Become Financially Independent

With your budget, there are only two variables: inflow and outflow. If you spend more than your income, it’s called poverty or possibly bankruptcy.
There are several ways to help get to a positive cash flow – Increase your income, and/or decrease your expenses.

Here are three things I have done for several years that save money, and help stem the spending, so I can balance my budget:

1) Cook your own breakfast. Whether you eat cereal, or eggs and hash browns, making it yourself can save TONS of money in a year.
Let’s see: 1/2 of a 3 egg omelet and a hash brown patty = ONE Quarter !! (eggs are about a dime each, I get hash browns for about 10 cents each) Time, you say? Well it takes me 10 minutes to make my own pretty good breakfast. It would probably take me just as long to drive to a fast-food restaurant and go through the drive-through. And the cost at a fast food? Well, what do YOU spend. . .$1.25, $2.00, or what? Let’s say that you spend TWO DOLLARS a day (just on weekdays). That comes to $1.75 saved for 10 minutes effort, or an hourly wage of $10.50.

Or, to put it another way, if you save $1.75 (or whatever you spend) 5 days each week, that’s $455.00 per year. Enough to buy an IPod, or a pretty good digital camera, or make one month’s rent. . .

Stay tuned for the second and third easy idea. . .

OK, so financial advisors and “Wizards” are a dime a dozen. . . I just wanted you to know that I’m not some guy in a bar talking about money. Here are some of my qualifications:

1) I was involved with the local chapter of the Institute of Financial Education in St. Louis for over 10 years. In fact, I was an officer for six years, and Chapter president in 1989.

2) I have taught evening classes to adults on “Personal Money Management”.

3) I’m not wealthy by the standards most people have (a Jaguar in the garage, $1.5 million dollar home, private jet, etc.) But I’m wealth in the following ways:
a) I and my wife have No Debt whatsoever
b) We have a positive cash flow in spite of my being on Social Security disability.
c) We vacation regularly, and well. We are takin a week-long cruise to Alaska in June, 2006. And we just booked a 7-day cruise in the Carribean for January, 2006, as well.
d) I have saved for retirement, and have a number of stocks I own.
e) We did this without the benefit of rich parents or relatives. f) Our house is completely paid off, as are both our autos.
4) I was a banker for 10 years, a vice-president and branch manager, and had a license to sell annuities.

So pay attention!!! I may have something usefull to say. . .then again, I’m ready to learn and consider myself always ready to discover something new. That’s why this goal is NOT marked DONE.

From “The Tao” by Lao Tzu:

Chapter 33

Knowing others is wisdom;
Knowing the self is enlightment.
Mastering others requires force;
Mastering the self needs strength.
He who knows he has enough is rich.
Perseverance is a sign of will power.
He who stays where he is endures.
To die but not to perish is to be eternally present.

• a lovely, kind, sensitive wife
• a house that was paid for (a simple house, yet secure)
• no financial debts, only debts of gratitude to others
• many caring and supportive friends
• a deep sense that I am loved, and worth it.
• enough money and time to give away money and time to others.
• a job that I loved and that requires constantly improving my sills.
• A sense of plenty rather than scarcity. A feeling of abundance and generosity rather than fear and grasping for more.

Two hundred fifty eight people want to Become Financially Independent. 255 are just dreaming. Only two seem committed.
Out of 258 people only 3 have written more than One lousy entry?!!! This shows a complete lack of dedication and commitment. Without keeping this goal in front of us frequently, we can’t achieve anything!! I suppose that’s why there are so few wealthy people. . . most people just DREAM, and never ACT.

• spend less
• make more
• invest at a profit

• eat less
• exercise more
• take smaller portions
• eat healthy things
• exercise self-control

I refill water bottles I buy at the grocery. Tap water in my town tastes just as good. What a marketing coup: Take water (that doesn’t have to be shipped from Saudi Arabia, doesn’t have to be processed) and sell it for more than the price of GASOLINE. Think about it: Gas is at, say $2.50 a gallon. Water at $.80 a quart, works out to be about $3.20 a gallon. Are you kidding me? Assuming you didn’t buy bottled water for a year, you could save $300 or more. . In TEN years, $3.000. It’s the small things that add up.

The path to financial indepence takes discipline and a steady resolve. There’s no easy way to this one. So if you’re not into living with less, making some lifestyle adjustments, or not willing to sacrifice (time or luxuries, for example), don’t even bother to say that this is something you want. You’ll only be frustrated. But I CAN provide you with some tips that will help along the way. More later.