Posts Tagged ‘Wealth Creation’

Spend Less Than You Earn!

Today I want to talk about some strategies that should help you stick to your dreams and goals. Sometimes it does get tough trying to ‘hang on’ and it’s easy to see why people are tempted to go for short-term strategies.

When it comes to managing the future of your money, that means doing a number of things.

1. For example, I know that if I carry money in my wallet I will spend it. So, I don’t usually carry money in my wallet.

2. If you have a credit card, only use it for business or essential purchases.

3. If you know you are going to be earning less in the future Open a savings account, and set up a direct debit for the difference out of your income now, this will contribute to your financial buffer.

4. Have a Practice Run Before Buying Something. What I mean by that is, before going on a Hire Purchase Plan, start putting the money aside it will cost you FIRST, and then see how much you really want something before committing. This idea of having a practice-run at making a larger purchase could save you a lot of stress and heartache. You might even find you change your mind during the time you are practising!

Want to learn how to become debt-free and on the road to financial success?

Click here to view our 12 month online Simple Wealth Steps Program.

Remember! Download my FREE eBook The 7 PowerfulSecrets to Unlock the Hidden Wealth in Your Life. It is full of money saving hints, budgeting tips and great money management strategies. To get yourFREE copy join my email newsletter below for monthly financial management tips and share member only resources! <form action=”https://www.mcssl.com/app/contactsave .asp” method=”post”><input id=”merchantid” name=”merchantid” type=”hidden” value=”161975″ /> <input id=”ARThankyouURL” name=”ARThankyouURL” type=”hidden” value=”http://simplybudgets.com.au/thankyou2. html” /> <input id=”copyarresponse” name=”copyarresponse” type=”hidden” value=”1″ /> <input id=”custom” name=”custom” type=”hidden” value=”1″ /> <input id=”defaultar” name=”defaultar” type=”hidden” value=”471605″ /> <input id=”allowmulti” name=”allowmulti” type=”hidden” value=”0″ /> <input id=”visiblefields” name=”visiblefields” type=”hidden” value=”Name,Email1″ /> <input id=”requiredfields” name=”requiredfields” type=”hidden” value=”Name,Email1″ /> <table width=”549″> <tbody> <tr> <td width=”75″>Name</td> <td width=”108″><input name=”Name” size=”20″ type=”text” /></td> <td width=”40″>Email</td> <td width=”95″><input name=”Email1″ size=”25″ type=”text” /></td> <td width=”140″>PostCode</td> <td width=”112″><input name=”fieldname1″ type=”hidden” value=”PostCode Check” /> <input name=”required1″ type=”hidden” value=”1″ /> <input name=”field1″ size=”11″ type=”text” /></td> </tr> <tr align=”center”> <td colspan=”6″><input name=”cmdSubmit” type=”Submit” value=”Submit” /></td> </tr> </tbody> </table> </form> Name Email PostCode

Have you been waiting to see what Big-‘E’ number three will be?

I originally thought I would deliver the Big-‘E’s in order of impact but I have decided I am not going to pretend to be that clever. Besides I think it will differ from person to person.

For new readers, I am currently writing a series of messages based on all the Big-’E's that determine our financial outcomes in life.

We have looked at Emotions and Environment. Today it’s Ego or (Self) Esteem. Some would say these are two totally different things; but I’m not gonna get that technical!

During the last week I received an e-mail from one of my readers and it was as if the person who sent it knew my next topic and wanted to give me an example to talk about.

I had made an offer to this particular person to organise an event and offered to pay him for promoting and organising it. He is a member of a group interested in improving their finances so I thought the offer would be an opportunity for him to earn some cash, help his fellow members and at the same time allow me to do what I love doing, and that is sharing my knowledge, experience, passion and skills around money management with other people.

To my surprise the response came back that while he was really keen to share what I do with his associates and friends he said “I’m not into making money off my friends’.

Now this surprised me and it told me a lot about where he was at and how the rest of his financial life would unfold if left unchecked.

Over the years I have had e-mails from many people who described how they had difficulty asking for or accepting money from friends. One example that comes to mind was a lass who had been doing bookkeeping for her friends for free as a hobby and then when she started her own business as a bookkeeper there was a problem asking for money. The way I see it, this is an Ego or Self Esteem problem.

If you think about it, if you can’t get paid by your friends for providing a benefit then why should you be able to ask someone you don’t know to pay you for doing something for them? If you follow that on to its logical conclusion then basically you are destined to go broke and starve because you should not get paid by anyone!

Flip that over. If it is alright to get paid for what you do for people who are not your friends, why does the equation change the moment you are dealing with friends?

Clearly if you have an issue with making a profit from providing a benefit for one person but not another and the difference is that you are friends with the person you are uncomfortable accepting payment from, then you have a belief that money is, in some way, a bad thing.

Let’s dig deeper!

If you often provide a service for a low fee or for free and someone else is in business charging a significant price for the same service, then you probably have a problem with self confidence which is really a form of lack of Ego or Self Esteem. The person charging a high price knows they are offering high value and has no problem confidently asking for payment.

That’s not to say you can’t do a friend (or someone you don’t know) a favour and give them a discount, but if you know in your heart that you have a problem asking for money or for payment for something you have done, then it is because of a lack of confidence and you need to develop a bigger Ego.

Be really clear about this; you actually allow people to place low value on what you do because you place low value on you. When someone pays a high price they usually get high value and when they pay a low price (or nothing) for the same service or product they usually get low value!

I know what I just said might seem totally ridiculous but it is true.

If I gave you a brand new car I will guarantee you would not look after it as well as you would if you paid $50,000 for it. If you came to me for advice on how to get your personal Cashflow in order and at the end of the consultation I said there would be no charge there is a good chance you would never implement the information I gave you because you would place $0 value on the info. If I charged you $1,000 you would be much more likely to follow through because you would place $1,000 value on what I did for you.

If you are a person who is always looking for a cheap solution and bargain prices everywhere you go then ask yourself the question, “How much value do you place on you?” If you want everyone else to give you their time, service and products on the cheap then that probably reflects the value you place on you as well! If you want more, improve your Ego!

In the words of the 1970’s hit song, ‘Ego is not a dirty word’. It is an important ingredient in success.

Of course I am not suggesting you become an egotistical, stuck-up, pain in the neck, pushing and shoving your way to the top in everything and walking over others to get there. I’m sure you were brought up to be polite, have good manners, to not push in, to go to the end of the line, to be considerate of others and put their needs ahead of yours. These are all great virtues, but if you learnt from that that you are worth less than everyone else in the process you will find it very hard to succeed.

You need to understand the difference between being considerate of others and not allowing yourself to have an ego. Otherwise you will be allowing other people to dictate your level of success.

Of course it is easy for me to say you need to be confident, have a strong ego and high self esteem but if you lack in this area it is not an easy thing to change.

The first thing you need to do is recognise that you have a problem in this area. You then need to search within to see if you have enough desire to change. Ask yourself what is the reason you want to change? If you can’t find a big “WHY” then just accept that your lack of Ego and Self Esteem is going to keep you where you are and continue on with your current life.

If you are not prepared to accept that, then focus on finding all the reasons why you are worthy of success. List all the good things about yourself in a journal and read them often. Write them up on a display that you will see regularly.

One way to accelerate your development in this area is to change Big-‘E’ number two, your Environment. Why not join a toastmaster’s group or similar where you are required to stand up and voice an opinion? If you can learn to present a point of view with confidence you will automatically become more confident within yourself. That will be great for your Ego!

I also find that people who are usually quite meek and mild around something they don’t care much about can become confident and outspoken when they engage Big-‘E’ number one, Emotions as well.

Stir up some emotion and you will witness a quick change in displayed confidence. For Example, my wife is quite shy but if someone says or does something against one of our children she quickly finds some courage that normally does not appear to be there!

So if you can find and work at something you are Passionate about, you will automatically be more confident because you will be more sure of your knowledge in that field and you will be more positively Emotionally charged all day long!

So take a good hard look in the mirror and ask yourself how healthy your ego is. Remember, if you don’t value you, nobody else will either.

Hopefully today’s thoughts on Big-‘E’ number 3, Ego, will stir up some productive thoughts and help you to become more active in pursuing a better you who attracts more of everything, including financial wealth.

Back again next time with Big-‘E’ number 4.

Regards
David Wright

Remember! Download my FREE eBook The 7 PowerfulSecrets to Unlock the Hidden Wealth in Your Life. It is full of money saving hints, budgeting tips and great money management strategies. To get yourFREE copy join my email newsletter below for monthly financial management tips and share member only resources! <form action=”https://www.mcssl.com/app/contactsave .asp” method=”post”><input id=”merchantid” name=”merchantid” type=”hidden” value=”161975″ /> <input id=”ARThankyouURL” name=”ARThankyouURL” type=”hidden” value=”http://simplybudgets.com.au/thankyou2. html” /> <input id=”copyarresponse” name=”copyarresponse” type=”hidden” value=”1″ /> <input id=”custom” name=”custom” type=”hidden” value=”1″ /> <input id=”defaultar” name=”defaultar” type=”hidden” value=”471605″ /> <input id=”allowmulti” name=”allowmulti” type=”hidden” value=”0″ /> <input id=”visiblefields” name=”visiblefields” type=”hidden” value=”Name,Email1″ /> <input id=”requiredfields” name=”requiredfields” type=”hidden” value=”Name,Email1″ /> <table width=”549″> <tbody> <tr> <td width=”75″>Name</td> <td width=”108″><input name=”Name” size=”20″ type=”text” /></td> <td width=”40″>Email</td> <td width=”95″><input name=”Email1″ size=”25″ type=”text” /></td> <td width=”140″>PostCode</td> <td width=”112″><input name=”fieldname1″ type=”hidden” value=”PostCode Check” /> <input name=”required1″ type=”hidden” value=”1″ /> <input name=”field1″ size=”11″ type=”text” /></td> </tr> <tr align=”center”> <td colspan=”6″><input name=”cmdSubmit” type=”Submit” value=”Submit” /></td> </tr> </tbody> </table> </form> Name Email PostCode

Following on from last time, let me ask you this.

If I offered you $1 and asked you to give me back $1million in ten years would you know what to do?

I have a book called “How to turn $1 into $1million in 7 years or less” by Roy McDonald. The strategies in the book are simple but not easy. You definitely will not do it watching TV every night and checking your portfolio balance once a month!

If I offered you $100 could you give me back $1million in ten years? How about if I gave you $1,000? OK what about, $10,000 or $100,000?

Do you have any idea at what point you would start to think, yep I could do that?

“Houston, We Have a Problem! ”

Only a small percentage of people actually know how to generate income apart from going to work and swapping hours for money. Anything beyond that and they struggle!

For years I have been providing personal budgeting software and information on all sorts of topics that relate to wealth creation, reducing financial stress, debt reduction and almost every other ‘money mind-set’ topic you care to mention.

One thing that worries me is that if a room full of accountants don’t have what it takes to retire comfortably then it follows that many of us ‘plebs’ are going to need a lot more help.

I have learnt a lot in the last 13 years of working with people on their money problems so I am well qualified (and keen) to help anyone who wants to be helped.

The best advice I can give anyone who wants to get out of their money probelms and reach the $1million target is to start educating themselves and get someone to show them the way.

Whether that is through the products and courses I offer or whether it is with someone else does not matter (OK maybe I would like to be your coach but you get the idea!). Just make sure you choose someone who will give you solid information and you are being challenged and pushed outside your comfort zone.

The cost of NOT getting educated is much more than the cost of getting educated.

My ‘Simple Wealth Steps’ program is designed to get people started on that journey and I hold their hand every step of the way. I would suggest you have a look at what I offer in that course, compare it with other programs, make a decision and take action. It is easy to tell yourself you will do it when you have the money but that day will never come unless you reverse your financial priorities.

http://simplewealthsteps.com is where you will find the details.