Can You Swim?

When I was a teenager I nearly drowned in a pool. I knew I couldn’t swim very well, to be honest, I couldn’t swim at all.

The pole had a rope that separated the deep end from the shallow end so that summer I always stayed on the shallow end of the pool. The shallow end went from three feet to five feet. On the deep side of the pool the notation were six feet, eight feet and then 12 feet.

One day while playing a game in the pool, I ventured out from the three foot marker just beyond the five foot marker. Because the game so was exciting and my head was still above water; I continued to venture further onto the deep side of the pool. Now remember I can’t swim!

All of a sudden I began to drown. On my very next step past the five foot marker I no longer felt the pool base under my feet. Instead I began to plunge to the bottom, as if I stepped off a cliff. It was very scary because I was just above water and in an instant drowning. Thankfully someone came to assist me.

This is what I believe has happened to many with their debt. When they initially purchased the home, the car or obtained the credit card everything was fine, the debt was able to be maintained. Then some ventured out a little more and added another supposed asset without adding any more income and the next thing you know, you are in over your head. Do not allow your emotion to overshadow wise decisions.

The next time you are in a position to obtain anymore debt, ask yourself can you swim?

The Age of Terrorism

Terrorism officially was experienced by many Americans seven years ago on this very day. September 11, 2001 was a terrible day for many Americans, some lost family members, and friends while others were never the same after this tragic day. On that day, America entered what I’d like to coin as “The Age of Terrorism in the US”.

Never before did we have to take as many precautions entering a plane, building or opening something as simple as a bank account. Although The Age of Terrorism placed many of us in awkward positions, there were a multitude of individuals who have benefited from this new age. Think about all of the security and technology oriented companies that begin to sprout up after September 11th. The security / technology industry is a multi billion dollar industry (even if you exclude giants like Google and Microsoft).
What does that mean for you and I? Markets are constantly changing due to circumstances that are some times beyond our control. We have to be ready for these shifts and be able to take advantage of such shifts.

A good business person will get himself or herself into position to take advantage of shifting markets. Are you in a position to take advantage of shifting markets or are you stuck in what you are currently doing?

Take some time to contemplate the following:

Are you using your “downtime” to increase your knowledge of a particular area?
Are you saving some reserves to be in a position to take advantage of potential shifts?
Are you keeping your eye on the state of the economy or educational system?
Have you assessed your skills to see how they match up with the way the market is currently going?
What are you currently doing to make yourself better?

There will be more shifts in needs to come, will you be ready?

What you need to know about your network marketing income

Many people these days are apart of at least one network marketing company. This article is not meant to discuss which of these opportunities is the best, but it is to speak about the income derived from network marketing.

If you are in network marketing and you are serious about your business, it is important that you continue to read this blog.

Networking marketing companies do not give this level of information because it is not there specialty, but I will alert you of this right now. If you are serious about your network marketing business, even if you aren’t making your desired income right now, you need to incorporate. That’s right, you need to INCORPORATE ASAP!

Why you might ask? There are three major reasons why:

(1) As an independent business associate, or a sole proprietor, your net income from network

marketing is subjected to self employment taxes. Self employment tax comprises Social
Security and Medicare that you are liable for if your net income from network marketing is
over $400 annual. A corporation is not subjected to the self employment tax.

(2) There are several deductions that you are able to take as a corporate entity that you may
not be able to take as a sole proprietorship.

(3) Many of the top earners in your network marketing companies are utilizing this same
strategy, you just don’t know about it.

There are other reasons as well. If you are interested in forming a corporate entity send an email to info@mrbizcoach.com and some from our staff will assist you with this process.

Everyone is entitled to their opinion

I can not believe this. While reading an article the other day I came across a law professor say that we shouldn’t try to teach people about money. The professor beliefs that offering a financial education doesn’t work and continuing to teach on the subject is a waste of money. Wow, that was unbelievable.

Everyone is entitled to their opinion, but everyone can change. Teach financial literacy may seem like a waste of time for some but not everyone. There are many people who have learned a great deal about finances and applied it to their lives, resulting in the ability to make better financial decisions.

Wherever you are in increasing your financial literacy continue on, don’t stop. You will be better for it.

Choices

As we go through our daily lives, there are many decisions to make. Should I have coffee or tea today? Should I vote for Obama or McCain? Do I turn left or turn right at the intersection? Should I invest a portion of my earnings or should I use a portion of my earnings on entertainment?

The choices that we make affect our lives. However, while some of our choices affect us temporarily, many of them affect us for an extended period of time. The choice between coffee or tea may not have as dramatic of an effect on our lives, as our choice of the next president. Likewise our choice of direction at the intersection can have a temporary impact, while our decisions regarding our finances can affect us for a lifetime.

The difficult choices how we spend our money are experienced by everyone from teenagers with new summer jobs, to an executive who needs to trim the payroll. The question is simply, “WHAT, DO I SPEND MY MONEY ON?”

In order to make this difficult decision we have to prioritize what is most important to us. If you are one who lives for now then certainly saving for a “rainy day” is not high on your priority list. If you are one to “save for a rainy day” then investing in a vehicle that has a reasonable return is probably not too high on your list either. Maybe you are looking for a “good investment” then entertainment or other self-indulging activities would not find their place on the top portion of your list.

Before we can make wise decisions with our money we must first acknowledge our philosophy on spending. What motivates you to spend money? Are you merely spending more than you are investing? If so why is that the case? What was your family’s philosophy on spending and investing?

Make a list of your spending or investing practices for the past three months. Be honest about the amounts, where does the major portion of your spending lie? Is it in entertainment such as dining, clothing and other miscellaneous items? Is it in sound investing such as your education, real estate, your business or retirement? Is your spending mostly to pay off debt from entertainment items? When you discover your philosophy on spending you will be able to make wiser choices.