Freedom

Trish Davies asked:


Building wealth is all about having a system that implements fundamental steps that once you have learned can be applied to create wealth. These steps are crucial to achieving your Financial Freedom Day.

It is never too late to build a financial wall around you and your family that nothing can get through. This would be referred to as financial security. We call it your Financial Freedom Day! It is the day when you have enough assets that pay for all your expenses now and in the future. The quicker you identify your financial freedom day the better. It does not have to be 10, 15, 20 or even 30 years down the track. It is not unrealistic to have a Freedom Day of between 3-5 years. It is the day that you can travel with your family when and where you like with no restrictions, afford the home you want, put your children into the schools you desire and teach your children there are no limits.

Financial freedom is having an asset base which generates the income to not only meet your needs but to create a lifestyle that you dream of. You do not want to be relying on anyone for your financial freedom, the government, your employer, your partner, your husband, your family. Financial freedom changes your life!

So now you ask; how? How do I set a financial freedom day? How do I achieve fianancial freedom? Ask yourself At what age would you like to be financially free?

To achieve financial freedom you need a system. A proven, step-by-step, time tested system that will get you on the path to building wealth. This system

is called ‘Building Your Wealth Cycles’ comprising of 8 fundamental steps to building sustainable wealth. All entrepreneurs have a system to build wealth.

The 8 fundamental steps are as follows: -

1. Financial Conditioning

One of the first areas that must be looked at is your mindset with regards to money. Your mindset is a result of your financial conditioning, you must be aware of your conditioning and the impact it has on your potential to create wealth. You must be able to make the changes necessary to bring money and wealth into your life. We have been conditioned about our money beliefs from a very young age from people around us that loved us very much, like our parents, grand-parents, teachers, coaches, peer support leaders and other family and friends. They only know and understand what they have been taught about money from the family that raised them.

Start to think about the language that was used in the home when your were growing up. Was it “money doesn’t grow on trees” or “no, we can’t afford that” or “Do you think we have a money tree growing in the yard” or “I’ll put that away for a rainy day” or “Money isn’t everything” and finally “Money is the root of all evil”. These are just some of the beliefs that have been handed down generation to generation in countries all around the world.

We encourage you to sit down and write down some of your beliefs around money. Also, ask your children whether they hear your limiting beliefs around money and what are they.

2. Financial Baseline

Your financial baseline is all about identifying where you are right now with your finances. You must take a look at the reality of your present financial situation. Start today, from where you are right now. It might be a little scary or fearful. You cannot get to where you want to go without knowing exactly where you are today. Start asking some very basic questions like How much money do you currently earn? How much money do you spend? For how much, and to whom are you in debt? Do you have anything set aside in savings?

Just remember, what you did yesterday, last month and last year does not have be indicative of what you are capable of doing in the future. The most important thing you can do is take stock of where you are right now!

Also, how do you keep your financial records. Do you keep things in a shoe box and only empty it out once every year. Do you have piles and piles of paperwork everywhere. Do you have a filing system set up? If you don’t have your finances organised then you will not have a good clear picture of your financial baseline.

3. Financial Freedom Day

Millionaires always have a plan. They determine their financial goals and take action to make them happen. Your Financial freedom Day is the day when you’ve reached your financial goals. To determine when your Financial Freedom Day is you need to know what your vision is. Your vision is a picture of how you want to be living sometime in the future. In order for you to be motivated and move towards your vision it must be exciting, realistic and must never compromise your valuues. You must also excercise no limit thinking. There are 3 things you need to clarify in order to declare your Financial Freedom Day. They are your monthly cashflow, your total net worth and the day, month, and year that you want this to occur.

4. Managing Your Lifestyle Choices

Managing lifestyle is all about managing your debt levels. It is about creating a debt elimination plan that will eliminate credit card debt. There is good debt and bad debt. Bad debt is debt associated with lifestyle choices. It is where you’re using your income to increase your liabilities. Good debt is debt that is acquired through the purchase of assets, assets that are then invested to produce passive income.

5. Foundation of Your Wealth Cycles

A wealth cycle is a process whereby you are paying yourself first before paying anyone and anything else. This ensures that money is being allocated to your asset column. It is something that is ongoing and the purchasing of assets does not just happen once. A wealth cycle also includes an understanding of entity structuring for the purpose of protection and tax. You must also make a decision about the type of investor you are whether you are active or passive. You must also develop some money rules and stick to them.

6. Acceleration fo Your Wealth Cycles

This is all about education. You must educate yourself in the areas you want to invest whether it be stocks and shares or real estate or international securities or commodoties or collectibles. Seek mentors and coaches that specialise in those areas of wealth creation.

7. Leadership of Your Wealth Team

No-one creates wealth without a team around them. No more ‘Lone Ranger’ you must surround yourself with team. Leadership of you wealth team is one of the most under-discussed areas of leading your wealth. Make no mistake, you are the leader of your wealth team, whether you realise it or not. Your job is to inspire, motivate, hold and communicate the vision to all of those on your team.

8. Creating Sustainable Action

Keep taking action each and every day. You must every night right out a list of revenue producing activities. You must work towards your Financial Freedom Day, every day. Even if they are small action steps it does not matter.

Expand your knowledge in these 8 fundamental steps through education, mentoring, coaching and acquiring specialised knowledge and it won’t take you long at all to achieve levels of wealth you never thought was possible.



Kimberley

Sarah Mcinerney asked:


‘My dream is to be wealthy and have full financial freedom. I just haven’t worked out yet how I’m going to get there.’

So, you want wealth? Are you planning to win the Lottery, or marry a millionaire?

How many millionaires have you met? How many millionaires have proposed to you? What are the chances of winning the Lottery? Can you make these things happen? Of course not; these are acts of God!

But there is something you do have control over. You can build your own wealth.

You are never going to create your own wealth by working for someone else. Working for someone else is only ever going to enhance their wealth. Your wealth will come from things you set up and do for yourself.

To set out on the road to wealth, you need to take risks. So what’s stopping you? Is the pull of financial security preventing you from taking that first step into the unknown?

A desire to be wealthy isn’t always motivation enough to become wealthy. What else could motivate you to risk the path to wealth? What else does wealth offer other than security? The freedom to do as you please, when you please? To see the world, to take time to learn new skills that you would never have time for if you were trapped in a nine to five, ‘secure’ lifestyle?

Is the world divided into two sets of people? Those who want security; and those who crave freedom? What type are you?

Note the use of the words want and crave. You might want security, but you’ll never crave it because it’s not generally something that people get passionate about. On the other hand, if you only want freedom, you’ll find it hard to achieve, because to get it, you need to have the craving.

Wealth is created through a craving for freedom. People who crave freedom either never get into, or soon leave the security of a regular monthly pay cheque.

What goes through your mind when someone says, ‘I work for myself’?

Do you wonder what it would be like to work for yourself? Are you jealous of the lack of the 9-5 trappings? Does it make you think about the fact that your boss doesn’t really value your input, and you never get to make any important decisions, even though you are more than capable? Does it make you consider how your initiative is frowned upon and you’re told to stay in the box rather than think out of it? Does it strike it home that you are you bored, feeling unappreciated, and frustrated that you are unable to make the most of your creative ability? Then you’re a freedom seeker.

Or are you freaked out by the thought of not having a regular salary landing in your bank account every month? You couldn’t possibly handle having to wonder whether you will be able to pay the monthly bills or motivate yourself to work hard without a manager demanding monthly progress reports? Then you’re a security hunter.

Most people admit to coveting a wealthy existence, but do they need to be freedom seekers to achieve it? Could the security hunters, if they tried, find the motivation to take the risks involved in attaining wealth? Or is the path to wealth only meant for those who value freedom over security? Are security hunters destined to be live-to-work slaves who never become wealthy?

How about this: what if freedom could lead to security? Isn’t our nation run by the very people that craved freedom enough to get out there and do just what they wanted and now have the security of wealth?

Maybe it’s just a case of changing your outlook. 

Most natural freedom people consider rewards far differently to the way security people do. Security people see regular income, the benefits of health insurance and a guaranteed pension as a reward for their daily toil. At the end of the month the bills are paid, the food is on the table. There is nothing to worry about because the monthly salary has taken care of the necessary outgoings.

But what of the un-necessaries? The things that raise a smile and inspire us and keep us alive? Are the rewards of freedom only monetary? What about the feeling of being your own boss? Planning your own day, week and month? Making your own choices and decisions? Fuelling your creativity and motivation by evenly balancing your working and recreational hours? Natural freedom people are more prepared to take the risk of leaving the nine to five security because all these things far outweigh the worry of whether the bills will be paid that month.

There is no better motivator to get on and make your enterprise successful than having to make sure your roof is still over your head at the end of the month. If you believe it and want it enough, you will make it work.

If we just work to live and pay bills then are we really living? Creating wealth and financial freedom is achievable, but it must be understood that there will be plenty of hard work, risk taking, dedication and sacrifice involved. Natural freedom people intrinsically believe in this concept; it’s their inherent state of mind.

Do security people see liberty the way freedom people do? Running your own business means you can leave the 9-5, but more often than not will become 9 to midnight. ‘How is that freedom?’ the security people cry!

Because all the rewards for your hard work are your own, and you are free to make the choice to work until midnight rather than being forced by your boss’s unreasonable deadlines. It really does feel different.

Freedom is a cherished gift that people through the ages have risked their lives for. Whilst it’s accepted that with freedom comes insecurity, it’s also considered that with security, compromise should be expected; as well as emotional boredom.

Everyone has freedom of choice. You can make the safe and secure choice. Or you can take the route into the unknown and work your way into a wealthy existence.  Sometimes we need a challenge to keep our adrenalin pumping and our minds alive. To eliminate the emotional boredom and drudgery of the day to day, nine to five archetype where a worn-out weekend is all we have to look forward to at the end of the working week.  

Do you want a reason to get up in the morning? How about this: I am making the choice to get up at 6am this morning because today I am working towards building an empire. I am building an empire so I can create a better, more fulfilling life, and ultimately, the freedom to do as I choose, when I choose - and have financial security.

Security or Freedom? Why not have both? Take the initial risky path on the road to freedom, work hard and do what you do best, and you will eventually create security.



Carson