Thursday, February 26, 2015
Tuesday, May 11, 2010
If you think education is expensive, try ignorance.
You Are Invited To Step Into My Mind
http://ping.fm/qEgrj
You Are Invited To Step Into My Mind
http://ping.fm/qEgrj
Friday, April 10, 2009
Why the Cheap Will Never Get Rich
Why the Cheap Will Never Get Rich
by Robert Kiyosaki
The other day a friend of mine approached me excitedly, saying, "I found the house of my dreams. It's in foreclosure and the bank will sell it to me for a great price."
"How good is the price?" I asked.
"Just before the real estate market crashed, the seller was asking $780,000 for the property. Today, I can buy it from the bank for $215,000. What do you think?" she asked.
"How would I know?" I replied. "All you've given me is the price."
"Yes!" she squealed. "Now my husband and I can afford it."
"Only cheap people buy on price," I replied. "Just because something is cheap doesn't mean it's worth the cost."
I then explained to her one of my most basic money principles: I buy value. I will pay more for value. If I don't like the price, I simply pass. If the seller wants to sell, he will come back with a better price. I let him tell me what he will accept. I know some people love to haggle; personally, I don't. If a person wants to sell, they will sell. If I feel what I am buying is of value, I'll pay the price. Value rather than price has made me rich.
Against my advice, my friend sought financing for her "dream" home.
Fortunately, the bank turned her down. The house was on a busy street in a deteriorating neighborhood. The high school four blocks away was one of the most dangerous schools in the city. Her son and daughter would either have to go to private school or take karate lessons. She is now looking for a cheaper house to buy and has asked her father, who is retired, for help with the down payment. If her past is a crystal ball to her future, she will likely always be cheap and poor, even though she is a good, kind, educated, hard-working person.
My Point of View
What follows are some thoughts on why my friend will probably never get ahead financially -- especially in this market.
1. She and her husband have college degrees but zero financial education. Even worse, neither plans to attend any investment classes. Choosing to remain financially uneducated has caused them to miss out on the greatest bull and bear markets in history. As my rich dad often said, "What you don't know keeps you poor."
2. She is too emotional. In the world of money and investing, you must learn to control your emotions. When you think about it, three of our biggest financial decisions in life are made at times of peak emotional excitement: deciding to get married, buying a home, and having kids.
My dad often said, "High emotions, low intelligence." To be rich, you need to see the good and the bad, the short- and long-term consequences of your decisions. Obviously, this is easier said than done, but it's key to building wealth.
3. She doesn't know the difference between advice from rich people and advice from sales people. Most people get their financial advice from the latter -- people who profit even if you lose. One reason why financial education is so important is because it helps you know the difference between good and bad advice.
As the current crisis demonstrates, our schools teach very little about money management. Millions of people are living in fear because they followed conventional wisdom: Go to school, get a job, work hard, save money, buy a house, get out of debt, and invest for the long term in a well-diversified portfolio of mutual funds. Many people who followed this financial prescription are not sleeping at night. They need a new plan. Had they sought out a little financial education, they might not be entangled in this mess.
A Thank You to Jon Stewart
Speaking of finance experts, I personally want to thank Jon Stewart of 'The Daily Show' for taking on Jim Cramer and CNBC. Jon Stewart did an incredible job of representing the millions of people all over the world who have lost their savings in the market. He was right in saying he thought it "disingenuous" to advise people to invest for the long term through their retirement plans while knowing full well that traders could steal Americans' retirement money by trading in and out of the market. Most traders like Cramer realize that investing in mutual funds for the long term is financial suicide. Cramer should have spoken up, but we all know why CNBC won't let him tell the truth. If he did, the station's advertisers would leave.
While I applaud Cramer for going on 'The Daily Show' and facing the music, I'm afraid he was marginalized by Stewart -- certainly outgunned -- and he has lost his credibility. He may pay an even bigger price if the SEC decides to dig deeper.
Jim Cramer is a very smart man. I watch his show. I just do not follow his advice.
In closing, I will say what I have said for years: We need financial education in our schools. Without it, we cannot tell the good advice from the bad.
by Robert Kiyosaki
The other day a friend of mine approached me excitedly, saying, "I found the house of my dreams. It's in foreclosure and the bank will sell it to me for a great price."
"How good is the price?" I asked.
"Just before the real estate market crashed, the seller was asking $780,000 for the property. Today, I can buy it from the bank for $215,000. What do you think?" she asked.
"How would I know?" I replied. "All you've given me is the price."
"Yes!" she squealed. "Now my husband and I can afford it."
"Only cheap people buy on price," I replied. "Just because something is cheap doesn't mean it's worth the cost."
I then explained to her one of my most basic money principles: I buy value. I will pay more for value. If I don't like the price, I simply pass. If the seller wants to sell, he will come back with a better price. I let him tell me what he will accept. I know some people love to haggle; personally, I don't. If a person wants to sell, they will sell. If I feel what I am buying is of value, I'll pay the price. Value rather than price has made me rich.
Against my advice, my friend sought financing for her "dream" home.
Fortunately, the bank turned her down. The house was on a busy street in a deteriorating neighborhood. The high school four blocks away was one of the most dangerous schools in the city. Her son and daughter would either have to go to private school or take karate lessons. She is now looking for a cheaper house to buy and has asked her father, who is retired, for help with the down payment. If her past is a crystal ball to her future, she will likely always be cheap and poor, even though she is a good, kind, educated, hard-working person.
My Point of View
What follows are some thoughts on why my friend will probably never get ahead financially -- especially in this market.
1. She and her husband have college degrees but zero financial education. Even worse, neither plans to attend any investment classes. Choosing to remain financially uneducated has caused them to miss out on the greatest bull and bear markets in history. As my rich dad often said, "What you don't know keeps you poor."
2. She is too emotional. In the world of money and investing, you must learn to control your emotions. When you think about it, three of our biggest financial decisions in life are made at times of peak emotional excitement: deciding to get married, buying a home, and having kids.
My dad often said, "High emotions, low intelligence." To be rich, you need to see the good and the bad, the short- and long-term consequences of your decisions. Obviously, this is easier said than done, but it's key to building wealth.
3. She doesn't know the difference between advice from rich people and advice from sales people. Most people get their financial advice from the latter -- people who profit even if you lose. One reason why financial education is so important is because it helps you know the difference between good and bad advice.
As the current crisis demonstrates, our schools teach very little about money management. Millions of people are living in fear because they followed conventional wisdom: Go to school, get a job, work hard, save money, buy a house, get out of debt, and invest for the long term in a well-diversified portfolio of mutual funds. Many people who followed this financial prescription are not sleeping at night. They need a new plan. Had they sought out a little financial education, they might not be entangled in this mess.
A Thank You to Jon Stewart
Speaking of finance experts, I personally want to thank Jon Stewart of 'The Daily Show' for taking on Jim Cramer and CNBC. Jon Stewart did an incredible job of representing the millions of people all over the world who have lost their savings in the market. He was right in saying he thought it "disingenuous" to advise people to invest for the long term through their retirement plans while knowing full well that traders could steal Americans' retirement money by trading in and out of the market. Most traders like Cramer realize that investing in mutual funds for the long term is financial suicide. Cramer should have spoken up, but we all know why CNBC won't let him tell the truth. If he did, the station's advertisers would leave.
While I applaud Cramer for going on 'The Daily Show' and facing the music, I'm afraid he was marginalized by Stewart -- certainly outgunned -- and he has lost his credibility. He may pay an even bigger price if the SEC decides to dig deeper.
Jim Cramer is a very smart man. I watch his show. I just do not follow his advice.
In closing, I will say what I have said for years: We need financial education in our schools. Without it, we cannot tell the good advice from the bad.
5 reasons to network in a tough economy
5 Reasons to Network in a Tough Economy by Thom Singer
It seems in boom-boom times many professionals forget that they are not alone in their outstanding success. They bask in the glow of the big deals and high income and start believing that they are the central cause for their own glory.Welcome to the recession.Now people who ignored others and felt invincible are feeling the pinch of hard times. Alas, they are frantically going back to the basics of business, and one of those basics is realizing that nobody succeeds in a vacuum. Seems networking is a hot topic.
Here are 5 reasons that your network is important in a tough economy:
1. All opportunities come from people. Those who were "too busy" to go to lunch or invest time in cultivating meaningful relationships are hungry to network. In a tough economy any and all referral sources become important to survival. If you want more sales, the people you know can be the conduit to discovering new clients.
2. Your network is your safety net. If you get caught in a lay-off it is the people in your network who can help you find your next employer or lead you to consulting gigs. Additionally those with whom you have already developed mutually beneficial relationships are the ones who will be available for moral support if and when you need it. If you have no network, these tough times can seem very lonely.
3. When marketing budgets are cut, word-of-mouth is your only hope. If you cannot afford marketing, PR and advertising, you need to get out and spread the word yourself. But you can only go so far, thus having strong contacts who understand the value you bring can multiply your visibility by telling others about you and your products / services.
4. We learn from others. Being around other intelligent and creative people can motivate and inspire you to succeed. If you have a network of contacts with whom you share information, you cultivate an environment of learning. When you learn you grow. When you are stagnate you die.
5. If you are not networking, remember - your competitors ARE networking! Out of sight is out of mind. If the success of your business in this economy is important to you then you will find a way to make it to the breakfasts, luncheons and "after hours" events. Yes, it is time consuming, but with more people out seeking to make connections, you can rest assured that your competition is trying to meet your customers. If you stay home you are giving them a free pass to begin to build relationships that can and will lead them to future business.
It seems in boom-boom times many professionals forget that they are not alone in their outstanding success. They bask in the glow of the big deals and high income and start believing that they are the central cause for their own glory.Welcome to the recession.Now people who ignored others and felt invincible are feeling the pinch of hard times. Alas, they are frantically going back to the basics of business, and one of those basics is realizing that nobody succeeds in a vacuum. Seems networking is a hot topic.
Here are 5 reasons that your network is important in a tough economy:
1. All opportunities come from people. Those who were "too busy" to go to lunch or invest time in cultivating meaningful relationships are hungry to network. In a tough economy any and all referral sources become important to survival. If you want more sales, the people you know can be the conduit to discovering new clients.
2. Your network is your safety net. If you get caught in a lay-off it is the people in your network who can help you find your next employer or lead you to consulting gigs. Additionally those with whom you have already developed mutually beneficial relationships are the ones who will be available for moral support if and when you need it. If you have no network, these tough times can seem very lonely.
3. When marketing budgets are cut, word-of-mouth is your only hope. If you cannot afford marketing, PR and advertising, you need to get out and spread the word yourself. But you can only go so far, thus having strong contacts who understand the value you bring can multiply your visibility by telling others about you and your products / services.
4. We learn from others. Being around other intelligent and creative people can motivate and inspire you to succeed. If you have a network of contacts with whom you share information, you cultivate an environment of learning. When you learn you grow. When you are stagnate you die.
5. If you are not networking, remember - your competitors ARE networking! Out of sight is out of mind. If the success of your business in this economy is important to you then you will find a way to make it to the breakfasts, luncheons and "after hours" events. Yes, it is time consuming, but with more people out seeking to make connections, you can rest assured that your competition is trying to meet your customers. If you stay home you are giving them a free pass to begin to build relationships that can and will lead them to future business.
Wednesday, December 26, 2007
How to Detect a Bad MLM Business
Avoid saying "Wow, if only I had known"
Based on what you have seen (not what I say), see if this rings true. It's worth reading every word!!!
Possible Bad Business Choices:
1. Caution: No credit card acceptance, only some 3rd party electronic "service". Their own bank is not standing behind them to set up a Merchant Account. They're viewed as a high liability risk.
2A. This one is rampant, compensation plans that would confuse Einstein! Watch out for a convoluted labyrinth of hurtles erected so very few can ever maximize the pay out.
It's likely many can't figure how they get paid let alone explain it to someone. It appears like you can earn a lot, yet it's could actually be designed to pay as little as possible.
2B. This one really bugs me. Some plans are designed with "breakage" in mind. That means the pay plan is geared to have a big chunk of the money roll up to the company.
3. Pre-Launch, Start Up? Hot buzz words but 95% of them fail.
4. More Smoke And Mirrors. (also see #2 A & B) It's been said the magician's best deception is one that's in plain sight. Companies usually fully disclose how commissions are calculated. It's in plain sight.
But often you don't really know the significance of what they just told you. They did nothing wrong, you and Einstein just didn't know their math.
For example, the literature says "we pay X percent total to field" let's say it's 70% which “sounds” generous and beats XYZ company. But, it goes on to say things like "on BV or CV" etc. Seems more like pay "ME, ME". BV and CV are how much of the product cost they will “actually” pay commissions on.
In this example you're thinking 70% of that $100 item. However, the BV or CV (Business Volume etc.) is lets say $65. They just took money (they pocketed $35) off the table first. The field (total reps paid) get 70% of what's left and the company keeps “another” 30% of what's on the table too. Surprised?
Fully disclosed, yes. In the example they are paying 70% to the field, that's the number your mind locks in on. But, as you can see it's NOT being paid on the real total of revenue the field is generating!
Get More Education Here
http://tinyurl.com/itstime2earn
Based on what you have seen (not what I say), see if this rings true. It's worth reading every word!!!
Possible Bad Business Choices:
1. Caution: No credit card acceptance, only some 3rd party electronic "service". Their own bank is not standing behind them to set up a Merchant Account. They're viewed as a high liability risk.
2A. This one is rampant, compensation plans that would confuse Einstein! Watch out for a convoluted labyrinth of hurtles erected so very few can ever maximize the pay out.
It's likely many can't figure how they get paid let alone explain it to someone. It appears like you can earn a lot, yet it's could actually be designed to pay as little as possible.
2B. This one really bugs me. Some plans are designed with "breakage" in mind. That means the pay plan is geared to have a big chunk of the money roll up to the company.
3. Pre-Launch, Start Up? Hot buzz words but 95% of them fail.
4. More Smoke And Mirrors. (also see #2 A & B) It's been said the magician's best deception is one that's in plain sight. Companies usually fully disclose how commissions are calculated. It's in plain sight.
But often you don't really know the significance of what they just told you. They did nothing wrong, you and Einstein just didn't know their math.
For example, the literature says "we pay X percent total to field" let's say it's 70% which “sounds” generous and beats XYZ company. But, it goes on to say things like "on BV or CV" etc. Seems more like pay "ME, ME". BV and CV are how much of the product cost they will “actually” pay commissions on.
In this example you're thinking 70% of that $100 item. However, the BV or CV (Business Volume etc.) is lets say $65. They just took money (they pocketed $35) off the table first. The field (total reps paid) get 70% of what's left and the company keeps “another” 30% of what's on the table too. Surprised?
Fully disclosed, yes. In the example they are paying 70% to the field, that's the number your mind locks in on. But, as you can see it's NOT being paid on the real total of revenue the field is generating!
Get More Education Here
http://tinyurl.com/itstime2earn
Thursday, August 30, 2007
Magnetic Sponsoring
If You Have Never Signed Up A Dozen
New Customers into Your Business Within 7 Days,
Give Me 10 Minutes and I"ll Show You What 95%
Of The Industry Only Dreams About
Proven Tips, Tools and Tactics To Build Your downline
When you do this business right, you don't have to ask people to join your business? They ask you!
When you do this business right, you don't have to hold home meetings!
When you do this business right, you don't have to post flyers!
When you do this business right, you don't have to make a list of 100 people you know and pitch your business to your friends and family!
When you do this business right, your leads PAY YOU MONEY to prospect them!
New Customers into Your Business Within 7 Days,
Give Me 10 Minutes and I"ll Show You What 95%
Of The Industry Only Dreams About
Proven Tips, Tools and Tactics To Build Your downline
When you do this business right, you don't have to ask people to join your business? They ask you!
When you do this business right, you don't have to hold home meetings!
When you do this business right, you don't have to post flyers!
When you do this business right, you don't have to make a list of 100 people you know and pitch your business to your friends and family!
When you do this business right, your leads PAY YOU MONEY to prospect them!
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