Grant Cardone, renowned real estate investor and entrepreneur, has a controversial perspective on the middle class: it’s not just financially trapped, but mentally stuck as well. Growing up in the middle class himself, Cardone recalls how his mother constantly worried about money, stretching every dollar, clipping coupons, and never knowing if they would make it to the end of the month.
At 16, Cardone made a promise to his mother: “One day I am going to be rich, take care of you, and help others.” His mother’s response? “Money won’t make you happy. Be grateful for what we have.” But Cardone had a different view. He responded, “I am grateful, I just don’t want to be worried about every day of my life.”
This mindset reflects the core of Cardone’s philosophy. According to him, the middle class is trapped in a cycle of financial mediocrity that is fueled by outdated and misguided financial advice passed down through generations. In his eyes, the middle class is not only financially struggling but also mentally shackled by beliefs that keep them stuck in a perpetual state of scarcity.
One of the key pieces of evidence Cardone uses to illustrate his point is a Bankrate survey, which found that 63% of Americans would struggle to cover a $500 car repair. This is a glaring indicator, he argues, that the traditional financial advice given to the middle class simply doesn’t work.
For Cardone, much of the blame lies in the toxic financial beliefs that have been ingrained in society for decades. These ideas—like “money won’t make you happy” and “save your pennies”—are what keep people from breaking free of financial limitations. He insists that these beliefs hold people back from achieving true wealth and success.
In his own journey, Cardone found himself broke at the age of 25. “I finally had enough,” he says. It was then that he made the decision to completely abandon the financial mindsets that were keeping him stuck. He laid out six toxic beliefs about money that, according to him, need to be discarded in order to achieve financial freedom:
- “Money won’t make you happy.” Cardone dismisses this as a “stupid and irrelevant” belief. He argues that people who say this are often those who have given up on the pursuit of wealth altogether.
- “A penny saved is a penny earned.” Cardone criticizes this outdated mentality, explaining that simply saving small amounts of money won’t lead to financial growth. The key is to make money work for you.
- “Save your money.” Instead of hoarding savings, Cardone advises making smart investments. “Stop hoarding pennies and start making your money work for you,” he urges.
- “Money doesn’t grow on trees.” Cardone challenges this belief by stating that money isn’t scarce—what’s scarce is the willingness to think big and embrace opportunities for growth.
- “Get a good deal.” Cardone stresses that “good deals” won’t make anyone rich. Instead, it’s the big, high-value deals that lead to significant wealth.
- “Don’t put all your eggs in one basket.” Cardone argues that this advice, often touted by Wall Street to promote mutual funds and index funds, is flawed. Wealthy individuals, including Warren Buffett, go “all-in” on a few high-value investments, and Cardone encourages people to do the same if they understand what they’re doing.
For Cardone, escaping the middle class mentality means rejecting these limiting beliefs and adopting a mindset focused on growth, wealth creation, and financial independence. He emphasizes that in order to truly prosper, individuals need to think beyond traditional methods and be willing to take risks on high-reward opportunities.
Ultimately, Cardone’s message is clear: the middle class mentality keeps people shackled to a life of financial struggle. Instead of being grateful for a life of financial mediocrity, Cardone urges people to break free from these limiting beliefs and pursue true wealth and freedom by thinking bigger, investing smarter, and going after opportunities that have the potential to create real financial abundance.
