We often think the rich get richer by taking something from people or by doing something to people.  But the truth is, we are lining up to give our money to them.

In my Facebook live yesterday I showed how money flows from the poor and middle class to the rich, not just from the purchase of goods and services, but perhaps more importantly, in the form of interest.

You see, most of us sell our labor (our time) to the rich at our jobs in exchange for money, which we then mostly give back to other rich people in exchange for goods and services.  Apparently discontented with just giving the rich money for goods and services, we finance them, giving them even more money than we would have if we'd paid cash.  By financing these goods and services, we voluntarily commit to giving even more of our  paycheck to others rather than keeping any of it to buy our freedom.  Imagine how much money you'd have if you weren't paying bills with it!

You see, the rich own (either directly or indirectly) most of the businesses out there.  And so when you willingly give all your money to them each month, you are performing a valuable role in shifting resources from the poor and middle class to the rich.

 If this annoys you, all you have to do is step out of your current role and into their role.  Move from just being a consumer to being a producer.

What value have you created in the world?  Not at your job – the paperwork you signed when you were hired clearly states everything you make on their equipment and with the time they bought are theirs.  But where have you created value that you own?

This is why side hustles are such an important part of becoming rich for many people.  By becoming a producer and bringing value to the world – value you own – you will start to understand how the other side of the game is played.  There's a reason most self-made millionaires are entrepreneurs.  It's not just because they make more money – it's because they get perspective on how money flows and how money is created that few employees (outside of sales or upper level management) get.

The path to financial independence includes tracking your spending.  If you don't feel confident you get a ton of value from what you are trading your money for, then stop.  Keep some of that money for yourself.   The money you stop handing to the rich in exchange for  goods and services can be used to free your future self, both from the obligations you agreed to in the past (debt) and in order to provide for the needs you will have in the future (retirement).

As long as you stay focused on how much you want the goods and services now, you will always be in the trap.  You have to want freedom more  than you want the immediate gratification of trinkets and pleasures.

American society – consumerism – has trained us that getting stuff is the best route to happiness.  But the truth is stuff is a trap.  Stuff depreciates quickly – in fact, it loses almost all its value immediately.  Think about the difference in price between stuff at retail and stuff at a secondhand shop and you will see what a poor use of money stuff really is.

Now, we all need a certain amount of goods and services to get along in the world.  And for some of those goods and services, there are no alternatives to the big providers.  But is that true for all the things you buy?

As you are tracking and reviewing your spending, I'd challenge you to not just cut unnecessary spending, but also to see what of your spending can be redirected to small business.  When you shop locally with a small business, the profit of that business is going to someone who will further circulate a percentage of that money in the community, boosting the prosperity of the region.  When you shop with a small local business, that business owner can hire other local folks to help them do the work, which creates a job in your town.  And you'll be helping that small business owner to meet more modest goals, like educating their children, versus buying a second private jet or whatever the CEO of the larger company in NY or CA is doing.

 I'm not completely opposed to working with big companies – I like the fact that I can go on the Delta website and book a flight to anywhere I want in the world.  But doing better with our money is not just about spending less.  It's about spending more mindfully.  And it's about being a producer and contributing value, not just being a consumer.

 The best kept secret is that over time, you may find production to be more meaningful and enjoyable than consumption ever was.