This guy i know manages a food joint in town. The other day he mentioned how he'd just finished paying off his school debt. He looked 38, but I was more interested in the rate he'd been paying for 10+ years. How much did the bank get off with? But, he didn’t have a clue, go figure. Like a monthly mortgage payment, a person can get used to anything, without any qualms about it. Especially if it means impressing the people we don't care about with the things we can't afford. Don't get me wrong, you don't have to buy your house in cash. Some would even consider a mortgage "good debt," but how can you not be living above your means if you only have to put 20% down on the purchase? Can this 20% thing work with a candy bar too because I only have a quarter in my pocket?
To afford the property, most assume mortgages. After a 20% down payment, you take out a $200,000 loan &after 15 years of monthly payments at 4.5% interest rate, a person ends up paying $75,397 in interest. How much @Givenchy could that have bought you? Or stocks of @Tesla? Wherever you find investment, that money is better spent in your pocket. The lender's gotta make money too, Bernie! &fun fact, reason interest rates on school loans are higher than mortgage rates is because the bank cannot repossess a degree, Mr. Sanders. With no collateral, you are a risky investment. Anyway, I don't know anyone who would go into a relationship knowing the person on the other end is only 20% in, but somehow, it's the bank's fault. Spare me.
rich dad, poor dad by robert t. kiyosaki (pdf online)
tells a tale in economics about 2 different mind sets about money. let’s focus on “rich” dad since there are clearly enough “poor” dads in a country $19T in debt.
“for millions of ppl, they feel the fear of not having money. instead of confronting the fear, they react instead of think. they get a few bucks” &relive the “emotion of joy &desire &greed, &again they react instead of think. money is in control of their emotions &hence their souls” (no page numbers on a pdf)
“avoid this trap,” the author says more than once. “trap caused by 2 emotions: fear &desire”
this guy is all about the mind.. talks of not giving into your emotions bc that delays thinking.. &how the start of ignorance is when ppl use these emotions against themselves.. he’s big on choosing our thoughts.
most people only have 1 problem in mind, the bills at the end of the month. “money now runs their lives. or should I say the fear &the ignorance about $?”
“I live in fear every day that I won’t have a job tomorrow” #ratrace
overcome the fear of losing money –when market drops, its a perfect time to buy more shares! stock on sale! stock up.. it’s time in the market, not market timing!!
“worker works hard enough to not be fired, &owners pay just enough so that workers won’t quit” (a j.o.b. is short for “just over broke”) where is this daily activity taking you?
rich dad’s talking about the corporate ladder & how people work their way up it. he goes: “why not own the ladder?” boy responds inside his head, “my youth would not let me envision the possibility”
teaches boy not to work for money, but to have $ work for him.
look at BIG PICTURE, not carrot (suede ysl boots) dangling in your face
have more assets than liabilities (things making you $ versus taking your money)
income > expense; assets >income
in regards to taxes…
“no matter what the “take from the rich” crowd came up with, the rich always found a way to outsmart them. that is how taxes were eventually levied on the middle class. the rich outsmarted the intellectuals, solely because they understood the power of money, a subject not taught in schools.”
“he knew the law bc it was expensive not to know the law”
bc the rich “mind their own business” they look for ways to save on taxes (“1031”)
the rich pay less in taxes bc they capitalize on tax exempt investments (like 401k; contribute! this is "Free" money from your employer).
my Professor put this quote in his PowerPoint presentation: when learning how to walk, the baby doesn’t say, after falling 50x, “I’m not meant for this”
not failure, not low aim is crime –james Russell Lowell
reminder: keep up with joneses &you’ll be broke.. www.whyyourepoor.com
if you can , keep your head when all about you are losing theirs &blaming.. trust yourself when all men doubt, but make allowance for their doubting too; if you can wait ¬ be tired of waiting, or being lied about, don't deal in lies, or being hated, don't give way to hating, &yet don't look too good, nor talk too wise. if you can dream -¬ make dreams your master; think -¬ make thoughts your aim; if you can meet w Triumph &Diaster, &treat those 2 imposters just the same; if you can bear to hear the truth you've spoken twisted by knaves to make a trap fro fools, or watch the things you gave your life to, broken. &stoop &build em up w worn -out tools. if you can make 1 heap of all your winnings &risk it on 1 turn of pitch &toss, &lose, &start again at your beginnings, &never breathe a word about your loss.. if you can talk w crowds &keep your virtue, or walk w Kings -nor lose the common touch, if neither foes nor loving friends can hurt you. if all men count w you, but none too much.. Yours is the Earth &everything that's in it, &-which is more -you'll be a Man, my son!
-father's advice to son; Kipling
"in order2be able2think you have2risk being offensive."JBP
i am no bird; &no net ensnares me. -charlotte bronte
"never give in, never give in, never, never, never, never -in nothing, great or small, large or petty -never give in except to convictions of honor &good sense." -w. churchill. 10/28/41
i am not afraid of storms, for i am learning how to sail my ship. -louisa may alcott
nothing in this world can take the place of persistence. talent will not: nothing is more common than unsuccessful men with talent. genius will not; unrewarded genius is almost a proverb. education will not: the world is full of educated derelicts. persistence &determination alone are omnipotent.
i am not an extraordinary man, &i am quite ordinary. but God chose me for something quite extraordinary. -a. valladares receives '16 canterbury medal.
not failure, but low aim, is crime -james russell lowell
a genuine leader is not a searcher for consensus but a molder of consensus -mlk jr. (you are all leaders .#experts)
it is not the critic who counts; not the man who points out how the strong man stumbles, or where the doer of deeds could have done them better. the credit belongs to the man who is actually in the arena, whose face is marred by dust &sweat &blood; who strives valiantly; who errs, who comes short again &again because there is no effort without error &shortcoming; but who does actually strive to do the deeds; who knows great enthusiasms, the great devotions; who spends himself in a worth cause; who at the best knows in the end the trump of high achievement, &who at the worst, if he fails, at least fails while daring greatly, so that his place shall never be with those cold &timid souls who neither know victory nor defeat. -theodore roosevelt
we are what we repeatedly do. excellence, then, is not an act, but a habit. -aristotle
no one can make you feel inferior without your consent. -eleanor roosevelt
a dead thing can go with the stream, but only a living thing can go against it.-gk c.