The Past
Fox's long-running television show Married with Children had quite the cast of characters. Chief among them was the father, Al Bundy, whose failures in life helped provide the comical setting that kept the show running for numerous years. Amidst all of his personal and professional failures, Al would occasionally reminisce about the one time in life that he was successful, high school. Al would tell the story of the high school football game in which he scored four touchdowns to anyone that would listen, hoping that through past glory the listener would look more favorably on the man that stood before them.
While we can laugh at a comical character such as Al Bundy, the behavior of glorifying past actions is hardly an uncommon human behavior. Sit in a circle of financial market traders, and stories of individuals' all-time best trade are bound to come up. Sit in a circle of real estate investors, and stories of that deal where the individual made a killing will eventually be told. Regardless of the professional or social circle, it is very natural for stories of great accomplishment to be told by their respective teller.
There is nothing wrong with this in small doses, as we all occasionally enjoy recanting our accomplishments, especially to those close to us or others who can relate. However, dwelling too long on single instances or even prolonged past success can be damaging to your current financial health and well-being. There is a simple truth that should be driven home: the world rarely cares what you have done or what you will do, it only cares what you are doing.
There are many television shows that highlight past rock stars, athletes, and celebrities and chronicle what they once accomplished, and compare it with what they are currently doing. What makes these shows appealing to many is the wide discrepancy between past accomplishments and the current state of the respective musician, athlete, or celebrity. Oftentimes, the fall from grace is quite severe, and the one-time celebrity that had more cash, cars, and homes than they knew what to do with is now destitute, having to work regular jobs to pay their bills. These individuals have fabulous stories to tell, but they are just that—stories, tales of past accomplishment when times were much better.
One of the teachings I have always enjoyed most in the Rich Dad philosophy is Robert Kiyosaki's constant emphasis on what we do today. What we are going to do tomorrow, and what we might accomplish, is irrelevant to what we do and accomplish today. In fact, dwelling on tomorrow too much can be damaging. Mr. Kiyosaki points out: "The most life-destroying word of all is the word tomorrow." Any action today is infinitely better than any theoretical action tomorrow.
I believe the same principle can be applied to those who dwell too much on past accomplishment. No matter how great the real estate deal was, or how much profit was made on a trade, those events are now historical. You may have killed it in your respective market in 2006 or 2007 as many people with little real estate training did, but how many of those people today have nothing left but stories of how they once were a real estate investor.
Your past accomplishments should have one primary strength: they give you, the confidence that you can do it again. Those that are just entering real estate investing or financial market trading are often apprehensive building up to the first deal, and inaction often sets in. Even after the first deal, it is quite some time before that large payday arrives. Your past accomplishments in any area in life should give you the confidence that you can do it again, and this is a valuable asset that your hard work in the past has given you. When this confidence is coupled with action today, your chances of repeating said success increase dramatically.
Ideally repeating our past success constantly allows us to live life on the pinnacle. Very few people exist at the apex of their success or their happiness for very long. It is the rare individual that can capture the success enjoyed at their peak, and maintain it for a prolonged period of time. Principles in the Rich Dad philosophy can help you be one of the rare persons who can accomplish this. You should strive to be the individual that is constantly living the stories that others are recanting. One of the surest ways to do this is to act today, and apply the correct principles while doing so.
There is nothing wrong with the occasional story as some of the most entertaining people tell the best stories. When you start each day, however, let those stories serve simply as a confident reminder that whatever you are setting out to accomplish today;, that you have the skills and ability to do so again. Then, simply let action set in, and results will follow.