You are a business

This is one of the greatest financial lessons I have ever learned. You have to stop thinking of yourself as just some worker or some person that just makes money.

No

You are a business.

You have skills that people want. And people will pay money for.

Even if you work at a fast food restaurant. You know customer service. You know about how to create a routine. You know about cleanliness. There are so many things that you learn everyday on your job that you can monetize. And you SHOULD.

America does not value people. It is a such a sad truth. But that is the system they have created and that we have to operate in.

You have to pay taxes straight out of your employment check. Off the top. And then you fall into a certain tax bracket. As you make more, you pay more. All the way up to 37%. And that is just federal taxes that does not include state, county etc.

But not businesses. Businesses pay taxes after ALL expenses. They get to write everything off and then pay taxes on what is left over. That is how Amazon gets away with such a low tax bill. Because America values jobs over people. Businesses live on indefinitely. We humans are not that lucky.

The government is set up to reward job creators. So the more jobs you create the more valuable you are. Look at GM, the government bailed them out. Where is your bailout? It’s not coming.

So how do you respond to all that? You start thinking of yourself as a business. You take advantage of accounts the government has incentivized for YOU.

  • 401K
  • ROTH IRA
  • SEP IRA
  • HSA

And of course your good old Taxable Stock Investment account.

If you are really smart you start your own business. Sell something. A course, a T-Shirt, a book, a checklist, stickers. ANYTHING. You are talented. You have skills.

The most important concept of being a business is: make your money work for you. In business you have to spend money to make money. You have to invest in Property, Plant, Equipment and people to make the business successful. To grow and produce revenue year after year.

That is what your money needs to do for you. And it can do that for you. That’s the magic of planning and investing and compound interest. Business is not easy. And lots of them fail.

But you are not the average. You are reading this article. You will continue to live and grow and work hard and love your family and travel the world. I said earlier it is not easy.

So how to do you get to that point of actually being a business that makes money and serves customers?

  1. Get your finances automated. Checking account – 401k – ROTH IRA etc.
  2. Have a detailed plan – Can start small and build on it.
  3. Make moves that scare you. Take the leap into the unknown.
  4. Invest your money into actions that will grow your business or personal development.
  5. Repeat. Success is about persistence. Consistently delivering a high quality product/service.

If you are an employee and thinking how does this apply to me? You can always grow more and earn more:

  • Negotiate your salary up by adding more value and having consistent meeting with your manager about how you can be an excellent employee. Then ask for that raise after you have proven that you can improve
  • Maybe you need to job hop to a bigger pond where you can grow more.
  • Change career paths
  • Work on adding skills to your resume that you qualify for a better job.
  • Start a side hustle

You are a business and your mission is to serve your customers.

There is a limit to how much you can save. There is no limit to how much you can earn – Ramit Sethi

I love that quote. Your growth is infinite. The world we live in was created by all the people around us. They were no smarter than you are. They just worked really hard.

And always remember to work smart, not hard. And ask for help. We all have things we are good at and things we are not. Let other people help you.

Leave a comment or send me an email here

If you have questions I will answer some of them in an upcoming post.

Published by Collin Harness

Obsessed with creating value and helping people achieve financial independence.

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