In the previous post about the wealth formula, we related the flow of money with the flow of water. We can control the flow of money in two ways, by increasing value and increasing leverage.
Before I read Roger Hamilton’s book I had a different metaphor for money flow that I call the water well concept. We know that water wells are designed to tap into water below the surface. I find this very symbolic because before we acquire money, where exactly is it? Where does it come from? It seems mysterious in its location. We can’t really see how much there is under the ground.
With the economy enduring a bad spell, many many people complain about the lack of jobs, funding, and salary. And it’s an entirely valid point. Unemployment rates are up in most countries. The UK just announced they raised VAT to 20% and many people are simply struggling to make payments.
Most people are trained to think of having one or two money wells. When I was a kid, my parents were my money well and they were definitely not the most abundant supply. Then as a teenager I was able to add a second supply through a job. During college I had a student loan and a job, again relying on two money wells. Even though the first one was one I would have to pay back. If I had entered the normal job market after that, I would have depended on my money from a single employer.
If you follow the traditional route of education, governements typically encourage regular salary jobs. Nothing wrong with the regular jobs that bring in an honest income for an honest days work. I’ve had those my self. But the problem we have is that we see our money coming primarily from this one money well. And when that one well dries up, we say: there is no money. It all dried up. The economy is in bad shape.
But if you take the idea of a water well. When one water well dries up, does that mean there isn’t any water anymore? Or when the supply seems less than normal, do we stick with just a single well?
The interesting thing about depending on one point for our money, is that we become myopic. We don’t think about the possibility of creating new water wells. We think the supply of water simply is lower than normal. But it isn’t . There’s always water available, if you can get to it. The same goes with money. Even during an economic crisis, the supply is there.
Learning about wealth creation and being passionate about online entrepreneurship, I’m fascinated about the diverse ways we can create water wells. We just need to tap into already existent water supplies. Look for where the money is flowing and lay down a well with a good pump. And if you can find water near the surface, you won’t have to pump as hard.
Learning all eight wealth profiles has been incredibly enlightening for me, because it is like being able to wear eight different lenses. And every lense shows an entirely different approach to creating value and tapping into money wells. There really are not too many constraints in the amount of money wells we can start tapping into. But the different water wells require varying amounts of work and it helps to know where to lay them.
To know where to put your money wells, we need to be educated in the rules of money and wealth and start seeing and understanding the dynamics of it in the world. People that follow traditional education never learn to see how money flow works, or how to really tap into it.
What an interesting way to look at wealth creation.
I had not thought of money wells and limiting beliefs in this way before.
Thanks for pointing it up.
Have a great today
Joe
Thank you for dropping a comment Joe