Money Mindset: The $10,000 Per Hour Principle

Welcome to the Paul Vette podcast for those who refuse average. 100 percent ownership, primal force. I want to talk to you today about money because that's where it still goes wrong for a lot of people. Even people who already generate quite a bit of revenue or are far along with the money piece. But still there's a taboo on it. So I want to give you an insight that helps you bypass this taboo in your own head, which makes it easier to think properly about money. I read a post this week and a lot of people got upset about it again. When it's just an entrepreneur who generates a lot of money and also thinks about money in a smart way. And it's a shame when people don't do that. I also wish you well wherever you stand with money, whether you have little or already have a lot, or whether you already have enough but want more. It's disadvantageous if you want more money and somewhere in your brain, in your mindset there's still a stain on the word money. Money mindset in that respect is much more about mindset than about money. Because whether you have little of it or already have a lot of it, you think in a certain way because you have that degree of money. And if you want to multiply that you'll have to think differently about the money you have. And actually you shouldn't think about the money you have, but you should create money in your head, so that your mindset automatically ensures that you're going to attract more money to you. That stain on money and that taboo often arises because in the community online, but also just in your life, there's something about you showing that you have more money than someone else. Or that you see that others have more money than you. And that's because money is a magnifier with someone. And you see that. They buy a different car, they move to a different house, they wear different clothes and so on. It just stands out to you. Especially if you're also busy with it. This week I read a post on LinkedIn and everyone went completely ballistic about it again. And that post was from - I don't remember who it was from anymore. But she wrote that she just moved. And that move was over hundreds of kilometers. And she had just gotten a new assistant. And some boxes still needed to be sent. And that assistant asked her: Are you sure you want this by courier and not with PostNL? Because by courier it costs 300 euros more. Just something I'm making up. I think it really was about such an amount. And she says no, I really want it by courier. And then they thought about it. Because she explained if I walk to the post office, that's a 3-minute walk. But yeah, you have to take into account that you have to go there. You have to go there. You're there. You have to receive it. You have to walk back. Well, say you lose 10 minutes with it. And of course everyone fell over that, because everyone says: 'Yes, who do you think you are, thinking you're worth 300 euros per 10 minutes.' And she thinks: 'Well yeah, that's not too bad.' Says 2000 euros easy calculation per hour. That's not even what she charges in the roof. She probably charges more. And one distinction is very important. Look, you as a person are of course worth much more than 2000 euros per hour. Even more than 10,000 euros per hour. And before you start rearing up, wait a moment. Suppose I would say to you: 'Hey, I'll give you 10,000 euros for an hour.' Then you'll first ask yourself: Okay for what, what do I have to do then? But if I don't tell you that, if I just say: Hey, I'll give you 10,000 euros for an hour. Then you say no, because you want to know what you have to do then. So then I say well that doesn't matter. So 100,000 euros and you still say no, because you want to know what you have to do. Okay, 1,000,000 euros, wow, that's a lot of money. Just think for a moment. No, no, no, because I want to know what I have to do. And this is exactly what I mean. If I don't tell you what I'm going to order you to do, what you then have to do in an hour's time, then I can offer you 10,000,000 euros or 100,000,000 euros. You still say no, because you as a person are worth more than 100,000,000 euros. 100 percent. So then it's also just about okay what can you create in that timeframe? When you start linking time and money together, a lot of people don't agree with that either. You shouldn't do that when you would think in terms of hourly billing. Because when you do something for an hour and the result for someone else is maybe 10,000,000 euros, then that hour you spend with that person is worth much more than what you could think up for hourly billing. Because it's about the result. I'll come back to that. But let's tune this in for a moment. You as a person are worth more than 100,000,000 euros, so we're not talking about that either. Back to that lady. This mindset she has, is beautifully described in a book about Naval Ravikant. Naval Ravikant was young, I don't know what age because he just says I was young, and he immediately assumed I'm 5,000 dollars per hour. It wasn't that when he was busy with something for an hour, that he could then write an invoice for that amount. So that's not what it was about either. Naval Ravikant, successful entrepreneur, who says now yes now I can manage that. Not because when he's working for an hour, that he then has a conversation with one client for example or that he works on one product and that product or something is then immediately worth 5,000 dollars. He's not a Banksy. I don't know how long Banksy is busy with those things. Thinking about it also counts in terms of hours. But he said: 'Yeah, I didn't get that at all for an hour's work. It's not about an hour of work being worth so much at all, But it's about, and this is the mindset that this lady from the post also had and that you must also adopt. It's about that when he executed something, even when he was young and even still rented himself out for say 50 euros per hour. It's about that if you perform a task, that you then have the mindset that that's ticking away 10,000 euros per hour. That was a long time ago. I've already raised it myself through inflation to 10,000. You have to do something, right. Euros 10,000 per hour I'm thinking about. So the moment he executed a task, he paused to realize that in theory it cost him 10,000 euros when he would do that task himself. And then it becomes a very simple calculation, because then you can say well this morning for example I was ironing my shirt and say I took 10 minutes to do it. Well yeah, that's an expensive ironing session. You can better outsource it. Look, when you don't have that money yet to outsource it, he didn't have it either. I don't do that either. I don't have full-time ironers employed or part-time, because there's not that much ironing to do at my place. That aside. The point is that when you're ironing or doing dishes or doing the garden or doing groceries or doing certain tasks in your business, that you realize that they're tasks for which you could actually hire someone else because they're not 10,000 euros per hour tasks. And that doesn't mean you should do that immediately, but the point is that you're very aware that everything you do, that you attach a high value to it. Because the moment you do that, then something in your brain changes. Because of course it's like this, you have a certain wealth at the moment. Whether that's little, average or much. That wealth is what it is. And it's growing or declining. I hope not, right, rising. Right, but that's essentially roughly the same. Your mindset, if it's fixed on the wealth you have now, then it becomes very difficult to increase that wealth. Especially to increase it exponentially. Because if your mindset is roughly equal to the wealth you possess, yeah, then it becomes very difficult to make that wealth grow with your mindset. But the moment you determine for yourself, and for one person that's 5,000 euros which is exciting or feels so, for another that's 1,000 euros, for another that's 10,000 euros and for yet another that might be 50,000 euros per hour. The moment you link that value to your brain, then you get very clear about which tasks you're now executing, that you ultimately want to get rid of, Because they're not worth that value per hour, because you can hire someone for it, or because you can outsource it, or just not do it anymore, or can automate it, you name it. Because that costs much less money than what you're worth per hour. That's the only calculation you need to keep making. And so it's not about, because many people think that yes if I have to adopt a millionaire's mindset or a billionaire's mindset, then I also have to be able to prove to my brain that I can spend that money. So that you can buy a watch for a lot of money or can buy a new car or can outsource those things because you have money for it. But that's of course not possible, because you have what you have. And of course there are smart ways to find it. You have what you have isn't entirely correct, but for your mind it is. And the moment you can't find those smart ways, then you're in an impasse of money mindset. So it's about you starting to think in such a way that you let the value in your head, so that wealth in your head, rise without your brain having to see direct evidence of it. So you can perfectly well iron yourself, but then be aware that if you're standing ironing for an hour that it has then cost 1,000 euros if that's the amount you attach to it. Or in my case what he just said 10,000 euros per hour. Or in your case maybe 20,000 euros per hour. And the moment you start thinking about money this way and start thinking about tasks this way, then you no longer get upset about LinkedIn posts from someone who says no just let a courier come for 300 euros instead of it costing 15 euros via PostNL. Because those 300 euros in those 10 minutes she loses, yes, she's worth more than those 300 euros. So outsourcing then makes much more sense. Moreover, there are other components to it. Keeping some brain capacity, keeping focus. Many tasks distract you from your zone of genius. The moment you can outsource all of that, because you do possess that wealth, then you should also do it. And of course be smart about it. You don't have to throw money around. So the moment you outsource it, then it's important that you also estimate that value for yourself within everything you do. Because you can outsource everything, but within the things you still do, you also have to attach that value to it. So doing pointless things, you can, but that costs you 10,000 euros per hour. This insight helps enormously to increase the value in your brain for what value and wealth you can build up. And by adopting this mindset you can make your wealth grow without having to see direct evidence of it, without it having to manifest directly in reality, because you say I have that money and I can buy a new car in one go. That's not necessary at all if you adopt and apply this mindset this way. --- This transcript has been translated from Dutch.