Category Archives: Habits

Start Early to Build Wealth

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The single most important thing you can do to build wealth is to start early. Getting started is more important than becoming a financial expert and the easiest way to manage your money is to take one small step at a time.

You, like most people, do not need a financial adviser to help you build wealth. Instead, you need to set up accounts at financial institutions, such as Fideltiy or Vanguard, automate the day-to-day money management (including bills, savings, investing and paying off debt). And, you need to know a few things to invest in, and then be patient and wait thirty years for your money to grow.

But, that’s not cool or exciting. Instead of listening to the noise of the financial entertainment media, instead you want your money to go where you want it to go in accordance with your goals and values. You want your money to grow automatically, in accounts that don’t nickel-and-dime you with excessive expenses and fees.

It’s essential to start today to learn about building wealth and take small steps to save, invest and manage your money. You don’t have to be a genius or financial expert to build wealth. Successful wealth building takes time, discipline and patience.

What do I want to do with my life–and how can I use my wealth to do it!

Investing early is the best thing you can do; ‘doing nothing’ ranks right up there with trying to drive a car without tires; it’s a bad idea and it won’t get you anywhere.

The single most important thing you can do to build wealth is to start early.

Here’s a great example of why investing early matters, that puts it in numbers:

  • If you invest $5,000 every year (which is $417/month) for 10 years, from age 25 to age 35 and then never invest again, you’d still have more money at retirement, than someone who starts at age 35 and invests $5,000 every year until they retire.
  • The 25 year old starter invests $55,000 and ends up with $615,000 (given an 8% annual return, which is close to the average return of the stock market per year). The 35 year old invests $130,000 and ends up with $431,000.

So, remember the adage “The best time to start building wealth is twenty years ago. The second best time is today.” You can save and invest modest amounts, like $20 a monty, and over time realize thousands of dollars in gains.

There are a lot of societal problems, but it’s important to focus on what you can control. Don’t be a passenger in life. It’s a lot more fun to be a captain of your own ship, even if you go off course a few dozen times. Building wealth does require some work. But, the benefits and rewards will surpass the effort.

Take a long term view. The economy grows and contracts in cycles ( business cycle). Fear is no excuse to do nothing with your money. You cam automate your saving and investing, thus you can continue to save and invest whiles others respond to emotions of fear.

Investing for average stock market returns (8% to 9%) is great since most retail and so call smart money fail to beat the average returns of the stock market. Moreover, theses investors tend to do the things that guarantee their failure: trade frequently, make outlandish investments, incur high taxes and pay unnecessary fees. The single most important factor to building wealth is getting started.

The challenges and opportunities with building wealth, and the corresponding solution, are you. Your mindset, behaviors and actions are the number one problem.

  1. You’re the only one responsible for your financial problems.
  2. Know how much money you have coming in and then automatically direct it where you want it to end up.
  3. It’s essential to start early and to start investing today, even if it’s just $1.

References:

  1. https://fourminutebooks.com/i-will-teach-you-to-be-rich-summary/

Investing 101: Building Long-Term Wealth

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Managing your money and building wealth has to be a priority if you ever want to be in a better financial situation than you are today. Ramit Sethi

If you’re like most people, you probably think investing is something only people with a lot of money can do. But here’s the truth: anyone can invest and everyone should be investing.

Everyone with expendable monthly income should be investing. Even if you aren’t making major bucks and even if you are still paying your student loans, you should be investing. Investing is a great long-term wealth building option that yields major rewards if you’re patient and smart about your investments.

Despite what you see on TV and social media, you don’t need to be (or even have) a stockbroker to get in on investing. In fact, it’s easier than ever to go at it alone, thanks to platforms like Charles Schwab, E-Trade and Robinhood. These sites (and others) offer no or low fee options for individual investors to start building a portfolio. Even better, some also give you access to financial planners who can provide investing tips and help answer questions along your investment journey.

Ready to start investing. Below are six investing tips from Brian Baker, investing and retirement reporter at Bankrate.com.

1. Think about your investing goals. First, people new to investing should ask themselves one simple question before getting started: How soon are you looking to see a return on your money? Or, how soon will you need the money you’ve invested?

If the answer is sooner, like less than six months, then you should skip investing in stocks and instead put your cash in a money market mutual fund or high yield savings account. These options won’t offer as big of a return as investing, but you’ll see steady increases over time. More importantly, all of your money will remain relatively safe and still be there if you need it in a hurry.

On the other hand, if you don’t anticipate needing the money any time soon, then investing is a good option. Successful investing often requires a long-term approach and patience because the market can fluctuate. Over time, however, it often yields positive results for many investors.

Or, you can do both. You can put some of your expendable income in a money market mutual fund or high yield savings account and then use some for investing.

2. Consider how much you can afford to invest. If after you’ve paid all your bills and set aside some cash in a savings account, you still have money left over, great. You’re in the perfect position to start saving. While choosing how much to invest all depends on your personal expenses, investing 10% off your income is a great place to start if you’re able.

That last bit is important, though. Not everyone is able to invest 10%, and that’s okay. When you’re just starting out, invest only how much and when you’re able to. What you shouldn’t do is miss important bill payments or slack off on traditional savings just to put more toward your investments.

Another investing no-no? Prioritizing your investments over paying off your debts. This is especially true when you look at interest rates. While the money you invest may yield a 7-8% return, the interest rates on debt are often much higher than that. If that is the case with the debt you’re carrying, you should prioritize paying off your loans before putting lots of your money in the stock market.

3. Choose the right platform for you. Given the rise in popularity in investing, there are lots of different online brokerages and platforms for individual investors to choose from. Some of the most reputable and popular are Marcus Invest, SOFI, Acorns and Robinhood. Here are a few questions to ask when deciding which is best for you:

  • Are there account minimums? Many of the online brokers available to individual investors who are new to investing don’t have any account minimums, so most people can easily get started with whatever amount of money they have saved.
  • What are the account fees? You’ll want to find out if there are any fees associated with having an account with the specific online broker you’re interested in. Additionally, find out if they charge you for making trades or new investments. Platforms like Charles Schwab, E-Trade and Robinhood all offer commission-free trading.
  • Do they offer fractional shares? Many of the brokerages are also now offering fractional shares, which are great if you don’t have enough money to buy a full share of a popular stock like Amazon or Alphabet.
  • What investment research is available to you as a member? Chances are you’ll have questions as you begin investing. Some online brokers offer investment research to their members, which can be helpful when you’re just getting started.
  • What else do they offer? Some brokerages offer other services like tax planning or access to financial advisors. Others offer different types of accounts like retirement that might be of interest.

4. Start with a diversified spread. Rather than trying to buy shares from specific companies that are buzzy right now, new investors should begin their journey with a more diversified spread. Focusing too much on individual companies often means you’ll need to have an in-depth knowledge of that company and its long-term strategy or plans. Most novice investors don’t have access to that kind of information, nor the time required to acquire it. Thus, it’s better to start by putting your money toward an S&P 500 Index Fund. “That’s going to give you a diversified portfolio of U.S. stocks at a very low cost, and that can be purchased through a mutual fund or through an exchange-traded fund (ETF),” Baker explains.

5. Know when to check in on your investments. If you’re following the more traditional investment strategy above, where you’re putting some savings into a diversified portfolio each month, you really don’t need to check your portfolio every day or even every week. Because this is a long-term investing strategy, checking your brokerage accounts monthly is more than sufficient.

6. Steer clear of common investing mistakes. When you’re finally ready to start investing, it can feel exciting, like you’re finally getting in on the action. But don’t get ahead of yourself. Here are three of the worst things you can do when you first start investing.

  • Don’t trade often. “Lots of trading activity is not the path to long-term investment success,” Baker says.
  • Don’t obsessively check your account. “If you’ve made long-term investments, there’s really no need to check your portfolio every day,” Baker reiterates.
  • Don’t get overly emotional. “Emotion is another enemy of investment success,” Baker says. “No one likes to see their portfolio decline, but stocks are inherently volatile, and it’s inevitable they will go down sometimes. People should keep their eye on their long-term goals,” he adds.

In conclusion, investing can be confusing if you don’t know where to start. Everyone’s circumstances are different, which means what’s right for you may not be right for someone else.

Take the time to evaluate your personal investing options and choose what works best for you. And research shows that investing is the best way to build long-term wealth and achieve your financial goals.

“Keep your eye on the [long term wealth building] goal, keep moving toward your target.” ~ T. Harv Eker, Secrets of the Millionaire Mind: Mastering the Inner Game of Wealth

References:

  1. https://www.intheknow.com/post/investing-tips/
  2. https://www.bankrate.com/investing/how-to-invest/

Living the Life of Your Dreams

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“The only way to do great work is to love what you do. If you haven’t found it yet, keep looking. Don’t settle. As with all matters of the heart, you’ll know when you find it.” Steve Jobs

Your time is limited, so don’t waste it living someone else’s life or one devoid of purpose. Don’t be trapped by dogma — which is living with the results of other people’s thinking, writes Excellence Reporter in a 2019 article. Don’t let the noise of others’ opinions drown out your own inner voice. And most important, have the courage to follow your heart and intuition.

“Life is to be lived and enjoyed in the moment,” says life coach Lamisha Serf-Walls. “Life is too short not to do what you love and when you are living the life your soul intended, you will experience freedom and bliss you never thought possible.”

Life can be much broader once you discover one simple fact: Everything around you that you call life was made up by people that were no smarter than you and you can change it, you can influence it, you can build your own things that other people can use. Once you learn that, you’ll never be the same or settle again.

“The mystery of human existence lies not in just staying alive, but in finding something to live for.” Fyodor Dostoevsky

You should never have a life’s purpose or live a life with the primary goal of getting rich and building wealth. Money can only be a tool used to achieve a goal or life’s purpose. It should never be your primary goal or purpose.

Instead, your goal and puri should be to value or serve others, to work towards something you believe in and to live a life that matters. You should be building wealth to serve others, to make the world better in some small way or to solve a problem. “Never work just for money or for power. They won’t save your soul or help you sleep at night”, states Marian Wright Edelman.

Additionally, let your passion lead you to your purpose. “If you can’t figure out your purpose, figure out your passion. For your passion will lead you right into your purpose. says Bishop T.D. Jakes  Be candid and honest with yourself about what your passions are. What really lights you up and makes you happy? What would you do if money weren’t a concern and you weren’t afraid? Let your passion lead you to your purpose.

Whether you start writing for fun, volunteer at a shelter, or start a new business, take some action today. Your passion will catapult you forward to more of the same and in no time you will find yourself living the life of your dreams!

According to Johann Wolfgang von Goethe, a German poet, playwright, novelist, and scientist, there are nine requisites for contented and purposeful living:

  1. Health enough to make work and life a pleasure.
  2. Wealth enough to support your needs.
  3. Strength to battle with difficulties and overcome them.
  4. Grace enough to confess your sins and forsake them.
  5. Patience enough to toil until some good is accomplished.
  6. Charity enough to see some good in your neighbor.
  7. Love enough to move you to be useful and helpful to others.
  8. Faith enough to make real the things of God.
  9. Hope enough to remove all anxious fears concerning the future.

“Everyone has a purpose in life…a unique gift or special talent to give to others. And when we blend this unique talent with service to others, we experience the exctasy and exultation of our own spirit, which is the ultimate goal of goals.” Deepak Chopra

References:

  1. https://www.huffpost.com/entry/live-your-life_b_6631456
  2. https://www.thegrowthreactor.com/quotes-about-purpose-in-life/
  3. https://excellencereporter.com/2019/06/11/steve-jobs-on-the-wisdom-and-the-purpose-of-life/
  4. https://excellencereporter.com/2021/11/29/johann-wolfgang-von-goethe-on-the-wisdom-and-the-purpose-of-life/

Purpose

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“The only way to do great work is to love what you do. If you haven’t found it yet, keep looking. Don’t settle. As with all matters of the heart, you’ll know when you find it.” Steve Jobs

Purpose is an abiding intention to achieve a long-term goal that is both personally meaningful and makes a positive mark on the world, according to The Greater Good Science Center at the University of California, Berkeley. The goals that foster a sense of purpose are ones that can potentially change and improve the lives of other people. “If you can tune into your purpose and really align with it, setting goals so that your vision is an expression of that purpose, then life flows much more easily”, says author Jack Canfield

Purpose is not a destination, but a life’s journey, a mindset and a practice. It’s accessible at any age and at any income level, if we’re “willing to explore what matters to us and what kind of person we want to be—and act to become that person”. Filmmaker and author Drew Scott Pearlman writes: “Your purpose must be particular to you. This is the road less traveled. Your purpose cannot be someone else’s path, not your family’s path nor your friends’ path.”

Individuals with a sense of purpose report higher levels of happiness and life satisfaction—which seems associated with better health, wealth and emotional well-being outcomes. For many people, it was good and beneficial to have a purpose or a goal, no matter what it was.

Additionally, the physical health benefits of a sense of purpose are well-documented. For example, a Harvard’s School of Public Health study found that people who report higher levels of purpose at one point in time have objectively better physical agility four years later than those who report less purpose.

Moreover, researchers suggest that people take better care of themselves when they feel like they have something to live for. Having a purpose also seems to be associated with lower stress levels, which contributes to better health and emotional well-being. And, according to Helen Keller, “True happiness… is not attained through self-gratification, but through fidelity to a worthy purpose.”

Additionally, people with a more “prosocial” purpose—one aimed at helping others—experienced greater personal growth, integrity, and health later in adulthood. This result was echoed by a 2019 study by Anne Colby and colleagues at Stanford University. They surveyed almost 1,200 Americans in their midlife about their well-being and what goals were important to them. The researchers found significantly better physical health and higher emotional well-being among people who were involved in pursuing beyond-the-self goals, compared to those who were pursuing other types of goals. In other words, engaging in prosocial goals had more positive impact on physical health and emotional well-being than engaging in non-prosocial goals.

A sense of purpose appears to suggest that humans “can cooperate and accomplish big things together”. Research suggests that team leaders can effectively boost the productivity, work experience and well-being of their team members by helping them connect to a task-related higher purpose. The 2013 Core Beliefs and Culture Survey revealed that 91 percent of respondents who believe that their company has a strong sense of purpose also say it has a history of strong financial performance.

“Everything in your life informs you what your purpose is. How do you know it’s your purpose? It feels like it’s the right space for you. It feels like ‘This is what I should be doing; this is where I feel most myself.” Oprah Winfrey

Purpose also helps both individuals and the species to survive and thrive. Purpose often grows from our connection to others, which is why a crisis of purpose is often a symptom of isolation. Once you find your path, you’ll almost certainly find others traveling along with you, hoping to reach the same destination—a community.

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According to research by Kendall Cotton Bronk, a professor of psychology in the Division of Behavioral & Social Sciences at Claremont Graduate University, finding one’s purpose requires four key components:

  1. Dedicated commitment,
  2. Personal meaningfulness,
  3. Goal directedness, and
  4. A vision larger than one’s self.

Often, finding our purpose involves a combination of finding meaning in the experiences we’ve had, while assessing our values, skills, and hopes for a better world. It means taking time for personal reflection while imagining our ideal future. “Everything in your life informs you what your purpose is. How do you know it’s your purpose? It feels like it’s the right space for you. It feels like ‘This is what I should be doing; this is where I feel most myself’,” says Oprah Winfrey

A sense of purpose as we navigate milestones and transitions means that we can look forward to more satisfying, meaningful and abundant lives.

“He who has a why to live can bear almost any how.” Nietzsche

References:

  1. https://greatergood.berkeley.edu/topic/purpose/definition
  2. https://greatergood.berkeley.edu/topic/purpose/definition#why-find-purpose
  3. https://greatergood.berkeley.edu/topic/purpose/definition#how-to-cultivate-purpose
  4. https://www.thegrowthreactor.com/quotes-about-purpose-in-life/

Visualization: Your Life In Focus

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“The key to effective visualization is to create the most detailed, clear, and vivid a picture to focus on.”

Research shows that the more you focus on the things you desire, the better chance you have at getting them. Thus, knowing what you want and focusing on what you want are essential for success and achieving your best life.

As you might ascertain, having a clear direction of where you’re headed or where you want to go is essential. Without a clear purpose and goals, it can be very easy to get caught up in things that aren’t actually moving you forward in your life’s journey.

For example, struggling comedian and actor, Jim Carrey used to picture himself being the greatest actor in the world. When Carey was still a “wannabe” during one of his appearances on “The Oprah Winfrey Show”, he spoke about his early days trying to make it in the entertainment business. He was broke and had no future. But he took a blank check and wrote out $10 million dollars to himself for acting services rendered and dated it five year in the future.

Subsequently, he carried that check in his wallet at all times and looked at it every morning, visualizing receiving $10 million. Five years after he wrote the check to himself, he found out that he was going to earn $10 million from the movie “Dumb and Dumber.”

“Create the highest, grandest vision possible for your life, because you become what you believe.” Oprah Winfrey

Vision boarding is an excellent way to get clear on your goals. Creating a vision board is a powerful way of getting to know yourself and what it is you truly want in your life.

A vision board is essentially a physical (or digital) manifestation of your goals. Vision boarding involves collecting images or objects that speak to the future you want to create and arranging them on a board for a tangible and aesthetically pleasing reminder of where you’re heading.

References:

  1. https://seatgeek.com/tba/articles/oprah-winfrey-2020-vision-tour-dates-tickets/
  2. https://www.mindbodygreen.com/0-20630/8-successful-people-who-use-the-power-of-visualization.html
  3. https://www.mindbodygreen.com/articles/how-to-make-a-vision-board

 

“Success = Knowing, Growing, Acting and Serving.”

Seven Steps to Success: John C. Maxwell

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“Attitude is the first quality that marks the successful man. If he has a positive attitude and is a positive thinker, who likes challenges and difficult situations, then he has half his success achieved.” John C. Maxwell

Although there is not a perfect formula to be successful, everyone has the capability to become successful. Success is a journey that you create for yourself if you strongly desire it and act on it. And, success can be learned and attained by you and everyone else. One ‘tried and true’ way to learn about becoming successful is to study the success of other people.

And that is what John C. Maxwell* has done. After over nearly fifty years of knowing successful people and studying the subject, John C. Maxwell has taught millions the principles of success and has embraced the following definition of success:

Success is…

  • Knowing your purpose in life,
  • Growing to reach your maximum potential, and
  • Sowing seeds that benefit others.

By this definition, success is a journey rather than a destination. No matter how long you live or what you decide to do in life, you will never exhaust your capacity to grow toward your potential, nor will you run out of opportunities to help others.

Additionally, Maxwell has developed a process of seven steps for success that are available to you and anyone else who desires to study and pursues the journey of success:

1. Make a commitment to grow daily.

“Success is… knowing your purpose in life, growing to reach your maximum potential, and sowing seeds that benefit others.” John C. Maxwell

Success comes from growing, not from achieving, acquiring or advancing. If you commit to growing each day, you will soon start noticing positive results in your life. Every action that you take towards growing will bring you closer to success, it doesn’t matter how small your action is or how slow you go as long as you keep going. As the poet Robert Browning said, “Why stay on earth except to grow?”

2. Value the process more than events.

“You’ll never change your life until you change something you do daily. The secret of your success is found in your daily routine.” John C. Maxwell

If your goal is to go to the next level in life, then strive for continuous improvement. Events in life are temporary, they teach you how to make better decisions. However, it is the process of change and growth that have lasting value. Choose to embrace the process and learn from both, the process and the event.

3. Don’t wait for inspiration.

“If you start today to do the right thing, you are already a success even if it doesn’t show yet.” John C. Maxwell

People who advance far in life find ways to motivate themselves and live the best they can regardless of how they feel. At times, they even have to push themselves to do something. Successful people persevere. Basketball great Jerry West said, “You can’t get much done in life if you only work on the days when you feel good.”

4. Be willing to sacrifice pleasure for opportunity.

“Success is peace of mind, which is a direct result of self-satisfaction in knowing you did your best to become the best that you are capable of becoming.” John C. Maxwell

There are two paths to follow: “You can play now and pay later, or pay now and play later. You choose whether you will first want to pay or play. Regardless of the path you choose to take, life will always demand a payment. If you choose “to pay first,” you will be more pleased with your results and enjoy greater and sweeter rewards

5. Dream big.

“Where success is concerned, people are not measured in inches, or pounds, or college degrees, or family background; they are measured by the size of their thinking.” John C. Maxwell

If you’re going to dream, dare to dream big. Dreaming small may keep you from discovering what you’re truly made of. Robert J. Kriegel and Louis Patler, authors of If Ain’t Broke, Brake It, assert, “We don’t have a clue as to what people’s limits are. All the tests, stopwatches, and finish lines in the world can’t measure human potential. When someone is pursuing their dream, they’ll go far beyond what seems to be their limitations. The potential that exists within us is limitless and largely untapped. When you think of limits, you create them.”

6. Plan your priorities.

“To Stay Focused in Life: You can’t know everyone. You can’t do everything. You can’t go everywhere. We have to pick and choose between good and a little bit better.” John C. Maxwell

Successful people have many things common and one of of them is that they have mastered the art of how to effectively manage their time. More than anything, they have organized themselves. Henry Kaiser, founder of Kaiser Aluminum and Kaiser Permanente Health Care, says, “Every minute spent in planning will save you two in execution. Time cannot be retrieved, so live every moment the best you can.

7. Give up to go up.

“One of the major keys to success is to keep moving forward on the journey, making the best of the detours and interruptions, turning adversity into advantage.” John C. Maxwell

Everything that has value comes as a result of making sacrifices. Life will present you with countless opportunities to trade something you value for something else. Keep your eyes open to identify those opportunities and once you do, make sure that what you decide to trade will be a trade up, not down.

In conclusion, “success is a journey” isn’t just a matter of words and ideas, it’s a matter of actions. It’s in you to act on what makes you achieve your success every day. Know that what may mean success to you may not mean success to others, and vice versa–and this is completely fine. Success implies diversity of thoughts, habits, behaviors, values, and attitudes.

“If you make it your discipline to do a little bit of growing every day, in just a few years you will be amazed by your transformation.” John C. Maxwell

References:

  1. https://www.johnmaxwell.com/blog/what-i-believe-about-success/
  2. https://www.linkedin.com/pulse/seven-steps-success-john-c-maxwell-ivette-k-caballero

* John C. Maxwell is an International Leadership Expert, Speaker, #1 New York Times bestselling author, coach, and speaker who has sold more than 26 million books in fifty languages. As the founder of The John Maxwell Company, The John Maxwell Team, EQUIP, and the John Maxwell Leadership Foundation, he has trained more than 6 million leaders. Dr. Maxwell speaks each year to Fortune 500 companies, presidents of nations, and many of the world’s top business leaders. For more information about him visit JohnMaxwell.com.

Patience is a Virtue

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“The most useful form of patience is persistence. Patience implies waiting for things to improve on their own. Persistence implies keeping your head down and continuing to work when things take longer than you expect.” ~James Clear, author of Atomic Habits

Patience, along with effective habits, are a necessity and essential virtue in order to make changes and improvements in your life.

As James Clear points out: “Your outcomes are a lagging measure of your habits. Your physical fitness is a lagging measure of your eating and training habits. Your knowledge is a lagging measure of your learning habits. Your net worth is a lagging measure of your financial habits.”

Effectively, you get in your life what you repeat over the long term.

And, patience is imperative in investing.

Billionaire investor Warren Buffett reminds investor regarding the importance of patience when he quipped that: “Successful investing takes time, discipline, and patience. No matter how great the talent or effort, some things just take time. you can’t produce a baby in one month by getting nine women pregnant.”

“The key to everything is patience. You get the chicken by hatching the egg, not by smashing it.” ~ Arnold H. Glasow

References:

  1. https://www.purposefairy.com/75545/quotes-on-patience/
  2. https://bizadda360.com/quotes/warren-buffett-quotes

Positive Wealth Building Thoughts

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“Wealth is the product of a man’s capacity to think.” – Ayn Rand

“We become what we think about.” — Earl Nightingale

Wealth building begins and ends with your mindset, thoughts and behaviors. Thus, it’s imperative to keep your thoughts focused on the positive, on success, on making an impact, on changing the world and on changing people’s lives for the better.

There is an old adage that goes:

  • Watch your thoughts, they become words.
  • Watch your words, they become actions.
  • Watch your actions, they become habits.
  • Watch your habits, they become your character.
  • Watch your character, it becomes your destiny.

You must not fix your eyes on current world conditions or even your own personal situation. Instead, you must focus on what you can control, on how you respond, and on how well you maintain a positive and winning mindset and attitude. Focus on the solution not the problem.

So, your keys to success tips include:

  1. Use only positive words while thinking and while talking. Use words such as, ‘I can’, ‘I am able’, ‘it is possible’, ‘it can be done’, etc.
  2. Allow only feelings of happiness, strength and success into your awareness.
  3. Every time a negative thought finds its way into your mind, immediately replace it with a positive thought or an affirmation.
  4. In your conversation, use words that bring forth feelings and mental images of strength, happiness and success.
  5. Before starting with any plan or action, visualize clearly in your mind its successful outcome.
  6. Read at least one page of an inspiring book or an inspiring article every day.
  7. Associate yourself with people who think positively.
  8. Act courageous. Always sit and walk with your back straight. This will strengthen your confidence and inner strength.

In order to build wealth and to achieve financial freedom, you must develop a wealth building mindset and follow a deliberate plan. As you will discover, your wealth grows to the extent that you do.

“We become what we think about most of the time, and that’s the strangest secret.” – Earl Nightingale

Bottomline…for success, keep your focus and thoughts on wealth building!!! Because, what you focus on expands and establishing habits is the key to expansion.

Don’t focus on the problems your dealing with today or the conditions of the world; fix your eyes on your systems, habits and the destination.

Napoleon Hill describes success as the product of having a definite objective. In achieving that objective, you need a clear definite aim and a definite plan to get there.

A definite chief aim means in simple terms that you must have a clear objective that you are aiming to achieve. Success — building wealth and achieving financial freedom — will not come to you and you will not be able to manifest what you want, unless you know what you want.

Success is ultimately achieved by focusing on a clear objective, and pursuing that objective deliberately and with all the means at your disposal. In simple terms, success is simple, but not easy.

“Whatever the mind of man can conceive and believe it can achieve.” Napoleon Hill

Actually, you just have to be exceptionally clear about what you are trying to achieve, passionate about achieving it, comfortable and happy that what you’re doing matches your values: and finally, and perhaps more important than anything else, you must believe that you can achieve it, you must expect to do so, and you must have a plan to achieve it.

So it’s imperative that you use the power of your thoughts and mind to focus on the positive aspects of your life. This works similarly to building strength in the muscles of your body. As you focus on what’s going right in your life, it will grow and expand like a muscle.

What you focus on grows and expands!

References:

  1. https://www.therealsecretofsuccess.com/napoleon-hill/
  2. https://activerain.com/blogsview/5155111/what-you-focus-on-expands

Systems are Best for Long Term Success

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“Goals are good for setting a direction, but systems are best for making progress.” James Clear

James Clear, author of Atomic Habits, spoke at a conference I attended about ‘goals and system’. During his insightful talk, he explained that “Goals are good for setting a direction, but systems are best for making progress. ”

Furthermore, he said that, “I began to realize that my results had very little to do with the goals I set and nearly everything to do with the systems I followed.” To explain, he writes that “If you’re an entrepreneur, your goal might be to build a million-dollar business. Your system is how you test product ideas, hire employees, and run marketing campaigns.”

Moreover, goals are good for setting a direction, but systems are best for making progress and reaching your destination.

Goals can become too limiting, says Scott Adams, the nationally syndicated cartoonist of Dilbert. Systems, in contrast, habits are things that people regularly do and that increase the odds that an event ends up creating an experience that leads to an eventual success, even though that success might not be immediately apparent.

A system, says Adams, contributes to a positive attitude that widens a person’s field of perception, which he contends is what makes some people luckier than others in that they can see more opportunities.

Build a system for getting 1% better every day.

In Clear’s opinion, “a handful of problems arise when you spend too much time thinking about your goals and not enough time designing your systems.”

https://twitter.com/atomichabitss/status/1498825041835823105

According to Clear, several problems arise when you focus on goals and ignore the system, such as:

Problem #1: Winners and losers have the same goals.

Successful and unsuccessful people often share the same goals, thus the goal cannot be what differentiates the winners from the losers. It wasn’t the goal of winning the Tour de France that propelled the British Cyclists to the top of the sport, states Clear. Presumably, they had wanted to win the race every year before—just like every other professional team. The goal had always been there. It was only when they implemented a system of continuous small improvements that they achieved a different outcome.

Problem #2: Achieving a goal is only a momentary change.

To truly have meaningful and long-lasting change, you must change your habits that led to the problem or challenge in the first place. Achieving a goal only changes your life for the moment. That’s the counterintuitive thing about improvement. You think you need to change your results, but the results are not the problem. What you really need to change are the systems that cause those results. When you solve problems at the results level, you only solve them temporarily. In order to improve for good, you need to solve problems at the systems level. Fix the inputs and the outputs will fix themselves.

Problem #3: Goals restrict your happiness.

The problem with a goals-first mentality is that you’re continually putting happiness off until the next milestone. Happiness should not be just something for your future self to enjoy.

Furthermore, goals create an “either-or” conflict: either you achieve your goal and are successful or you fail and you are a disappointment. You mentally box yourself into a narrow version of happiness. It makes no sense to restrict your satisfaction to one scenario when there are many paths to success.

A systems-first mentality provides the antidote. When you fall in love with the process rather than the product, you don’t have to wait to give yourself permission to be happy. You can be satisfied anytime your system is running. And a system can be successful in many different forms, not just the one you first envision.

Problem #4: Goals are at odds with long-term progress.

Finally, a goal-oriented mind-set can create a “yo-yo” effect. When all of your hard work is focused on a particular goal, what is left to push you forward after you achieve it? This is why many people find themselves reverting to their old habits after accomplishing a goal.

The purpose of setting goals is to win the game. The purpose of building systems is to continue playing the game. True long-term thinking is goal-less thinking. It’s not about any single accomplishment. It is about the cycle of endless refinement and continuous improvement. Ultimately, it is your commitment to the process that will determine your progress.

Fall in love with systems

James Clear surmises that “goals are good for planning your progress and systems are good for actually making progress. Goals can provide direction and even push you forward in the short-term, but eventually a well-designed system will always win. Having a system is what matters. Committing to the process is what makes the difference.”

The next time you think about a goal, something you deeply desire to achieve, think of the system that you will follow — and how often — in order to reach it.

References:

  1. https://jamesclear.com/goals-systems
  2. https://www.cioinsight.com/careers/dilbert-creator-focus-on-systems-not-goals/
  3. https://jamesclear.com/good-habits
  4. https://medium.com/swlh/thinking-in-systems-not-goals-2b9a4105d0d3

James Clear is the author of the #1 New York Times bestseller, Atomic Habits.

“The most useful form of patience is persistence. Patience implies waiting for things to improve on their own. Persistence implies keeping your head down and continuing to work when things take longer than you expect.” ~James Clear

Habits and System Building

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“Your system is the collection of daily habits.” James Clear

Behaviors and Beliefs are a two way Street, says James Clear, author of “Atomic Habit”. Effectively, the way you act influences what you believe about yourself; what you believe about yourself influences the actions you take and the manner in which you behave. But, you should let the behavior lead the way, explains Clear.

Every action you take on a daily basis is a vote regarding the person you are currently and want to become in the future. Everyday you’re casting votes to become the person you see yourself. Habits matter because they reenforce the person you want to become.

Build a system.

You want to focus on developing a process / building a system or achieving a goal or outcome. You don’t rise to the level of your goals, you fail to the level of your system. Building the system — the way you prepare — that executes on achieving your goals is what is important. The system is what gets you closer to your destination. Ask yourself what you’re optimizing for?

Your goal is your desired outcome. Your system is the collection of daily habits you follow. Your system is your collection of daily habits you follow. Your current daily habits are perfectly designed to deliver your current results. Over a long period of time, your life bends towards your system, or collection of habits.

The purpose of habits:

Habits are the autopilot mode that your brain goes into when completing repetitive tasks, according to James Clear, author of “Atomic Habits”. For example, driving to work, the first time you do it, it may be confusing and stressful but after a few weeks your mind is just going through the motions, explains Clear.

Not having a grasp on your habits means not having control of your life and outcomes…consider:

  1. No financial habits = living pay check to paycheck.
  2. No healthy food and exercise habits = lacking energy and good health.

Without good habits, you will always be behind the curve. Success in your life and finances depends on the effectiveness of your habits and systems.

  • Your system for reading might be to read at least 1 page before bed every night.
  • Your system for exercising might be to do at least 5 minutes of bodyweight exercise every morning.
  • Your system for healthy eating might be to eat at least 1 apple every day for lunch.
  • Habits are the “compound interest”of self-improvement.

The bigger your systems, the bigger your results. Systems are the vehicles that are going to take you to your goals—your goals are simply the destination. Effectively, you don’t rise to the level of your goals; you fall to the level of your systems.

If you want to change the world and do big things, the actions you’re doing every day, your habits, are what are going to get you there. That’s where the things happens.

“You do not rise to the level of your goals.  You fall to the level of your systems.”James Clear

Showing up each day and making one small choice or trying to do something in a slightly better way, and then watching that compound and multiply over time. In life, changes may seem relatively small and insignificant on a daily basis, but over 10 or 20 or 30 years, small choices and changes can make meaningful difference.

What starts out small and seems relatively insignificant, grows and accumulates into something bigger.

Your mindsets and your systems can set us up for success. It is important to understand the importance of consistency when it comes to forming habits that last.

“Changes that seem small and unimportant at first will compound into remarkable results if you’re willing to stick with them for years”, says Clear. “We all deal with setbacks, but in the long run, the quality of our lives depends on the quality of our habits. With the same habits, you’ll end up with the same results. With better habits, anything is possible.”

Small incremental changes can end in massive results. Small improvements day by day will result in a huge compounding effect, says Clear.

References:

  1. https://movemequotes.com/beyond-the-quote-8/
  2. https://brenebrown.com/podcast/atomic-habits-part-1-of-2/
  3. https://theherstonproject.com/2020/11/atomic-habits-summary/