The video delves into the importance of one's mindset towards money and how it influences financial decision-making and overall success. It emphasizes the power of thought in shaping financial freedom or trapping individuals in debt, advocating for a mindset shift that facilitates wealth and abundance. This approach encourages the development of a healthy relationship with money by overcoming limiting beliefs and seizing opportunities.

The video highlights the concept of 'earning ability' as one's most valuable financial asset, stressing the need for continuous learning and skill development to stay relevant and marketable in a fast-evolving economy. It cites studies pointing to the correlation between skill acquisition and income disparity, encouraging viewers to view themselves as 'self-employed' regardless of their employment status, to fully embrace learning and self-improvement. Key strategies for financial growth include identifying valuable skills, creating a personal excellence plan, and understanding the consequences of both action and inaction.

Main takeaways from the video:

Please remember to turn on the CC button to view the subtitles.

Key Vocabularies and Common Phrases:

1. earning ability [ˈɜrnɪŋ əˈbɪləti] - (noun) - The capacity to achieve results that others are willing to pay for, encompassing knowledge, skills, and experience developed over a lifetime. - Synonyms: (income capacity, profit potential, revenue capacity)

Then I tell them that their most valuable financial asset is their earning ability

2. depreciate [dɪˈpriːʃieɪt] - (verb) - To decrease in value over time. - Synonyms: (diminish, devalue, decline)

Since your earning ability is an asset like any other, it can appreciate or depreciate in value over time

3. obsolete [ˌɑːbsəˈliːt] - (adjective) - No longer in use or no longer useful. - Synonyms: (outdated, antiquated, superseded)

On the other hand, those with obsolete skills, skills that are no longer in demand, often remain unemployed for many months or even years.

4. disengaged [ˌdɪsɪnˈgeɪdʒd] - (adjective) - Emotionally detached or uninvolved. - Synonyms: (detached, uninterested, indifferent)

This is why it is estimated that 65% of today's employees are officially disengaged from their work.

5. lifelong learners [ˈlaɪfˌlɔːŋ ˈlɜːrnərz] - (noun) - Individuals who continually seek knowledge and skill advancement throughout their lives. - Synonyms: (continuous student, perpetual scholar, constant learner)

lifelong learners who make up the top 20% are continuous learners.

6. competitive advantage [kəmˈpɛtɪtɪv ædˈvæntɪdʒ] - (noun) - An advantage that a person or organization has which enables them to outperform their competitors. - Synonyms: (edge, superiority, leverage)

Our true source of sustainable competitive advantage is our ability to learn and apply new ideas faster than our competition.

7. undervaluation [ˌʌndərvæljuˈeɪʃən] - (noun) - The condition of something being valued lower than its actual worth or potential. - Synonyms: (underrating, devaluation, underestimation)

I have found that many people are just one skill away from doubling their income if they could develop one more key skill, leveraging the skills and experiences they already have.

8. indispensable [ˌɪndɪˈspɛnsəbl] - (adjective) - Absolutely necessary or essential and not able to be replaced. - Synonyms: (vital, crucial, essential)

Make yourself indispensable to your company so that it is very difficult for them to find someone to replace you.

9. consequences [ˈkɒnsɪkwənsɪz] - (noun) - Results or effects of an action or situation, especially when complex or significant. - Synonyms: (results, outcomes, effects)

The ability to accurately predict the consequences of your actions is the mark of a superior thinker.

10. neutral [ˈnjuːtrəl] - (adjective) - Not supporting or helping either side in a conflict or disagreement; impartial. - Synonyms: (impartial, unbiased, nonpartisan)

But nature is neutral it has no favorites.

The Most Powerful WAY to THINK About MONEY - Brian Tracy Motivational Speech

I hope you enjoy this educational trip into the world of mastering money. We're going to talk about something today that has a huge effect on all parts of our lives. How we think about money. The way we think about money affects the choices we make, the habits we form, and in the end, our financial success. Think about how powerful one thought can be now. Think about how different your life would be if you knew and respected the real nature of money. What we think about money can either help us become financially free or keep us stuck in a circle of debt.

Today we're going to talk about the way to think about money. A powerful way of thinking that can change the way we see things and lead to wealth and abundance. Come with me as we learn the principles and techniques that will help you build a healthy, happy relationship with money. We will talk about how to get rid of limiting beliefs, seize chances and develop a way of thinking that brings you wealth and financial security.

In order to change our financial lives, we need to change the way we think about money. Welcome to a life changing event where we'll question old ideas, see things from different angles and set the stage for long term financial success. We will learn how to think about money together in a way that not only makes our finances better, but also makes our lives better in every other way. Everyone wants to earn more money, have a high salary and achieve financial independence in their profession.

Your way of thinking about your income and how to increase it is one of the most important mental skills you can develop. Ask yourself this what is your most valuable financial asset? People often think for a moment and then give answers such as my house, my bank account and my company. Then I tell them that their most valuable financial asset is their earning ability. This is defined as the ability to achieve results for which others are willing to pay. You can lose all your money without it being your fault, but as long as you maintain your earning ability, you can return to the labor market and earn it all back. This is what many successful people do throughout their lives.

Your earning ability is the total sum of your knowledge, skills, experience, education, hard work and the results you have achieved over the course of your life and career. It has taken you a lifetime to develop it. Since your earning ability is an asset like any other, it can appreciate or depreciate in value over time. It can gain value when you constantly update your knowledge and skills, making you more and more valuable doing more of the tasks that people greatly value and are willing to pay for.

Your earning ability can become a depreciable asset if you do not continuously update your skills and abilities through study and effort. But because our economy is rapidly changing and there is a constant demand for new skills, your earning ability never remains at the same level. Gary Becker, the Nobel Prize winning economist at the University of Chicago, indicated that in our society we do not have an income gap. Instead we have a skills gap. People whose skills are in high demand and enable employers to achieve excellent results which they can convert into money by producing and selling more of their products and services are always busy, always employed and always well paid.

On the other hand, those with obsolete skills, skills that are no longer in demand, often remain unemployed for many months or even years. What Becker found was that the main difference between people employed in the top 20%, those whose incomes increased by an average of 11% per year, and people in the bottom 80%, those whose incomes increased by 3% or less per year, was their commitment to continuous learning. People with higher salaries were always reading, learning and updating their skills.

K. Anders Erickson, the founder of Elite Performance Studies, concluded that during the first year of work, most people learn their job well enough not to be fired. After this, they never improved. They never advance. Ten years after starting their job, they are no more productive than they were after the first year. This seems to apply to 80% of today's workforce. lifelong learners who make up the top 20% are continuous learners. They are always adding more things to their repertoire of knowledge and skills. They read, study and practice new ideas.

They never let pressure prevent them from growing and improving. As the CEO of a Fortune 500 company said, Our true source of sustainable competitive advantage is our ability to learn and apply new ideas faster than our competition. These words apply to you. Your only personal source of sustainable competitive advantage to maintain a high level of employability and income is your ability to learn and practice new skills that people need to achieve more and better results.

Erickson found that top performers in any field spend more time practicing and updating their skills than low performers. This difference largely accounts for the immense income inequality we see in our society. Erickson researched executives who started working for large companies and over the years advanced to high management positions, sometimes becoming CEOs or presidents, earning up to 301 times more than the average income of their company's staff. He found that most of these people practiced a simple strategy they had used throughout their careers.

As soon as they started their first job, they went to their boss and asked what skill, if I were very good at it, would help me make a more valuable contribution to my job. The boss's responses indicated that if they were very good at marketing or team development or making presentations or reading financial reports or anything else, then they could do their job much better and make a more valuable contribution. With this, the new employee pursued it like a dog chasing its toy and immediately began working to develop that skill.

They made the development of that skill a goal and created a learning plan. They made a list of everything they could do to improve in that area. They found the books they needed to read, the courses and workshops they needed to attend, and the audio programs they could listen to while commuting to work. 5. The magic number this is the magic number. Erickson found that these people dedicated two hours daily five days a week to learning new skills. Each week has 168 hours, 24 hours multiplied by seven days. By investing an average of 10 of those hours.

People who were just starting in the lowest positions of their corporations and at the beginning of their careers could continuously and increasingly advance faster as they developed more knowledge and skills. They kept improving their earning ability, their ability to achieve results. While their friends socialized, went to parties and watched sports on tv, these high achievers carved out two hours daily, five days a week to get better and better at their jobs. Albert Einstein wrote that compound interest is the most powerful force in the universe.

This applies to both money and skills. These successful executives discovered early in their careers that every time they learned a new skill, they could combine it with others, combining the total value of all their knowledge and skills. Therefore, as employees, they became more and more valuable over time. I have found that many people are just one skill away from doubling their income. If they could develop one more key skill, leveraging the skills and experiences they already have, they could become twice as valuable to their company and receive twice their salary.

Consider yourself self employed. The top 3% of people in any industry accept high levels of responsibility for themselves, for everything they do and everything they become. As a result, they see themselves as self employed. They act as if they were the owners of the company they work for. Robert Reich, a former US Secretary of Labor, said that when he entered a company, he could immediately determine the type of culture it had developed.

He said this was seen in the pronouns employees used when talking about the company and themselves. In the best companies, people used the words we and our. In the best companies, people felt and acted as if the company belonged to them. They had total commitment. They accepted high levels of responsibility for the results of their workplace. In low performing companies, people used the pronouns they and there they saw the company as something entirely separate from themselves, an entity that provided them with a job and a salary.

And that was all. This is why it is estimated that 65% of today's employees are officially disengaged from their work. They go through the routine every day, put in minimal effort, read job ads on the Internet, and dream of doing a different job.

You are the President. On one occasion, Earl Nightingale said, the worst mistake you can make is thinking you work for anyone else but yourself. You are always an independent contractor. No matter who pays your salary. You are always the owner of that salary. You are always working for yourself. You are the president of a personal services corporation with only one employee, yourself.

You have a product to sell in a competitive market. Your personal services, your rewards in life and career, will be determined by the value of your services rendered to others, your skills to contribute to your company, and your ability to continuously add value through your career. What determines your income? Your income will largely be determined by three the work you do, how well you do it, and how difficult it is to replace you.

If you are not happy with your income, you need to do a different job, do better what you do now, and make yourself indispensable to your company so that it is very difficult for them to find someone to replace you. Because of these three factors, unemployment or underemployment, high or low income, and earning below your true potential are largely personal choices that you determine over time. Each person largely defines their own income. Each person decides how much they are going to earn. Each person decides their own financial future by what they do and what they fail to do.

Ludwig von Mises, the great economist, wrote, every action has a consequence or consequences. The ability to accurately predict the consequences of your actions is the mark of a superior thinker. Von Mises indicated that anything with a consequence can be considered an action, even inaction, even doing nothing under certain circumstances. Just as there are things that have consequences or results in your life, what you do not do can also have consequences, and your reactions sometimes have greater consequences than you can imagine.

A person who arrives at work at the last minute, spends most of the day socializing with friends, takes long breaks and lunch times, and leaves as early as possible is performing actions that will soon have negative consequences for their career. Not updating your skills, not using your time well, or not working hard on your most important tasks are infections that can also have significant negative consequences.

Nature is neutral. Everyone wants to earn more money, have better salaries, get promoted in less time, and achieve financial independence. But nature is neutral it has no favorites. It's like the statue of justice with a blindfold. Nature is like the statue of justice with a blindfold. If you want to take more, you must also put in more. You cannot take more than you put in.

One of my favorite quotes is from Goethe, the German philosopher. He wrote that nature knows no jokes, it always tells the truth, it is always severe, it is always right, and the errors and failures are always made by man. She despises the man incapable of appreciating her, and only opens and reveals her secrets to the apt, the pure, the true. These words apply in every aspect to the world of work. Nature says you can have all the money you want, but you will have to earn it by serving others with what they want, need and are willing to pay for.

Ellie Calloway, founder of Callaway Golf, once said, your company is designed today to get exactly the results it is getting today and it cannot be otherwise. The same applies to you and your personal services corporation. Your life and career, including your skills, what you do and how well you do it, are giving you the results you are getting today. If you want to get more and better results, you must do your job better, increase your value, and especially develop new and better skills that allow you to make an even greater contribution to your company.

Think about the consequences. Your ability to learn and apply new knowledge and skills has one of the greatest potential consequences for your life. This means that whether you are always learning and growing or you stop doing so, the consequences can be enormous for your life. Acquiring or developing a key skill in addition to your current set of skills can usually double your value and income in a very short time.

Some of the most important words in today's business world are business model and value proposition, and in both cases they ask questions about a what? What does it do? What problems does it solve? What results does it achieve? These questions also apply to you and your personal services. They apply to the rapidly changing needs, desires and demands of employer clients in response to competition and market forces.

These are questions you must take the time to ask and answer repeatedly throughout your career. The time you spend on self evaluation may be the most important and valuable for your life. What are your essential skills? Your main competencies? What is the most important and valuable work you do? What are the most important results and benefits you achieve for your employer and your business? What are you good at today? What do you need to be good at in six months or a year to succeed in your career?

What is the skill that if you were very good at it would have the greatest positive impact on your life and career. What skill would help you the most to double your income? The last question is perhaps the most important for advancing your career. Your answer will change as the speed of growth in information technology and competition accelerates. What is your plan to develop that skill?

Create a personal Excellence Plan what is your plan to be one of the best in your industry? People do not plan to fail, they only fail to plan. Your goal should be to learn one skill at a time and learn one after another. The interesting discovery is that as you focus completely on learning and developing your most important skill, you begin to improve as well, almost unconsciously in all other skills. By focusing on the development of individual skills, you change your mindset and the way you use your time. Hour by hour and day by day, you become a learning machine, constantly absorbing new knowledge.

The most successful people are dedicated to learning constantly as if their entire career future depended on it, because it does. Decide to include learning time in your life today, every day, every week, every month, in your house or apartment. Create a space for learning. Set a schedule to study for a certain time each day and acquire the discipline to respect that space. You must be willing to pay in advance, repeatedly the price of success, even for years, if necessary, to reach the top of your field.

The good news is that you can learn everything you need to achieve any goal you set for yourself. And the more you learn, the more you can learn. When you focus on learning new topics, you activate more and more of your brain capacity, your ganglia, and your neurons, which are connected to hundreds and thousands of other neurons. As a result, you become smarter and smarter. Your mind works faster and with greater clarity. Then you can learn even more about new topics and with greater speed. When you become a constant learner, your potential becomes unlimited.

Let's accept a basic truth as we wrap up our look at the way to think about money. How we think about money is the key to our financial success. Our financial situation and every choice we make are affected by the thoughts and ideas we hold. As you work to become financially stable, keep in mind that money is just a tool. It can be used to make things possible, reach goals, and make people's lives better. When you think positively and positively about money, you make room for plenty and success.

Let go of ideas that hold you back and follow the rules that will lead to financial freedom and security. Thanks for coming with me on this journey of change. As you go forward, may you develop an attitude that brings you wealth and chances, and may the money choices you make Be wise and serve a purpose. Adopt the way of thinking about money that will help you reach your goals and enjoy a full life until we meet again. Keep being smart, making decisions and building a bright financial future.

Education, Finance, Economics, Mindset, Continuous Learning, Earning Ability, Achievemore