Am reading this book, by the author of "Rich Dad, Poor Dad" and wow, am I amazed at what I have been missing in my financial education. I have been so worried about following in my parents footsteps, but haven't known where to turn. I mean, I keep trying to find that "better job" or seek "higher education", all the while I heard stories of the riches men on earth, as college and even high school dropouts. why are these men so rich? or these women? Not because they had second and third jobs, or had PHd's, or even because they played the stock market. but because they did things like own businesses, invested in real estate, worked for free (amazing how that works, its really mind blowing), got to the point where they could buy stocks at wholesale prices (that too is something I didn't even know you could do) and always, ALWAYS, continued to learn, and increase their financial knowledge.
Its funny to me, while the US is talking about our lack of exit strategy for Iraq, that this book, first published 6 months before 9-11, lists having and exit strategy as the first key, or piece of leverage, needed to become rich and retire young. People can go on and on about Bush not having an exit strategy, which I don't know if it is true or not, but, while reading this book, I understand how important it is to have one for life and for anything in fact. the exit strategy talked about for retiring young, has to do with how you will exit the "rat race". In my case, I would like to retire no later than 37 years old, in the "affluent" category, which is an income of between $100,000-$1 million per year, and then continue, in my retirement from the "rat race", to reinvest and build upon what I am doing in order to reach the "Rich" level ($1 million or more per year) not later than age 41, and the Ultra-Rich level ($1 million per month) before I turn 50. It is going to sound crazy to a lot of people, and greedy to a lot of people, but that's too bad for them that it sounds crazy, because if it sounds crazy, and unbelievable, then for that person, it will never happen. And if it sounds greedy, well that's sad too, because the more money one makes, the more you are able to give away, and the more you can serve. In fact, serving more people for less money is how one becomes rich. Consider Wal-Mart, for one example, whose owners are some of the richest people in the world. Their philosophy is to make things less expensive, there for making merchandise more affordable to more people. And they constantly are improving the quality of the items they sell, as well. So, how much more money can they make, selling 100 quality blouses every day, at a cost of $16.95, verses the designer blouse that sells per month for $300? a lot. and the more people who buy them, the more the price can drop, and yet the more profit is made in the end. Another thing to look at are the parables of the sower, or the man with many talents and the man with one. God wants us to be good stewards with the money He grants us. If we just work and work and work, and save and save and save, its really not being a good steward. How can we help the hungry, sick, homeless, unsaved, and orphans around the world, without money? we can't. and if we are only making enough to pay our bills and eat, we aren't reinvesting into God's people. ( this isn't in the book, at least not yet, but I realized how true it is today.) How often do we say, " i wanted to give more" or when I make more or get a raise, I will give more to charity". But then we do nothing, nothing at all, or maybe we work harder at our jobs, or get a second job, or try to win the lottery.
Well, back to that in a moment, I forgot I was talking about exit strategies. LOL The thing is, an exit strategy is actually a first step, not an after thought, to success in anything. I am sure that the Bush administration didn't go into this War without an exit strategy, but I think that they know that the goal is so important and so big, that we must be like the tortoise, and not the hare. If we behave like the hare, as most democrats, and now even some republicans would have us do, we will not win, if there is to be a winner. slow and steady wins the race. Learn as you go, adapt, and forge on. If we truly want the Iraqi people to be free, and we are doing it for both the good of them, and the good of the world, then we will keep going, as the tortoise, working toward and exit of VICTORY! Also, people want to hear that the exit strategy is 6 months, a year, or at least less than 5, but they don't want to do what is necessary to meet that goal.
The same goes for life, love, liberty, and happiness. We say we want to do something, but often are just dreaming, until we first ask why we want something, and then create an exit plan, then work on finding out what we need to do to meet that plan, and then ACTUALLY DO IT!
I am excited, not just about the money, but because I now understand this whole concept of the exit strategy. If I can say that no later than a certain date, i will be a size 6, and every single thing i do is a step in that direction, my exit plan is clear, and the path laid out before me, and every single thing that comes along, i can look at it and say, "will this get me to the exit?" If it will not, such as eating a extra large whopper meal, i will not do it. If I want to have a passive income of $250, 000 or more a year, by the time I am 37, I will look for every educational tool, every deal that will put money in my pocket and not take money out (not the same thing as saving money, by the way), every way to increase my equity and decrease my debt, and to increase my passive and portfolio income ratio to my expenses. AND I will do it all with the patience of the tortoise.
This is just one of the lessons I have learned from the first half of this book. There are more things I have been gathering and using to change my reality, change my vocabulary, change my thinking and change my life.