1) Contact your favorite writer, speaker, guru, professor, etc. and ask him or her a good question.
2) Create a very simple program using C++.
3) Look at 100 properties. One or two a day (or more) for 50 or so days.
4) Play a game of cashflow 101 if you've never played.
5) Become familiar with a stock screener tool, like the one Yahoo offers. Run it several times.
6) Resolve not to complain or say anything negative within reason for one week.
7) Get a dictionary or financial terms and read it a little every day. You could also get a medical, legal, or other dictionary and read it a little every day.
8) Look for potential products that could make another product obsolete.
9) Brainstorm what kind of automated machine could Coinstar make next?
10) Practice afformations. Afformations are affirmations posed as questions. How can I become more resourceful? Don't let yourself off the hook. Find answers.
www.renegadeuniversity.net
Showing posts with label financial independence. Show all posts
Showing posts with label financial independence. Show all posts
Saturday, March 28, 2015
Thursday, February 13, 2014
The Soil Doesn't Care What You Plant
Plant the seeds of an abundance of good things.
Earl Nightengale tells us the soil doesn't care what we plant. So plant what you desire in your mind and in your waking life. Plant nothing and nothing is what you get.
Plant the seeds of financial independence. Do this buy getting all the work done you can and investing some of the proceeds into well chosen stocks, a rental property, precious metals, equipment that helps you make money, foreign currencies... spread your money around. Don't be rushed.
Study and choose the best investments.
Have the courage to tend the garden where you planted your seeds. Things won't always go right, but stick to it. Keep planting the seeds of what you want and pull the useless weeds.
The useless weeds are negative thoughts and attitudes that prevent you from sticking to your goals.
Use a MasterMind group to keep yourself courageous, industrious, and accountable.
Do it!
Earl Nightengale tells us the soil doesn't care what we plant. So plant what you desire in your mind and in your waking life. Plant nothing and nothing is what you get.
Plant the seeds of financial independence. Do this buy getting all the work done you can and investing some of the proceeds into well chosen stocks, a rental property, precious metals, equipment that helps you make money, foreign currencies... spread your money around. Don't be rushed.
Study and choose the best investments.
Have the courage to tend the garden where you planted your seeds. Things won't always go right, but stick to it. Keep planting the seeds of what you want and pull the useless weeds.
The useless weeds are negative thoughts and attitudes that prevent you from sticking to your goals.
Use a MasterMind group to keep yourself courageous, industrious, and accountable.
Do it!
Saturday, October 12, 2013
Take Inventory of Your Assets and Arsenal for Your Future
Contrary to what "experts" who are supposedly on your side say,
you do still have a lot of weapons and tools on your disposal.
First, you have your attention. Pay
attention to what you want. Pay
attention to what you respect and admire.
Don't pay attention to your enemies, as they expect attention, praise,
legitimacy, and etc. People who want you
under their thumb will just try to confuse you.
Second, whether you live in the U.S. or not you are born free. You have rights. Neither the Federal Reserve or Ivy League
politicians gave you any rights. Those
people want to take your rights away.
So be free in your mind. Reject
unfair laws. Feel free to criticize
corrupt politicians and "superiors."
Obviously, you don't want to drink their kool aid. You don't have to think the way your
government professor says you should.
Free yourself from sales talk, empty campaign talk, and find the best
options.
Third, you have common sense.
Utilize it. Our real leaders of
the past warned us of subversion, fallacy, scheming, debauchery, immorality,
irresponsibility, and socialism. We used
to be warned as children of pied pipers.
If it hurts, maybe you shouldn't do it.
If its not real food, don't eat it.
If it is not a comedy movie, don't try it if it's illogical or
unreasonable.
Just as no one owes you anything, you don't owe anyone else anything.
Fourth, you have your memory. The
"elites" and all their disciples tell us to forget and obey and to
accept feces as gold. Remember the
schemes used against you. If you choose
not to forget what will prevent the same scam a second time? Definitely forgive, but don't become a
doormat. Remember not to bet the farm
when the market is at an all time high or when expectations are irrational.
Remember things that really work and are helpful. Find new ideas and tips that are
helpful. Obviously, you will want to
remember friends, how to get customers, where to get the bet deal on anything
you may need, how to do a SWOT analysis, ways to improvise, and many other
things.
Fifth, you have (hopefully) your earning power. Increase your earning capacity if you can, by
learning valuable skills. Outsource
small tasks. Begin to create passive income. Invest in any type of tool you firmly believe
will help. Don't do things that jeoprodize your earning power.
Sixth, you have your network. A
person wrongly demonized by some politician, reporter, pastor, teacher, or
anybody might actually be a like minded and friendly person who stood up for
themself. Anyone opposed to your success
and bliss may demean or socially isolate or bait you. All your friends must undertand this. If one does not, then he will be the person
who turns against you and your friends (and for a pittance). Yes, like Judas.
Seventh, you have a Master MInd group (MMG). At least you should be in one soon. Your Master MInd needs to be closed to
outside influences and negativity.
Figure out how to turn negativity into good productive work. In your MMG, you need members with skills,
knowledge, and resources you do not.
Your members should have similar goals.
The people in your Master Mind have to abide by your group's basic rules
and be willing to help each other for money, trade, or for free.
Your MMG needs to operate in a spirit of unity and harmony.
Eighth, you have your cell phone, PC, software, physical tools, physical
equipment, cash, real estate, and specialized knowledge that you can use to
improve your life or reach any goal.
Ninth, you hopefully have mobility.
You hopefully have a vehicle, and the ability to relocate and travel should
you want to.
Tenth, you have your word (and credit and reputation).
Eleventh, you have God. God can move
mountains. God gave you the power and
ability to control yourself, over animals, and more. You do have the power to watch TV and drink
rum but those things only get you so far.
What To Do If You Fail
We tried and failed, some people will tell me. Try again, I say. Try a different approach. Shut out negative and hyperoptimistic opion. Spend some time with your MasterMind. Do some group hypnosis or guided visualization, or a brainstorm session.
What seems a logical action to move closer to your goal? (Understand I am
unable to guarantee any of these ideas will work) Getting a subscription to
Guru Focus? Running stock screeners and researching companies you think you
like? Picking an analyst's brain? Reviewing you budget and bank records?
There are lots of side projects you can start. It may not be entertaining, but you can start
a small venture and try to get a sale.
Like I said, at my site I have a list of fast cash ideas. Use them.
The "executive" job will never manifest.
If you at all a sane adult, you can take a vaporous idea, flesh it out,
test it, contemplate it and see if you have an idea. 90% of businesses fail, 99% of affiliate
marketers fail, 98% of MLM's fail. Did
the ones who succeeded not try? Failing
at a business doesn't make you a failure.
If you can manage the risk, why wouldn't you go for it?
Gain an understanding of your investment vehicle and businesses. You can usually corect course or make
adjustments after you launch. Do the
work you feel will help you overcome the odds.
If you can't afford to lose any money on a business, find a second
job. Be a housesitter. Work behind a counter on a night shift. If its allowed, work on your projects
then.
Friday, December 23, 2011
Will there be a Run Up of Silver in 2012?
There are some indications coming from various economic sources that may be pointing to solar flare activity in the realm of all things silver. If you're someone that has been buying silver bullion or if you're someone that's considering dipping your toe into the market this could be very good news. Let's take a look the top 3 reasons that will ignite its upward burst.
1) As I write today, with the price of spot gold at $1605/oz and spot silver sitting at $29/oz, the current silver to gold ratio is 55:1. Mathematically speaking, it would take 55 ounces of silver to purchase 1 ounce of gold. Historically, the gap between the two has been about 15:1 and so if go simply remains at it current price and the silver gap decides to revert back to its norm silver will jut upward to $107/oz. A nice jump for doing nothing except letting nature take its course.
2) Dollar printing. The price of gold and the value of the dollar have always travelled in two opposite directions. The more dollars in circulation the higher the price of gold. And, this isn't due to a rise in the value of gold. It's due directly to the value of the dollar. More dollars in circulation means a drop in the value of said dollars resulting in the rise in the price of commodities. Oil has the same response as gold to the increase of the money supply. Just ten years ago the price of gold was just under $300/oz. Has its value risen? No, but, the supply of money has and it has risen rapidly.
The full impact of the recent flood of money printed has yet to hit our shores, but, is making its way around the world and can be seen in all of its ugliness in countries such as Greece and England, as well as the countries of the Middle East. The impact here will be just as profound.
3) Inflation twisted numbers. Our "always looking out for your best" government officials have a knack for "fudging" certain statistics. Inflation is one of those. John Williams at Shadowstats.com tracks the true inflation rates and in a recent interview with King World News (Dec. 20, 2011) gives us this quote:
The earlier all-time high of $850.00 of January 21, 1980 would be $2,472 per troy ounce, based on November 2011 CPI-U-adjusted dollars, $8,702 per troy ounce based on SGS-Alternate-CPI-adjusted dollars.
In like manner, the all-time high price for silver in January 1980 of $49.45 per troy ounce, although approached earlier this year, still has not been hit since 1980, including in terms of inflation-adjusted dollars. Based on November 2011 CPI-U inflation, the 1980 silver price peak would be $144 per troy ounce and would be $506 per troy ounce in terms of SGS-Alternate-CPI-adjusted dollars."
John Williams also believes we're headed for massive hyperinflation and that the price of gold will likewise rise exponentially. Talk of gold hitting $7000+/oz and silver reaching $500+/oz is becoming more and more common in economic writings.
Bonus reason: The crushing demand for silver. Most people don't realize the true industrial value of silver. The metal can be found in batteries, bearings, electronics, soldering and automotive parts. Silver is essential for the production of plastic and can be found in jewelry, tableware and insulation. It has its uses in solar energy, water purification systems, glass and x-ray equipment. According to the The Silver Institute, the demand for silver has risen from 877 million ounces in 2001 to 1056 million ounces in 2010. Add in Chinas' voracious, unquenchable appetite for the metal and a global awakening, yet to come, of the need to protect oneself from currency devaluation via the purchase of gold and silver and the result will be explosive.
Much more information can be found on my website: CheapestGoldandSilver.com
Ray Dudley has become one of those "extreme couponers" over the last few years and has recently applied his couponing tactics to the arena of purchasing silver bullion with great success. Believing the word "retail" to have nasty implications he seeks all things "cheap(er)".
More of my sights can be found on my blog: http://www.cheapgoldandsilver.com
Article Source: http://EzineArticles.com/?expert=Ray_Dudley
Article Source: http://EzineArticles.com/6769335
1) As I write today, with the price of spot gold at $1605/oz and spot silver sitting at $29/oz, the current silver to gold ratio is 55:1. Mathematically speaking, it would take 55 ounces of silver to purchase 1 ounce of gold. Historically, the gap between the two has been about 15:1 and so if go simply remains at it current price and the silver gap decides to revert back to its norm silver will jut upward to $107/oz. A nice jump for doing nothing except letting nature take its course.
2) Dollar printing. The price of gold and the value of the dollar have always travelled in two opposite directions. The more dollars in circulation the higher the price of gold. And, this isn't due to a rise in the value of gold. It's due directly to the value of the dollar. More dollars in circulation means a drop in the value of said dollars resulting in the rise in the price of commodities. Oil has the same response as gold to the increase of the money supply. Just ten years ago the price of gold was just under $300/oz. Has its value risen? No, but, the supply of money has and it has risen rapidly.
The full impact of the recent flood of money printed has yet to hit our shores, but, is making its way around the world and can be seen in all of its ugliness in countries such as Greece and England, as well as the countries of the Middle East. The impact here will be just as profound.
3) Inflation twisted numbers. Our "always looking out for your best" government officials have a knack for "fudging" certain statistics. Inflation is one of those. John Williams at Shadowstats.com tracks the true inflation rates and in a recent interview with King World News (Dec. 20, 2011) gives us this quote:
The earlier all-time high of $850.00 of January 21, 1980 would be $2,472 per troy ounce, based on November 2011 CPI-U-adjusted dollars, $8,702 per troy ounce based on SGS-Alternate-CPI-adjusted dollars.
In like manner, the all-time high price for silver in January 1980 of $49.45 per troy ounce, although approached earlier this year, still has not been hit since 1980, including in terms of inflation-adjusted dollars. Based on November 2011 CPI-U inflation, the 1980 silver price peak would be $144 per troy ounce and would be $506 per troy ounce in terms of SGS-Alternate-CPI-adjusted dollars."
John Williams also believes we're headed for massive hyperinflation and that the price of gold will likewise rise exponentially. Talk of gold hitting $7000+/oz and silver reaching $500+/oz is becoming more and more common in economic writings.
Bonus reason: The crushing demand for silver. Most people don't realize the true industrial value of silver. The metal can be found in batteries, bearings, electronics, soldering and automotive parts. Silver is essential for the production of plastic and can be found in jewelry, tableware and insulation. It has its uses in solar energy, water purification systems, glass and x-ray equipment. According to the The Silver Institute, the demand for silver has risen from 877 million ounces in 2001 to 1056 million ounces in 2010. Add in Chinas' voracious, unquenchable appetite for the metal and a global awakening, yet to come, of the need to protect oneself from currency devaluation via the purchase of gold and silver and the result will be explosive.
Much more information can be found on my website: CheapestGoldandSilver.com
Ray Dudley has become one of those "extreme couponers" over the last few years and has recently applied his couponing tactics to the arena of purchasing silver bullion with great success. Believing the word "retail" to have nasty implications he seeks all things "cheap(er)".
More of my sights can be found on my blog: http://www.cheapgoldandsilver.com
Article Source: http://EzineArticles.com/?expert=Ray_Dudley
Article Source: http://EzineArticles.com/6769335
Wednesday, November 30, 2011
You Can Fight Poverty and Learned Helplessness...
... its somewhat easy.
Send your kids and young adults who act like they are:
- helpless
- overwhelmed
- conspired against
- hungry
- like an out of touch bureaucrat without the paycheck
- concerned about having a decent retirement
- using the delay game against themselves...
and send them to: http://www.mastermind-university.com/
I do not endorse glittering "new" things. New usually just means socialist or indicates a borderline fraud. The word "new" is misused frequently.
Follow through by quizzing your student, kid, inmate, patient, or employee about what he or she learned.
The above site takes the best ideas for financial independence I have learned in my life and they are on the Internet for free.
Send your kids and young adults who act like they are:
- helpless
- overwhelmed
- conspired against
- hungry
- like an out of touch bureaucrat without the paycheck
- concerned about having a decent retirement
- using the delay game against themselves...
and send them to: http://www.mastermind-university.com/
I do not endorse glittering "new" things. New usually just means socialist or indicates a borderline fraud. The word "new" is misused frequently.
Follow through by quizzing your student, kid, inmate, patient, or employee about what he or she learned.
The above site takes the best ideas for financial independence I have learned in my life and they are on the Internet for free.
Friday, June 24, 2011
Snap Out of Your Trance
Snap out of your trance. Maybe you should forget what your teachers, politicians, and gurus have been telling you. Life is not a dream. You should not be hypnotized. Imagination is good, but you have to make your imagination work for YOU.
So, snap out of it. Life is not chance, life is cause and effect. Start causing good things to happen to you. You do reap what you sow. Sow the seeds of financial independence. Don't show interest - show committment. If its to be, then its up to me!! Thats what you have to tell yourself.
Take control of your destiny.
You decide! Not the "they" Napoleon Hill warned us about.
Form a mastermind group (Master Mind) with people you know who agree.
So, snap out of it. Life is not chance, life is cause and effect. Start causing good things to happen to you. You do reap what you sow. Sow the seeds of financial independence. Don't show interest - show committment. If its to be, then its up to me!! Thats what you have to tell yourself.
Take control of your destiny.
You decide! Not the "they" Napoleon Hill warned us about.
Form a mastermind group (Master Mind) with people you know who agree.
Sunday, May 15, 2011
The Real Business of the 21st Century
Considering sky high college tuition costs, high unemployment and underemployment, edutainment may be ready to take off. Edutainment = education + entertainment.
People are reading and looking at the web sites of Robert T Kiyosaki, You Tube, sites with free lectures and tutorials, the CBOE's web site and others. People buy books and dvds to be educated and entertained.
I predict the self help (self education) industry will really grow. There could be viable alternatives to traditional schools and colleges for some subjects in the near future. Edutainment and self help are excellent for entrepreneurs and investors who want to hone their skills. Schools don't really teach financial skills.
People are taking on $100,000 or more in student loans, and living with their parents in order to pay the debt. The debt could have been paid into a Roth IRA or funding a small business instead.
People are reading and looking at the web sites of Robert T Kiyosaki, You Tube, sites with free lectures and tutorials, the CBOE's web site and others. People buy books and dvds to be educated and entertained.
I predict the self help (self education) industry will really grow. There could be viable alternatives to traditional schools and colleges for some subjects in the near future. Edutainment and self help are excellent for entrepreneurs and investors who want to hone their skills. Schools don't really teach financial skills.
People are taking on $100,000 or more in student loans, and living with their parents in order to pay the debt. The debt could have been paid into a Roth IRA or funding a small business instead.
Friday, May 13, 2011
Continue Your Education - For Free
There are a lot of excellent web sites that offer free education for investors and entrepreneurs.
You can see videos that teach finance and statistics. You can learn to trade options. And more.
The page at my site below is really worth looking at if you want financial independence.
http://www.renegadeuniversity.net/Links.html
You can see videos that teach finance and statistics. You can learn to trade options. And more.
The page at my site below is really worth looking at if you want financial independence.
http://www.renegadeuniversity.net/Links.html
Tuesday, March 1, 2011
Getting Started Towards Financial Independence Is Tough...
...but I make it a little easier.
You could be in a negative environment where it seems people don't really want you to succeed.
You friends and family could hate your ideas. You need to find a supportive network of friends.
What you need to do is spend some time at http://www.renegadeuniversity.net/ and then start building a master mind group.
The attitude to have about your master mind group is that you bring something to the table.
Find new ideas and discuss what works among your master mind.
Check out the book at your right, The Black Book of the Master Mind. That book will help you and your master mind a lot.
You could be in a negative environment where it seems people don't really want you to succeed.
You friends and family could hate your ideas. You need to find a supportive network of friends.
What you need to do is spend some time at http://www.renegadeuniversity.net/ and then start building a master mind group.
The attitude to have about your master mind group is that you bring something to the table.
Find new ideas and discuss what works among your master mind.
Check out the book at your right, The Black Book of the Master Mind. That book will help you and your master mind a lot.
Friday, January 28, 2011
Reasons to Become Financially Independent
Have you ever noticed that frequently fellow employees will want to turn your company into a concentration camp? I think things will get worse before they get better when it comes to concentration camps.
What reasons drive you to escape the rat race? Remind yourself of your specific reasons to escape the rat race. Your real reasons to become financially independence drive you. What are they?
What reasons drive you to escape the rat race? Remind yourself of your specific reasons to escape the rat race. Your real reasons to become financially independence drive you. What are they?
Saturday, January 8, 2011
Financial Independence Quote
"Vision without action is a daydream. Action without vision is a nightmare."
-- Japanese Proverb
-- Japanese Proverb
Financial Independence in the Wake of the Crisis
I was listening to the audio of Why We Want You to Be Rich, but Trump and Kiyosaki.
It is strange that the progressives slammed that book when it first came out.
The book isn't bad at all.
The usual message from these guys was partially about social security and medicare costs skyrocketing after the Baby Boomers retire. Maybe the commies were and are just playing the delay game with us. Maybe they want a bigger crash so the kind of money that they have will buy even more shares, like many were able to do in 2008.
The price of a used copy of Why We Want You to be Rich is worth it.
It is strange that the progressives slammed that book when it first came out.
The book isn't bad at all.
The usual message from these guys was partially about social security and medicare costs skyrocketing after the Baby Boomers retire. Maybe the commies were and are just playing the delay game with us. Maybe they want a bigger crash so the kind of money that they have will buy even more shares, like many were able to do in 2008.
The price of a used copy of Why We Want You to be Rich is worth it.
Friday, April 2, 2010
Financial Independence - Go Get It
Financial Independence is something that countless people dream about but few ever achieve. So why is that? What's holding everyone back? The truth is its likely all in your head. A lack of drive or getting lazy can occur because your current situation is comfortable. Well if you really want that financial independence, the good news is you can have it. There's no magic formula or step by step manual to get there. You just have to go get it.
Now it's important to understand something first. Money is only good for the good it can do. If you're just trying to get rich so you can buy a Maserati, build a ridiculous house, and roll around in dollar bills all day, you're missing the point. Financial independence is about much, much more than that. It's about having the means to take care of your family, and to be a steward of your money to benefit the lives of others. It's about leaving the world a better place than when you got here and having a little fun in the mean time.
Ok, so now that you have your moral compass pointed in the right direction, how do you get there? It starts by taking control, changing your old habits and starting some new ones. Trade in that laziness and lack of drive for discipline and passion about getting where you want to be. Be focused, determined, and willing to push. Live like no other now, so you can live like no other later.
Start by creating goals. What is it that you really want? How do you get there? You've heard it a thousand times but goals need to verbalized and then written down. The most successful individuals are people who write goals down and grind and scratch until they achieve them. Are you willing to do that?
The first goal should be to get rid of bad debt. Quit carrying unnecessary balances on credit cards or buying cars you need to finance over 10 years. Did you really need that 65" LCD TV for the basement when you already had a 52 incher upstairs? Is driving around in a new Hummer worth sacrificing your retirement? Put as much extra money as you can toward the credit cards and car payments each month until they're gone.
Next, pay yourself first. This means that out of every paycheck a good chunk (at least 10%) needs to go into savings of some sort before you buy anything else. Once you have a cash cushion, start pumping money into qualified accounts 401k, IRA, Roth etc. Make sure to talk with your financial consultant about how to invest in these accounts. Do your best to max them out each and every year. Don't save based on what's left after you spend, spend based on what's left after you save.
And if you decide you want to increase your earning power, find your passion. Are you happy with your current job or do you want something more? Maybe you should consider taking night classes towards your masters, or sharpen your axe in another manner to increase your income. Do what you love, and the money will follow.
The last step to Financial Independence is to give freely. Make sure that you don't wait until you've "made it" to start helping out. Improving the lives of others by sharing what you've earned is one of the most important principles we can live by. It ensures that the money doesn't become too important, because if it does take center stage, everything else will crumble around it.
Remember there is no magic formula to attain financial independence. It takes discipline, passion, and the willingness to set goals and follow through on them. It means changing old habits and finding what you're passionate about. Pay yourself first, invest for the future and start giving. Keep your priorities straight, have a little fun, and forget about the money. That's what financial independence is really about. Now go get it!
Article Source: http://EzineArticles.com/?expert=Derek_Swedberg
Now it's important to understand something first. Money is only good for the good it can do. If you're just trying to get rich so you can buy a Maserati, build a ridiculous house, and roll around in dollar bills all day, you're missing the point. Financial independence is about much, much more than that. It's about having the means to take care of your family, and to be a steward of your money to benefit the lives of others. It's about leaving the world a better place than when you got here and having a little fun in the mean time.
Ok, so now that you have your moral compass pointed in the right direction, how do you get there? It starts by taking control, changing your old habits and starting some new ones. Trade in that laziness and lack of drive for discipline and passion about getting where you want to be. Be focused, determined, and willing to push. Live like no other now, so you can live like no other later.
Start by creating goals. What is it that you really want? How do you get there? You've heard it a thousand times but goals need to verbalized and then written down. The most successful individuals are people who write goals down and grind and scratch until they achieve them. Are you willing to do that?
The first goal should be to get rid of bad debt. Quit carrying unnecessary balances on credit cards or buying cars you need to finance over 10 years. Did you really need that 65" LCD TV for the basement when you already had a 52 incher upstairs? Is driving around in a new Hummer worth sacrificing your retirement? Put as much extra money as you can toward the credit cards and car payments each month until they're gone.
Next, pay yourself first. This means that out of every paycheck a good chunk (at least 10%) needs to go into savings of some sort before you buy anything else. Once you have a cash cushion, start pumping money into qualified accounts 401k, IRA, Roth etc. Make sure to talk with your financial consultant about how to invest in these accounts. Do your best to max them out each and every year. Don't save based on what's left after you spend, spend based on what's left after you save.
And if you decide you want to increase your earning power, find your passion. Are you happy with your current job or do you want something more? Maybe you should consider taking night classes towards your masters, or sharpen your axe in another manner to increase your income. Do what you love, and the money will follow.
The last step to Financial Independence is to give freely. Make sure that you don't wait until you've "made it" to start helping out. Improving the lives of others by sharing what you've earned is one of the most important principles we can live by. It ensures that the money doesn't become too important, because if it does take center stage, everything else will crumble around it.
Remember there is no magic formula to attain financial independence. It takes discipline, passion, and the willingness to set goals and follow through on them. It means changing old habits and finding what you're passionate about. Pay yourself first, invest for the future and start giving. Keep your priorities straight, have a little fun, and forget about the money. That's what financial independence is really about. Now go get it!
Article Source: http://EzineArticles.com/?expert=Derek_Swedberg
Saturday, March 6, 2010
My Business is My Pension
When we first talk to business owners about financial planning they usually reply: 'My business is my pension.' Equally this applies to many employees - 'My house is my pension...' This is a poor place to start with your financial planning, and may leave you far short of your ultimate goals.
Why your business is not your pension!
OK, your business might prove to be your pension, but it might not. By saying that it will provide you with a future income you are leaving your retirement plans in the lap of the Gods.
By saying that your business will provide you with an income, what you are really saying is that you will sell up in the future, and someone will come in and give you enough money to retire on.
Will you be able to sell your business?
Any asset is only worth as much as what someone else is prepared to pay for it. You might not actually have a business that someone wants to pay for.
We meet many business owners who are actually just self-employed consultants. They have swapped the employee life for self-employment, but the business would not run without them. With this in mind, without them there is probably no business, so who would pay for that?
The best kind of business runs without the owner
If you haven't already, get hold of a copy of Rich Dad, Poor Dad by Robert Kiyosaki. His analysis of this area is very useful (his cashflow quadrant).
Financial planning is about getting to financial independence - i.e. being able to survive without the income from the business. If you run your finances well, you can eventually become an investor. This means you rely on your money to do the work, not you. If you do this well enough, you can choose not to work, and live off your independent income.
How much do you actually need?
You should first work out what you need to be able to fund your future lifestyle, and work backwards from there. If you know how much you need you can build a plan to achieve that worth for your business, and more importantly build the business in such a way that someone else will be prepared to buy it.
You could work closely with other business advisers such as an accountant or business coach to plan for your exit strategy.
Think of your business as a cash generation tool
You should be able to earn income from your business, either as salary or dividends. Hopefully you can also sell it at a later date for a lump sum. These streams of cash should be used towards your ultimate aim of independence.
Don't forget tax!
Why your house is not your pension!
You may be able to use your house to supplement your future income. However, in my experience this is rarely desirable for most people.
Downsizing?
You could choose to downsize, but who wants to work hard all their life to get the house of their dreams, to then sell up to someone else so you can live more easily?
Equity release?
You could choose to release equity from your home through a complex mortgage product. However, for most people this is expensive, complicated and risky.
Surely it would be better to have some financial discipline now and prepare for the future with your eyes wide open?
Want some help?
We work closely with our clients to develop and maintain their financial plans. If you would like some help in preparing your plan, please contact us.
When you sell your business you will need to pay capital gains tax at 10% or greater.
Dan Woodruff is a Certified Financial Planner based in Colchester, Essex, UK. He regularly writes articles on financial planning and investments aimed at UK business owners and investors. Go to http://www.woodruff-fp.co.uk to find more content, or sign up for his free newsletter or financial planning blog.
Woodruff Financial Planning is authorised and regulated by the Financial Services Authority.
Article Source: http://EzineArticles.com/?expert=Dan_Woodruff
Why your business is not your pension!
OK, your business might prove to be your pension, but it might not. By saying that it will provide you with a future income you are leaving your retirement plans in the lap of the Gods.
By saying that your business will provide you with an income, what you are really saying is that you will sell up in the future, and someone will come in and give you enough money to retire on.
Will you be able to sell your business?
Any asset is only worth as much as what someone else is prepared to pay for it. You might not actually have a business that someone wants to pay for.
We meet many business owners who are actually just self-employed consultants. They have swapped the employee life for self-employment, but the business would not run without them. With this in mind, without them there is probably no business, so who would pay for that?
The best kind of business runs without the owner
If you haven't already, get hold of a copy of Rich Dad, Poor Dad by Robert Kiyosaki. His analysis of this area is very useful (his cashflow quadrant).
Financial planning is about getting to financial independence - i.e. being able to survive without the income from the business. If you run your finances well, you can eventually become an investor. This means you rely on your money to do the work, not you. If you do this well enough, you can choose not to work, and live off your independent income.
How much do you actually need?
You should first work out what you need to be able to fund your future lifestyle, and work backwards from there. If you know how much you need you can build a plan to achieve that worth for your business, and more importantly build the business in such a way that someone else will be prepared to buy it.
You could work closely with other business advisers such as an accountant or business coach to plan for your exit strategy.
Think of your business as a cash generation tool
You should be able to earn income from your business, either as salary or dividends. Hopefully you can also sell it at a later date for a lump sum. These streams of cash should be used towards your ultimate aim of independence.
Don't forget tax!
Why your house is not your pension!
You may be able to use your house to supplement your future income. However, in my experience this is rarely desirable for most people.
Downsizing?
You could choose to downsize, but who wants to work hard all their life to get the house of their dreams, to then sell up to someone else so you can live more easily?
Equity release?
You could choose to release equity from your home through a complex mortgage product. However, for most people this is expensive, complicated and risky.
Surely it would be better to have some financial discipline now and prepare for the future with your eyes wide open?
Want some help?
We work closely with our clients to develop and maintain their financial plans. If you would like some help in preparing your plan, please contact us.
When you sell your business you will need to pay capital gains tax at 10% or greater.
Dan Woodruff is a Certified Financial Planner based in Colchester, Essex, UK. He regularly writes articles on financial planning and investments aimed at UK business owners and investors. Go to http://www.woodruff-fp.co.uk to find more content, or sign up for his free newsletter or financial planning blog.
Woodruff Financial Planning is authorised and regulated by the Financial Services Authority.
Article Source: http://EzineArticles.com/?expert=Dan_Woodruff
Thursday, December 17, 2009
Rules that Guarantee Financial Independence
If you want to win the lottery, you first must buy a ticket.
This simple rule is no more simple than the rules for guaranteeing that you achieve financial independence; that is, if financial independence is important to you. My dad instilled in me that I should rely on no one -- certainly not the government -- if I wanted to live in my old age as well as I had lived when I was working.
There was a time when many workers in my age group thought that we could depend on Social Security to fund our retirement, but today we all should realize that possibility is unrealistic.
There is one simple rule for guaranteeing your FINANCIAL INDEPENDENCE: Start Early. While it is relatively easy to secure your financial future when you start building your next egg while you’re in your twenties, it’s next to impossible if you wait until you’re in your fifties to start, but regardless of your age, begin immediately.
You don’t have to be a financial genius to be financially independent; I am living proof of this fact. But you do have to develop the discipline to follow a few simple rules. I learned these rules from the very best and the very brightest. These rules are FREE. Follow them and your financial future is virtually guaranteed.
1. The secret to financial independence is the understanding of the basic principle of COMPOUNDING OF WEALTH. If you don’t grasp this principle, you will most likely have to win the Powerball Lottery to be independently wealthy.
The main key to financial success is forcing yourself to live on 80% to 90% (10% reserved for giving and 10% for investing) of your take-home income and invest each month the 10% that you didn’t spend.
As an example, the stock market has increased at a compounded rate of approximately 11% per year over the last 100 years. So $1,000 invested in, say, 1963 (my first year in the work force) would have been worth $88,897 by 2006.
Even if I had invested just $500 (10% of my take-home pay in 1963), that investment would have been worth $44,449 in 2006.
Now, think about what you'd be worth if you invested $1,000 every year between your present age and 65 years of age. Wow! Becoming financially independent is really easy when you start early.
Go to http://www.moneychimp.com/articles/finworks/fmfutval.htm for a compounded calculator and do the math yourself.
Could this principle be any clearer?
Is this enough said about the power of compounding of wealth?
Here are some more rules:
2. Minimize your investments in assets that depreciate.
Automobiles, as an example, are essential for most of us, but they are lousy investments. A new car or truck that costs you $25,000 will depreciate approximately $2,500 to $5,000 in the first year of ownership. Those of us who feel the need to drive prestige cars, i.e., a Mercedes, BMW, Lexus, etc., will suffer $5,000 to $10,000 a year ($400 to $800 per month) in depreciation.
If you can live with driving a pre-owned car, you’ll reduce both the investment itself and the portion of your investment that disappears via depreciation each month.
Other examples of depreciable assets are furniture and clothes. No matter how much you pay for these two assets, they will be worth next to nothing after just a few days of use.
3. Maximize your investment in assets that appreciate.
Over the long haul, most investments in real estate, i.e., your home, stocks, bonds, etc., will grow in value. So if you can discipline yourself to maximize your investments in these kinds of investments and minimize your investments in “fluffy” kinds of assets, you’re much more likely to realize financial independence before it’s too late.
4. Do your very best to pay cash and except for a first mortgage on your home, AVOID DEBT. This means paying off your credit cards each month, paying cash for furniture and automobiles, etc., to avoid unnecessary interest expense.
5. Establish a personal spending budget and live within it. There is no better tool for controlling spending and living within your income than developing the discipline to live by a spending budget.
When many people begin their business careers, and begin for the first time to generate some discretionary income, they go a little bit nuts. They spend everything they earn and then some. Perhaps the first sign of trouble is when they begin to generate credit card debt that they don’t have the income to pay off each month. So they begin making the minimum payment, paying exorbitant rates of interest and digging a deeper hole for themselves each month.
The first step is to recognize what is happening, but the second step is to force yourself to plan your spending so that it doesn’t exceed your after-tax income. I believe strongly that a budget should include an expense category for both saving and giving. It has been my personal experience that individuals who can discipline themselves to save and tithe (give 10% of your income to the church or other charities) can manage other aspects of their financial lives equally well.
Make sure you have an emergency fund equal to six months of salary as a contingency in the event you were to lose your job or have an equally major emergency.
Hire a fee-based financial planner to assist you with your investments. I use Ron Blue & Company. http://www.ronblue.com. Edward Jones is another investment firm that has an office in just about every community, large and small: http://www.edwardjones.com
THE key to successful investing is a broad-based portfolio. Don’t speculate. Don’t try to time the market. Stay invested even when things look bleak. If you miss those rare days when the market rises 300-to-500 points, your portfolio won’t grow at historical compounded rates. NO ONE can time the stock market.
Make sure that you and your spouse are in agreement on an investment plan and the goals for your plan.
Once you and your fee-based financial advisor agree on a plan, stay the course.
Bill Lee is author of Gross Margin: 26 Factors Affecting Your Bottom Line ($21.95) and 30 Ways Managers Shoot Themselves in the Foot ($21.95) Plus $6 S&H for the first book and $1 S&H for each additional book. To order, See Shopping Cart at http://www.BillLeeOnLine.com
Article Source: http://EzineArticles.com/?expert=Bill_Lee
This simple rule is no more simple than the rules for guaranteeing that you achieve financial independence; that is, if financial independence is important to you. My dad instilled in me that I should rely on no one -- certainly not the government -- if I wanted to live in my old age as well as I had lived when I was working.
There was a time when many workers in my age group thought that we could depend on Social Security to fund our retirement, but today we all should realize that possibility is unrealistic.
There is one simple rule for guaranteeing your FINANCIAL INDEPENDENCE: Start Early. While it is relatively easy to secure your financial future when you start building your next egg while you’re in your twenties, it’s next to impossible if you wait until you’re in your fifties to start, but regardless of your age, begin immediately.
You don’t have to be a financial genius to be financially independent; I am living proof of this fact. But you do have to develop the discipline to follow a few simple rules. I learned these rules from the very best and the very brightest. These rules are FREE. Follow them and your financial future is virtually guaranteed.
1. The secret to financial independence is the understanding of the basic principle of COMPOUNDING OF WEALTH. If you don’t grasp this principle, you will most likely have to win the Powerball Lottery to be independently wealthy.
The main key to financial success is forcing yourself to live on 80% to 90% (10% reserved for giving and 10% for investing) of your take-home income and invest each month the 10% that you didn’t spend.
As an example, the stock market has increased at a compounded rate of approximately 11% per year over the last 100 years. So $1,000 invested in, say, 1963 (my first year in the work force) would have been worth $88,897 by 2006.
Even if I had invested just $500 (10% of my take-home pay in 1963), that investment would have been worth $44,449 in 2006.
Now, think about what you'd be worth if you invested $1,000 every year between your present age and 65 years of age. Wow! Becoming financially independent is really easy when you start early.
Go to http://www.moneychimp.com/articles/finworks/fmfutval.htm for a compounded calculator and do the math yourself.
Could this principle be any clearer?
Is this enough said about the power of compounding of wealth?
Here are some more rules:
2. Minimize your investments in assets that depreciate.
Automobiles, as an example, are essential for most of us, but they are lousy investments. A new car or truck that costs you $25,000 will depreciate approximately $2,500 to $5,000 in the first year of ownership. Those of us who feel the need to drive prestige cars, i.e., a Mercedes, BMW, Lexus, etc., will suffer $5,000 to $10,000 a year ($400 to $800 per month) in depreciation.
If you can live with driving a pre-owned car, you’ll reduce both the investment itself and the portion of your investment that disappears via depreciation each month.
Other examples of depreciable assets are furniture and clothes. No matter how much you pay for these two assets, they will be worth next to nothing after just a few days of use.
3. Maximize your investment in assets that appreciate.
Over the long haul, most investments in real estate, i.e., your home, stocks, bonds, etc., will grow in value. So if you can discipline yourself to maximize your investments in these kinds of investments and minimize your investments in “fluffy” kinds of assets, you’re much more likely to realize financial independence before it’s too late.
4. Do your very best to pay cash and except for a first mortgage on your home, AVOID DEBT. This means paying off your credit cards each month, paying cash for furniture and automobiles, etc., to avoid unnecessary interest expense.
5. Establish a personal spending budget and live within it. There is no better tool for controlling spending and living within your income than developing the discipline to live by a spending budget.
When many people begin their business careers, and begin for the first time to generate some discretionary income, they go a little bit nuts. They spend everything they earn and then some. Perhaps the first sign of trouble is when they begin to generate credit card debt that they don’t have the income to pay off each month. So they begin making the minimum payment, paying exorbitant rates of interest and digging a deeper hole for themselves each month.
The first step is to recognize what is happening, but the second step is to force yourself to plan your spending so that it doesn’t exceed your after-tax income. I believe strongly that a budget should include an expense category for both saving and giving. It has been my personal experience that individuals who can discipline themselves to save and tithe (give 10% of your income to the church or other charities) can manage other aspects of their financial lives equally well.
Make sure you have an emergency fund equal to six months of salary as a contingency in the event you were to lose your job or have an equally major emergency.
Hire a fee-based financial planner to assist you with your investments. I use Ron Blue & Company. http://www.ronblue.com. Edward Jones is another investment firm that has an office in just about every community, large and small: http://www.edwardjones.com
THE key to successful investing is a broad-based portfolio. Don’t speculate. Don’t try to time the market. Stay invested even when things look bleak. If you miss those rare days when the market rises 300-to-500 points, your portfolio won’t grow at historical compounded rates. NO ONE can time the stock market.
Make sure that you and your spouse are in agreement on an investment plan and the goals for your plan.
Once you and your fee-based financial advisor agree on a plan, stay the course.
Bill Lee is author of Gross Margin: 26 Factors Affecting Your Bottom Line ($21.95) and 30 Ways Managers Shoot Themselves in the Foot ($21.95) Plus $6 S&H for the first book and $1 S&H for each additional book. To order, See Shopping Cart at http://www.BillLeeOnLine.com
Article Source: http://EzineArticles.com/?expert=Bill_Lee
Sunday, August 23, 2009
Financial Independence Online Community
http://finance.groups.yahoo.com/group/IndependentWealth/
The forum is free and spam free.
Motivational quotes posted.
Stock picks and expert financial opinion by Bill Stanton and Steve Selengut.
99.99% of people in the community really want financial independence.
The forum is free and spam free.
Motivational quotes posted.
Stock picks and expert financial opinion by Bill Stanton and Steve Selengut.
99.99% of people in the community really want financial independence.
Monday, February 16, 2009
Escape Poverty and Find Financial Independence
The first thing to do in your journey to financial independence is to take 100% responsibility for your entire life and all your actions. Do not blame others. If people keep you down, then move away from them.
The second thing to do in your effort to become wealthy is to study the laws of cause and effect as they apply to your entire financial life. What things can you do to cause the things and conditions (effects) that you want? The first things that financially independent people do are to work hard, save money, learning new skills, read in their field, and start a business. Here’s how to get started on these things.
Apply yourself at your job. Be dedicated. Show up on time. Be on task and don’t cause trouble.
Living below your means is essential. How can you save more? How can you earn more? How can you earn a raise, promotion, or get overtime? Start listing things you can do to earn and save more. Start an emergency fund of three months living expenses before opening a brokerage account. By living below your means, you are moving to the head of the pack.
Reading in your field and learning new skills are as essential as putting away money. Go to the library and get some books, audios, or videos that teach you what you want to know. Learning about how to become an excellent salesman would be a great idea. Learning basic economics is essential. Or you could learn how to start your own business doing what you are doing now, if possible. Getting a degree would be a huge boon to your success.
Starting a small business, even a sideline business could be the thing to do. Take this business seriously. Take care of your customers and make sure the product or service is excellent. Always be looking for more customers. Learn about search engine optimization (SEO), marketing, and advertising.
Here are some “random” ideas for you to implement. It is important that you review your goals every day. Keep track of your progress and see what things you need to keep working on. Also, see yourself as the type of person who is on track to become a millionaire. Your self image is very important. Keep informed of major developments in your field. Take action on your goals every day.
Here are a few more “random” ideas. Resist the urge to think too big, act like a kingpin, or to make too big of a gamble. Be wary of detractors, and phony friends. If a person was unfriendly before and left banana peels for you to slip on, expect the same from them. Be wary.
I will leave you with this: dare to think outside the box, be open to new ideas, and don’t be afraid to go against the grain.
The second thing to do in your effort to become wealthy is to study the laws of cause and effect as they apply to your entire financial life. What things can you do to cause the things and conditions (effects) that you want? The first things that financially independent people do are to work hard, save money, learning new skills, read in their field, and start a business. Here’s how to get started on these things.
Apply yourself at your job. Be dedicated. Show up on time. Be on task and don’t cause trouble.
Living below your means is essential. How can you save more? How can you earn more? How can you earn a raise, promotion, or get overtime? Start listing things you can do to earn and save more. Start an emergency fund of three months living expenses before opening a brokerage account. By living below your means, you are moving to the head of the pack.
Reading in your field and learning new skills are as essential as putting away money. Go to the library and get some books, audios, or videos that teach you what you want to know. Learning about how to become an excellent salesman would be a great idea. Learning basic economics is essential. Or you could learn how to start your own business doing what you are doing now, if possible. Getting a degree would be a huge boon to your success.
Starting a small business, even a sideline business could be the thing to do. Take this business seriously. Take care of your customers and make sure the product or service is excellent. Always be looking for more customers. Learn about search engine optimization (SEO), marketing, and advertising.
Here are some “random” ideas for you to implement. It is important that you review your goals every day. Keep track of your progress and see what things you need to keep working on. Also, see yourself as the type of person who is on track to become a millionaire. Your self image is very important. Keep informed of major developments in your field. Take action on your goals every day.
Here are a few more “random” ideas. Resist the urge to think too big, act like a kingpin, or to make too big of a gamble. Be wary of detractors, and phony friends. If a person was unfriendly before and left banana peels for you to slip on, expect the same from them. Be wary.
I will leave you with this: dare to think outside the box, be open to new ideas, and don’t be afraid to go against the grain.
Friday, January 16, 2009
A Few Observations on the Current Economic Situation
Granted, this post will say "everything" about the current financial crisis, but these points are essential to people who desire financial independence for themselves.
There needs to be some entrepreneurs advising Obama, not just academicians.
Obama and the Congress need to take it easy on entrepreneurs. Not only will higher taxes and more regulations make business suffer more, more layoffs will happen.
Public schools should not try to persuade every capable student to becoming a teacher. This country needs entrepreneurs, but other high paying professions as well.
Entrepreneurship and investment fuel growth. Growth is what we need, not slogans from college campus radicals, and dopers.
Investment needs to be encouraged by eliminating the capital gains tax and taxes on dividends.
Cutting these these taxes will make it easier for people to retire or to stay retired. And that means: a little less unemployment, and better qualified "community activists".
Demonizing achievers is the worst thing the Obama administration can do.
Every person who desires to be financially independent (morally&through legal means) needs to pressure the next administration and Congress to cut taxes, and not try to punish businesses.
This includes people of all races, religions, ages, political affiliations, etc.
If your financial education was inadaquate, start at www.financialindependenceuniversity.com and see if the information there helps you. You cannot count on the government to take care of you.
There needs to be some entrepreneurs advising Obama, not just academicians.
Obama and the Congress need to take it easy on entrepreneurs. Not only will higher taxes and more regulations make business suffer more, more layoffs will happen.
Public schools should not try to persuade every capable student to becoming a teacher. This country needs entrepreneurs, but other high paying professions as well.
Entrepreneurship and investment fuel growth. Growth is what we need, not slogans from college campus radicals, and dopers.
Investment needs to be encouraged by eliminating the capital gains tax and taxes on dividends.
Cutting these these taxes will make it easier for people to retire or to stay retired. And that means: a little less unemployment, and better qualified "community activists".
Demonizing achievers is the worst thing the Obama administration can do.
Every person who desires to be financially independent (morally&through legal means) needs to pressure the next administration and Congress to cut taxes, and not try to punish businesses.
This includes people of all races, religions, ages, political affiliations, etc.
If your financial education was inadaquate, start at www.financialindependenceuniversity.com and see if the information there helps you. You cannot count on the government to take care of you.
Friday, November 21, 2008
Eight Secrets of Financial Independence
“We simply assume that the way we see things is the way they really are or the way they should be. And our attitudes and behaviors grow out of these assumptions.” - Stephen Covey
Secret #1 – This is by far the single most important of the 8 secrets. It is the foundational key to all success
TAKE ACTION!
If you can’t take the action necessary to achieve financial independence and success, to improve your life, you will no doubt wind up right alongside the 95 percent of the population that is dependent on debt and are ultimately financial failures.
It’s that simple. You can have the very best teachers, the very best education and training, read the best books and listen to the best tapes but without taking action, it’s all wasted. I can’t emphasize this point too strongly or enough. You must find it in yourself to resolve to act; otherwise your thinking will amount to nothing.
Secret #2 – The level of success you achieve in your life is directly proportional to your willingness to accept full responsibility for your life. No matter where you are now, you can only achieve greater things if you take blame and hold yourself accountable for your past. Accept your past and grasp hold of your future.
Secret #3 – Failing to execute a plan for financial independence is the same as planning to fail. This seems fairly self evident. People just float around through their financial life hoping it will all somehow just work out. This is not only wrong but it reeks of insanity
Secret #4 – A home based business where you can invest work and time instead of money. You can make more money with a business of your own than a job would pay you and the tax benefits are worth the effort. It would be a good practice to start slow and small and work it steadily. Eventually, the income will exceed your job and you will need to make a decision as to whether you want to quit your job and take your business full time.
Secret #5 – Residual vs. Linear Income Most people work at a job that pays them a linear income, which means that for every hour they work they get paid an hour’s wage. Or they sell a widget and get paid a commission on that one widget. Residual income, on the other hand, is cumulative and continuous. Let’s say that you sell a widget, instead of getting paid a onetime commission, you get an ongoing commission for that sale month after month. Sell two widgets, get two times the residual.
Secret #6 – Multiplex Income This is the income that you receive when you run your own business and receive your income from the work and efforts of others.
Secret #7 – Positive Mental Attitude I used to think that keeping a positive mental attitude was the key ingredient to success and achievement, that if I maintained a PMA, success was sure to follow. I knew people that cranked up the positive attitude so much they glowed but were complete financial failures. While a PMA is extremely important, the ACTION needed in secret #1 is the true key. Couple PMA AND ACTION together and you have a solid foundation for success.
Secret #8 – Compound Interest Compound interest refers to the fact that whenever interest is calculated, it is based not only on the original principal, but also on any unpaid interest that has been added to the principal. The more frequently interest is compounded, the faster the balance grows.
A good lesson was learned on the golf course when two friends decided to “make it fun” by placing a wager on each hole. The bet was for a dime and on each hole the bet would double. Let’s do the math. The first hole is ten cents. The second hole is twenty and the third is forty cents. Not bad, just a friendly wager, right?
By the time they reached the ninth hole the bet was for $25.60. OK. Still not so bad for golf buddies. The tenth hole was $51.20, the eleventh hole was $102.40 and the twelfth hole was for $204.80! Now, if we were golfing this game, we would be getting a bit nervous. Hole 13 - $409.60. Hole 14 - $819.20. The bet continues to rise. By the 18th hole the bet will be a whopping $13,107.20!
THAT is the power of compound interest.
Dave Capra "The Debtonator" is author of "Your Guide To Perfect Credit", a radio show host, columnist and certified debt consultant. For information contact The Debtonator at 312.674.4861 or email thedebtonator@yourguidetoperfectcredit.com
http://www.yourguidetoperfectcredit.com http://www.franklindebtrelief.com
Article Source: http://EzineArticles.com/?expert=Dave_Capra
***
I think this is a classic article. Taking action, accepting responsiblity, planning, and home based businesses are all key to financial independence.
Secret #1 – This is by far the single most important of the 8 secrets. It is the foundational key to all success
TAKE ACTION!
If you can’t take the action necessary to achieve financial independence and success, to improve your life, you will no doubt wind up right alongside the 95 percent of the population that is dependent on debt and are ultimately financial failures.
It’s that simple. You can have the very best teachers, the very best education and training, read the best books and listen to the best tapes but without taking action, it’s all wasted. I can’t emphasize this point too strongly or enough. You must find it in yourself to resolve to act; otherwise your thinking will amount to nothing.
Secret #2 – The level of success you achieve in your life is directly proportional to your willingness to accept full responsibility for your life. No matter where you are now, you can only achieve greater things if you take blame and hold yourself accountable for your past. Accept your past and grasp hold of your future.
Secret #3 – Failing to execute a plan for financial independence is the same as planning to fail. This seems fairly self evident. People just float around through their financial life hoping it will all somehow just work out. This is not only wrong but it reeks of insanity
Secret #4 – A home based business where you can invest work and time instead of money. You can make more money with a business of your own than a job would pay you and the tax benefits are worth the effort. It would be a good practice to start slow and small and work it steadily. Eventually, the income will exceed your job and you will need to make a decision as to whether you want to quit your job and take your business full time.
Secret #5 – Residual vs. Linear Income Most people work at a job that pays them a linear income, which means that for every hour they work they get paid an hour’s wage. Or they sell a widget and get paid a commission on that one widget. Residual income, on the other hand, is cumulative and continuous. Let’s say that you sell a widget, instead of getting paid a onetime commission, you get an ongoing commission for that sale month after month. Sell two widgets, get two times the residual.
Secret #6 – Multiplex Income This is the income that you receive when you run your own business and receive your income from the work and efforts of others.
Secret #7 – Positive Mental Attitude I used to think that keeping a positive mental attitude was the key ingredient to success and achievement, that if I maintained a PMA, success was sure to follow. I knew people that cranked up the positive attitude so much they glowed but were complete financial failures. While a PMA is extremely important, the ACTION needed in secret #1 is the true key. Couple PMA AND ACTION together and you have a solid foundation for success.
Secret #8 – Compound Interest Compound interest refers to the fact that whenever interest is calculated, it is based not only on the original principal, but also on any unpaid interest that has been added to the principal. The more frequently interest is compounded, the faster the balance grows.
A good lesson was learned on the golf course when two friends decided to “make it fun” by placing a wager on each hole. The bet was for a dime and on each hole the bet would double. Let’s do the math. The first hole is ten cents. The second hole is twenty and the third is forty cents. Not bad, just a friendly wager, right?
By the time they reached the ninth hole the bet was for $25.60. OK. Still not so bad for golf buddies. The tenth hole was $51.20, the eleventh hole was $102.40 and the twelfth hole was for $204.80! Now, if we were golfing this game, we would be getting a bit nervous. Hole 13 - $409.60. Hole 14 - $819.20. The bet continues to rise. By the 18th hole the bet will be a whopping $13,107.20!
THAT is the power of compound interest.
Dave Capra "The Debtonator" is author of "Your Guide To Perfect Credit", a radio show host, columnist and certified debt consultant. For information contact The Debtonator at 312.674.4861 or email thedebtonator@yourguidetoperfectcredit.com
http://www.yourguidetoperfectcredit.com http://www.franklindebtrelief.com
Article Source: http://EzineArticles.com/?expert=Dave_Capra
***
I think this is a classic article. Taking action, accepting responsiblity, planning, and home based businesses are all key to financial independence.
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