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Many of us allow ourselves to be defined by how much money we have or don't have. But the real value of money is something else entirely.

It was a game-changing moment for me since this realization helped me begin this amazing online journey that I am so grateful for. And I want to share them all with you, one by one. But first, let me give you a little context about me and my story. Around ten years ago, I started a blog called Good Financial Cents. While my website makes tons of passive income now, I initially built my blog as a marketing tool for my financial planning practice.

Over the course of the afternoon, the grads complained to their professor about how difficult life was after school. They complained about the long hours, the demanding bosses, the competitive job market, and how all anybody seemed to talk about or care about was money, money, money. After a while, the professor got up and made some coffee.

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He got out six cups, one for each student. Three of them were cheap disposable cups and the other three were made of his nicest porcelain.

He then invited everyone to get up and help themselves. Within seconds the bargaining had already begun. A silent competition among friends.

From online poker to selling your collection of Beanie Babies, there are lots of popular get-rich-quick, money-making ideas that always pop up. Do they work? Not really. Will you make money doing it? The truth is there are real ways to make money online — millions of people are doing it each day.

This is your problem. You are all arguing over who gets to drink out of the nice cups when all you really wanted was the coffee.

The psychology of making money.

It is, quite literally, a market valuation of our skills and competence as a person, and therefore we all get a little bit testy and scooch around uncomfortably in our chairs whenever money is brought up. But money is merely an arbitrary store of value.

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It is not value itself. There are many stores of value in life. Time is a form of value.


Knowledge is a form of value. Happiness and other positive emotions are a form of value.

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Money is often just the vehicle of making a lot of money is real these various forms of value with one another. It is the effect. Similarly, when people assume that money is the cause of their problems, they are actually mistaken.

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Money is usually the most noticeable effect of their problems. Money is fluid. Most people mistake being rich for owning lots of stuff or achieving some sort of fame or status.

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On the contrary, it would make me kind of a douchebag. No matter how much you own, how much you buy, how much you earn, the disease of more never goes away.

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Money is inherently neutral. You make your money by creating experiences for others.

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You then give your money to others to receive experiences in return. Arguably most of the value of any purchase is not monetary.

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When you buy food, you are, in a sense, buying away the experience of hunger. When you buy a trip with your family you are buying the opportunity to experience something new together and strengthen your relationships with one another. The stuff is merely there to shuttle you into some form of trader s trading robot. Everything you spend money on is simply experience. Because money is an exchange of experiences, money often results in experience cycles: we give up one negative experience to earn money that then purchases the opposite positive experience.

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Stress Cycles — Some people earn money through a great deal of stress. They work a high-pressure job or in a role where they are constantly criticized or threatened in some way.

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They then spend their money primarily on stress-relief to compensate for the rigor their job creates. These people end up in a constant cycle of stress-generation and stress-relief while failing to actually build much wealth.