We’ve all been fed money myths our entire lives. The conventional wisdom says wealth is hard, requires sacrifice, and if you budget hard enough and save long enough, one day you’ll be free. After becoming a multimillionaire by age 26 and coaching elite business owners for years, I can tell you with certainty: that’s all a lie.
The financial industry has created a narrative that keeps most people trapped in a cycle of working, saving, and hoping—while never achieving true financial freedom. Let me break down the five biggest lies you’ve been told about money and what the truth really is.
Money Follows Value, Not Effort
The first lie we’re told is that money follows effort. This couldn’t be further from the truth. Money doesn’t care how hard you work—it flows to where value is created. You can grind through 80-hour workweeks and still be broke if you’re not creating meaningful value.
Effort without value is just burnout. I’ve seen countless hardworking people struggle financially while others who work fewer hours but solve real problems thrive. The market rewards solutions, not sweat. When you focus on serving people and solving problems, that’s when you get paid—and paid well.
Retirement Accounts Are Not Wealth Builders
The second lie is that 401(k)s and IRAs will make you rich. These aren’t wealth-building vehicles—they’re delayed life plans. Think about what these accounts really ask of you:
- Lock up your money for decades
- Hope the market performs well during your specific time window
- Pray you’re healthy enough to enjoy it when you finally can access it
That’s not wealth—that’s gambling with your future. True wealth gives you options today, not just promises for tomorrow. I’m not saying don’t save, but don’t confuse tax-deferred accounts with actual wealth creation.
Strategic Borrowing Creates Wealth
The third lie is that you should never borrow money. The wealthy don’t avoid debt—they master it. They understand the difference between destructive debt and productive debt.
The real danger isn’t borrowing; it’s not knowing how to use loans properly. Wealthy people borrow to build, not to consume. They use leverage to acquire assets that produce cash flow, appreciate in value, or both. The right kind of borrowing accelerates wealth creation when used for growth, cash flow, and freedom.
Cash Flow Trumps Net Worth
The fourth lie is that wealth is measured by net worth. This might be the most dangerous myth of all. You can’t eat equity. You can’t pay bills with appreciation. What matters is cash flow—the money that consistently comes in whether you show up for work or not.
I’ve met people with impressive net worth figures who live like they’re broke because all their wealth is tied up in illiquid assets. Meanwhile, others with modest net worth but strong cash flow live abundantly. Wealth isn’t what you own; it’s what you can live on without working.
Retirement Shouldn’t Be The Goal
The fifth and final lie is that the ultimate financial goal is retirement. This backward thinking has created generations of people who hate their work but endure it for decades, hoping for eventual escape.
The real goal should be one of two things:
- Build a life so aligned with your purpose that you never want to retire
- Create systems with the right people, processes, and procedures that support value creation without your daily involvement
Most people chase money directly. The wealthy design systems that attract it consistently. They build machines that create value and generate returns whether they’re personally working or not.
The question isn’t how much you should save—it’s whether you’re aligned with how money really works. If you’re following these five financial lies, you’re wearing a financial mask that’s suffocating your freedom.
It’s time to remove that mask. Stop playing by rules designed to keep you financially dependent. Start building systems that create value, generate cash flow, and give you freedom today—not just in some distant future when you might be too old to enjoy it.
