Have you ever wondered how some people seem to build wealth while others struggle? Alex Hormozi, a successful entrepreneur and author, shares his no-nonsense advice in his video “No BS Advice to Get Rich in the Next 10 Years.” This article breaks down his key insights into simple steps you can take to achieve your financial goals.
Why Time is Your Most Valuable Asset
Hormozi emphasizes that time is more valuable than money. Think of it this way: you can always make more money, but you can never get back lost time. He encourages us to think about our “return on time” – how much we earn for the time we spend.
“Passive income is a lie,” Hormozi states. While it might sound cool to earn money while you sleep, even passive income streams require time and effort to set up and maintain. Instead, focus on activities that give you the best return for your time.
Smart Spending and Saving Habits
Ever heard the saying, “If you can’t buy it twice, don’t buy it once”? Hormozi uses this to illustrate mindful spending. Before you buy something, consider how long you have to work to earn that amount of money. This helps avoid impulse purchases and encourages saving.
“Saving money won’t make you money, but saving money allows you to have money,” he explains. Saving gives you a safety net and the freedom to take calculated risks, which can lead to bigger rewards in the future.
The Power of Long-Term Thinking
Most people overestimate what they can do in a year and underestimate what they can do in ten years. Hormozi suggests thinking about your goals as if you have a 10-year contract. This long-term perspective allows you to focus on building wealth steadily through consistent effort and smart decisions.
Never Stop Learning
“The biggest cost that you have is ignorance,” Hormozi warns. Investing in your education and skills is crucial. This doesn’t just mean formal education; it includes reading, taking courses, attending workshops, and learning from mentors.
He also highlights the importance of both knowing things (like facts and figures) and knowing how to do things (like building a website or writing code). Both types of knowledge are valuable for increasing your earning potential.
Building Your “MOAT”
Hormozi talks about building a “MOAT” around your skills. This means becoming so good at what you do that you have a competitive advantage.
“Your unique skill stack is your competitive advantage,” he explains. The more valuable skills you have, the more you can offer, and the more you can earn.
What You Can Do
- Track your time: Use a timer or app to see where your time goes each day. Are you spending it on activities that help you reach your goals?
- Think before you spend: Before buying something, ask yourself if it’s worth the time it takes to earn that money.
- Set big goals: Don’t be afraid to dream big! What do you want to achieve in the next 10 years?
- Learn something new every day: Read books, take online courses, or find a mentor to help you grow.
- Build your skills: Identify your strengths and find ways to improve them. What unique skills can you offer?
- Connect with others: Build relationships with people who can support and inspire you.
- Check your bank account regularly: Hormozi recommends checking your balance daily to stay aware of your financial situation.
- Automate your savings: Set up automatic transfers to your savings account so you consistently save without even thinking about it.
Take Action Today
Managing your finances and planning for the future can be complex. If you’d like personalized guidance and support, consider scheduling a free consultation with the experts at XOA TAX. You can reach us at +1 (714) 594-6986, visit our website at https://www.xoatax.com/, or contact us through our contact page. We’re here to help you achieve your financial goals.