-called machines are the products, investments, services or businesses that will be your “sources” of income that will help you generate more wealth in the long run even as you stop working today. How?

First you probably need to develop and build the machine. Once the machine is built and if you build it well, it will then produce revenue for you without using your time. Initially you will probably have to put some time, effort and resources in order for it to start generating an income for you. After a while, the intensity of your efforts reduces but it continues to generate just as much or even more money for you…thus giving you residual and passive income.
Sounds too good? Let me give you a classic example of a Money Making Machine. Imagine you have written a book that is sold in all major bookstores. Each time a copy is sold, you receive royalty or profit from sales. Of course, you must first put in time, effort and resources to write, publish and market the book. But once that work is done, the money will keep flowing in from all future sales. This is called creating intellectual property.
Other examples of Money Making Machines include owning a car park, having a portfolio of blue-chip stocks and shares that pay regular dividends, owning a row of vending machines or having a piece of property that pays you a rental income. I am sure there are many more examples that you can think of.
Unfortunately, in real life, most people don’t focus on creating Money Making Machines. They focus on turning themselves into Money Making Machines! They put everything they have (time, effort, energy and even resources) into their jobs or business, which they may not even like!
Some of us who are in business think that we are creating wealth. But in fact, many of us are “married” to our businesses. We must be there to run our business every day. Without us, the business cannot function. So as business owners, what we have just done is we quit our previous jobs and “bought” ourselves a bigger job that eats up more of our time and energy. If we don’t truly love what we are doing but remain tied down, then we are no different from being employed. In other words their business is not the Money Making Machine.they are the one.
A job is only a short-term solution to a long-term problem. The real solution is to create Money Making Machines. With rising living expenses in most countries, it is almost impossible to live on the savings from your job after you retire! Many of us even have more than one job in order to survive.
While having Money Making Machines one of the indispensable components in the wealth creation process, it does take some initial effort to build them. Like all things in life, there are critical success factors. And getting the necessary training and networking within the right community of like-minded people, having the right resources and ability to turn creative ideas into actual products or services that meets the market needs will increase the possibility of success.
In the Money Mastery community, we work together to coach, guide and help build their Money Making Machines so that no single member is left alone on their own.

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You can learn a management skill, how to close a sale and may be a new Microsoft application software program in three days but learning how to create wealth is a lot more sophisticated than that. And it is certainly going to take more than three days. But there are many three days seminars around; on how to make money on stock options, forex trading etc. and I am sure they are all very very good.

So how does learning to create wealth works?

In my case I did not learn these things, just from my sifu, Robert Kiyosaki’s seminar and certainly not in three days. It is the on-going dialogue with Robert over two years; the questions and answer sessions, the observations and his Mentorship that helps me make the ‘shift’; shifting from what I called the Making Money concept to the Wealth Creation concept. From becoming a Money Making Machine to building Money Making Machines.

Learning how to create wealth is more than just attending seminars. It is a good start but you need more than that. One of the most powerful platforms for my learning was the mastermind group that I formed back in 1995. Our mastermind group meets for three years every month without fail. We focus on one thing; how we can apply what we learned to help each other improve our business and income. Much of my personal ‘shifts’ comes from the sharing and learning with this group. The results that we get are substantial. However masterminding only works if the member understood and practise one principle; to receive you must be willing to give.

I call this whole arena of learning wealth creation; the Wealth Pot.

Learning how to create wealth is like learning how to pour more water into a pot and over time create a big Wealth Pot for yourself.

There is therefore two parts to it. You must first learn how to pour a lot of water. This means you must learn how to create Multiple Streams of income. The more income sources you have; the more water you can pour into your pot. BUT POURING MORE WATER INTO A SMALL POT OR A POT FULL OF HOLES WILL NOT CREATE THAT WEALTH POT FOR YOU IN THE LONG RUN.

So other than pouring lots of water, you need to learn how to build a bigger pot and make sure that your pot is not full of holes. Otherwise these would be fruitless efforts. I know; I spent ten year pouring water into a leaking small pot.

What is the Wealth Pot?
This is your foundation of Wealth. This is your money habits and your money beliefs. You need to ensure that you hold productive and good money beliefs and habits in order for all your efforts to bear fruits.

NOTE: IT DOES NOT MATTER HOW MUCH MONEY YOU MAKE, IF YOU HAVE POOR MONEY HABITS AND POOR MONEY BELIEFS YOU CAN STILL BE POOR.

And for most people money habits and beliefs cannot change in three days. Can you? What are some of the things you need to learn to create a BIG Wealth pot? You need to learn how to manage, multiply and protect your Wealth. So is there a place for all these money making seminars? Certainly but we need a lot of help, from learning some money-making ideas to making it work for us and ultimately making money and creating wealth. So what do we need?

We need the following tools:
1. A mentor or a process coach to challenge our old paradigms and to help us make the “shift”. A good process coach would kick us in the butts when we need a kick and pad our backs when we need a pad.
2. A pool of experts, advisors or what I call an expert coach to show us to get there faster and avoid all the possible pot holes. These are the content experts ; people who has done it , make all the mistakes and show us how not to do it.
3. A mastermind group to support us and help us make the journey together, rather than alone.
4. A community to whom you are a part of and from where you can attract the support you need.
5. A resource base where you can have access to systems and tools such as template, work sheets, processes and check lists.

Pouring Water is a question of choices
Making a decision on which income streams to put your efforts on is a critical decision. So many has went into all kinds of income opportunities only to find out that it is not what they really like to do or good at. Here is the key; if the income source is not passive; it is important that it must be a passion. The only exception is if it is only a short term venture to create cash flow. Unfortunately many people are not too clear what their passion is. This is an important first step. If you are making money doing what you don’t like to do……….well may be you should find better use of your most scarce resource…TIME.

Find your passion then find the money to do what you want to do, meanwhile build passive income sources.

The other issue is we need to have absolute clarity as to what kind of income that we need to build. If we use the metaphor of pouring water and borrowing the concept from another mentor of mine, Burke Hedges; you either build bucket income or pipeline income. In other words you can pour water using a bucket or you build a pipeline. Some people can’t differentiate them and as a result end up carrying a lot of buckets.

In the short run you may need some bucket incomes but ultimately we should ‘shift’ to pipeline income. Obvious reason is; we cannot carry too many buckets for the rest of our life. The only bucket income that you want to carry forever is your passion. Unfortunately many SME’s business model are bucket carrying.

KC See
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