Sun Tzu
“Opportunities multiply as they are seized.”

It is hard to explain how this really works, but sitting on your ass really won’t get you to far.  And once you start making moves doors seem to open.  You have to watch your back and understand everything from the Art of War.  But the more you hustle the more opportunities open themselves up. 

Popularity: 3% [?]

Sun Tzu from the Art of War

“All men can see these tactics whereby I conquer, but what none can see is the strategy out of which victory is evolved.”

Popularity: 2% [?]

I always defined f*ck you money as having enough money to not care about what anyone thought.  You could walk up to anyone and say “Fuck you” and not worry about the consequences.  This also applies to not caring what others say, not caring about what anyone else does and not worrying about what you do.  Growing up I felt that having $5 million would be my f*ck you amount.  That number has since risen quite a bit. 

I have also noticed different attitudes about what exactly f*ck you money is…  Some people have the f*ck you attitude and are dead broke living with moms without money or a job.  Others have levels of f*ck you money.  For example they could care less about anyone in a lower social class then themselves.  There is another type of f*ck you money that I was introduced to this week (through a post at living off dividends).  If you are currently working at a job, but have multiple streams of income you could have enough f*ck you money to quit your job.

You can have various streams of income coming from investments, other jobs, or anywhere.  The investments include rental properties, stocks, bonds, or whatever other method you have that gives you monthly income.  Once you make enough money to cover your living expenses coming in separate from your job, you have enough f*ck you money to quit your job at anytime. 

I think this is a goal that people should strive to achieve.  There are many benefits to being able to walk away at anytime.  You will have less stress, which means a lot to you and those around you.  You will probably be more productive because you will be able to work without pressure.  Just imagine being able to have your resignation letter saved on your computer to leave whenever you want.  It gives you the advantage to do what you want. 

Passive income is great.  Being able to walk away from something gives you a great power.  I have always thought that people should get rid of debt not related to assets (or tax deductions), then save up 3 months rent.  Then from there get your game tight, start earning money on your money.  A good goal would be to make an equivalent income to your primary job, outside of your primary job.  Then of-course double and triple that…

This is a level of f*ck you money, not absolute f*ck you money.  But it is a level that you should strive to achieve.  I am a firm believer that once you put something into motion and you get success from it, it is hard to make it stop. 

Popularity: 5% [?]

I saw these this morning and thought they were worth sharing.   

“It’s not because things are difficult that we don’t dare. It’s because we don’t dare that things are difficult.” Seneque

“The wise man asks himself the reason of his mistakes, the fool asks others” Chinese Proverb

“Man is a pupil, pain is his teacher” Alfred de Musset

Popularity: 2% [?]

I came across this list yesterday and was impressed.  The first three items were so dead on, I had to bring the list over here.  You can check the original site for blurbs on each of the top 10. 

   1. Accept whatever salary an employer offers.
   2. Don’t try to improve yourself at work.
   3. Never leave the company you work for.
   4. Don’t track how much you earn and spend.
   5. Spend more than you earn.
   6. Ignore work benefits.
   7. Ignore your tax withholdings. 
   8. Don’t open any IRAs.
   9. Invest sometime later.
  10. Saving is complicated.

The negative reinforcement here is great. 

Popularity: 2% [?]

Monopoly used to be the game.  I always enjoyed playing monopoly as a kid.  It takes a long time to actually finish a game, but I enjoyed playing the game and learning the strategy behind it.  There are some lessons in the game that can be applied to real life. 

 1.  Start Early - It seems it is never to early to start investing and hustling.  Money is not going to just come to you.  In monopoly you have to get as many properties as you can and as quickly as you can.  Then you can start reaping the benefits when people drop by.  If you wait, others will have already taken your spot.  In real life you are losing time the longer you wait to get started.  Time is something you can never get back.

2. Luck has a lot to do with things - There is a lot of luck involved with this game.  If you land in jail, or don’t get the right properties in the beginning the game is harder for you.  If you get doubles and just roll around the track, you can have a great time playing the game.  Luck fortunately/unfortunately has its place in the real world as well.  As the saying goes, the more you hustle the luckier you get.  You have to play the game to get lucky.

3. Skill will put you past the lucky player - Life mimics the game of monopoly in many ways.  The more strategic you are though, the better your chances of success.  In this game and with life, skill can dominate luck over time.  I have friends that get lucky, and then make the same mistakes over and over again.  You have to progress and learn from your surroundings. 

 What lessons do you feel you can learn from Monopoly?

Popularity: 6% [?]

One of the more educational and motivational parts of my education was case studies.  I enjoy reading about how other companies succeed and fail.  I feel that I get the most out of that type of educaiton.  There is a good article over at INC magazine about how to start up a business during a recession.  There are many benefits if done correctly.  I will just add that for most businesses you start now they will probably not really get off the ground until we are out of the recession.  I have a friend starting a new business in the retail market (franchise).  He is pushing full steam ahead and will not open doors til fall 2009.  If he were to sit around and wait for it to happen it might not happen.  Even though he is pushing hard and hustling on it, there is still a lot to do before things open up for him. 

Check out the article here.

 

Popularity: 2% [?]

I was thinking about failures and success today.  I was thinking about how many people actually run for president.  There are probably 30 or so serious contenders every four years that start raising money.  Many drop off quickly then we are left with 3-5, which drops to really 2.  Ultimately there is one winner of the presidency.  I feel though that just being in the race is winning.  Al Gore has made quite a bit of change since failing.  John Edwards is doing good as well.  In a lot of ventures you can win, just by playing.  The thing is though, that you have to participate.  You can not succeed without trying.   

Success doesn’t come to you . . . you go to it.
- Marva Collins

Success is not the result of spontaneous combustion. You must first set yourself on fire.
- Fred Shero

Eighty percent of success is showing up.
- Woody Allen

Success seems to be largely a matter of hanging on after others have let go.
- William Feather

The road to success is lined with many tempting parking spaces.
- Unknown

Anyone who has never made a mistake has never tried anything new.
- Albert Einstein

In order for you to profit from your mistakes, you have to go out and make some.
- Unknown

Popularity: 2% [?]

Who is keeping you from meeting your goals?  Who is keeping you from the lifestyle you want?  Why don’t you have the portfolio you want, the real estate, the money, the cars, the girls, the friends, the vacations, etc…  There have been many times in my life where I felt I was held back from various goals.

I was at a book store this past weekend killing some time between meetings (and looking to get the new Heavy Hitters Magazine, which was not out yet).  So I walk around and pass the business section to see what is new.  I notice that things have not really changed, Rich Dad Poor Dad, Millionaire this and that, books on everything.  I pass by a guy with 20 of the 50 top selling business books of all time on a table.  He is studying it as if money will fall out of the sky if he memorizes the right passage.  It is as if he is looking for “The Answer” in these books.  Do you consider that trying?
Read the rest of this entry »

Popularity: 6% [?]

So what is going on?  The facts.  You hear about foreclosures happening daily and rates increasing each month.  Banks are being tighter with money and loans.  Houses are still being built.  People still desire to have roofs over there head.

It would seem to me that the renting market would be growing.  I have not really heard much about that though, through the media.  Current renters are having a harder time buying homes because of the new and tighter restrictions on getting new mortgages.  I assume that people that are foreclosing on homes are not getting new homes, but rather going to be moving into the rental market.

Renters in some markets are even being kicked out of the places they are renting because the owners of the homes are not able to make payments.  So people that are renting need places to stay.

Many people I talk to about homes are very discouraging about investing now because “we have not seen the worst of the housing problems.”  They see it only getting worse.  Their advice is to wait until things bottom out.  I will be the first to tell you that no news organization will tell you when we hit the bottom, because they will not know.  Each market segment is different as well.  Here in Raleigh we have not really seen a large trend downwards yet.  There are a few builders holding homes but it does not feel like they are completely unfolding yet.

I have seen some people get homes that I thought were ridiculously overpriced for what I thought was market value.  This to some is demonstrating a trend, though I feel they were just going with the hype.  I am not big on hype.

So what is the move?  I am leaning towards rental properties, with some hesitations.  More houses are being built, you would still need to get a decent price on the homes, and you will need to be able to cover your mortgage each month.  With a growing rental market and people having more difficulties getting mortgages, it seems logical.  You might want to look into niche rental markets and/or stay away from rental neighborhoods.  I feel that here are options.

There are people making money now and that will continue to strive during this downturn.  They are thinking outside of the box and ignoring the hype.  News organizations, Fox, CNN, CNBC, whomever, will not tell you where to invest.  Seems they are only reactionary and stating the obvious.  Now is the time to find good deals.  If you are able to prosper now, you will probably blow up when the market recovers.

Popularity: 2% [?]