“There is a gigantic difference between earning a great deal of money and being rich.” —Marlene Dietrich

You bet there is. I am a firm believer in being rich in assets. Those are the things that will help you build wealth. They attract money to you.

I once read a wealthy gentleman online state he wants to be cash poor and asset rich.

Basically, he is looking to have more assets than a fat paycheck. He knows money can slip through your fingers. Assets do not easily slip away.

The bigger the paycheck means the higher the taxes you pay Uncle Sam. In contrast, assets usually go up in value and earn interest over time. Capital gains tax is lower than income taxes.

So, if you want to bet the farm, then put it all on staying in the black and not the red.

CASINOS ARE NOT WHERE THE WEALTHY ARE

I know you see all the television shows and advertisements telling you to go to Vegas. However, that is just a way to get you there to spend money. Most wealthy folks are not rolling the dice with their finances.

Casinos are designed to separate you from your money. Just like subscriptions. Read my posts Do not cash out your retirement accounts and  America is the land of subscriptions.

I have read enough blogs and books to know that you must hang around like-minded people.

Motivational speaker Jim Rohn said, “You’re the average of the five people spend the most time with.” And so is your net worth.

We are influenced by those we associate with. These relationships over time can have a profound effect on our lives.

Therefore, you must choose wisely when it comes to friends, business partners, and spouses.

The wealthy are about building assets. Therefore, you are not likely to see them at the casino at four o’clock on a Monday afternoon. They are out volunteering, networking, and closing business deals.

HOW DO CASINOS MAKE MONEY

A Canadian study stated that 75% of customers provide only 4% of casino revenues. It’s the habitual gambler that keeps the casino in business.

If you ever saw Mark Wahlberg in The Gambler, then you know who I’m talking about.

Computer gaming and slot machines are all the rage when it comes to gambling.

Most players lose more than they win. I don’t like those odds. Therefore, I do not gamble.

That means people with gambling addictions are the most vulnerable. Or you can become addicted after getting a taste of winning like in the film 21.

Slot machines are, like credit, addictive. Casinos actually can make you poorer. This exacerbates inequality.

CASINOS WILL HELP THE ECONOMY RIGHT?

Not so fast. Let’s take a look at Atlantic City.

Back in 1977, casino advocates made promises that casinos would help give the economy a boost by providing jobs. Don’t get me wrong, they did provide jobs. However, the surrounding local business owners did not get the foot traffic coming into the casinos.

The money that casinos make, stays with them.

Many local businesses had to close up shop. The retail economy collapsed all around Atlantic Avenue in New Jersey. Several casinos have actually shut down since 2014. That means jobs were lost not gained.

HOW TO BET ON YOURSELF

Devote all your time, money, and resources into yourself.

Use your hard earned money to invest in your education, training, and business.

When I was watching David Tutera plan those weddings on television, I learned he wasn’t doing this for, in the illustrious words of Sia, cheap thrills. He did it for a living. And earned good enough money to have a nice home, wardrobe, and chauffeur.

David started party planning and entertaining over 20 years ago. He just invested his time and money into himself. Eventually, he found what he was good at and then he just stuck with it.

There are countless tales of people out there that have found a skill they are good at, practiced and developed it, then went out and started earning a living at it.

Read up on some biographies. See for yourself. I recommend reading anyone you have an interest in or trailblazers such as Gloria Steinem, Arnold Schwarzenegger, Franklin Roosevelt, Charlie Chaplin, Oprah Winfrey, Winston Churchill, or Nelson Mandela.

WHAT CAN YOU DO NOW?

First, I feel people need to assess their situation. For example, when I was growing up I noticed that a lot of kids were not very into studying and really focused on their academics. However, many wealthy people I saw on television always advocated for education.

I figured, why not listen to other successful people?

I started studying and reading more. Especially, thanks to shows like Reading Rainbow hosted by Star Trek’s Next Generation alum LaVar Burton. I would go to the Book Mobile and get tons of books.

Much of my focus was less on having fun and more on learning. Saturday mornings were spent reading on my parent’s couch. Sunday afternoons were spent reading the comics and learning new things and vocabulary words.

I invested lots of time and money into my education and health.

And all of this paid off in spades.

I have four retirement accounts, a home, a car (no monthly payment), and save and invest upwards of 50% of my income.

It took me over a decade to build those things. But it all started with getting an education.

Sure, college helped, but it was sheer grit, discipline and determination that got me where I am today.

THE FUTURE MR. OR MRS. FI

If you want to have a chance at financial independence, I suggest you do the following:

• Focus on learning more about money and finance
• Stay away from debt
• Get a good education (the best you can afford)
• Pay for cars and appliances in cash
• Opt for a 15-year mortgage
• Stay away from vices (narcotics, alcohol, gambling, shopping)
• Hang around like-minded people
• Save 20% or more of your income
• Invest 15% or more of your income

If you can do at least two of the items listed here, you have got a shot at making it into the top 10% of households and becoming financially independent.