Next you go into more specific details on how you can actually get rich and how you can't get rich. The first point was about how you're not going to get rich. You're not going to get rich renting out your time. You must own Equity a piece of a business to gain your Financial Freedom. This is probably one of the
absolute most important points people seem to think that you can
create wealth and make money through work and it's probably not going to work. There are many reasons for that. But the
most basic is just that your inputs are very closely tied to your output
in almost any salary job, even at one that's paying a lot for our like a lawyer or a doctor. You're still putting in the hours and every hour
you get paid.
So what that means is when you're sleeping, you're not burning when you're retired, you're not earning when you're on vacation, you're not learning and you can't learn nonlinearly. If you look at even doctors who get rich like really rich it's because they open a business. They open like a
private practice and then Private Practice builds a brand and that Branagh crack.
People or they built some kind of medical device or a procedure or process where they've intellectual property.
So essentially you're working for somebody else
and that person is taking on the risk and has the accountability and the intellectual property and the
brand so they're just not going to pay you enough. They're going to pay you the bare minimum that they have to get you do the job and that can be a high bare minimum, but it's still not going to be true wealth where you're retired. And then finally, you're actually just not even creating that much original for society. Like I said, this tweets don't
should have been called how to create wealth. Is this how to get rich with a more
catchy title, but you're not creating new things for society you just doing things over and over and you're essentially replaceable because you're now doing a set rule most set
roles can be taught if they can be taught
like in a school then eventually you'll be competing with someone who's got more recent knowledge who's been taught and is coming in to replace you you're much more likely to be doing a job that can be eventually replaced by a robot or by an AI and it
To be wholesale replaced overnight, it can replace a little bit of a time and that kind of
eats into your wealth creation. And therefore you're earning capability. So fundamentally, your inputs are matched to your outputs. You are replaceable and you're not being creative. I just don't think that that is a way that you can truly make money.
So everybody who really makes money
at some point owns a piece of a product or a business or some kind of Ip that can be through stock options. So if you can do working at a tech company, that's a fine way to start
but usually the real wealth is created by starting your
own companies or by even investors their investment firm and they were buying Equity. So these are much more the routes the wealth. It doesn't come to
the hours. You really just want a job or career or profession
where your inputs don't match up your outputs. So if you look at modern
society against with later the Tweet storm businesses that have high creativity and high leverage tend to be ones where you could do an hour of work
and it can have a huge effect.
Can
do a thousand hours of working calves? No effect. For example, look at software engineering
one great engineer can for example create
Bitcoin and create billions of dollars worth of value and engineer who's working on the wrong thing or not quite as good or just not as creative or
thoughtful or whatever can work for an entire year and every piece of code, they ship and does
not getting used customers don't want it that is an example of a profession where the inputs and the outputs are highly disconnected. It's not based on the number of hours that you put in
whereas on the extreme other end. If you're a lumberjack, even the best Lumberjack
in the world assuming they're not working with tools to the inputs and outputs recruited connected to just using an axe or saw.
Yeah the best Lumberjack in the world, maybe like 3x better than one of the worst
Lumberjacks, right? It's not going to be a gigantic difference. So you want to look for professions and careers where the inputs and the outputs are highly disconnected. This is another way of saying that you want to look for things that are leveraged by leverage. I don't mean financial leverage alone like Wall Street uses.
That has a bad name. I'm just talking about tools. We're using tools computer is a tool that software Engineers use if I'm a Lumberjack with bulldozers and automatic robot axes and saws. I'm going to be using tools and have more leverage than someone who's just using his bare hand and try to rip the trees out by the roots tools and leverage are what create this disconnection between inputs and outputs creativity. So the higher the creativity component of a profession the more likely it is to have disconnected inputs and outputs. So I think that if you're looking at
professions where you're inputting your outputs are highly connected it's going to be very very very hard
to create wealth and make wealth for yourself in that process.
