It is a sad state of affairs today when some many people in our society are riddled with debt and just not sure what to do about it. Credit cards are often easier to get than are jobs and impulse spending is sky high. I have long believed that our school systems do little to offer much in the way of true financial education or how money actually works. I wanted to share with you a great system I have picked up over the years. I would love to tell you I invented it but alas I did not. I would also love to give credit to its creator; unfortunately, I do not know who created this system as I have learned it from a few different sources. One thing I do know for certain however is it works every time in every situation if used properly. So if you would like to be able to rid yourself from debt and save thousands in interest please read on.
When it comes to money the most powerful force in the universe is compound interest. This is a neutral force that can work for you (accumulating wealth) or it can work against you (keeping you in debt). The choice is up to you if it is working in your favor or not. So, let’s go about getting you out of debt so you can use this great power to your advantage.
The key to this system is what is called your accelerator fund. In very simple terms this is an every growing amount of money used to quickly and easily get you out of debt. This is extra money if you will used to pay off your debts faster. To best illustrate this let me use a fictitious example of a random Joe. Joe takes home $3000 each month and has the following debts with the following monthly payments:
Visa $1000 balance $25 minimum payment
MasterCard $2000 balance $50 minimum payment
Car payment $10,000 balance $250 minimum payment
Mortgage $165,000 balance $1000 minimum payment
If Joe makes his minimum monthly payments of $1325 he will be out of debt in about 30 years, hardly something to be thrilled about. Let’s say Joe needs $1500 to live on each month and he has $1500 available to pay his debts with, this means Joe has $175 in his accelerator fund. I know I am using round numbers here but the principles remain the same regardless of the numbers you use or your situation. To determine which account to apply the accelerator fund to you simply use the account with the lowest balance as it will be the one to be paid off first. In Joe’s case it is the Visa card with the $1000 balance. So to follow the system Joe would add his accelerator fund to his monthly Visa payment so he would be paying Visa $25 + $175 for a total of $200 per month. This would pay off the Visa card in month 5. Step 2 of the plan is to take the new accelerator fund (original $175 + the $25 per month which was going to Visa for a total of $200 per month) and apply it to the MasterCard bill. This means the MasterCard payment is now $250 and will be paid off in another 5 months.
At this point in the game we are 10 months into the program and the first two debt are gone and the accelerator fund now becomes $250 which is added to the car payment for a total car payment of $500. When Joe keeps on this path his 5 year car loan will be paid off in another 17 months meaning it was paid off in half the time and Joe is left with only his mortgage 27 months into the program. Now Joe takes the $500 per month in his accelerator fund and applies it to his mortgage. This will allow Joe to pay off his mortgage 15 years faster and save over $100,000 in interest payments.
There you have it the simplest way I have ever heard to eliminate your debt in the fastest possible way without paying a penny more than you are already. To make the system work faster simply find ways to add funds to your accelerator fund and by all means once you are out of debt do whatever it takes to stay that way.
Cheers,
Chuck
Wednesday, February 20, 2008
Monday, February 18, 2008
Manufacture your own luck
This is an article from a blog I read on a regular basis, written by a well networked author Thom Singer in Austin Texas. I think Thom makes some great points we can all learn from. I hope you enjoy it as much as I did.
Cheers,
Chuck
Manufacture Your Own Luck
I know I am a fortunate guy. Some of my good fortune comes from hard work and strategery (I love that fake word, thank you Will Ferrell) while other things just fall into my lap.
When I was in college I was a five day returning champion on the game show "The $25,000 Pyramid" (Oh yes, it shows up from time to time on the Game Show Channel). I won $20,000, a trip for two to Brazil, a sailboat and a stereo. Plus more useless parting gifts than anyone would ever want (a year's supply of Triaminic...what was that about?). Many people proclaimed how "lucky" I was, but I never saw it that way. Or maybe it was luck, but I manufactured the situation that allowed me to be lucky.
To be on that game show one had to go through an extensive series of interviews and try-outs. I called the number, drove to Los Angeles (I lived in San Diego at the time) and took a battery of tests. Additionally, I had great word association skills - which were either God-given or taught in the Arcadia Unified School District. When someone said "grapes, bananas, the Brady family", I instantly knew they were talking about "things that come in a bunch". Without the skills and the action of getting my butt to the audition, there could have been no luck.
I recently wrote on this blog about how I scored my family four great seats for the Hanna Montana concert three hours before the show. Many people were surprised, but I had worked my network like crazy to find those tickets. The friend who tipped me off on their availability is someone I have known for about seven years. If I have not become friends with this person in the first place, my kids would have missed their favorite fictional pop-star rock out the show! Other parents commented on how lucky we were to get tickets. Again, not sure it was luck.
You never know who can bring something amazing into your world. All opportunities come from people, which means that if you embrace others, you win. But it must be a mutually beneficial relationship or the other people will not go out of their way to help you. Helping others allows you achieve more.
A reader of this blog left a post the other day telling me I was "lucky" to have a friend who was going to the Superbowl (and invited me to go alone). Again with the "lucky".
I think we make our own luck. Most people never think about this concept and just go through life without trying to influence their destiny. If you want more luck, try the following three steps and see what happens:
1. Expand your network. Knowing the right people has advantages. If your current friends are not providing you with new opportunities, you need to find some new friends! I am not suggesting you abandon the people in your life, just include new folks.
2. Let people know what you want. If you keep your goals and dreams secret then nobody can help you. Like the Hanna Montana tickets, they did not drop from the sky, I had told about forty people that I wanted to take my kids to the show. Only one came through, but that was all I needed.
3. Take chances. You have to try if you want to succeed. If I had not gone to the audition for the game show, I never would have won. However, if I had not been selected as a contestant, my life would have not been harmed. Therefore, you lose nothing by trying. However you could lose everything by not trying. Just go for it.
Have A Great Day.
thom
www.thomsinger.com
Cheers,
Chuck
Manufacture Your Own Luck
I know I am a fortunate guy. Some of my good fortune comes from hard work and strategery (I love that fake word, thank you Will Ferrell) while other things just fall into my lap.
When I was in college I was a five day returning champion on the game show "The $25,000 Pyramid" (Oh yes, it shows up from time to time on the Game Show Channel). I won $20,000, a trip for two to Brazil, a sailboat and a stereo. Plus more useless parting gifts than anyone would ever want (a year's supply of Triaminic...what was that about?). Many people proclaimed how "lucky" I was, but I never saw it that way. Or maybe it was luck, but I manufactured the situation that allowed me to be lucky.
To be on that game show one had to go through an extensive series of interviews and try-outs. I called the number, drove to Los Angeles (I lived in San Diego at the time) and took a battery of tests. Additionally, I had great word association skills - which were either God-given or taught in the Arcadia Unified School District. When someone said "grapes, bananas, the Brady family", I instantly knew they were talking about "things that come in a bunch". Without the skills and the action of getting my butt to the audition, there could have been no luck.
I recently wrote on this blog about how I scored my family four great seats for the Hanna Montana concert three hours before the show. Many people were surprised, but I had worked my network like crazy to find those tickets. The friend who tipped me off on their availability is someone I have known for about seven years. If I have not become friends with this person in the first place, my kids would have missed their favorite fictional pop-star rock out the show! Other parents commented on how lucky we were to get tickets. Again, not sure it was luck.
You never know who can bring something amazing into your world. All opportunities come from people, which means that if you embrace others, you win. But it must be a mutually beneficial relationship or the other people will not go out of their way to help you. Helping others allows you achieve more.
A reader of this blog left a post the other day telling me I was "lucky" to have a friend who was going to the Superbowl (and invited me to go alone). Again with the "lucky".
I think we make our own luck. Most people never think about this concept and just go through life without trying to influence their destiny. If you want more luck, try the following three steps and see what happens:
1. Expand your network. Knowing the right people has advantages. If your current friends are not providing you with new opportunities, you need to find some new friends! I am not suggesting you abandon the people in your life, just include new folks.
2. Let people know what you want. If you keep your goals and dreams secret then nobody can help you. Like the Hanna Montana tickets, they did not drop from the sky, I had told about forty people that I wanted to take my kids to the show. Only one came through, but that was all I needed.
3. Take chances. You have to try if you want to succeed. If I had not gone to the audition for the game show, I never would have won. However, if I had not been selected as a contestant, my life would have not been harmed. Therefore, you lose nothing by trying. However you could lose everything by not trying. Just go for it.
Have A Great Day.
thom
www.thomsinger.com
Opportunity knocks, are you ready for it?
There is a famous story about a man in a town that is being hit by a severe flood. Knowing the flood was coming the police knocked on this man’s door and told him of the coming danger and offered the man a ride to the safety of the local shelter. The man politely refused the police officer’s assistance with a simple reply “no thank you god will provide for me”.
The flood came and the water levels began to rise and reached the second floor of the man’s house forcing him to stay in the attic of his house. About this time a fireman came to the man in a boat and said “sir we are here to help you get in the boat and we will take you to the safety of the shelter”. The man politely refused once again and gave the simple reply “no thank you god will provide for me”.
The water levels continued to rise and it wasn’t long before this man was forced to stand of the roof of his house to keep himself out of the water. While standing on the roof of the house a coast guard helicopter came along to rescue the man. The friendly voice from inside said “sir we are here to take you to the safety of the shelter you must climb in the helicopter”. The man once again gave his simply reply “no thank you god will provide for me”.
Shortly after this the water level completely engulfed the man’s house and he was drowned by the water. Upon reaching heaven’s gate the man met God and asked why lord did you forsake me? God looked upon this man and said “silly fool, I sent you a car a boat AND a helicopter and you chose not to use any of them. Three great opportunities were presented to you and you did not take advantage of any of them.”
I believe this story makes a wonderful point; opportunity presents itself on a daily basis. When it arrives are you prepared for it or are you always looking for something better? Thomas Edison once said “Opportunity is missed by most people because it is dressed in overalls and looks like work.”
The best way you can take control of you life is to accept the fact that everything in your life is your fault. You are who you are and what you are because of the choices you have made. You can embrace a new opportunity at any time; all it takes is an open mind and a willingness to work at it.
The flood came and the water levels began to rise and reached the second floor of the man’s house forcing him to stay in the attic of his house. About this time a fireman came to the man in a boat and said “sir we are here to help you get in the boat and we will take you to the safety of the shelter”. The man politely refused once again and gave the simple reply “no thank you god will provide for me”.
The water levels continued to rise and it wasn’t long before this man was forced to stand of the roof of his house to keep himself out of the water. While standing on the roof of the house a coast guard helicopter came along to rescue the man. The friendly voice from inside said “sir we are here to take you to the safety of the shelter you must climb in the helicopter”. The man once again gave his simply reply “no thank you god will provide for me”.
Shortly after this the water level completely engulfed the man’s house and he was drowned by the water. Upon reaching heaven’s gate the man met God and asked why lord did you forsake me? God looked upon this man and said “silly fool, I sent you a car a boat AND a helicopter and you chose not to use any of them. Three great opportunities were presented to you and you did not take advantage of any of them.”
I believe this story makes a wonderful point; opportunity presents itself on a daily basis. When it arrives are you prepared for it or are you always looking for something better? Thomas Edison once said “Opportunity is missed by most people because it is dressed in overalls and looks like work.”
The best way you can take control of you life is to accept the fact that everything in your life is your fault. You are who you are and what you are because of the choices you have made. You can embrace a new opportunity at any time; all it takes is an open mind and a willingness to work at it.
The times they are a changin'
Just the other day I alluded to some of the changes that are coming for business owners and baby boomers. Going about business as usually is no longer an option. On Wednesday the National Post published an article entitled “The times they are a-changin’” in which they state:
“Much of corporate Canada and North America is sitting in the eye of the storm that could soon reach gale force and wipe out your company…… We're right in the middle of a massive shift, and how we're going to be conducting business in the future does not lie with Baby Boomers. For anyone who doubts the intensity of this global shift, check out Karl Fisch's "Shift Happens" on You-Tube.
If companies hope to survive the impending storm, they need to stop doing what they've always done, and start listening and responding to Generation Y. Stop looking at people as costs and start seeing and treating them for what they are -- your greatest asset and the heart of your organization. Stop concentrating on tasks and start looking at processes and the big picture. Stop the empty rhetoric about continual learning and continuous improvement, and start learning to unlearn and relearn by listening to Gen Y employees.
Stop the bottom-line focus, and start taking a top-line view with employees as the primary subject. Stop paying lip service to the concept of employee engagement, and start connecting with your people individually and face-to-face. Stop insulting the intelligence of your young vibrant and highly educated workforce by making empty promises, and start delivering. Stop trying to put old ideas on young shoulders; stop talking and start listening-- the winds of change are just beginning to blow……
The "old" knowledge, accumulated throughout the 1960s, '70s and '80s, is dramatically different from the "new" knowledge that has been accumulated at a far faster rate by these young minds throughout the '90s and into the new millennium. This generation was born into the cyber age. They absorb information five times faster than Baby Boomers. We are not living in the agricultural, industrial or information age -- we're moving into a new age of collaboration, social networking and cyber communication. Gen Y communicates in its own language. It's time to start learning that language if you ever hope to influence them……..
The challenge for most industries and businesses now is that Generation X workers are taking a lot of the management jobs, and they've been trained by their Baby Boomer bosses. The Boomers are preparing for retirement, and don't care, or don't want to break out of their comfort zones at this stage in their careers. And decisions are still made at the top senior management level, without sufficient consultation with the Gen Y workforce.It's time to push boundaries, break out of comfort zones, expand horizons, and let this powerful group of passionate and motivated workers do their thing and drive your organizations into the uncharted waters of the future.
If you're feeling comfortable right now about your employee engagement and retention initiatives, perhaps you might be just basking in the eye of the storm. It's time to take stock of the situation before this wind of change becomes a hurricane. The answer, as Bob Dylan would say, "is blowin' in the wind."
The choice is yours, embrace the change and learn from the mistakes of others or get swallowed up by it. Just remember one thing, history is written by those who won.
Cheers,
Chuck
“Much of corporate Canada and North America is sitting in the eye of the storm that could soon reach gale force and wipe out your company…… We're right in the middle of a massive shift, and how we're going to be conducting business in the future does not lie with Baby Boomers. For anyone who doubts the intensity of this global shift, check out Karl Fisch's "Shift Happens" on You-Tube.
If companies hope to survive the impending storm, they need to stop doing what they've always done, and start listening and responding to Generation Y. Stop looking at people as costs and start seeing and treating them for what they are -- your greatest asset and the heart of your organization. Stop concentrating on tasks and start looking at processes and the big picture. Stop the empty rhetoric about continual learning and continuous improvement, and start learning to unlearn and relearn by listening to Gen Y employees.
Stop the bottom-line focus, and start taking a top-line view with employees as the primary subject. Stop paying lip service to the concept of employee engagement, and start connecting with your people individually and face-to-face. Stop insulting the intelligence of your young vibrant and highly educated workforce by making empty promises, and start delivering. Stop trying to put old ideas on young shoulders; stop talking and start listening-- the winds of change are just beginning to blow……
The "old" knowledge, accumulated throughout the 1960s, '70s and '80s, is dramatically different from the "new" knowledge that has been accumulated at a far faster rate by these young minds throughout the '90s and into the new millennium. This generation was born into the cyber age. They absorb information five times faster than Baby Boomers. We are not living in the agricultural, industrial or information age -- we're moving into a new age of collaboration, social networking and cyber communication. Gen Y communicates in its own language. It's time to start learning that language if you ever hope to influence them……..
The challenge for most industries and businesses now is that Generation X workers are taking a lot of the management jobs, and they've been trained by their Baby Boomer bosses. The Boomers are preparing for retirement, and don't care, or don't want to break out of their comfort zones at this stage in their careers. And decisions are still made at the top senior management level, without sufficient consultation with the Gen Y workforce.It's time to push boundaries, break out of comfort zones, expand horizons, and let this powerful group of passionate and motivated workers do their thing and drive your organizations into the uncharted waters of the future.
If you're feeling comfortable right now about your employee engagement and retention initiatives, perhaps you might be just basking in the eye of the storm. It's time to take stock of the situation before this wind of change becomes a hurricane. The answer, as Bob Dylan would say, "is blowin' in the wind."
The choice is yours, embrace the change and learn from the mistakes of others or get swallowed up by it. Just remember one thing, history is written by those who won.
Cheers,
Chuck
Success- George Allen
"People of mediocre ability sometimes achieve outstanding success because they don't know when to quit. Most men succeed because they are determined to."
George Allen, football coach
George Allen, football coach
The law of abundance- Be ready to receive
One of the first lessons to becoming wealthy and successful is to understand the principles of the Law of Abundance. The Law of Abundance states that there is plenty of everything to go around all you need to do is be ready to accept your share. This share can be of anything you can conceive of in your mind whether it is money, friends, material goods, energy, health and even happiness.
The secret to the Law of Abundance is that to be able to you receive you must be ready. This is where most people run into trouble with the law. A simple way to think about this is to imagine a closet full of clothes. Suppose you would like a wardrobe full of designer clothing made by the world’s best fashion designers of Paris, London and New York but your closest is crammed full of clothes you bought at Wal-Mart. Until you empty out your closet of the old clutter there will be no room for you to add the designer clothes you want to have.
This emptying of the closet does not just apply to clothing, it applies to every aspect of you life. You must get rid of all of you baggage both physical and emotional to allow into your life the things and the people you want to have.
Another example of this would be relationships. Supposed you are in an abusive relationship with a partner who does not respect you. Before you can begin a new healthy relationship with someone new you must first end the old unhealthy one. Ask yourself, what baggage is holding me back from achieving what I want in life? What do I need to eliminate from my life to begin reaping the rewards of the Law of Abundance?
Once you can clear the clutter you allow yourself to move forward toward success. Remember the golden rule when it comes to the Law of Abundance, nothing is neutral. Everything you do either helps you or hinders you along the way so be clear on what you want and make sure you remove your own roadblocks so when you are offered the gifts in life you are able to accept them.
Cheers,
Chuck
The secret to the Law of Abundance is that to be able to you receive you must be ready. This is where most people run into trouble with the law. A simple way to think about this is to imagine a closet full of clothes. Suppose you would like a wardrobe full of designer clothing made by the world’s best fashion designers of Paris, London and New York but your closest is crammed full of clothes you bought at Wal-Mart. Until you empty out your closet of the old clutter there will be no room for you to add the designer clothes you want to have.
This emptying of the closet does not just apply to clothing, it applies to every aspect of you life. You must get rid of all of you baggage both physical and emotional to allow into your life the things and the people you want to have.
Another example of this would be relationships. Supposed you are in an abusive relationship with a partner who does not respect you. Before you can begin a new healthy relationship with someone new you must first end the old unhealthy one. Ask yourself, what baggage is holding me back from achieving what I want in life? What do I need to eliminate from my life to begin reaping the rewards of the Law of Abundance?
Once you can clear the clutter you allow yourself to move forward toward success. Remember the golden rule when it comes to the Law of Abundance, nothing is neutral. Everything you do either helps you or hinders you along the way so be clear on what you want and make sure you remove your own roadblocks so when you are offered the gifts in life you are able to accept them.
Cheers,
Chuck
Become the customer you want to have
I have always been a firm believer in the notion you should always sell on value and never on price. I was meeting with a prospect today who was in search of marketing help for his 18 month old business. He was saying all of the right things telling me his business was doing well but he wanted to be doing better.
One of the strategies for improving the business was to upgrade the quality of client he went after. He told me how he wanted to service the same number of clients per month but greatly increase his revenue per client thus making his a much more profitable business using the same number of hours in a week.
I was all ears and eager to speak further with him as on the surface he was an ideal client with a good mind for business. Well it appeared that way until he dropped the bombshell. Even though he wanted top quality customers who understood value and did not shop on price; he wanted to only shop on price for the services he needed to improve his business. Put another way he wanted to buy from the lowest bidder. I politely thanked him for his time and explained I was probably not the best fit for him.
I am sharing this example with you as I have seen this all too common mistake so many times in business. I think Emerson put it best when he said “What you do speaks so loud that I cannot hear what you say”. One of the most important characteristics successful business people must have is that of sincerity and integrity. I would like to pose this question to you, how can you look a customer in the eye and tell him you honestly believe the best business decision is to buy on value and not price if you do not prove it with your own actions?
There are certain unbreakable laws in the Universe such as the Law of Attraction which states what you put out is what you get back. If you wish to have a large base of customers who are value driven and are willing to pay the price for good results you must first be that person yourself. Once you become the person you want to attract the customers you seek will seek you out and your calendar will be forever full.
There are no short cuts to success; the Law of Attraction is always working either for you or against you. Play your cards right, act in harmony with your beliefs and good things will happen, this you can take to the bank. Remember, the universe sees all and everyone gets what they have earned.
Cheers,
Chuck
One of the strategies for improving the business was to upgrade the quality of client he went after. He told me how he wanted to service the same number of clients per month but greatly increase his revenue per client thus making his a much more profitable business using the same number of hours in a week.
I was all ears and eager to speak further with him as on the surface he was an ideal client with a good mind for business. Well it appeared that way until he dropped the bombshell. Even though he wanted top quality customers who understood value and did not shop on price; he wanted to only shop on price for the services he needed to improve his business. Put another way he wanted to buy from the lowest bidder. I politely thanked him for his time and explained I was probably not the best fit for him.
I am sharing this example with you as I have seen this all too common mistake so many times in business. I think Emerson put it best when he said “What you do speaks so loud that I cannot hear what you say”. One of the most important characteristics successful business people must have is that of sincerity and integrity. I would like to pose this question to you, how can you look a customer in the eye and tell him you honestly believe the best business decision is to buy on value and not price if you do not prove it with your own actions?
There are certain unbreakable laws in the Universe such as the Law of Attraction which states what you put out is what you get back. If you wish to have a large base of customers who are value driven and are willing to pay the price for good results you must first be that person yourself. Once you become the person you want to attract the customers you seek will seek you out and your calendar will be forever full.
There are no short cuts to success; the Law of Attraction is always working either for you or against you. Play your cards right, act in harmony with your beliefs and good things will happen, this you can take to the bank. Remember, the universe sees all and everyone gets what they have earned.
Cheers,
Chuck
Subscribe to:
Posts (Atom)
