Successful Mindset

I just completed the Millionaire Mind Intensive training last weekend, it was 3 full freaking days 9am-11pm training and I can only say it in one word.. It’s AWESOME! Seriously… I never regret I spend 3 full days doing this seminar. Now I really believe this program was worth hundreds-thousands of dollar in value. The reason he’s charging very inexpensive and gives some free tickets away is because this is the first time T. Harv Eker brings this program to Asia, well he need to build reputation in here after he has been famous in US. He is not only good at money, business & self development, but he’s also a spiritual person. I have learned a lot of thing that change the way I see about money and myself. Ok, enough said about him, the reason for me to post this blog is to share what I have learned for benefit of everyone who read this blog who interested to know. I definitely can’t write everything I have learned in 3 days in here, but I’ll summary the important point that I consider useful for me. Here we go:

According to Harv, the secrets of wealth actually lies in creating a supportive, wealth-producing belief structure. It boils down to this: to get rich, we must think rich.

What you can see physically (whether rich, poor, successful, etc) are actually the fruit of the tree. You have to work on the root (inner world : mind, emotion & spirit) that we can’t see to produce the fruits. Inner world principles for real world success. In the seminar, Harv using some kind of hypnotherapy to release you from any bad experience toward money that automatically makes you avoid money (such as: money is the root of all evil, all rich people are jerk, etc) or change your purpose of getting rich (anger, fear or proving yourself) because even if you get rich under this bad purpose, you wont get any happiness when you’re rich.

The main different between rich people and poor people is simply because rich people are really really really good at managing their money than poor people. Here is the money management system that Harv Eker recommended. You need to manage your money by splitting your net income after tax into 6 saving accounts / physical jars (if you have to pay the tax by yourself, create one more account and put it 10-20% for your tax, then split the remaining money into the 6 accounts):

* The % for each account is flexible, you can adjust it accordingly.

1. Financial Freedom Account (FFA) – 10% (Minimum) : This is your golden goose. This account is your ticket to financial freedom. The money that you put into this account is used for investments and building your passive income streams. That’s it, the purpose of this account is to build a huge lam sum of money (big fat golden goose) or to create or buy passive business income (small geese) along the way. You never ever allowed to spend the money from this account, not even when you’re retire or almost die. The money can be used to build your legacy, when you pass this account to someone else, pass it with the same rule: Never spend the money, but you can enjoy the interest. Example: If your expense is $100k a year, you can be financially free if you have $1m in this account that gives you 10% interest/year.

2. Long Term Saving for Spending Account (LTSS) – 10% : The money in this account is for the bigger nice to have purchases. You start saving for your car, house, our child education, etc. you can have more than 1 LTSS account (of total 10%) with 1 purpose for each account. The reason to split is to make the fund clear.

3. Education Account (EDU) – 10% : Money in this account is meant to further your education and personal growth. An investment in yourself is a great way to use your money. The world is keep changing everyday, you have to keep your self growing by education yourself or otherwise you’re automatically shrinking. You are your most valuable asset. Never forget this. You can use education money to purchase books, CD’s, courses or anything else that has educational value. A nice quote from Derek Bok: “If you think education is expensive, try ignorance”

4. Necessity Account (NEC) – 55% : This money is for your everyday expenses and bills. Basically it includes anything that you need to live, the necessities. This would include things like your rent, mortgage, food, bills, utilities, grooming, necessary clothing only (Ladies!! Pay attention in here), etc

5. Play Account (PLAY) – 10% : OMG, This is my favorite account. The purpose of this money is to nurture yourself. You have to spend ALL the money from this account every month!! Or if you need to money from something big, you can only keep it for maximum 3 months. You could purchase an expensive bottle of wine at dinner, get a massage or go on a weekend getaway. Play can be anything your heart desires. If you only have 2 options to spend money between 30 minutes limo ride with champagne or 30 days video gaming renting, you have to choose 30 minutes limo ride. The idea here is for you to taste and experience deluxe life that you never experienced on before. Oh.. one more thing for Ladies.. you can use this money for additional clothing J

6. Give Account (GIVE) – 5% (Minimum) : The money in this account is for giving / donation. Those of you who give tithe, you can adjust to 10% by lowering the money from other account (NEC). You can give your money to a charity or even someone that you know personally who is in need. Why do I have to give? Well, there are few good reason: a) It’s the law of universe. It says “give and you shall receive” b) How great would you feel to be able to give money to a person you know can really use the money? c) When you give, you’re sending a sign of abundance to the Universe, that you have plenty of everything, you’re abundant. This will magnetically attract more abundance to you. Another law of universe: like attract like.

You need to start managing your money NOW! There is no excuse such as “I’ll manage when I have big money”. You can start as little as $1, build the habit is more important than the amount. Those people who say “I don’t have enough money to manage”, rationale, they’re looking through the wrong end of the telescope. Rather than say “when I have plenty of money, I’ll begin to manage it”, the reality is “when I begin to manage it, I’ll have plenty of money.”

Here is a nice example that I found to apply the system: http://www.daleottleyinvestor.net/wst_page7.html

Here is question that a lot of people have: don’t I have to pay all the bill, debt first before I split the money? WRONG, you have to split your income first, then use NEC money to pay the bill and debt. You’ll somehow manage to pay them all if you do it properly. Why? Have you heard: what you focus will expand? If you focus on paying debt / bill, more debt will come to you. When you finish paying all the debt, somehow your mind missing something and automatically it will create new debt. Try that if you don’t believe. So, focus on your FFA account and you’ll get financial freedom sooner.

Wow… what a long post to summarize what I learn on first day.. stay tunes for part II…

If you’re interested to attend the live seminar, here is the link to get FREE tickets!! or click here to see the preview. If you’re in Asia, here is the link to get free tickets, but you have to pay SGD $79 for the course material. It’s still worth it.