HOW TO BECOME FINANCIALLY INDEPENDENT 7: LAW OF EXCHANGE

If any person is going to succeed in business or in life, they must have some degree of understanding about the law of exchange. You will never escape the financial cell of imprisonment if you do not fully understand this colossal law.

Throughout life, we barter, swap, trade, substitute, switch, change and negotiate; all for the sake of acquiring and increasing our personal portfolio. This course of action helps us feed our families, clothe and educate our children, and grow our income and businesses. Knowing the mechanics of how this law works and how it must be engaged will be the one major component that separates the haves, those that have little and the have-nots.

Exchange is movement and movement is necessary for growth. Imagine if every person holds onto what they have, the world’s economies will cease in their movement, technology will stop advancing and people will die at an alarming rate around the world because there will not be enough food to go around. The law of exchange is essential for progression.

The Power of Exchange is the Universal Law of giving and receiving. When we pay someone for a service we are giving them value, telling them with our heart that we value what they give us. The law of giving and receiving is about an exchange of value. If you want to be valued, show others their value. To be successful at the game of exchange, strategy must be implemented. Owning or having something does not automatically put you in the game of building wealth, being ready to exchange does.

Money is symbolic for energy. It is a form of energy. Like the word “current” when referring to water, currency is a reflection of the term money and its function. It allows an efficient exchange of energy. Hence to hoard or to stop the flow of energy by stopping the flow of money out of our lives mean to stop the flow coming in. Giving engenders receiving. If you stop the flow of either you derail your life from its alignment with nature’s universal laws and principles.

The way the market for labor works is simple. You will always be paid in direct proportion to three factors: the work you do, how well you do it, and the difficulty of replacing you. How much you are paid will be in direct proportion to the quantity and quality of your contribution in comparison with the contributions of others, combined with the value that other people place on your contributions.

Your work or contribution to the value of a product or a service is the cause, and the wage, salary or earnings that you receive, is the effect. If you wish to increase the effect, you have to increase the cause. To earn more money, you must add more value. You must increase your knowledge, or increase your skill, or improve your work habits, or work longer and harder hours, or work more creatively, or do something that enables you to get greater leverage and results from your efforts. Sometimes, you have to do all of these together. The highest paid people in our society are those who are continually improving in one or more of these areas to add greater value to the work that they are doing.