Who do you listen to?

I often read books, listen to Cd's and attend seminars on: investing, personal development and professional development. I am always surprised when that when I tell people this I usually get 1 of 2 reactions.

Reaction #1

"Aren't those for rich people. Why would you read a book on investing if you don't have lots of money to invest?"

Reaction #2

" What a waste of time! If you want some financial advice, I'll give you some for free."

When I hear either one of these reactions I smile and respond one of the following ways:

Response #1

"How do you think all of those wealthy got to be wealthy? Luck?"

Response #2

"I would love to hear your advice, how much investment income have you earned and what is your net worth?"

You see the only people I take financial advice from, are the people who have achieved financial success. When I think about "financial success" these are the 5 things I look for:

1. Positive Net worth
2. Debt Free
3. 50% Annual income + in savings
4. Investing that has yielded 10%-12% returns over the long run.
5. Reinvestment of investment income

You see when it comes to handling my money I only want to listen to people who have displayed a strong understanding and discipline with their own finances. Don't let a Friend or family member sway you from seeking wise financial council. These people may have some "good" ideas but if you don't see financial fruits in their life, don't put a lot of stock in their advice. Even financial planners often lack the personal experience in their own investing and financial discipline to offer sound advice. Always seek out the people who have the knowledge and experience to help you, don't listen to anyone else. They will either approach their advice from a negative point of view or give you bad advice resulting from lack of experience. So attend the seminars and read the books. It is better to learn infomation and skills before you need them, than it is to back track after you should have learned them.

Negativity and Christmas

Both optimists and pessimists contribute to our society. The optimist invents the airplane and the pessimist the parachute.- (Gil Stern)

First things first, Merry Christmas! As we enter the Christmas season many people focus on the negatives. They focus on the stress of: shopping, cooking, wrapping, traveling....etc. What a missed opportunity! These are the same people who miss the everyday joys of life! Don't fall into the Christmas negativity trap! Christmas should focus on three things:

1) The blessing of Christ Jesus' birth: Christ came to earth to spare us from an eternity separated from God. Not only does Christ sacrifice provide us with a fulfilling eternity but it also provides us with a more fulfilled life here on earth. If you look at life through the lens of "redemption through Christ" you find that there is much less to be negative about!

2) The blessing of Friends and family: This is a time to spend with Friends and family. Not because you "have to" but because you "want to." Christmas is an opportunity to bless your family with a great meal, a gift or a kind gesture. How often do you take time to show your appreciation for your Friends? How often to you tell your loved ones how much they mean to you? If it has been a while, Christmas is the time to remind them. Make this your focus and you will find very little to be negative about.

3) Being a blessing to those in need: Christ came to a world in need of a savior. He sacrificially gave his life for our eternal freedom. We should echo the act of giving to a world in need. Christmas is a time bless those in need. Whether you give a present, a check or your time: giving is a sure fire way to put some Christmas cheer in your heart. By focusing on the less fortunate we will find there is much less to be negative about.


As we approach Christmas remember the eternal gift of salvation. Remember the blessing of Friends and family. Remember to give to those in need. This is the essence of Christmas. If you embrace these 3 areas you will find yourself in more positive frame of mind this season.

Merry Christmas,

-David

Expectations without action

Life's under no obligation to give us what we expect. - (Margaret Mitchell)

When it comes to our expectations of life, there are two kinds of people "those who want" and "those who do." Those who do, decide what they want in life and then change their expectations and actions to achieve it. Those who want, decide what they want in life and then change their expectations but not their actions. Those who just expect to make more money but don't work for it, fall into this second category. Those who invest in themselves and put in the hard work to achieve it fall into the first category. I see so many people who expect for everything in life to be taken care of. They say things like:

I expect the government to help me.
I expect my family to support me.
I expect my boss to give me a raise.

Unfortunately, life (i.e. the government, family or your boss) has no obligation to give you what you expect. If you expect a better life but your actions do not support your expectations, then you will never achieve what you expect. It is only when your beliefs and expectations match your actions that you will achieve the level of success you "expect" in life. So STOP expecting and START acting!

Do I need a mentor?

Do I need a mentor? If you have never asked yourself that question, than you could be missing out on a GREAT opportunity to improve both personally and professionally! A mentor by definition is someone who serves as a wise and trusted advisor. A mentor is someone who challenges you and is capable of providing wise council for you in particular areas of life. Some of the most successful people in history have relied on the guidance of mentors. All presidents seek the advice of trusted advisors in their cabinet. Generals gather together several experts in their respective fields when drawing up battle plans. Multi-millionaires often rely on the input of consultants, mentors and experts. Everyone needs a mentor. In many cases more than one! Here are some guidelines to use when selecting a mentor:

1. Your mentor should never be your boss or an employee above or below at any level in your organizations structure.
2. Your mentor should never be a friend or close family member. You want someone who can provide a neutral perspective. Friends and family will often be biased. Also a mentor should be able to be completely open and honest. You can’t always get this from friends or family.
3. Your mentor should have a track record for success in the area you are looking to improve. Look for at least 5 years of successful application of the advice they want you to follow. If they don’t follow their own coaching than you should look elsewhere for advice.
4. Your mentor should have at least 1-3 hours per week or 4-12 hours per month available to meet with you. Having a mentor that never spends time with you (or uses your time together ineffectively) is waste of your time.
5. Your mentor may ask to be compensated for their time. This is okay so long as the value they are adding to your life is worth (this is a personal determination) the fee being charged. For instance it would be worth $100 a month for mentoring if it helped me earn a promotion and $15,000/yr salary increase within 12 months. Only pay for mentoring if it makes sense for you. Don’t go into debt seeking a financial advice!
6. Don’t be afraid to get more than one mentor if you feel it would be beneficial. It is generally a good idea to have a mentor in one or more of the following areas: fitness, finances, business, and relationships.
7. At some point you may out grow your mentor. This is not a sign that you don’t need one anymore. You just need a different one.

Wisdom is not the result of the knowing the solution to every problem. Wisdom is the ability to admit what you don’t know and then seek it out. If you are seeking wisdom in any area of your life, a mentor is a great place to seek a solution.

Pocketful of Time

Each of us is given a pocketful of time to spend however we may. We may use what we will. We waste what we will. But we can never get back a day. - (Roger Wilcox)

Today holds infinite possibility! Everyday we have 24 hours to spend. What we spend it on makes a huge difference on the level of success we achieve in life. When we realize that the Donald Trumps of the world, have those same 24 hours (they just spend them better) it should cause us to evaluate where our time goes. If you don't know, you can't change it. Today I would like you to:

1) Think about a famous wealthy person.
2) Map out how you think that person spends their 24 hours. How much time:
-Planning investments
-Tracking business financials
-Educating themselves
-Networking
-Relaxing
-Etc.
3) Map out a week in that persons life.
4)Map out an average 24 hours in your life. How much time is spent:
- Sleeping
- Spending time with family
- Working
- Watching TV
- Reading
- etc.
5) Map out your average week.
6) How does your use of time compare to that wealthy person you used?
7) What can you do in the next 30 days to maximize every 24 hour period?

Time management is critical to your success in life. Make today first day you maximize every hours and squeeze the life out of each minute.

Conflict

He who wrestles with us strengthens our nerves, and sharpens our skill. Our antagonist is our helper. - (Edmund Burke)

This is a great reminder that "conflict" is a driving force for change in our lives. Without conflict we tend to accept the status qua. Conflict causes us to change old behaviors and strive for new ones. Conflict is not always "fun" but it is necessary. Without conflict there is no character. Without character there is no growth. I think proverbs says it best:

"As iron sharpens iron, so one man sharpens another." - (Proverbs 27:17)

If you do not have someone in your life who "sharpens" you, then you are missing out on the benefits of conflict. 2 great ways to find someone who will push you to the next level are as follows:

- Find a mentor: look for someone at work or in your personal life who embodies the type of person you want to be. Respectfully ask them if they would be interested in taking on a mentor. If they say YES, than you need to be prepared for them to tell you what you are doing wrong and what you need to change. Take this information with an open mind and heart. Apply it in your life and you will surprised at the results. (If you get a NO keep trying to find a mentor until you get a YES.)

- Think about the people in your life who are "brutally honest." Cultivate those relationships and surround yourself with those people. CAUTION: Do not surround yourself with destroyers (non-supportive envious folk) they will only bring your down and de-moralize you. You want honest people who have your best interests in mind. There is a big difference between the two. Never seek conflict at the expense of your self esteem, it is never worth it.

So today go out and find that honest Friend or mentor and begin to seek a source of conflict in your life, that will push toward the ideal you.

Quote for 12/4/2009

Imagination is more important than knowledge. - (Albert Einstein)


Knowledge will help you reach understanding of the problem but will often limit your ability to solve it. If you always try to solve a problem using what you "know" you will never be able to see beyond the limits of what is "reasonable." Most of the worlds great success achieved the results because they were unreasonable. A reasonable person says "that is just the way it is," an unreasonable say "I can change anything because I always have the power to change myself." Stop relying on what you "know." Start thinking about "what could be" and find a pathway to achieve it. "But David you don't understand, I am horrible with money! Every investment I have ever made has been a failure." WRONG! You are great at handling money, you just don't believe it! What you believe will compel you or hold you back. Many times believing is unreasonable but unreasonable creates results. The unreasonable person would say "even though my last 15 investments were not successes, I learned 15 ways not to invest! My next 15 will be much more profitable as a result!" Then to guarantee that success they would invest 20% of all their resources (time, money, etc.) to making that belief a reality. Surrounding themselves with books on investing, attending seminars and finding investors to provide them wise council.

Don't KNOW IT, BELIEVE IT even if it is unreasonable then create the pathway to achieve it!