7 Money Rules The Rich Dont Want You To Know __FULL__
Climbing the corporate ladder will only get you so far; at some point, you reach your earning potential and plateau. The rich know that in order to grow wealth, it's important to make your money work hard for you -- not the other way around. In fact, Robert Kiyosaki, author of the No. 1 best-selling personal finance book "Rich Dad, Poor Dad," built his entire money philosophy around this concept.
7 Money Rules The Rich Dont Want You To Know
Whether you're fundraising to start a business or flipping real estate for a profit, relying on other people's money to do the heavy lifting greatly increases the return. Of course, it's also riskier than relying on your own funds. But if you follow the sage words of the great Warren Buffett, consider that "risk comes from not knowing what you're doing."
Inflation is a beast. Make it a goal to own a primary residence as soon as you know where you want to live for the next five to 10 years. If you put a 20% down payment on a home and it goes 3% up per year, that's a 15% return on your cash.
The amount of money you save is more important than the amount you earn. I know tons of people who made millions and then ended up broke a few years later because they had no idea where their money went.
Climbing the corporate ladder will only get you so far; at some point, you reach your earning potential and plateau. The rich know that in order to grow wealth, it's important to make your money work hard for you -- not the other way around. In fact, Robert Kiyosaki, author of the No. 1 best-selling personal finance book "Rich Dad, Poor Dad," built his entire money philosophy around this concept.Generating income from passive, rather than active, income sources is the best way to do this.
If the recent Dow Jones crash proves anything, it's that no one can predict what the market will do tomorrow. The wealthy know this and make no attempt to moonlight as day traders."Time is more important to investment success than timing," explained Peter Lazaroff, a certified financial planner who manages portfolios upwards of $10 million for Plancorp, LLC. "Most of the population believes that timing the market's moves is the key to growing rich through the stock market. The wealthy, however, understand that time and compound returns are the most important factor in growing wealth."
People who are concerned with saving money often skip the daily latte. The rich enjoy small splurges such as Starbucks whenever they want and instead look at saving from a bigger picture.Author Paul Sullivan and colleague Brad Klontz, a clinical psychologist with an academic appointment at Kansas State University, conducted research on the difference in spending habits of the 1 percent and the 5 percent. The 1 percent spent 30 percent less on eating out and saved it for retirement instead.
To the average person, "it takes money to make money" might sound like a tired cliche used to justify irrational spending. For the rich, it's a golden rule of wealth.The key is leveraging other people's money to increase your own wealth."Trading time for dollars is a losers' game, especially as technology destroys many jobs that don't require a highly skilled human being," said Wilson. "Using money from banks/investors and hiring people to work for you is a time-tested formula for building wealth, not to mention the tax laws, which heavily favor businesses."
You know what people with no debt can do? Anything they want! The last step is the most fun. You can live and give like no one else. Find out your current net worth, then keep building wealth and become outrageously generous, all while leaving an inheritance for your kids and their kids. Now that's what we call leaving a legacy!
More than 25 years ago, Dave Ramsey fought his way out of bankruptcy and millions of dollars of debt. He took what he learned and started teaching people God's and Grandma's ways of handling money. Since then, Financial Peace University has helped nearly 10 million people take control of their money for good. Today, The Ramsey Show, formerly known as The Dave Ramsey Show, reaches more than 18 million listeners every week on the Ramsey Network radio show and podcast.
Think of it this way: If you want to build a table, you start to visualize in your mind the process of building that table. You know in your heart that you can build the table with the right tools and supplies. You start to get a clear idea of what you need to do in order to build that table. Then, you get the supplies you need and you build it. Boom: table, manifested. The key is the thought came first, you held onto it, and you manifested the table into reality.
"If we don't have a clear direction of where we're headed or where we want to go, it can be very easy to get caught up in things that aren't actually good for us. Creating a vision board is a powerful way of getting to know yourself and what it is you truly want to manifest and call into your life," reiki master and spiritual author Kelsey Patel previously told mbg.
And that's not to say if you want to be rich, you should spend all your money as if you were, she adds. In that case, you would be looking to align yourself with who you are when you're living in abundance. What is that person like and how can you start acting like them?
President's Remarks at an Ask President Bush Event in Clive, Iowa7 Flags Event CenterClive, Iowa 12:21 P.M. CDT THE PRESIDENT: Thank you all. Thanks for coming. Thanks forbeing here. Please be seated; we've got to get started. I've got somethings I want to tell you. First thing I'm going to tell you is I'm here asking for the votein Clive, Iowa. (Applause.) I'm enjoying this campaign. It gives mea chance to get out among the people and tell people what I believe andwhere I stand and where I'm going to lead this country for the nextfour years. I'm here also to ask for your help. There's no doubt inmy mind, with your help we'll carry Iowa and win a great victory inNovember. (Applause.) Thank you all. They tell me I'm the first sitting President ever to visit Clive.(Applause.) I don't know what took all the other ones so long to gethere -- (laughter) -- but thanks for being here. I wish Laura werehere. (Applause.) Imagine this conversation: Will you marry me?Fine, just so long as I never have to give a speech. (Laughter.) Isaid, okay. (Laughter.) Fortunately, she didn't hold me to thepromise, because when people see Laura they see a strong,compassionate, fine, fine First Lady. (Applause.) I think in thecourse of the campaign you have to tell people why they should vote foryou, that's what I'm here to do. But perhaps the most important reasonof all is so that Laura will be the First Lady for four more years.(Applause.) Today, I'm going to talk to some of your fellow citizens about whyour policies make sense, and I'd like to answer some questions if youhave some. Before I do that, I do want to introduce some peopletraveling with me. First, I do want to thank the next congressman fromthe 3rd congressional district, Stan Thompson. He's a good member, Ihope you put him in office. (Applause.) I'm here to tell you he oughtto be the next United States Congressman. (Applause.) I appreciate members of the U.S. Congress from the Iowa delegationfor coming. From the east side of the state, Jim Nussle and Jim Leach,two really fine friends. And I appreciate you all being here.(Applause.) Thanks for coming. Leach is a longtime member, one of themost decent men you'll ever meet. Chairman Nussle is the chairman ofthe Budget committee, making sure that the Iowa taxpayers' monies iswell-spent in Washington. I also want to thank Tom Latham, from northwest Iowa, for beinghere today. Congressman, thanks for coming. Proud you're here.(Applause.) And I just signed an important piece of legislation makinga lot of the tax relief -- extending a lot of the tax relief for fiveyears. And I was able to stand on stage with the Chairman of theSenate Finance Committee, Chuck Grassley. (Applause.) He's a goodman. He went back to Washington. I told him if he'd suffer throughone of my speeches, I'd give him a ride back. (Laughter.) But he'sfrugal. (Laughter.) I also told the people, I said, I'm reallygetting to be good friends with Chuck Grassley, for a reason. Thesouth lawn of the White House -- (laughter) -- is mighty big, and we'relooking for a good mower. (Laughter and applause.) I want to thank the state auditor, David Vaudt, for being here. Iappreciate you coming, David. I want to thank the Senate PresidentLamberti, as well as my friend Stew Iverson, the Majority Leader.Thank you all for coming. Good to see you all. Big Stew, lookinggood. (Applause.) Stew has got that same hair style as the VicePresident. (Laughter.) By the way, I didn't pick the Vice President because of his hair.(Laughter.) I picked him because he's a man of great judgment,wonderful experience, a guy who can get the job done for the Americanpeople. (Applause.) I want to thank David Roederer, the chairman of the Bush/Cheneycampaign. I want to thank all the grassroots activists, the peopleputting up the signs and making the phone calls and registering thevoters. I can't thank you enough for what you're going to do, which isto work as we're coming down the stretch. (Applause.) It really meansa lot. It really means a lot. I'm running because I want this country to be a safer country and amore hopeful country. I understand that we're living in changingtimes, and the institutions of government must change with thosetimes. See, my philosophy of government is that government ought tohelp people realize the great opportunities of our country, not tellyou how to live your lives. (Applause.) There's a fundamentaldifference in this campaign about government philosophy. When I say "changing institutions," I'm talking about the laborlaws need to change with the times. Think about this fact: 30 yearsago, most women stayed at home; today, most women are working insidethe house and outside the house, yet, the labor laws reflect yesterday,not tomorrow. I believe the labor laws ought to change and haveflex-time for workers, so that they can better manage their familiesand their work loads. (Applause.) The retirement systems were designed for yesterday. I believe theyought to be designed for tomorrow. Let me tell you about my plans forSocial Security. First of all, you might remember the campaign in 2000-- Latham reminded me of it. When they were running they said, ifGeorge W. gets elected, he's going to take away your Social Securitycheck. Remember those ads? Well, you remind your friends andneighbors you got your check. (Applause.) That's the same old stalepolitical rhetoric. (Applause.) You'll hear it again this time, too. And baby-boomers, we're in good shape when it comes to SocialSecurity. But it's the youngsters who have to pay for the baby-boomersretirement we better worry about. That's why I believe we ought toallow young workers to take some of their own tax money and set up apersonal savings account that will earn better interest in the SocialSecurity trust today, so they can be able to more likely get thebenefits of the Social Security system; a personal savings account theycall their own; a personal savings account they can pass on to theirkids or grandkids; and a personal savings account that the governmentwill not take away. (Applause.) We've got to make sure that our worker training programs work.They were designed for yesterday. They need to be designed fortomorrow. Listen, in this changing world of ours, it requires --oftentimes requires new skills. These jobs are new jobs, the jobs ofthe 21st century. Just look at the health care industry. It's abooming part of our economy; yet, oftentimes, people don't have theskills necessary to fill those jobs. So one of the things governmentmust do is make sure the Workforce Investment program works; make surethere's access to our community college system; expand Pell grants andexpand government help for workers. This is the kind of thing that is necessary to make sure peoplehave the skills necessary to fill the jobs of the 21st century. And doyou realize that most new jobs in America now require at least twoyears of college; yet, one in four of our students gets there? Andthat's why it's essential we keep working on No Child Left Behind, tomake sure every child has got the skills necessary to read and writeand add and subtract. (Applause.) I'm looking forward to discussing No Child Left Behind with theAmerican people. You might remember there were times when they wouldjust move kids through school, grade after grade, year after year,without teaching the basics. I don't think that's right. That's whatI call -- that's why I went to -- when I say I went to Washington tochallenge the soft bigotry of low expectations, that's what I'm talkingabout. Expectations were so low that they just moved kids through.We've changed that. We're raising the bar. We believe in localcontrol of schools, but we're now saying, in return for increasedfederal spending, measure. Show us whether or not a child can read.Let's correct problems early, before it is too late. We've got to stop this business about shuffling kids throughschool, and we are. There's an achievement gap in America that'sbeginning to close. But there's more to be done. I believe we oughtto have intermediate help programs for at-risk students in highschool. We ought to emphasize math and science. We ought to expandPell grants for low-and middle-income families. We want more of thekids graduating from college being able to fill the jobs of the 21stcentury. That's how you make sure this country is a hopeful place.(Applause.) In changing times, it helps to own something. It brings stabilityto your life. I'm proud of the fact that home ownership rates are atan all-time high in America under my administration. (Applause.) Andso we got plans to make sure home ownership is spread to every cornerof America. Speaking about ownership, it helps when somebody owns their ownhealth care account in changing times. There's a big difference ofopinion about health care in this campaign. I believe the decisionsought to be made by you and your doctor. My opponent believes that thefederal government ought to be making your decisions. AUDIENCE: Booo! THE PRESIDENT: Yes. That's what I call -- he's got a systemthat's creeping toward "Hillary Care." (Laughter and applause.) I got a common-sense, practical way of making sure health care isavailable and affordable. I'm a big believer in community healthcenters. That's where the poor and the indigent can get primary andpreventative care. I believe every poor county in America ought tohave a community health center to make sure health care is availablefor people. I believe we ought to make sure that the children's healthcare program for low-income families is fully subscribed. To make sure health care is affordable, I want to help the smallbusinesses afford health care. Do you realize 50 percent of theuninsured today work for small businesses? Small businesses are havingtrouble affording health care. I believe they ought to be allowed topool risk with other small businesses so they can afford insurance atthe same discount big businesses get. (Applause.) I believe in health savings accounts: individualized healthsavings accounts that provide for catastrophic care, and tax-freesavings for routine medical costs. It's a plan that you own. When youchange jobs, or if you change jobs, you take your health care with your-- with wherever you go. These are innovative, common-sense ways tomake sure that health care is available and affordable. I'll tell you another thing we need to do about health care costs.We got to do something about these frivolous lawsuits that are runningup the costs on small businesses. (Applause.) You cannot bepro-doctor, pro-patient, and pro-trial lawyer at the same time.(Laughter.) I think you have to choose. My opponent made his choice,and he put a trial lawyer on the ticket. I made my choice: I'm formedical liability reform -- now. (Applause.) Let me talk about Medicare right quick. I went to Washington tofix problems, not to pass them on to future Presidents. I thoughtMedicare needed to be fixed. It's a very important program. Yet, asmedicine modernized, Medicare was not modernizing with it. And I'llgive you an example. Medicare would pay $100,000 or so for heartsurgery, but not one dime for the prescription drugs that would preventthe heart surgery from being needed in the first place. That didn'tmake any sense for our seniors. It did not make any sense for thetaxpayers. So I worked with Democrats and Republicans to modernizeMedicare. And starting in 2006, our seniors will get a prescriptiondrug benefit in Medicare. (Applause.) And today our seniors can signup for a drug discount card; 4.4 million seniors have done so, in orderto derive substantial savings at their local pharmacies. We're making a difference when it comes to health care. But all wedo to make sure health care is available and affordable, we'll makesure the decision making is between patient and doctor, not betweenbureaucrats in the nation's capital. (Applause.) It's important to make sure America is a hopeful place, by growingour economy. I want you to tell your friends and neighbors and remindthem what we have been through. The stock market was in significantdecline prior to my arrival in Washington, D.C. That was an indicatorthat something was taking place in the economy, and, sure enough, wehad a recession. And the recession hurt us, but so did the corporatescandals. You know, our economy is based upon trust. And when some ofour citizens didn't tell the truth, it shook our confidence and hurtour economy. We passed tough laws and that made it abundantly clearthat we're not going to tolerate dishonesty in the boardrooms ofAmerica. (Applause.) And then the attacks hurt us. And then we got attacked. OnSeptember the 11th, 2001, our nation was brutally attacked, and thoseattacks cost us a million jobs during the three months after Septemberthe 11th. Think about what we've been through as an economy:recession, attack, corporate scandal. And, yet, the economy is strongand it's getting strong. It's growing at rates as fast as nearly inany 20 years. Your great state of Iowa has got a farm economy that'sreally strong. Unemployment rate in this state is 4.5 percent. Thenational unemployment rate is 5.4 percent -- lower than the average ofthe 1970s, 1980s and 1990s. (Applause.) And people say, how did it happen? How did we get out of thisrecession so quickly? One reason is we've got great workers.Secondly, the entrepreneurial spirit is strong in America. More andmore people are owning their own small business. Thirdly, we hadwell-timed tax cuts. (Applause.) Those tax cuts left more money inthe hands who earned it. People had more money to spend. (Applause.) The tax cuts also helped to stimulate the job creators. Not onlydid we help to stimulate demand, but we helped to stimulate the jobcreators. See, 70 percent of new jobs in America are created by smallbusiness owners. Ninety percent of small businesses pay tax at theindividual income tax rate, because they're either subchapter-Scorporation or a sole proprietorship -- those are legal terms whichbasically mean they pay an individual income tax. And so when you cutindividual income taxes on everybody who pays taxes, you're reallyhelping our small businesses. And when you help the small businesses,you help the job creators. And when you help the job creators,somebody is more likely to find work. We've added 1.7 million jobssince August of 2003. The tax relief plan is making a difference.(Applause.) And there's a difference in taxes in this campaign. There's a bigdifference. I've lowered taxes and my opponent wants to raise taxes. AUDIENCE: Booo! THE PRESIDENT: You may have n