Tag: Freedom

Categories
Taxes

Freedom Equity Group Review – Should You Join?

So if you’re reading this Freedom Equity Group Review, chances are you’re thinking about becoming a member and you’re doing some research online. If that’s the case, look no further. In this third party article, I’ll give you all the essential details you need before joining. Now real quick… I do want to disclose that I am NOT a Freedom Equity Group member nor am I affiliated with them in any way. In fact, it really doesn’t matter to me one way or another if you decide to join or not. This is important for you because you know at least you’ll be getting an unbiased perspective of the company. With that said, let’s get started…

First things first, let’s talk about the company itself. In my opinion, having great products and a lucrative compensation plan comes second to having a solid company with a stable infrastructure that can handle future growth. The company was started in 2002 so it’s not a start-up company which is good if you’re looking for a company that’s a little more stable. The management team is very experienced and their field leaders seem to be very professional. The company is based out of California and is partnered with some very reputable companies like Fidelity & Guaranty and National Western Life. My suggestion is if you’re dead serious about joining and building a long-term business with them, take the time to visit their corporate office in Arroyo Grande. Sure you might be coming out-of-pocket for travel expenses, but if you’re doing real due diligence it just makes sense to meet with people at the home office. Of course, if your goal is just to make a couple of bucks here and there, then you probably don’t have to take the time to visit the home office. But if you’re looking to build a long-term business that you can earn 6-figures (or multiple 6-figures) a year with, then it’s worth it. Speaking from experience, I wish I had done this before joining some companies. It would have saved me a lot of time and frustration.

Freedom Equity Group’s main product is Index Universal Life Insurance, or IUL. It’s a form of permanent coverage, unlike Term Insurance which is coverage for only a set period of time. In addition to life insurance, IUL also provides a savings vehicle whereby you can accumulate and grow your money tax-free. And if that wasn’t enough, the policies they sell also provide Living Benefits, which allows you to use your coverage without dying. Everyone needs to be educated about these essential financial services so you’ll have a huge market to promote your product to should you decide to join.

As far as the compensation plan goes, it’s pretty straight forward. Based on the earned position you have, you’ll earn up to 93% of the annual premium of all your personal clients. For example, if you have a client that pays $250/month, you’ll earn a percentage of the annual premium which is $3,000 in this example. Let’s say you’re a District Manager (which is the third position in the compensation plan), you’ll earn 50% of the annual premium which would be $1,500. Not bad at all for one client. Keep in mind that you’ll most likely get 75% of your commission up front and 25% of it later. And you’ll get paid after the client is approved which may take 30-90 days depending on the underwriting process. That said, you’re still earning a very healthy commission while providing essential financial services to people who need help.

If you decide to build and grow a team, you could also earn up to 63% overrides on sales made by reps in your team. Sound good? That’s because it is… you can earn hundreds (and even thousands) of dollars when someone on your team completes a sale. The “drawback” (for lack of better term since it may not be a drawback at all depending on how you’re looking at it) is that you need to recruit about 10 people to get 3 or 4 licensed, and about 1 of those will be active and producing. Of course, if you find a way to recruit licensed reps that are joining with a license already, then you could probably beat those numbers.

In addition to personal and override commissions, you’ll also earn renewal income, Generational Overrides if you build other leaders and you could also qualify to make money on the whole company via Bonus Pools you could participate in. Overall there certainly is a lot of money you could make if you build your business a certain way and you’re OK with how life insurance companies pay commissions.

So is Freedom Equity Group a good company. The short answer is YES. The company has been around and the management team is solid. Should you join? Only you could answer that. If you’re looking for a more professional service to market and you like the idea of sitting down with people and helping them solve their financial problems, then FEG might be the company for you.

Here are my three suggestions before you join. One, take the time to study the company’s system for building the business so you’re in alignment with the company’s culture. For example, if the company’s entire culture revolves around home appointments, and you want to incorporate online webinars and conference calls, then there might be a clash. Two, find a sponsor and team that has a system you could leverage to build your business. For example, ask to see the document or training they have in place to get unlicensed people licensed. Do they even have a system? Or do they just leave the brand new rep to get licensed on their own? And last but certainly not least, I recommend using Attraction Marketing to generate a consistent flow of quality leads. Sure you could tap into your warm market, but just imagine how big your team can get if you had 20+ targeted leads hitting your inbox each and every day. If you could apply these three things, there’s no telling how prosperous your FEG business can be.

Categories
Currency Trading

Building Financial Freedom Through Online Forex Trading – An Intro to Making Money Online!

The gas crisis, along with the weakening economy is pushing everyone in America and abroad to try to make some extra cash. Many are turning to the internet to make money. Their looking to get rid of their debt, to buy a better vehicle, or to improve their quality of life. Making money online is one of the best and most accessible ways to start earning money. However, many people don’t know how to get their foot in the door. A lot of people put a lot of work into things but don’t consider what their doing. Building financial freedom, through the forex market is incredibly easy, and in recent years has exploded in popularity.

Many will try to tell you that online forex trading is tough stuff, and you need to spend thousands on books to get started. This is only true if you intend on becoming a forex guru, as they are called. New advances in automated technology have led to the development of forex autopilot programs. These programs, run on any capable computer buying and selling for you at a profit. You heard that right. Essentially, you turn on the program and it makes money. This is simply the easiest way to get your foot into the online world. You’ll be making money almost effortlessly, and without a huge time commitment.

The autopilot programs come in varying degrees of quality, and there are people everywhere trying to scam you. I found the perfect site that had all the research already on it for me, and I picked a program. I won’t name the program here because I’m not trying to sell you anything personally. The nicest thing about the trader I purchased, was it came with a 60 day money back guarantee. If online forex trading wasn’t working out for me, I could have just canceled. However, it’s working out for me in a big way (I’m a couple of weeks away from making more online than I do at my day job.)

I’m telling all my friends about the programs as we speak. It couldn’t be easier and the money is there for everyone to make. It’s quick, easy, and the perfect way to get started online.

Categories
Wealth Building

7 Simple Steps to Financial Freedom and Wealth Building – Step 3

Simple Steps to Financial Freedom and Wealth Building

STEP 3: The Best Escape Vehicle – The Trading Business

Now that we have set our goals in Step 1, and screened through the possible Investment Vehicles in Step 2, we will be looking at the best vehicle that met all criterions in Step 2.

Only 2 vehicles met the criterions in Step 2. These 2 investment vehicles are – stocks and stock options. While stocks just barely made it, stock options comfortably passed the criterions with ease.

Using the stock market for financial gain can result in financial freedom or financial ruin. Without even putting much thought, this is one vehicle that has created more millionaires – multi millionaires – than any other form of investments but has also created more bankrupts than all other investment choices. Of all the market exchanges, including commodities, equities, and currencies, the options market has the greatest potential for unbridled profits because it provides leverage that no other market provides. In most cases, leverage is a double edged sword and is normally associated with some kind of borrowing. Leverage magnifies gains but also losses. In the Stock Options Market, leverage is there for all to use – it magnifies gains but limit losses as there is no borrowing involved.

While the Options Market provides excellent leverage on investment, it remains as the market with the highest chance of losing money for the naïve investor as it is one of the most complex markets – making stock trading child’s play. Almost 85% of options traders lose their investments in the options market. Despite the dangers, options are excellent investment vehicle. Just like fire, it can provide everyone a comfortable life, if used correctly, or it can destroy and kill, if used recklessly. The key is to know how to use it to your advantage.

The uncertainty of options trading is something we could all do without, but it’s a necessary part of the game. The trick is to devise a business strategy where profitable investments are made consistently and replicated month after month. After all, the most successful businesses in the world, replicates their business models for years. If you care about your financial future and realistically expect achieve your goals, you must have the patience to follow through on a working system – for now and for the future. Find a business strategy that works and religiously stick to it.

Now that we have a clear picture, let’s move forward. Tomorrow is the day where we will set up our business.

Keep a look out for STEP 4: The Business Setup

Copyright 2005 William Tan

Categories
Wealth Building

7 Simple Steps to Financial Freedom and Wealth Building – Step 4

STEP 4: The Business Setup – Choosing the Right Partner

With advancement in technology, the options trading business can be easily setup with a few clicks of the mouse. Welcome to the online world of trading.

Equity trading is a serious business because it involves a lot of money – your money. It can build wealth and can also destroy wealth. Either you make money from the market, which belongs to someone else, or you lose your money to the market, which will benefits another trader. So please take it seriously because most traders and investors do not. So if you are serious, would you trust your business dealings to just about anybody? I hope not!

A business that does not have reliable partners typically will not succeed for the long term unless a new reliable partner is quickly identified. In the options trading business, brokers are our partners. As such, we would have to identify and be very selective in appointing the brokerage house to help us run this business.

With so many brokerage firms out there, it can be quite a tough and confusing for many of us. In fact, choosing the wrong broker can be expensive.

So we have prepared an easy way to shortlist these brokers. A good “business partner” should have:

Attractive commission rates – understand if it is fixed or if it depends on the number of trades. Low commission does not mean it is good.

High availability on their website – since almost all transactions are executed online. Understand contingency as well when website is down.

Fast Execution – a good opportunity may be gone if not executed fast.

After Hours Trading – if you like trading longer hours.

Sweep Facility – a good broker would automatically take your available cash to have it placed in a money market to generate interest.

No hidden fees – many brokers have all sorts of endless hidden charges. Do not take this nonsense.

Powerful trading Tools – like streaming real time quotes, screeners, stock charts, etc.

Wireless trading facility – most of the time for day traders

Ability to execute complex options trades – many brokers provide options trading but this is not good enough!

A good stock broker may not be a good options broker because options trading are relatively new. Although stock brokerage firms offer options trading, they are still behind in many of the services offered by brokerage firms that specializes in options trading. Once you understand options trading, which has more than 20 different trading strategies, stock trading looks like child’s play.

When selecting a brokerage firm, select the best to prevent any heartbreak later on. We have worked with several options brokers and, in our opinion, http://www.optionsexpress.com and http://www.thinkorswim.com are the best around. These two options trading firms meet the requirements above while many have failed to impress. Before proceeding to the next step, start working with the right partner. It only takes a short while to open a new account. This is an important decision.

Stay tuned for STEP 5 – Arm Yourself With Options Trading Knowledge

Copyright 2005 William Tan

Categories
Wealth Building

Financial Freedom and Building True Wealth

Financial responsibilities and decisions can be overwhelming due to ever-changing tax laws and investment options, escalating costs of education and basic living needs such as health care, instability of the Social Security system, and the demise of corporate pensions. Few of us have the time or inclination to handle all aspects of our finances alone. Financial freedom is far more than balancing your checkbook or picking the right investments. It’s when your self worth and your net worth are one, so that you can take action to live a life of true wealth. Financial illiteracy keeps many people stuck in a rut when it comes to managing their money. Bad money habits and mindsets do the same too.

True wealth is the ability to attract money, multiply and grow your money, and lastly to enjoy and have meaning for your money. What security is being wealthy when you live in fear of losing it? True wealth is to share and it is within time, purpose and intent. When more then one are gathered for good intent and purpose, greatness multiplies. True wealth is more about what you can freely give than about what you get. The old saying goes like this, “The More You Give the More You Receive”. This holds true in everything in life.

Personal finance isn’t always simple or easy, at least in the short run. It requires that you take a hard look at yourself and your relationship with money. Plus, take 100% responsibility for your financial future, and then take the actions that will help you reach your financial goals. Personal knowledge is embedded in individual experiences and involves intangible factors, such as personal beliefs, perspective, and their value system.

Discover the online resources that are available in order to find and build a wealthy online business. This will help you leverage your financial freedom and prosper through life. If you find the right opportunity, you can go through an almost immediate life transformation, and never look back.

If you are looking for Financial Freedom, visit Brian’s Big Ticket To Wealth website.

Categories
Wealth Building

Wealth Creation: 10 Steps To Financial Freedom

From my research and study in the topic of building wealth, I have distilled all formulas and guidelines into 10 important principles. If you follow these simple principles and always think outside the box, you will be on the right path to achieve financial success and wealth that will last you a lifetime.

  1. CREATE & VISUALIZE YOUR GOALS: They will always lead to wealth creation. Set a particular goal and visualize it every day. In setting your goals, you should always be sure they are categorical, quantifiable, realizable, pragmatic and time bound.
  2. DO YOUR HOMEWORK: Never jump into any business venture, irrespective of how attractive it may look. This could set you up for failure and disappointment. The more interesting the business opportunity, the closer you ought to be in examining their claims on returns on investments.(ROI) As a budding entrepreneur it’s important to test each business opportunity before you invest a significant amount of time and/or money.
  3. IDENTIFY A PROBLEM & FIND A SOLUTION: This is the key to creating sales and cash flow for your business. Be determined enough to stick with it and don’t quit. Everyone is consistently attempting to find solutions to their problems. If you can offer them a quality product and an excellent value, then the world is your oyster. People are willing to open their wallets to those who can offer an easier and better life to them. One thing you must remember is that there are always problems waiting to be solved.
  4. THINK BIG & KICK ASS: The one thing that starts from the top and grows down is the grave. Otherwise, everything else in life starts small and grows up. When you grow up, you stay up, but when you jump up, you come down. Naturally, common-sense tells you that when you jump up, the force of gravity simply pulls you down. There’s such a lot to be learned at the start of your business. It will be small, but you will be dreaming big! So as you have a giant vision to grow, your business will grow too! Remember the proverb… “To Think Is To Create”… Keep your vision, create a mission statement and share them with everyone you hire. With this you will all have a common goal to work toward each and every day.
  5. USE EARNED CAPITAL TO GROW YOUR BUSINESS: As you grow your business, remember to always use capital from your profits. Growing a business on borrowed capital is a very big risk indeed. You must be prepared to dance to the music when it starts to play. If you position the growth of your business, without acquiring debt, it will allow you to work harder and ensure you make the cash and merit the growth.
  6. CHOOSE THE RIGHT PEOPLE TO WORK WITH: You need to be careful in picking the people you’re going to work with in the business. If you truly want to grow your company, it is vitally important to choose people that are suited to the tasks that you assign to them. For example, you wouldn’t hire a heavy machine operator to run your sales department, right? A great deal of time and money could be lost by attempting to put a square peg in a round hole.
  7. USE FISCAL LEVERAGING: When your business starts to grow, it will be reflective of your business income. The entire essential nature of beginning a business is to develop a consistent, foreseeable source of cash flow above cost and expenses. The bank will lend your business money based on the amount of cash flow it produces each month or year. So make sure that you keep the cash flowing even during slow economic periods. This may take some “thinking outside the box”, but that is what being an entrepreneur is all about.
  8. THINK OUTSIDE THE BOX:There will always be competition in any market you choose to enter. It is important to brand your business so you stand out from the others. When branding your business be sure to always be thinking outside the box. Come up with ideas that haven’t been used before and you will surely get noticed.
  9. DON’T STOP LEARNING: Read, Read, Read… Always be learning about your product or niche, your target market, and how the economy may effect your business. It is important to always be attempting to stay one step ahead of your competition. Continuous learning will allow you the flexibility to make changes in the business when necessary to stay on the top of your game.
  10. LEARN FROM A MENTOR: It is much easier to achieve financial success by following in the footsteps of someone that has already been in your shoes and has reached the pinnacle that you envision for yourself. Find a mentor that you feel a connection with and has reached the level of success that you are striving for. Then listen to their every word. They will teach you the steps necessary to reach your financial goals and dreams. Remember that everyone that has reached financial success as an entrepreneur has followed in the footsteps of another.
Categories
Wealth Building

One Powerful Key to Wealth Building, Financial Freedom and Financial Independence

Who says I am not already Financially Free or Financially Independent?

Are you really financially free or independent? Many people think that if they could just pin down the perfect job that pays them X amount of dollars, then they will experience financial freedom or financial independence. Others think that with the high-income job they currently hold, or the 2 or 3 jobs that they are holding down, that they now have the formula to financial freedom and independence.

Wrong! Well the truth is that as long as you have one income source that comes from an employer or a paid JOB (what some correctly say is the state of being Just Over Broke), you will never have real financial freedom or financial independence. And even if you have multiple jobs that get you that specific accumulated amount of monthly income you desire, you still are not enjoying financial independence or financial freedom.

Why? Firstly, your time is not yours. You have to be at that job or those jobs at a specific time, work a specific amount of hours and leave at a specific time etcetera. Secondly, at any time you can be made redundant by your employer or fired or lose one of the many jobs. Then no matter how much you were earning at that great paying job, or those 2 or 3 jobs, you would have now lost any semblance of financial freedom or financial independence.

The Truth about the Matter

In a nutshell, “Financial independence is the state of having sufficient personal wealth to live, without having to work actively for basic necessities”. However, unless you were born into a wealthy family, attaining financial freedom takes time as well as strategic and purposeful planning and execution of that plan as you:

  1. Keep paying down your debts consistently until you are debt free.
  2. Work both consistently and persistently at a business opportunity that will increase your wealth at a faster rate than a regular ‘8 to 4’ job.

1 of the Keys to Achieving Your Financial Goal

One such ‘wealth-building’ business opportunity is Organo Gold which is internet based and gives you access to thirty-four (34) countries based in 5 continents around the world – Europe, Asia, Africa, the Americas and Australia/Oceania.

With such extensive global reach, Organo Gold offers persons the opportunity to own and grow their own business all over the globe at their own speed and, more importantly, to earn income at a faster rate than if they were only employed in a regular ‘8 to 4’ job. Customers are offered the convenience of securely shopping online and having their products shipped safely and directly to them.

Organo Gold is NOT a ‘get-rich-quick’ scheme, so as with any type of business, the entrepreneur/business owner/distributor – YOU – must invest valuable time in showing and sharing the business with other persons in order for it to grow. Then in due course you will reap the rewards – financial freedom and financial independence.

“Rome was not built in one day” (John Heywood) and likewise, you will not become financially free or independent in Organo Gold on the first day or even within the first month. In fact, the company continually stresses that persons joining Organo Gold as distributors should work steadily at building their business for eighteen (18) months in order to reap the rewards of financial freedom / financial independence.

Given the fact that many new businesses take 3 to 5 years to begin earning profits, 1½ years (18 months) of steady work in Organo Gold is definitely worth it! Of course many persons have gained financial freedom/financial independence in Organo Gold in a lot less than 18 months and that’s great because the time varies for each person but if you put in the necessary work your success in Organo Gold is guaranteed!

All products are infused with an Asian healing herb called Ganoderma Lucidum.

How Does Organo Gold Help?

Your earning potential in Organo Gold is unlimited. Initially, though, you will be given the opportunity to earn up to US$1,500 weekly, depending on the Promotional Builder Pack – Bronze, Silver, Gold -which you purchased to join the company (see explanation in the next section). After that, the sky is the limit!

I love the fact that there are seven (7) different ways for you to get paid in Organo Gold and that those payments are made at varying intervals – weekly, monthly, quarterly – so that I always have cash inflows and I don’t feel like a ‘salaried’ employee who has to wait to get paid once a month.

The only probable set back, when you’ve een waiting with anticipation, is that your weekly earnings are paid 2 weeks in arrears and your monthly earnings 1 month in arrears.

Categories
Wealth Building

Passive Income Streams – The Master Key to Wealth Creation and Financial Freedom?

One of the keys to getting rich and creating wealth is to understand the different ways in which income can be generated. It's often said that the lower and middle-class work for money whilst the rich have money work for them. The key to wealth creation lies within this simple statement.

Imagine, rather than you working for money that you instead made every dollar work for you 40hrs a week. Better still, imagine each and every dollar working for you 24/7 ie 168hrs / week. Figuring out the best ways you can make money work for you is an important step on the road to wealth creation.

In the US, the Internal Revenue Service (IRS) government agency responsible for tax collection and enforcement, categorizes income into three broad types: active (earned) income, passive income, and portfolio income. Any money you ever make (other than maybe winning the lottery or receiving an inheritance) will fall into one of these income categories. In order to understand how to become rich and create wealth it's vital that you know how to generate multiple streams of passive income.

Crossing the Chasm

Passive income is income generated from a trade or business, which does not require the earner to participate. It is often investment income (ie income that is not obtained through working) but not exclusively. The central tenet of this type of income is that it can expect to continue whether you continue working or not. As you near retirement you are most definitely seeking to replace earned income with passive, unearned income. The secret to wealth creation earlier on in life is passive income; positive cash-flow generated by assets that you control or own.

One of the reasons people find it difficult to make the leap from earned income to more passive sources of income is that the entire education system is actually pretty much designed to teach us to do a job and hence rely largely on earned income. This works for governments as this kind of income generates large volumes of tax but will not work for you if you're focus is on how to become rich and wealth building. However, to become rich and create wealth you will be required to cross the chasm from relying on earned income only.

Real Estate & Business – Sources of Passive Income

The passive type of income is not dependent on your time. It is dependent on the asset and the management of that asset. Passive income requires leveraging of other peoples time and money. For example, you could purchase a rental property for $ 100,000 using a 30% down-payment and borrow 70% from the bank. Assuming this property generates a 6% Net Yield (Gross Yield minus all Operational Costs such as insurance, maintenance, property taxes, management fees etc) you would generate a net rental yield of $ 6,000 / annum or $ 500 / month. Now, subtract the cost of the mortgage repayments of say $ 300 / month from this and we arrive at a net rental income of $ 200 from this. This is $ 200 passive income you didn't have to trade your time for.

Business can be a source of passive income. Many entrepreneurs start out in business with the idea of ​​starting a business so as to sell their stake for some millions in say 5 years time. This dream will only become a reality if you, the entrepreneur, can make yourself replaceable so that the business's future income generation is not dependent on you. If you can do this than in a way you have created a source of passive income. For a business, to become a true source of passive income it requires the right kind of systems and the right kind of people (other than you) operating those systems.

Finally, since passive income generating assets are usually actively controlled by you the owner (eg a rental property or a business), you have a say in the day-to-day operations of the asset which can positively impact the level of income generated.

Passive Income – A Misnomer?

In some way, passive income is a misnomer as there is nothing truly passive about being responsible for a group of assets generating income. Whether it's a property portfolio or a business you own and control, it is rarely if ever truly passive. It will require you to be involved at some level in the management of the asset. However, it's passive in the sense that it does not require your day-to-day direct involvement (or at least it shouldn't anyway!)

To become wealthy, consider building leveraged / passive income by growing the size and level of your network instead of simply growing your skills / expertise. So-called smart folks may spend their time collecting diplomas and certificates but wealthy folk spend their time collecting business cards and building relationships!

Residual Income = A Form of Passive Income

Residual Income is a form of passive income. The terms Passive Income and Residual Income are often used interchangeably; however, there is a subtle yet important difference between the two. It is income that is generated from time to time from work done once ie recurring payments that you receive long after the initial product / sale is made. Residual income is usually in specific amounts and paid at regular intervals. Some example of residual income include: –

– Royalties / earnings from the publishing of a book.

– Renewal commissions on financial products paid to a financial advisor.

– Rentals from a property letting.

– Revenue generated in multi level marketing networks.

Use of Other People's Resources and Other People's Money

Use of Other People's Resources and Other People's Money are key ingredient required to generate passive income. Other People's Money buys you time (a key limiting factor of earned income in wealth creation). In a sense, use of other people's resources gives you back your time. When it comes to raising capital, businesses that generate passive income usually attracts the largest amount of Other People's Money. This is because it is generally possible to closely approximate the return (or at least the risk) you can expect from passive investments and so banks etc., will often fund passive investment opportunities. A good business plan backed by strong management will usually attract angel investors or venture capital money. And real estate can often be acquired with a small down payment (20% or less in some cases) with the majority of the money borrowed from a bank typically.

Tax Benefits of Passive Income

Passive income investments often allow for the most favorable tax treatment if structured correctly. For example, corporations can use their profits to invest in other passive investments (real estate, for example), and avail of tax deductions in the process. And real estate can be "traded" for larger real estate, with taxes deferred indefinitely. The tax paid on passive income will vary based on the individual's personal tax bracket and corporate structures utilized. However, for the purposes of illustration we could say that an average of 20% effective tax on passive investments would be a reasonable assumption.

In summary:

For good reason, passive income is often considered to be the holy grail of investing, and the key to long-term wealth creation and wealth protection. The major benefit of passive income is that it is recurring income, typically generated month after month without a great deal of effort by you. Building wealth and becoming rich shouldn't be about extracting every last bit of your own energy, your own resources and your own money as there is always a limit to the extent you can do this. Tapping into the effective generation and use of passive income is a critical step on the road to wealth creation. Begin this part of you wealth creation journey as early as is humanly possible ie now!

Categories
Wealth Building

Wealth Building – Secrets to Financial Freedom: Is Saving Money Overrated?

If you’re after financial freedom, you’ve probably already heard a lot about how important it is to save money. But is saving an overrated and outdated strategy? You might have heard that Robert Kiyosaki claims that inflation has made savers into losers. Is there any value left in saving money or has that forever changed? In this article, we’ll be looking at the simple way to use a “saving” strategy in order to accomplish financial freedom.

The Purpose of “Saving” Money

In the four bucket financial system, one of the main categories for directing your cash flow is the category of cash reserves. This is where you put your money so that in case you have an emergency, you’ll have a lump sum of cash to draw upon instead of having to go into debt. The other purpose of cash reserves is for planned purchases so that you, again, don’t have to borrow money or put your purchases on a credit card.

This is the closest thing to saving money that you’ll ever need to do, the rest of your strategy is either focused on building wealth or you’ll end up losing money to inflation. By having money set aside for emergencies, you eliminate a LOT of the money stress from your life and also eliminate the need to plunge yourself into debilitating debt in order to handle an unexpected financial event. Then you’ll be able to focus all your attention on building financial security and increasing your personal wealth.

Beyond the Saving Step

Another place to direct your money in the four bucket financial system is towards investments. This is essential and it needs to be a priority. I’ve found that one of the major differences between people who are broke and those how have financial security and even wealth, is that the financial secure people invest their money before they pay their expenses. It’s typical of human beings to think that they have less money than they do and to be afraid that if they invest (or save) first that there won’t be enough left over to pay their bills.

I would challenge you to start spending your money like this: invest 10% first, give 10% second, save 10% for cash reserves third, and use the leftover 70% to take care of your expenses. If this is too much of a leap for you, then invest first, and pay your expenses second. As you do this, you’ll realize that you have a lot more money than you think you do to pay your expenses. Then, you’ll have the confidence to start making your saving and giving a priority as well, and that’s when you can really start building financial freedom.

Categories
Debt Consolidation

Cheap Debt Consolidation Loans – Inexpensive Way of Winning Financial Freedom

The rising cost of living can force you sometimes to overburden your pocket with loans. It may solve financial issues for the time being but eventually then they are to be paid back. Paying the interest rate on each loan is highly expensive. But it is not a cross that you have to bear. There are ways to overcome the rising costs of debt. Cheap debt consolidation loans are a way to start from.

More than one debt can lead to a very difficult cycle of unmanageable finances that is hard to break. Cheap debt consolidation loan is a loan taken to repay various pending loans like credit card debts, educational loans, utility bills and unsecured loans.

You barter your various debts for a single cheap debt consolidation loan. Make sure that debt consolidation loans are reducing the cost for the various loans. The success of debt consolidation depends on what loan types you are consolidating. Debt consolidation for credit card debts will always prove cheap as credit cards have high interest rates. While student loans debt consolidation would not be as beneficial for student loans already have lower interest rates.

Cheap debt consolidation loans are an assortment of financial rewards. The benefits with cheap debt consolidation loans –

o Reduction in monthly payments

o Decrease in interest rates

o Single payment for multiple loans

o Consolidation of credit card and utility bills

o Avoid bankruptcy

o Getting out of debt faster

o No more dealing with numerous loan lenders

o Saving money

There are a number of debt consolidation loan lenders online. With research and persistence you can find a lender who offers debt consolidation at cheap rates. Cheap debt consolidation loans are subjective, so when you see “cheap” interest rates, they may or may not apply to you. Cheap debt consolidation loans depend on the loan amount, loan term, type of rate (variable/fixed), and any related fees. Cheap debt consolidation loans are meant to reduce the cost of unsecured debts and to pay off the loans in shorter time span. Make sure your cheap debt consolidation loans are obliging to these requirements.

Collateralization is basic to finding debt consolidation loans at cheap rates. This security or guarantee is given to the loan lender so that in case of non repayment, this property can be used as a source of paying back the loan. With collateral, you can get debt consolidation loans with cheap interest rates as it reduces the risk for the lender. Collateral is generally in the form of real estate, vehicle or any other valuable assets. Usually real estate and vehicle are taken as collateral cause their value is easy to determine. A non repayment episode would mean that you might lose your assets. If a borrower can transcend other standards then cheap debt consolidation loans without collateral is also possible.

Credit history has a good share in finding cheap debt consolidation loans. A good credit score can spell wonders for someone who is searching for cheap interest rates for debt consolidation. However that does not mean that bad credit debt consolidation is not available at cheap rates. Loan lenders do understand that someone looking for debt consolidation might already be having credit problems. There are debt consolidation loans available at cheap rates for those with poor credit history. There are loan lenders who particularly deal with sub prime borrowers.

You can easily get quotes for Cheap debt consolidation loans from various loan lenders. You will get different quotes for the same collateral and money required thereby making it easy to compare. It will be easier to pick up a cheap debt consolidation deal that will serve value for your money. Debt consolidation is viewed as a positive effort universally. The fact that you are making an effort to repay your pending debts means that you will make an effort to repay your cheap debt consolidation loans also.

Cheap debt consolidation loans are a way to attain a financial status where one can again claim to be free of debt. Debt can help you with finances but an overburden of debt will anticipate difficult times. Unpaid debts are an indication of unresolved financial problems. Take heed of it and take adequate steps for its elimination. Cheap debt consolidation loans are a way towards it. It implies that they not only assure financial well being but will have restorative effects on your general life as well.