Get Financially Fit!
Archive for July, 2006
Your Next Steps to Financial Freedom
Jul 31st
Reprint of original article posted on Liveoutloud.com
Can you see your Financial Freedom Day beckoning on the horizon?
While you definitely want to keep your sight on the horizon, there is something nearer to focus on: what you do Today that brings you closer to your vision of Tomorrow.
What is the next step?
The most immediate thing you can do that will set the stage for the work ahead is to manage your lifestyle cycle. I’ve talked before about lifestyle cycles versus wealth cycles. Switching gears on this one is difficult for a lot of people, and one of the main reasons people have come to me for coaching. But, it is also crucial for your future success at wealth building that you take the time, now, to focus on the ways you currently treat your money and re-prioritize.
I like to say “build your assets, then build your lifestyle”. And, the good news is that the lifestyle that results can be the one you may have only dreamed about up until now, better than anything you have yet to experience!
What is controlling the direction of your wealth machine? Is it liabilities? Or, is it assets? The obvious answer should be that assets need to be the driving force. Look at most people: they go to work, they live for Friday when they receive their paycheck, maybe they treat themselves to dinner out and a movie, wait for their tax return and use it as a down-payment on a boat, which is another liability stacked on top of possible credit card debt, mortgage, car loans, etc. – it goes on and on. What you will find is that most people are not satisfied by this, and feel they are in an endless cycle. They may feel good for the short-term, but they feel the rug could slip out from under them at any time.
When you focus on assets rather than liabilities, you can forget standing on a rug: you are standing on the financial equivalent of concrete!
Next time, I’ll talk about building a wealth cycle foundation, which is where you want to position yourself.
About Loral
Loral Langemeier, founder of Live Out Loud, is the best-selling author of, The Millionaire Maker: Act, Think, and Make Money the Way the Wealthy Do
In the Field of Giants
Jul 31st
A while ago, I wrote about taking action. Here’s an example of a bold move.
Last night, my friends Jennifer Emmer and her boyfriend, Damian, spontaneously dropped in on the tail end of the BlogHer conference to network with fellow bloggers. Such a bold move!
Not one to vegetate on my couch, I sped down to the conference to join them. Thank goodness I did! Not only did we meet some really cool cats such as Jaime Mintun from BlogTalk Radio and Courtney Hollands, the Wicked Local Girl.
However, it gets even better!! Damian and Jen seized the opportunity and spoke with Amanda Condon, ex-host of RocketBoom. You have to admire those two for the sheer spontaneity and their carpe diem attitude.
Although this was a memorable event, I predict Jen is going to be as big (if not bigger) in a year from now. She is in the process of launching her FUNSHUI (not fung shui) business and blog. If you want to meet Jen now while she’s just getting started, check out her current blog, Beautiful Buildings.
It’s wicked and a hoot!!
What is MonaVie?
Jul 27th
by Brion Lau
MonaVie™ is an exquisite health drink that blends 19 health-promoting fruits from the four corners of the earth. 
What does this have to do with personal finance and wealth building? I’m glad you asked! It turns out the company that produces Mona Vie does not sell this product through direct retailers. Instead, they decided to leverage a network marketing model.Translation: This product can become a passive income stream and enable us to build a business full-time (or even part-time on the side). Several people my wife and I know have already quit their jobs and are on track to fully replacing their salary.If you’d like to learn more about the product and opportunity, check out http://www.mymonavie.com/foodnutrition.
What does this have to do with personal finance and wealth building? I’m glad you asked! It turns out the company that produces Mona Vie does not sell this product through direct retailers. Instead, they decided to leverage a network marketing model.Translation: This product can become a passive income stream and enable us to build a business full-time (or even part-time on the side). Several people my wife and I know have already quit their jobs and are on track to fully replacing their salary.If you’d like to learn more about the product and opportunity, check out http://www.mymonavie.com/foodnutrition.Multiple Income Streams
Jul 27th
by Brion Lau
A few months ago, I referred to Napoleon Hill’s comment about making your money work for you. Instead, a majority of us find ourselves working hard for our money. As Kiyosaki says time and time again, we’re trained to get a good education so we can get a job.
Other wealth gurus tell you to save more than you spend. With those savings, they also tell you to invest your savings to produce more cash through appreciation and/or cash flow. However, these experts never really tell you what to invest in for various reasons (including potential liability).
Since I am not a certified financial planner, I can only tell you some of the ways people I know are developing multiple income streams so their incoming cash flow exceeds their expenses.
- Our Salary – This is the primary way most of us start out with a steady cash flow.
- Real Estate Investments - Taking their savings and credit history, many we know then invest in both appreciating and cash flow properties in high growth markets.
- Stock Markets – Others invest in mutual funds, EFTs, and direct stocks.
Now, I’m going to share some non-traditional investments where people we know are investing even as I write this article:
- Oil and Gas – I’m not talking about oil & gas stocks; we’re talking about direct participating in oil and gas wells.
- Notes & Private Lending – By lending their own cash to an investor, private lenders can ask for a higher interest rate.
- Investing Directly in a Business – People are either starting their own business or investing directly in private businesses.
How do you find out about these type of investments? Networking.
By investing in yourself (education and expanding your network), you’ll be able to develop multiple income streams so you have more money coming in than going out. Even better, multiple income streams allows broad diversification of your funds to compensate for any potential loss incurred through any given investment.
Here’s to your wealth and success!
10 Rules for Personal Finance
Jul 21st
by Paul Richard, Executive Director of ICFE
1) Manage your expenses so they don’t exceed your income.
2) Spend money thinking of your future as well as your present.
3) Begin saving early to take advantage of compound interest.
4) Avoid collecting credit cards and using them for borrowing.
5) Always honor your debts and other financial obligations.
6) Project your income and expenses for the next 12 months and track variances.
7) Focus on the relationship between the risk and projected return of investments.
Maintain organized records for tax and general financial planning purposes.
9) Have a plan and a purpose for your investing.
10) Obtain a financial education to be in a position to make intelligent financial decisions.