Archives for June 2017

Are You Proud of You?

tip-o-the-morning

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When you look in the mirror are you proud of the person you are or of the person you are becoming?

One of my old friends, who eventually became a deca-millionaire, told me that it was his mirror that told him he was on the wrong path in life. He said that when he used to look in the mirror, he would see a zombie – someone who was just going through the motions, existing. He hated looking in the mirror.

Eventually, he became so disgusted looking in the mirror that he decided to change what he was doing in life. His major change required that he pursue a dream he had been burying for some time. The pursuit of this dream disrupted his family because it involved risk and sacrifice. But, once he embarked on his dream, the reflection in his mirror changed. He began to see someone of significance. Someone he respected and admired.

The Mirror Test is a way to help you identify if you are on the right path in life. When you are on the right path in life, when you are pursuing something that challenges you every day and fills you with passion, it shows up in the mirror. You begin to like what you see in the mirror.

What’s Your Strategy for Success

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Are you following any strategy for success? Don’t worry, most aren’t. And that’s the problem. You see, success, and the wealth success creates, is just a process.

Here are some questions intended to help you jump start and create your own personal strategy for success:

  • Which path towards success are you following: Path #1 = Pursuit of a Dream or Path #2 = Living Below Your Means (saving money and investing that money)?
  • Do you have a vision of your ideal perfect life?
  • Is your vision in writing?
  • Do you have daily habit goals?
  • Do you have any dream goals you are pursuing?
  • Do you have a To-Do list with your daily habit goals listed?
  • Do you block off time every day to pursue your habit goals or dream goals?
  • Are you pursuing growth every day by reading to gain knowledge or by practicing and perfecting some skill set?
  • What specific relationships are you trying to develop that will help you realize your dreams and goals?

These questions are intended to cause an itch that you feel compelled to scratch. Not having a success strategy means you are not pursuing success. And not having a strategy for success lumps you in with 95% of the population. And that’s not where you want to be.

No-Nonsense Financial Advice From a Seasoned Financial Advisor

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My best friend, Bill King, is 11 years older than me. Like me, he’s a CPA and a CFP. When I was just starting out in my career, Bill gave me the best financial advice I ever heard. [Read more…]

Dreams Make the Best Chauffeurs

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A little boy, hooked on science fiction books, had a dream of one day going to Mars. Today, this little boy runs SpaceX. SpaceX made history in 1998 by being the first private company to send a rocket into space. This little boy’s name was Elon Musk.

Another little boy dreamed of being the best golfer in the world. He lived and breathed golf every day. His dreams were filled with visions of winning golf tournaments and lofting trophies over his head. By age 24 this little boy had won 17 PGA tournaments. That was back in March of 2000, a record that still stands to this day and is unlikely to ever be broken. That little boy was Tiger Woods.

A short, undersized boy, with a speaking impairment entered Kent College. He had a dream of one day becoming a college football coach. No one in his family had ever gone beyond high school. In 1988 Notre Dame finished 12-0, having beat Miami (then #1), USC (then #2) and West Virginia (then #3). That short, undersized boy with a lisp, was Lou Holtz.

When you take action on your dreams, you will be flooded with passion. That passion allows you to break through any obstacle, overcome any adversity and take you anywhere you want to go.

Dreams make the best Chauffeurs.

Strategic Cheating

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The path to habit change is via repetition. The more you repeat a behavior, the stronger the neural pathway becomes (aka synapse) and the stronger the synapse becomes the more permanent it becomes.

Eventually, strong synapses will be marked as a candidate for a habit by the basal ganglia. The basal ganglia marks a synapse as a habit by reaching its neural tentacles ( dendrites) up and out until they touch the synapse. Once this occurs, the synapse becomes a habit and will remain so for most of your life.

It’s not easy to forge a new habit. Some habits take more time to form than others, depending on the complexity of the habit. According to a 2009 University College London study, this habit timeframe can range from 18 – 254 days, with the average being 66 days to forge a habit.

In the early going, forging a new habit requires the brain to work harder than normal. Energy, primarily in the form of glucose, is called upon to power the newly forming habit synapse. At times, during this habit formation process, the brain will fight you on habit formation when the stores of glucose run low. This is commonly referred to as decision fatigue – periods of low willpower.

The trick to habit formation, during periods of low willpower, is to trick the brain into believing there is no need to put up a fight. This is where Strategic Cheating comes into play.

Strategic Cheating is a habit formation shortcut that avoids decision fatigue and fools the brain into continuing the new habit formation process.

Here’s how it works. Habit formation requires repetitive behavior. Oftentimes, this new behavior requires a commitment of time. Thirty minutes a day of aerobic activity, for example, can quickly deplete the stores of glucose readily available and cause a loss of willpower, triggering the brain to send a signal to other parts of the brain to cease and desist from the new habit formation activity. The key to preventing this from happening is to cheat.

When your willpower energy is low, instead of engaging in 30 minutes of aerobic activity, cheat – only engage in 5 or 10 minutes of aerobic activity. This cheating stops the brain from sending out the cease and desist order and the brain will not fight you or prevent you from engaging in the new habit.

Strategic Cheating works in forging new habits by allowing the new synapse to strengthen, without causing decision fatigue. In time, the synapse will strengthen and eventually the basal ganglia will mark it as a habit. Once it is marked as a habit, the brain will no longer fight you when you engage in the habit.

Rich Habits Poor Habits Episode 32 | 4 Tricks to Forging New Habits

Good habits put you on autopilot for success. 

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When actions become habits, the need for motivation (external or internal) is eliminated.

You don’t need to pump yourself up to engage in a habit.

This is one of the main things that separates successful individuals from everyone else – successful people habitualize good behavior.

So, fine, but how do you actually forge a new good habit?

There are 4 tricks to forging habits:

1. Change Your Trigger

Your doctor tells you that if you want to prevent urinary track infections you must drink at least two glasses of water every day.

Wealth Retreat 2017 - Tom Corley

But you find it difficult to turn that into a habit.

You keep forgetting to drink water.

One of the shortcuts to habit change is to find an existing habit you have, good or bad, and add a new habit to it.

What other habits do you have?

List them.

One habit on your list is coffee.

Every day you drink two cups of coffee.

To forge the new habit of drinking water, simply put your coffee cup next to the sink, your water filter or the water cooler.

When you go searching for the coffee cup you will have to remember where you put it. Ah yes, by the water cooler. That coffee cup then becomes your new trigger. It will remind you to drink a glass of water.

2. Start Smallinspiration idea mindset

New habits are hard to forge.

The trick is to make the new habit so easy to perform that you will not require any willpower to get you started.

The brain does not like new habits because new habits, in the very beginning, require conscious effort.

Any conscious thinking requires the use of brain fuel (primarily oxygen and glucose).

The brain is unable to store oxygen and glucose, so it must send a message to the peripheral nervous system, which then notifies the liver to produce more glucose.

This is a pain in the neck for the brain.

So, instead, it sends back a message to you that essentially says – don’t engage in the activity.business data success

If the activity requires very little brain fuel, however, the brain will not fight you on the activity.

It doesn’t send the message – don’t engage in the activity.

As an example, let’s say that you want to begin jogging so you can lose weight and be healthy.

If you decide to run for, say 30 minutes, the brain will tell you not to.

If, however, you commit to only 10 minutes, the brain will not put up a fight.

After a few weeks of running for 10 minutes every day, the jogging habit begins to form.

Once that habit takes root, that is when you can increase the jog to 15 minutes, then 20 minutes and eventually 30 minutes.

3. Create Reminders

Most of us have computers and cell phones that have reminder systems that automatically remind you about something.

A trick to help you forge a new habit is to put it on one of your reminder systems.

Once you set the reminder task, it will go off and remind you to engage in the habit.

4. Associate With Others Who Have Your Desired Habit puzzle team

Habits are like a virus.

We adopt the habits of those within our inner social circle.

Find friends who have the habit you want to adopt, such as jogging, and ask them if you can run with them.

You new running partner will become your accountability partner.

You asked them to run with you, they said yes and now you find yourself committed to jogging with your friend.

 

 

When Drinking Beer is a Rich Habit

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Come on. Did you really think I would have research on why drinking beer is a Rich Habit?

Well, actually I have something to share that you might call a stretch as it relates to beer drinking being a Rich Habit.

Rich Habit #6 – Everything in Moderation

You might find this piece a bit counterintuitive, since I spend so much time expounding on forging good habits and eradicating bad habits. But I’m also a realist and I know none of us are angels. We all do bad things every now and then.

What separates the successful from the unsuccessful, however, is the successful moderate the bad things they do in life. And, sorry to say, beer is one of those bad things. So is wine, hard liquor, smoking pot, Oreos, White Castle hamburgers, etc.

They’re all bad for your health and every time you go overboard consuming these bad things, it’s like opening the door and inviting cancer to walk right through. Why? Because too much of these bad things create free radicals (free roaming electrons inside cells) and too many free roaming electrons do two things:

  1. Bounce off the nucleus inside cells, mutating your DNA, potentially mutating your DNA, causing cancer and
  2. Damage telomers (caps at the end of every chromosome), damaging chromosomes, which can then mutate, causing cancer.

Because I’m here to help, I want you to know that it’s OK to engage in bad things, but only if you follow Rich Habit #6. When you consume beer, wine, hard liquor or smoke pot in moderation, your amazing body has the ability to fix any damage that you do.

But when you violate Rich Habit #6 and do bad things in excess, your body gets overwhelmed and is unable to clean up or repair the damage you do.

So, in order to keep the door closed to cancer, stick to Rich Habit #6. Do what you want to do, just do it in moderation.

How Millionaires Think

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Any mental thought, often repeated, becomes a habit. Habitual thoughts make you who you are. Millionaires are rich because of the way they habitually think. Their habitual thinking comes first and their habitual behavior follows. If you habitually think a certain way you will habitually act a certain way. To become rich you have to learn how to think like a Millionaire. What are some of the thinking habits of Millionaires?

  • Millionaires Believe in Themselves: 79% believed they could rise from poverty or the middle-class to wealth. 90% did not believe in fate. They believed they were the architects of their lives.
  • Millionaires Believe Hard Work Trumps Intelligence: 90% believed hard work was more important than a high IQ.
  • Millionaires Believe Persistence Creates Good Luck: 92% believed they created their own good luck by relentlessly pursuing something they were passionate about. They were persistently patient in their pursuit of their dreams and goals. It took the average person in Millionaires 12 years to succeed in their realizing their dream and becoming rich.
  • Millionaires Are Optimists: 54% believed their optimism was a critical factor in their success.
  • Millionaires Control Their Emotions: 81% made a habit of controlling their negative emotions such as anger, envy, resentment and hate. This made it easier for others to do business with them.
  • Millionaires Believe Honesty is the Best Policy: 85% told the truth all the time. They never lied. Being perceived as honest helps build trust, a foundation for success and strong relationships.

How Millionaires Talk

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Constant communication is a prerequisite to building strong relationships. Millionaires are great communicators and because of that they are able to build strong, long-lasting relationships. What are some of the communication strategies I uncovered in my research?

  • Millionaires Do Not Gossip: 94% avoided gossip. Most gossip is negative and can do irreparable harm to your relationships. Since Millionaires are fanatics when it comes to building strong relationships, gossip is something they avoid like the plague.
  • Millionaires Make Happy Birthday Calls: 80% made happy birthday calls to the people who were important to them. Happy birthday calls serve to keep your important relationships on life support but 25% of those you call will reciprocate and call you on your birthday, taking your relationship off life support.
  • Millionaires Make Hello Calls: 80% regularly called those they wanted to build a strong relationships with. One of the tools they used was the Hello Call – regular calls to say hello and gather information on your relationships.
  • Millionaires Make Life Event Calls: Life event calls, such as calling someone to congratulate them on the birth of a child, an award or a promotion, creates strong emotional bonds that allow you to grow strong relationships. Making a life event call is like putting your relationships on steroids.
  • Millionaires Vet Their Thoughts: 94% did not say what was on their mind. They restrained themselves. This allowed them to gather their thoughts about how to effectively communicate something that was important.

 

Raising Young Adult Children to be Financial Juggernauts

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According to a study by Brown University habit study by Dr. Pressman, we pick up most of our habits from our parents. If parents are bad at managing money, their kids will be bad at managing money. When you’re bad at managing money it has a tendency to disappear. That means no savings, no retirement assets, runaway debt and a life filled with financial worries.

No parent wants their kids to grow up to struggle financially as adults. Yet, since most people do struggle financially, its clear parents have been and are failing to be financial success mentors to their kids.

Well, let’s put an end to this generational parenting malpractice.

In my award winning and bestselling book Rich Kids, I share many parent mentoring success strategies that help parents in raising their kids to succeed in life financially. Here are a few of those strategies: [Read more…]