Lean and Mean

Let's get right down to the core of this post shall we? Live within your means people! Seriously! I don't know if it has been a blessing or a curse for me in my life, but I've never worried about out doing others in terms of my possesions.

Now, let me clarify. Do I like nice things? Yes. Do I like owning name brand stuff rather than generic? Sure. Is it one of my goals to be the out right owner of a $4,000 Prada purse? Absolutely! However, on my way to accomplishing those things, I don't look to my neighbors stuff and try to have a measuring war with each other.

The saddest thing I see when dealing with people I love is the stress that comes from debt occurred from acquiring "stuff". At the end of the day, that's all it is...Stuff.

Just this week we had a friend who moved into a brand new rental home. The only people living there with her are her two kids and her husband. They opted for a five bedroom house on a huge lot. So what's the problem? Neither of them are employed right now and they are depleting whatever they have in savings on this kind of luxury. To top it off as she was telling me about her place she would say, "I don't want to brag, but..." Brag? About what? Do you see where I'm getting at?

Forget the Jones and focus on you and your family. Get right with your financial selves. Set high goals, and as you work toward achieving them, live below your means and keep your stress levels low.

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One Definition of Crazy

Here's something that was completely hazardous to my health and that I would never recommend to anyone, not even my worst enemies:

Committing to NaNoWriMo (Where you write a 50,000+ word novel in the month of November) and NaBloPoMo (Where you commit to posting on your blog each day of the month of November) all in the same month and year. Can I hear you say CRAZY???

Yes, it was crazy. Although the month doesn't officially end until tomorrow night, I am completely done with my first draft of my first Novel (Over 60,000 words) thanks to NaNoWriMo. And thanks to NaBloPoMo, I've developed a deeper commitment to my blog and what I want out of it.

Will I ever do the two again in the same month...ABSOLUTELY NOT:o) Just one at a time, because posting and coming up with a fictional world are two joyfully stressful things that each need their own space.

So, I'll keep you updated on the news of those developments in the days ahead. But it feels great to set a goal and hit it! Woohoo...

WHAT A RUSH!

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THE ALCHEMIST

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GRATITUDE

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HAPPY THANKSGIVING

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Commitment

The word "commitment" can down right send shivers up some people's spine. The evry idea of putting to death all other options (the root of the word decide) can really give people the illusion of being trapped. In reality commitment should be liberating.

How? Well,that is what this postis for. Those of us that are married out there read up: The spouse you have may be great, but there probably is someone out there more compatible for you. Have you ever thought of that? Now I'm not talking soul mate who always leaves his seat down kind of stuff. I'm talking genuine compatibility with your likes and dislikes, etc.

So, does it matter that someone like that might exist? No, because the one you're with is the one you want. See, a commitment completely liberates you from having to weigh in other options and allow yourself to be burned several times in the process. A commitment is the opportunity to become lazer beam focused on the direction of growth in your life.

Here's a newsflash. Money only gets attracted to committed people. Not to wishy washy people. So, next time you are faced with making a decision, make it and stick to it. Be a person of your word. If you say you're going to be somewhere then be there. If you tell yourself you are going after a certain goal, then for heaven's sake GO FOR IT! (just because I'm sitting at starbucks right now, because my appointment hasn't kept his word on showing up here has nothing to do with my choice on blogging about commitment ;-)


YOUR WORD IS YOUR BOND!

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Consistency

Consistency is an important term in the Money World. It is incredibly important in the business world. However, I think many times we overlook how important consistency is in our own Personal Worlds.

Here',s a little example:

I recently heard someone complaining about the workload required of her in her job. She made statements about how unfair things were for her, and how "unhealthy" it was for their bodies to have to work through the holiday week like normal.

Now, there's nothing wrong with wanting some R&R and maybe even making your case be known. Usually, though we're griping about these issues to people who cannot do anything about it. In this particular scenario, the lady who was so fearful about her health, had a coke and a piece of white bread toast for breakfast. So can it be easily deemed that "health" really isn't the main concern in her mind?

When it comes to life, allowing ourselves these constant inconsistencies of thinking keeps us in states of confusion. How can we expect our bodies to progress when we are ongoing in our mental contradictions? The solution? Get to the core of the things you want to change. Really look at what you feel is bothering you and then work on that. Don't let your mind work on all the problems you see. By staying consistent in your thinking, you will begin to see consistent positive results in your life and bank account.

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Of Great Worth

It's truly amazing to see what sort of things we value in life. It's easy to spot when you're looking out for it in others, but have you stopped recently to look at it in yourself? Most of us would answer that question with a resounding NO! Because it's really scary.

We don't ever want to look inside ourselves to find out the ugly truths we harbor. But it's not as bad as we make it out to be. Remember, "ugly" doesn't equal bad. What are the things you value materially in this world?

Seriously ask yourself that and then look at your surroundings to find the answers. Are you paying for cable while your family has no life insurance? Do you get your nails done constantly while your Roth IRA sits at zero? Do you spend an overwhelming amount of money on Christmas gifts for your kids justifying it by saying you want them to have everything you never had, while their college fund is empty or you strain your relationships on the basis of financial stress?

It is up to us to place value on items in this world. Decide right now how you'll check off the important things in your life.

PRICELESS!

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Size Matters

When it comes to your vision, it is always important to think big. It's amazing the limits we put on ourselves. Have a vision for your life and then double the size of your goal. If you feel you are unable to accomplish a goal, it's just because your dream wasn't big enough. Get childlike giddy for your dreams, and you will do whatever it takes to make it happen for you!

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The Greatest Game Ever Played...

Have you ever seen the movie called "The Greatest Game Ever Played"? It is a true story about a young golfer who won the US Open in 1913. Francis Oimet (We-Met) was an amateur and went up against some of the greatest players in history. His challenge didn't come only in the form of inexperience. He was also ridiculed by the golfing community, he had no one but his mother supporting him, and his father even asked him to leave home because he was pursuing this "silly" dream.

This is a Disney movie and completely suitable for all ages. I've seen it a couple of times and yesterday as I was watching it again, I felt completely awed by the perseverance of great people. I was taken by the fact that people who accomplish amazing things do so not because the weather is fair, or because it comes easy to them. They do these things out of the belief that it must be possible and that they are the ones meant to do them.

There's lots of feel good movies out there, and many of them are true stories. However, when you have a movie that keeps you interested the entire time and then right towards the end...BAM! It delivers one scene in particular that brings together the feeling of what it means to be a champion, then that, my friends, is a good movie. If you've seen this movie, I think you would know which scene I am talking about, if you haven't seen it yet you'll surely catch it when you view it!

FOURRRRRRRRRRRR!

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Robert Kiyosaki

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Get on with your life...

Ever feel stuck? Ever feel as if you're not headed down the path you've always dreamed of? Ever feel like you're in the deepest rut of your life? Especially when it comes to money? Here's a free tip of the day:

GET ON WITH YOUR LIFE AS IT IS NOW!

So what things aren't perfect? So what you don't even know which direction would be best? Just go, MOVE, and get hustling. Pretty soon, as things start to fall back in place, you'll realize that things get better only when we're in action. Being stagnant is just stinky and sticky, get out of it by stirring the pot a little.

FIGHT THE FIGHT

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What to Get for Christmas

A family member recently asked me what she should get me and my husband for Christmas this year. She suggested maybe a movie or a game or whatever else we might be in need of. The honest to goodness truth, is that I didn't want her to spend a penny on any of that! What would make me terribly happy this year? If all the money that would be spent on me this Christmas would instead be put in a retirement account or an emergency fund. SERIOUSLY.

Think about how much money is spent (anytime really) at Christmas on trivial things. What ever happened to 'it's the thought that counts'? Have we really become so materialistic, that we don't appreciate the thought of just spending time together during the holidays?

I know, I know, if you have kids this might be a harder concept to get through. But we can work on that as we go. But as adults, think about how much better off we could all be financially if we cut our Christmas gift buying in half every year and instead put it into a ROTH IRA or even an emergency fund for the future. Or how about a college fund? Hmmm, maybe even save for a down payment on a house or a car! What a concept!

This is not the norm, however. It may be a hard concept to swallow in the beginning, but at the end of the day you have to understand that it is a series of poor choices that end up leading to a poor quality of life. (Financially speaking of course) So let's make a conscious decision to make a bunch more good choices, so that we may in return have a better quality of life.

So I will reiterate. For any one out there thinking of buying us some presents, at Christmas time:

just show us your mutual fund statement, or your money market statement where we see that you put money you would have spent on buying us something temporary into something that will have a lasting benefit for you and your family!

LOVE & GRATITUDE!

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Is Visa too Close of a Friend?

Me: Do you have an emergency fund?

Client: What do you mean?

Me: You know, a fund set aside strictly for emergency purposes.

Client: Oh, yeah!

Me: Great. How much do you have in there so far?

Client: (Turns to her husband) How much is the balance left on our visa?

Me: [Exasperated sigh]

You would think the above scenario is just a cutesy little blurb on the importance of having an emergency fun that is not made of plastic. But no, on more than one occasion I have had the same answer to my emergency fund question.

Seriously people, a visa or master card does not count as an emergency fund. Now, I know, some of you may not have enough set aside to last you the recommended 6-8 months (or at the very least 3 months), but don't let that be something you simply shrug your shoulders at and say, "oh well" to. Getting your emergency fund in place may be hard, but it is doable.

The saddest thing that can happen is if you never make the effort to have money set aside for emergencies and then you rack up your credit card for them.

Tires blow out? Washer machine breaks? Break your leg and need to pay to get a cast on? Etc. Etc. Also, if you have hard earned cash sitting in an emergency fund, you are more likely to use it only when there are true emergencies. Credit cards are easier to whip out and you may spend on some things that may feel important, but not necessarily emergencies (such as a new sweater to match your purse).

Although I'm trying to be light and have fun, this topic is serious. Pay off your cards and use cash for emergencies ASAP!

don't CHARGE IT!

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Got a Minute

Here's another gem in my "Got a Minute" series. Enjoy Mr. T. Harv Eker....

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Gear Up for a Great Week

Here's a thought for you as you gear up for the coming week! Adopt a Do Whatever It Takes attitude. The harder a task seems, go for it. The scarier a new change feels, attack it. The more tired you feel, charge with passion.

This may be a new attitude for many of us, but if we make it a goal to experience that kind of a breakthrough even once this week, then we know we're on our way. Below are some ideas on what we can do that will propel us forward:

1. Make an extra business call per day this week

2. Open up a Roth IRA

3. Mail in an extra amount of money to your retirement or college fund this week

4. Put together your budget (FINALLY)

5. Go through your home and get rid of the clutter

6. Give an extra few dollars to your favorite charity this week

7. Instead of TV, attend a financial seminar or read a financial book

8. Sit down with your spouse to discuss 2010 goals as a family

9. Invest an extra 30 minutes with your kids and teach them the value of money

10. Go the extra mile in whatever line of work you do

Try any one of these suggestions or come up with one yourself. The more you stretch yourself, and the more you take away excuses from your life and instead do whatever it takes to win ~ the more positive results you will see in your life.

W.I.T.

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The Long Haul

Here's a brief post with a powerful message.

STAY EXCITED ABOUT YOUR GOALS FOR HOWEVER LONG IT TAKES TO ACCOMPLISH THEM!

Seems simple, but we've all done the opposite dozens of times. We set a goal. One we're totally fired up about. Then what happens a few months, weeks, or even a few days later? We usually loose enthusiasm for the goal and let it fall by the way side.

Loosing in life is a habit, and so is winning. If we continue to allow ourselves to quit on our own goals, we will always look toward the direction of easy scape goat answers. Let's take charge as a community of doers and set goals we actually accomplish, even if it takes longer than expected.

ONWARD!

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Understanding Simplicities...

The reason most people feel intimidated by money is because they feel that it is such a foreign subject they wouldn't even be able to understand. The truth is that money is simple. The fear of not being capable of becoming financially literate, however, is what stops people from learning all they can and then they end up getting screwed in many areas of their financial life (i.e. their mortgages, life insurance, investments, etc.)

Where do you turn to learn? Here are a few tips that should help you get started in your quest to learn the "Rules of the Money Game"

1. Financial Representative ~ Now this doesn't mean a Harvard grad, three piece suit wearing, behind his huge oak desk kind of person. It means someone who has a career or professional relationship with money. Someone who deals with money for a living and someone whose job it is to read and analyze financial documents.

It is important to note that your broke friends and family members do not count in this equation. They are often the ones who want to give you advice and they usually give you terrible advice, so do not listen to them unless they fit criteria #1.

2. Books ~ Yes! Read something! You want to be out of your mess? Go pick up a book that talks about money. Anything by Suze Orman or Dave Ramsey are easy reads that help you gain a better understanding. Some other authors you may want to try are: Robert Kiyosaki; T. Harv Eker, Dennis Couveir & Alan Lysight, David Bach, etc.

3. Go to financial seminars or classes ~ There are lots of these available and most of the time they are free or very cheap. Make the investment of your time to attend several of these within a short period. But don't take all you hear as law. Use what you can and disregard the rest.

These are just some ideas on how to get started. If you use the Internet as a resource for financial education that is great also, but since the Internet is so uncensored don't take every word you read too literally. Do research, take the time learn and dive into this material.

You don't have to end up being a financial guru. In fact, that would almost hurt you more because you'll think you know so much you might then become closed off to new ideas that could dramatically benefit you. All you have to do is start getting comfortable with this material. Pretty soon you will notice things in contracts you sign that you haven't noticed before and you'll be saving yourself thousands if not hundreds of thousands of dollars over your life time!

GET SMART!

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Every Day Focus

I decided to be a part of NaBloPoMo this month. For all those unfamiliar it is: National Blog Posting Month. It is a commitment to post EVERY DAY on your blog for the entire month of November. Some of you might think, "oh, that's not too bad. The posts are only a couple of paragraphs each day." However, I also committed to NaNoWriMo, for those of you unfamiliar, that stands for: National Novel Writing Month. Where I commit to writing an entire 50,000 word novel in the thirty days of November.

I'm nuts, I know. But it has been a great exercise. I have so far posted every single day! And as far as my novel, I've crossed over the halfway mark of 25,000 words tonight, so I'm well on my way.

One thing this whole ordeal has made me think about is that if we want something bad enough, we get it done. I've been dreaming of writing since I was seven years old. I love it and get absolute pleasure from doing it. However, when it came to writing my serious project such as my current novel in the works, I just seemed to never have enough time. So, I back up what I've said about having a goal that moves you or else you go nowhere. Now that there's a deadline I've taken my writing much more seriously.

What on earth does this have to do with money? Money is a commitment. You commit to earning as much as you can and you will always find ways of making more. Within the last few days I've been handed checks from people left and right. Some from money owed and some unexpectedly. As I received another one tonight, I couldn't help but think that now that I post every single day, my focus on money has been growing. And not focus on the lack of money but on the abundance of it. Look at my side benefit!

Not only in those small ways but in bigger ways as well. My business is starting to excel again and I am more excited about life now than I ever have been. No coincidences here, just plain law. Once you embrace your commitment and focus upon the abundance of money in your life, you will notice it pouring into your life on a daily basis.

THOUGHTS ARE THINGS!

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THANKtiMONY

It's November! What does that mean? Thanksgiving. Truly, what are you thankful for? Hopefully you're thankful for the $$ money $$ in your life right now.

What is that you say?

You have very little of it?

Maybe it's not even close to enough for what you need to get by?

Oh, you're that far from retirement are you?

THEN YOU HAVE EVEN BIGGER REASON TO BE THANKFUL NOW!

The truth is, you will not get more of something that you resent. It just doesn't happen. Think about how long you've been reacting negatively to the amount of money you have. Any wonder now why you have none? However, things you appreciate come to you in greater quantity or quality or both. Gratitude for the dollar bills in your pocket today send out the feeling of more to come.

Why would the universe send more green your way if the feeling it's receiving is that you don't like what you have. Now that would be silly wouldn't it? Let's say you disliked licorice. Would you in any right state of mind want to bring more of it into your life? No of course not! Well, money is no different. The more you like it, the more you're thankful you have it, the more you appreciate every cent you have and come across, the more will come your way.

I love when cynical people say to me, "This is all la la land stuff, Eneida. No way it's that easy." All I say is have fun being broke. I would rather be in a feeling of gratitude and appreciation than resentment and negativity any day no matter what the results would be. It's just a bonus that we get all good things coming to us when we stay in the positive!

THANK YOU THANK YOU THANK YOU!

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Got a Minute?

One more video to change your thinking. Jack's story is awesome. He followed his dreams, instincts, and took action. He's a great person to take advice from don't you think? Got a minute? Could create your life abundantly.

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Interviews with the Greats!

There is nothing better than to hear success stories of people who have been there and done that. People who are like you and me, regular, good, self improving people. People who wanted to make something huge happen, got over themselves and did. This is one of the best examples of that strategy. Ladies and gentlemen: Mr. Richard Branson:

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On your Mark, Get Set...

Sundays are great week prepping days. Get ready for your week. Don't just let another one blow by without any goals. Even if it's simple, do something different for your financial future this week.

Set a goal to save $20 on lunches this week and invest it instead.

Set a goal to work one day overtime so that you can donate that money to a worthy cause.

Set a goal to have a garage sale and make a few extra bucks to put into your kids college fund.

Do a little extra something this week and watch it go a long way. But it starts with setting a goal and figuring out a way to do it. Then as the week progresses, make sure you stay on track so you make it across the finish line SUCCESSFULLY!

GO!

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Buy HIGH Sell LOW

Did the title confuse you a little bit? I hope it did, because it means you'd be paying attention. The true way of doing this is actually to BUY low and SELL high. Why did I name this post the opposite, then? Because that is what the majority of people do and then wonder why they stay broke.

Here's my attempt at simply explaining a powerful concept. Dollar Cost Averaging.

Let's say you have the option of buying stock at $10 per share (stay with me on this, it's not that hard). So you buy 10 shares. You then invested $100. (10 shares X $10 = $100) You do this on a monthly basis.

Now the stock market does well, and your shares are worth $12 per share. So this month you put in your usual $100 and now only purchase 8.3 shares with the same $100. ($100 / $12 per share = 8.3 shares)

If the market continues to do well, your share prices will rise in value. We could get to a day where your shares are now worth $20 each! While you may think this is great news, you are actually buying less and less each month. Because that same $100 now only gets you 5 measly shares!

Now let's flip flop the way the market performs.

Instead of rising in price, let's say share prices drop to $8 per share. If you take your usual $100 and buy the same stock, you now own 12.5 shares. ($100 / $8 = 12.5 shares)

The market continues to drop next month. But you don't panic, you buy more shares the next month now at $6 per share. Now you've purchased 16.6 shares!

Here's the good part. Let's say in a good market, you buy your 5 shares for that 100 bucks. The next month the price is $22 for each share. You sell the 5 shares you bought for $110 and make a $10 profit.

Okay, not bad.

But you just had a down month in the market and bought those 16.6 shares instead. It only grew to $9 per share. You sell those shares for a total of $149.40. Your profit is now $49.40. Almost five times better than the first example.

So the lesson is to continue to buy into the market no matter how it's doing. People listen to the news too much and panic when the market isn't doing too well and pull out all their money way too soon. If you ride the wave, you are actually going to be purchasing more shares and then when the market spirals back up, you will own more shares, and therefore be worth a lot more money.

So don't be like most people buying high and selling low. Stick to the rule of thumb of buying LOW and selling HIGH, and you will be much more pleasant with the thought of the market.

BUY BUY BUY!

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Mind Over Money

There is a deadly disease going around our country and even around the world, today. It is the disease of low self image. What does this have to do with money? Well, the fact is that many people don't feel as if they are worthy to receive lots of money. The thing about this disease is that it can be subtle. Sometimes you don't even know you are showing symptoms of it. Heaven forbid someone tells you the symptoms you are demonstrating causing you to get defensive and upset.

"There is a secret psychology of money. Most people don't know about it. That's why most people never become financially successful. A lack of money is not the problem; it is merely a symptom of what's going on inside of you." ~ T. Harv Eker

Feeling worthy of wealth has a lot to do with weather or not you will have any. One simple way you can check to see if you show symptoms of thinking yourself into unworthiness is in the language you use. Do you say things like, "Money doesn't buy happiness" or "Money is not important"? If you do, you definitely don't have any and are on the road to having less.

Think about it. What would happen to your relationship if you said at least once per day to your spouse, "You are not important"? How long would it take before your spouse finally left you? Maybe in some cases it would take a while, but in most, not too long. You would find yourself all alone and yet wonder why they left.

Looking at it from that perspective seems a little extreme. Who in their right mind would say to their spouse that they are not important to them? Yet we do this with money every day. The subtler ways come in forms of complaining, judging, pessimism, sloth, anger, etc. Money is a magnet to that which is positive and strong. Anytime you display the opposite, money will repel itself from you as quickly as possible.

How does money repel?

Ever loose money out of your pocket?

Ever get bounced check charges for something you forgot about?

Ever incur any late fees? Ever get your mortgage or rent increased?

Ever get a pay cut or go a year with out a pay raise?

Even worse, ever loose a job due to layoffs and such?

Ever have a spouse go on a shopping spree even though you've repeatedly instructed that
money is tight?

Ever have kids need expensive materials for school?

Ever have an appliance or car break down or damage during the most inopportune and stressful financial times?

See, whenever things like that and more happen, it is because you are rejecting money and wealth to come your way. Get rid of the crap, the stress, and whining, and slowly (or quickly depending on how fast you can change your attitude) you will see progress come to you in ways you've never imagined!

THINK ABUNDANCE!

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We Wish You a Merry Debt-mas...

Guess what? You won't believe what is coming up in less than two months? (Surprise face has been implanted) Drum roll please...CHRISTMAS!

Okay, if you think that was a weird intro, listen to you friends, co workers, and family over the next few weeks. They all talk about how they "Can't believe" it's almost time for Christmas again. Well, here's a newsflash folks...Christmas comes the same time EVERY year. No exceptions. I bet you that if you had a sneak peak at a calendar for the year 2010, Christmas would also be listed there on December 25.

So, why oh why do we act like it just snuck up on us?

What is the harm of being shocked that it close to Christmas? The fact that when we don't plan for it properly, we overspend on presents just to save face. Well, here's a few tips on surviving Christmas with a thicker wallet.

1. Make a list of the people you want to buy a present for and evaluate it.

Are you buying a present for people just because you feel obligated to or is it because you truly want to impart the spirit of giving in the holiday season? Some of the most wasted dollars go toward presents for co-workers or acquaintances who don't want you to buy them a present anyway. Why wouldn't they want a present from you? Because then you put them in a position where they feel obligated to spend their hard earned money on getting one for you in return.

So do yourself a favor, really truly decide who deserves a present from you. For the rest of the people get them a Christmas card early in the month so that they realize that is all you are getting them and they won't feel as obliged to buy you something special. You may even want to write in the card something like, "Instead of exchanging presents, why don't we donate that money to a good cause this year." It will let them and you off the hook and if you want to follow through on a donation spree, your money will be much better spent there than on a gift that will be re gifted, tossed under the bed, or even worse thrown away in the next move.

2. Budget your Christmas list and shop early

If you have a list, make a budget in advance of how much you are really wanting to spend on each individual. Be strict with the budget and do not go over the amount no matter what. Be thankful you still have a few weeks, because you can get really creative.

3. Do extra work to pick up extra cash - aka avoid the plastic- to pay for gifts

Pick up a part time job, work a business on the side, sell stuff on the Internet, donate plasma, have a garage sale. Don't just rely on your current job to pay the bills, because that's when it becomes easy to pull out your dear friends Visa and MasterCard. If you put extra working effort and man hours to raise your Christmas fund money, you will appreciate it so much more and therefore be more mindful of where you spend it.

Begin your plans for Christmas today. A little bit of time each day will save you thou$and$ of dollars in interest you'd have to pay back and years to pay it back in. You deserve to have your money working hard for you, not the other way around.

YULE-TIDE!

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One More Case

Here's one more expert on advice about Life Insurance. As we continue to follow this subject in the next few weeks, you'll begin to see more and more reasons why it is a terrible mistake to have any kind of life insurance that is not term. However, as this will suffice for now, be aware, that not all term was created equal. Don't fret, it's not as complicated to understand as you might think and we'll cover all the basics as we go along.
This video hits a little extra close to home, since I'm located in Utah as well. Believe me, this example is for the entire country.
Go Suze!

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Term Insurance is the BEST Option

Here's a viewpoint from a Pro:

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Your Greatest Asset

Is not your home...

Read that again. Your greatest asset is not your home. It is your ability to earn income. Think about it, does your home pay you a paycheck every month or does your ability to produce work pay you a paycheck? Absolutely, the second, right? So wouldn't it make sense that you insure that asset?

I want you to picture a toaster. This is a very special toaster. You have it in your kitchen and every single month without fail on the first day of that month when you push the button out pops $5,000 in cash. Every month!

Tell me, how do you feel about this toaster? Do you take care of it? I'm sure you do! You probably have it in a glass case and sealed with a key just in case someone gets too close to it. It truly is a valuable commodity in your home.

Now, let's say you were friends with the "Toaster Fairy" that brought this device into your home. Your fairy says to you that although this is a sturdy piece of machinery, you never know when an accident will occur and you will loose the toaster. Your first thoughts might be something like, "Oh, no way! It's sealed in that bullet proof glass case!" Or maybe, "No way! I've only had it for a couple of years, it's still young!" Whatever your first reaction may be.

Then your fairy looks at you as if you have three heads and says, "Very well, good luck then." As she proceeds to fly away you stop her and realize you don't want to be too cocky in the matter and that truly having this toaster is very valuable for your family. So you ask her what you should do. She simply states, "Take the first $500 that pops out and put it in my mail slot as insurance. Thereby when something shall happen to the toaster, I will be able to replace it with a new one that may continue to pop out your usual $5000 per month."

What do you do now? There's no question is there? You definitely, and without hesitation, take the first $500 of that money, insure your toaster, and then sleep with an incredible piece of mind that your family will always be financially secure.

Why would that be any different with your income? If a toaster that pops out money every month is that valuable, wouldn't it make sense that your life and your income producing ability is equally so? Yet, many people ignore their need for life insurance because they do not want to pay the premiums. Let me tell you something, if you feel that paying for insurance premiums would be a little tight right now, then you REALLY need it. Because if paying a monthly premium would be too much while you are still alive, how then would you manage your monthly expenses if the bread winner passed away?

Please make sure you get the right kind of coverage.

In the next few posts we'll discuss what the right kind of coverage is and why. Let me just iterate one thing for sure. ALWAYS buy term insurance. Anything that says whole life, cash value, universal life, variable universal life, flexible multi funded premium life, you bet your life, we'll take your life, or any of the sort is TRASH. Do NOT spend a nickel on any of those unless you want to loose those hard earned dollars.

YOUR NUMBER 1 ASSET!

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Can't You Read???

How serious of a problem do you feel illiteracy to be? It's pretty scary when an adult cannot read words and therefore limits him/herself in life. If you knew someone personally that was illiterate, you would want to reach out and help, right? It's just that important.

Here's a newsflash. There's a kind of illiteracy that is rampant in our country, and there is hardly anyone doing something about changing that fact. What kind of illiteracy could I possibly be talking about? Of course, Financial Illiteracy.

~~U.S. high school seniors, on average, correctly answered only half of the questions on a basic personal finance and economics test.2 (Source http://www.loma.org/res-06-04-literacy.asp)

We can mostly agree that being able to read words is of critical importance to success in life. Now, let's agree that the same applies to being able to understand MONEY. Let's face it, in our life we will always have to deal with money in one way or another. Whether it be through its abundance or lack, through work or home, any where at all, there will be times in our lives when we make financial decisions. The lasting affects of these decisions are monumental in many cases, and we skim by in life making MILLION Dollar mistakes all the time.

~~In 2006 approximately 1.5 million consumers sought assistance in the management of their finances from the National Foundation for Credit Counseling (NFCC). By 2008, the number of customers seeking aid from the nonprofit organization more than doubled to 3.2 million (Source http:/personalmoneystore.com/moneyblog/2009/10/19/credit-repair-illiteracy)

Most people when presented with an opportunity to better their financial situation either get defensive or embarrassed. It's time to take down the shield and welcome the fact that there might be better ways. One of the worst things you can say when approached with new ideas in regards to money management and wealth creation is: "I don't know anything about money." To that I always say, "Well, isn't it about time you learn?"

The truth is that we all have the option to be Money Smart. In fact it is our downright duty to be that way. It's time to stop blaming financial institutions or greedy brokers and agents for our money problems and look in the mirror to the ultimate person that has absolute control over what is happening financially in our lives. If you don't care about your money knowledge, guess what? NO ONE ELSE WILL EITHER! You are the only one who is going to care about you the most, so make it obvious and figure out a way to get money smart. Start to read, start to mentor with successful people, make it a priority to be open minded and growth oriented. It's time to finally break the chain of being broke. The good news is that it is completely up to you!

APPLIED KNOWLEDGE IS POWER!

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