Becoming rich and financially independent is a complicated thing. Many people spend themselves in search of this end result, but most never even get within sight of it. While I am not yet what you would call “financially independent”, but I am on my way, and likely further along than a lot of my readers. Through […]
Well – the past couple of days, August 20th and 21st, have seen some drama. To be sure, if you have your wealth stored in the stock market, by August 21st, you were most likely freaking out and pulling your hair, with bits and pieces of your scull still attached to the roots, right out […]
I am not sure if this works the same way for you as it does for me, but I’ve noticed that as I gain in age and level of accomplishment my perspective on reality matures. Interestingly, I don’t often discover that I had been wrong about something and now I know better – no. Instead, […]
To tell you the truth, I’ve resisted writing on this subject for some time. There are two simple reasons for this. One is that the topic of depreciation is really rather dry; there is nothing sexy, motivational, or exciting about it. Actually, some would say that it’s flat out boring… Who wants to read a […]
Are you paying more tax than you should? You may even be paying more tax than people much wealthier than you. Here’s how to pay less tax. Not all income is created equal. In fact, the Internal Revenue Service categorizes income into three broad types, Earned Income, Passive Income, and Portfolio Income. While passive and […]
If you’ve been following my site, you should appreciate the absolute necessity of investing your money. No matter what type of investing you choose to do you will need access to some amount of capital. Even if you follow my lead and get good at 100% financing of real estate, you will still need some money […]
Having discussed income ad nauseam, it is time to make a clear distinction about what income does and does not do. Income may or may not cover your expenses, and it may or may not leave anything for you to spend after your bills are paid. What it most certainly does not do is provide […]
A few months ago I appeared on the FatherNation podcast with Jesse Foster. This is a fun, and important, podcast wich aims to provide young dads with useful information on how to do our jobs of fatherhood better. I don’t know about you, but being a father, for me, has been the most challenging job […]
As you may have derived from the title of this article, not all income is created equal. In fact, the Internal Revenue Service categorizes income into three broad types, Earned Income, Passive Income, and Portfolio Income. While passive and portfolio are income is generated via investments, earned income is either employment (W2) or self-‐‑employment (1099) […]
The argument is simple – which is more meaningful, which has more impact Net Worth or Cash Flow? Net Worth Formula The formula for net worth is: Assets – Liabilities = Net Worth Cash Flow Formula The formula for cash flow is: Income – Expense = Cash Flow “Happiness is a positive cash flow.” -Fred […]
OK – depending on what cycle of life you are currently in, financial education of children may or may not be consequential to you. For me, it’s pretty big deal! Guys – if we don’t teach them, who will…?! The following is a lengthy (about 1 hour) video of one of my classes at a […]
In the world of finance your progress is registered in a document called a Financial Statement. Financial statements of financially sophisticated people vary all the time, and are nothing more than a report card of their financial health at a specific time – a snapshot, if you will. Furhter, it can be your guide for […]
Ask anyone on the street this question, “What is the difference between currency and money?” I bet you’ll discover that most people think they are the same thing. This is not true. They are different. I think the confusion comes from the fact that the subject is so out of the mainstream. Nevertheless, knowing the […]
How do you define assets and liabilities? You will need a thorough understanding to achieve your goal of becoming financially free. Over the course of my research, I asked nearly everyone I knew to define the terms Asset and Liability. Amazingly enough I never heard the same answer twice. I heard a lot of good explanations, […]
Multiple income streams vs big salaries–which should you spend your time working toward? This article shows 2 key reasons multiple small incomes provide better security and growth potential than large salaries. When going into battle, would you rather have one soldier on your side or a thousand? Income streams are your soldiers in the battle against the […]