Jaspreet Singh Says To ‘Stop Acting Like a Broke Employee’ — Here’s How
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Kathy Evans
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Amber Barkley
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Get a job, work and get paid: This traditional model of making money is followed by most people, but is it the best way to build wealth?
Money expert Jaspreet Singh says it isn’t — he offered his advice in a recent YouTube video on how you can take what you’ve earned from your job to earn money like your employer — instead of a broke employee. Here’s what Singh believes you should do instead.
Don’t Exchange Your Time for Money Only
You can get rich as an employer and as an employee. But there’s one big difference: Being an employee could keep you broke. You’re exchanging your time for money — your paycheck. Employers and employees both spend time working and get money in return. However, an employer also benefits from receiving profits on top of time and money invested in paying employees to do the work.
If you’re an employee, don’t be discouraged. You can also benefit financially — but in a different way. You can take some of the money you earn from working for your employer and invest it in other assets to generate additional income, just like employers should continuously grow their money by reinvesting profits back into their company.
Singh offered a simple process to increase your bottom line like an entrepreneur, even if you’re an employee:
- Earn money at a company.
- Use some of that money to buy another asset.
- That asset makes you money.
- Use those profits to buy more assets.
As your assets continue to gain value, the cycle continues.
Learn To Do Exactly What Your Employer Is Doing To Increase Income
Singh believes that everyone in the U.S. should be a business owner. He emphasized that this doesn’t mean operating or managing someone else’s company or even starting one. You must at least own a piece of the profits. One of the easiest ways to do this is to invest in the stock market. Another way is to invest in rental properties.
The key is to put your money to work in a capitalist system. Singh is disappointed that financial education isn’t taught more in American schools — what generally is taught is to get a job and continue working in the capitalist system until retirement. He said this can lead to anger and unhappiness in the long run. He warned that most people never learn how this system works.
Decide What Types of Assets To Buy
The U.S. Bureau of Economic Analysis under the Department of Commerce defines financial assets as investments that have value and can be considered claims, liabilities or equity. Examples include stocks, bonds, currencies and notes.
Singh suggested various assets that employees can invest in:
- Companies on the stock market, including startups
- Real estate
- Your own business.
You can invest in many different asset types, but the goal is to invest in something that will grow your wealth — just as your employer does.
Change Your Money Mindset
According to Singh, one mistake that many employers make is getting stuck in the exchange of time for dollars system when working for a company. Then, they get angry when they realize that they are making significantly less money than the company they work for is making. Anger could perhaps lead them to spend their hard-earned money on designer or luxury items you don’t need, like Gucci, Apple and BMW — which are someone else’s assets — and make those more valuable.
Unfortunately, the economic system doesn’t always favor employees, because employers make money off employees’ time. The perception is that the boss is making more than the hired worker. Instead of getting angry, Singh advised employees to see how they can increase their value at work if they enjoy what they’re doing there.
On the other hand, if you hate your job, find a different career that you feel passionate about at a company you like better.
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