Sunday, September 27, 2015

Why not 12%? Why not YOU? Why not NOW?

I recently had some interesting information revealed to me that I just had to share it with you!

(Drum roll please.) Well here it goes: If you take the amount you are investing on a monthly basis, assuming a 12% rate of return (not 11% and not 13%), your result in 20 years (not 19 years and not 21 years) would approximately be the monthly amount you were investing plus three zeroes added to the end. So, that means, for example, if you were to invest $1,000 per month working at 12%, in 20 years you would have $1 million! Isn't that awesome? I think it is because I strongly believe that everyone should at least have a 20 year game plan for becoming a millionaire. If you don't have one yet, then you can take this one.

But, you are probably wondering, how can I get 12%? 12% is impossible! On the contrary, I believe 12% is very possible over the long term. However, don't take my word for it, take financial guru, Dave Ramsey's word for it! I love how he puts it in his book The Total Money Makeover: A Proven Plan for Financial Fitness:

"There are several people in our country today who are ignorant on the returns offered by investing well. Ignorance is not lack of intelligence; it is simply 'not knowing.' Sadly, many intelligent but ignorant people seem to think that making a 12 percent rate of return on their money in a long-term investment is impossible."

"I recommend good growth-stock mutual funds in this book as a long-term investment and dare to state that you should make 12 percent on your money over time. The supporting data for that bold statement can be found by looking at the historical averages of the Standard & Poor's 500 index. Widely regarded as the best single gauge of the US equities market, the S&P 500 is an index with five hundred of the largest companies in leading industries of the US economy. The S&P 500 has averaged 11.69 percent per year for the last eighty-plus years, as of this writing [2013]. This includes some pretty significant recession periods."

"Does that mean you can expect to see 12 percent growth every year? Of course not. That's not how this thing works. The market goes up and down all of the time, and sometimes it's a pretty wild ride. Just looking back over the past few years as of this writing [2013], it looks like a roller coaster. In 2009, the market's annual return was 26.46 percent. In 2010, it was 8 percent. In 2011, it was actually down for the year at -1.12 percent. But true long-term investors don't worry too much about the year-to-year returns. They look at the history over the long haul, knowing that some years it'll be up, and some years it'll be down."

"Most experts and anyone who has had even one finance class agree that the S&P 500 is a great statistical measure of stock market returns. This is such a standard, or bellwether, that virtually every stock fund will show you its returns in comparison to the S&P 500. And again, the life-time average of the S&P 500 is just under 12 percent."

"Any decent broker with the heart of a teacher can, in his or her sleep, lead you to funds with long track records averaging over 12 percent. So don't let anyone tell you that you can't predict a 12 percent rate when you are considering investments for ten years or longer."


So, with that in mind, here are some questions that you may want to ponder: Why not 12%? Why not YOU? And if you haven't already started on your 20-year game plan, Why not NOW?

I'm so excited to share this information with you. If you have enjoyed the information or feel that it would benefit someone else, please share it. If you have any comments, please post them below, otherwise, feel free to contact me.

Sunday, September 20, 2015

How Your Words Impact Your Success
Written by Jim Rohn

If you have a limited vocabulary, you will also have a limited vision and a limited future.

Sometimes the subtle difference in our attitude, which can make a major difference in our future, can be as simple as the language we use. It’s the difference in even how you talk to yourself or others. It’s consciously making a decision to quit saying what you don't want and to start saying what you do want. It’s faith—believing in the best, hoping for the best and moving toward the best.

Instead of saying, "What if somebody doesn't respond?" start saying, "What if they do respond?"
Instead of saying, "What if someone says no?" say, "What if they say yes?"
Instead of saying, "What if they start and quit?" say, "What if they start and stay?"
Instead of saying, "What if it doesn't work out?" say, "What if it does work out?"

When you start thinking and saying what you really want, then your mind automatically shifts and pulls you in that direction. And sometimes it can be that simple—just a little twist in vocabulary that illustrates your attitude and philosophy.

Our language can also affect how others perform and behave around us. A teenager says to a parent, "I need $10." The parents say, "No comprende. That’s not how you get $10. That kind of language doesn't work here. But ‘How can I earn $10?’ might.”

There is plenty of money here. There is money for everybody—but you have to learn the magic words to get it. To get everything you could possibly want, you just have to learn the philosophy. How could you earn $10?

You can't go to the soil and say, "Give me a harvest." You know the soil smiles and says, "Who is this clown that brings me his need and brings me no seed?" And if you say to the soil, "I've got this seed and if I planted it, would you work while I sleep?" And the soil says, "No problem. Give me the seed. Go to sleep and I'll be working while you're sleeping." These simple principles are sometimes just a matter of language.

It is easy to stumble through almost a lifetime and not learn some of these simplicities. Then you have to put up with all the lack and all the challenges that don't work out simply from not reading the book, not listening to the lesson, not studying your language—not being willing to search so you can then find.

But here is the great news. You can start this process anytime. For me it was at age 25. At 25 I was broke. Six years later, I was a millionaire.

You might ask, "What kind of revolution, what kind of change, what kind of thinking, what kind of magic had to happen? Was it you?"

No.

Any person, any six years you go on an intensive, accelerated personal development curve, learning curve, application curve, you can learn the disciplines. Now, it might not take the same amount of time, but the same changes and the same rewards are available for those who pay that “six-year" price. And you might find that whether it's in the beginning to help get you started or in the middle to keep you on track, your language can have a great impact on your attitude, actions and results.

Jim Rohn, America's Foremost Business Philosopher, reprinted with permission from Jim Rohn International © 2015. As a world-renowned author and success expert, Jim Rohn touched millions of lives during his 46-year career as a motivational speaker and messenger of positive life change. For more information on Jim and his popular personal achievement resources or to subscribe to the weekly Jim Rohn Newsletter, visit www.JimRohn.com.

Sunday, September 13, 2015

You Work Hard For Your Money and Your Money Should Be Working Hard … FOR YOU!

Many people, just like me, were taught all our lives that when you get any extra money that you are supposed to save that extra money at the Bank or Credit Union. Now, don’t get me wrong, those people who taught us this probably had good
intentions. But, think about it, when you save your money at the Bank or Credit Union, do they just leave that money alone and just wait for you to come back for it? No, of course not. They may lend some of that money out and charge interest, and they may invest some of it in the global economy and earn interest. So basically, they make your money grow over time and traditionally pay you a small rate of return for your troubles.

What the Banks don’t want you to know
Have you ever heard of the Rule of 72? Well, you’re normal if you haven’t; because it is also known as the Banker’s Rule and they don’t really have much of an incentive to teach it to us. So, let’s say you worked really hard at your job and you got a $10,000 bonus. The way the Rule of 72 works is if you know the interest rate you are getting and you divide that into the magical number 72, that will approximate the number of years it will take for your money to double.

Based what we've been most likely taught all of our lives; you might just want to save that money at the Bank. And, let’s say that the Banks are giving a 3% rate of return (72 ÷ 3 = 24). That means it will take 24 years for your money to double. How many 24 year doubling periods do you think most people have? Not many. So, in 24 years the money would double to $20,000 and in 24 more years it would double again to $40,000. But of course, right now you'd be luck to get around 1% (72 ÷ 1 = 72) at the Bank, which means at that rate it would take us approximately 72 years to double our money! So, do you really think it is possible for anyone to retire if we are continually taught to save our money in "safe" vehicles that have traditionally given us very low rates of return on our money?

What if we were to get the same rates as the Bank?
I’m sure it is not that hard to imagine that the Banks can get at least 12%, I mean Bank credit card averages around 17% interest. So, let’s image that we can get the same rate as the Bank, or at least 12% (72 ÷12 = 6). So, if our $10,000 were doubling every 6 years over 48 years - that would grow to over $2.5 million!

So, when you think about it, when you put that $10,000 in an account at the Bank, the Bank takes and invests your money - and if they only get a 12% rate of return on your money over 48 years they would get $2.5 million and you would get $40,000. Is that really fair? So, in this case who really worked hard for that $10,000 bonus? You did! But who did that money really work hard for? The Bank!

Remember, money is almost always working hard … for somebody. I just believe that since you are the one that worked very hard for that money, that somebody should be you … not somebody else.

I'm so excited to share this information with you. If you have enjoyed the information or feel that it would benefit someone else, please share it. If you have any comments, please post them below, otherwise, feel free to contact me.

Sunday, September 6, 2015

There’s No Telling What You Can Do When You Get Inspired

The ultimate reason for setting goals is to entice you to become the person it takes to achieve them.

What goals did you set at the start of this year? Have you accomplished them? Personal development legend Jim Rohn says the most valuable lessons lie not in the destination, but the journey.

“The real value in setting goals is not in their achievement. The acquisition of the things you want is strictly secondary. The major reason for setting goals is to compel you to become the person it takes to achieve them,” Rohn says.

Say you want to be a millionaire. The greatest value to becoming one is actually not the million dollars (seriously!). “The greatest value is in the skills, knowledge, discipline and leadership qualities you’ll develop in reaching that elevated status,” Rohn says.

Answer this question: What kind of person will you have to become to get all you want? Write down the kinds of skills you’ll need to develop and the knowledge you’ll need to gain. Your answers might give you some new goals for your personal development. Work on your goals. Your ability will grow to match your dreams. “This is the magic of goal setting. The more you work on your goals, the more new opportunities will present themselves to you,” Rohn says.

You can make big things happen in your life. “You can make startling changes you can’t even conceive of right now, if you just give yourself half a chance.”

Goals. There's no telling what you can do when you get inspired by them. There's no telling what you can do when you believe in them. And there's no telling what will happen when you act upon them.

Jim Rohn, America's Foremost Business Philosopher, reprinted with permission from Jim Rohn International © 2015. As a world-renowned author and success expert, Jim Rohn touched millions of lives during his 46-year career as a motivational speaker and messenger of positive life change. For more information on Jim and his popular personal achievement resources or to subscribe to the weekly Jim Rohn Newsletter, visit www.JimRohn.com.