Jim Rohn – How to Use Money Wisely (Jim Rohn Motivation )

Jim Rohn – How to Use Money Wisely (Jim Rohn Motivation )


let’s talk now about what to do with the
daughter especially for teenagers and for kids this is really important
because this is one of the best places to start when you’re like 15 years old
mid-teens this is a great place what to do with the dollar now here’s the
tendency on attitude because attitude determines so much of our lives what difference does it make if a child
has a dollar when you ask what should we do with its only a child and it’s only a
dollar but see here’s where it all begins your financial journey begins
with what you do with the first is where it begins now sure you can do the wrong
things and find the correct that get on a better path but it all begins on what
you do with your resources . this phrase down it’s one of the best for the
weekend here’s the two challenges of life number
one the development of our full potential that’s challenge number one challenge
number two is the wise use of all our resources that sums up life in general
the development of all of our potential than the why use of all our resources
one of our resources time and we talked about that now we’re going to talk about
the wise resource called money and let me share with you a little plan because
when I met show and he asked me about my financial condition he said how much
money have you saved and invested the last six years and I said zero he said
not a good number here’s what I told him if I had more
money i’d have a better plan now drop this down because here’s what
he said if you had a better plan you would have more money next key phrase it’s not the amount that
counts it’s the plan that counts so let’s start with something now as
seemingly as small as one dollar what should you do with it here’s what we teach teenagers
especially you should never spend more than seventy cents never spend more than
seventy cents of each dollar you earn or each dollar that comes your way by gift
or by labor now you’ve got to have some plan what to do with your dollar I’ve
developed this little plan simply for suggestion and then you’ve got to do the
rest to revise it and do whatever you want to with it but here’s what i teach
never spend more than seventy cents you got to pick something some number this
is the best one I could figure out now we’ve got another ten cents and another
ten cents and another ten cents which is the 30-plus the 70 which is the full
dollar so we spend nothing more than 70 since now what do we do with the other
30 hear some of the most important information 10 $YEAR census for charity or for
church or whatever worthy projects you think you might engage in here is one of
the best things to teach kids generosity because first we’re going to teach
abundance to provide more than you could use for yourself the be fruitful
philosophy means to produce more than you need so you have more the necessity
you have some share some churches teach again % @ I they call it which is fine the key is to either administer this ten
cents yourself or to give it to some institution of church or whatever and
let them spread it around let them put it where it’s needed now if you’re going to give to some
charity or Church you must let them take you on the tour and show you where it
goes if you part with the money let them give you the tour here’s where
the ten percent goes if you’re gonna tie because now that gives you great joy to
give tempers because you say here’s what is doing here was doing here and reports
going to use to get ok now the next ten cents is called the use of capital
here’s what capital and capitalism is so jot this down capital is any value you
set aside capital is any value you set aside to be invested in an enterprise
that brings value to the marketplace hoping to make a profit that’s what capital and capitalism is I
can say it in one sentence capital is any value you set aside to be invested
in an enterprise that brings value to the marketplace hoping to make a profit now the capital is the value set aside
taking capital investing it in an enterprise and bringing the value to the
marketplace we call capitalism capital and capitalism now who can understand
this first of all the farmers understand it here’s what seed corn is its capital its
seed corn means the seed that you set aside to be planted in the ground take care of in the summer hoping to
have a profit in the harvest in the fall so the farmer sets aside his seed corn
question would he let his family eat it no this seed is not to be eaten it’s to be invested in the ground to
take a risk cared for in the summer harvested multiplied in the fall now the same is true of some of your
money if you set aside and I suggest part of your capital should be set aside
for enterprise to show a profit and we can teach kids the early fundamentals of
capitalism now once the kid has a dollar profit now what should we do with the
dollar this is the formula that I’ve come up
with what to do is that dollar don’t spend more than seventy cents ten cents
for church arity 10 sense to invest back into your business of the sunday you can
buy more than one bottle and get a little cheaper so that when you sell it
you make a little more money now here’s the other ten cents it’s ten cents that you invest and let
someone else use it this is called active capital where you
actually engage in the enterprise that makes a profit now another 10 $YEAR census for passive
capital where you let someone use this ten cents out of every dollar you put it
in the bank to pay interest they use it and they pay you for the use of this
money that’s called passive capital so we’ve got active capital and passive
capital maybe you invest in stock eventually if you have enough money and
the stock please your dividends and also there may be an increase in the value of
the stop so this is the little formula i come up with 7010 tenant in it’s very
simple and kids can figure it out kids can understand it enterprises that kids
can be involved in starting early now when you first start if you’re an
adult now you may be in such bad shape financially that you couldn’t do the 70
10 10 and 10 if you’re in real bad shape you may have to do the 97 11 and one
because it may take this to pay your bills if you haven’t had a good plan up
until but jot this down now it’s not the
amount that counts it’s the plan that counts so let’s say you were in such poor
financial shape you had to start 97 one for charity 1% another one percent for
active capital another one percent for passive now here’s the key to get these
numbers starting up and get this number starting down if you will actually do
this you can’t believe how exciting it is to watch the numbers change remember
what shows it if you will change what everything will change for you if you
start to change I’m telling these numbers will start to change and the
first thing you know these numbers keep going up up until finally you can get to
the 7010 and in when I was 25 years old my mentor mr.
show said show me your current financial plan for the future and of course I
didn’t have one he said this would be a good time to lay
out a good financial plan for the future what to do with your money and I came up
finally with the 7010 don’t spend more than seventy percent of your income ten
percent for church of charity can sense active capital x + cells if you can make
a profit and ten percent for passive capital at somebody else use your money
pay you interest dividends stock increase whatever it’s pretty good plan
7010 a lady in Mexico the other day said I heard your plan ten years ago I followed that she said
I’m now a millionaire I own two different properties because
you also said don’t buy the second car until you’ve bought the second house
it’s not cars that make you rich it’s real estate that makes you rich she
said I’m now about to buy the third house so I’m now giving myself the
luxury of buying the third car simple little ideas and she said I followed the
70 10 and 10 taught it to other people they’re following it and getting great
results one thing I didn’t know when I was
growing up and found out at age 25 that you could work both on your living and
your fortune at the same time if you had a good plan don’t just work on your living work on
your fortune work on becoming financially independent
financial independence is the ability to live from the income of your personally
invested resources and the day you can finally do that what’s exciting about that is that now
you can work for joy and not for necessity and strangely enough you
probably work a lot harder for joy than you do for necessity i have a unique
friend he started enterprise with the time he’d headed up and running about
two-and-a-half three years he didn’t have to work anymore the rest of his
life so now he’s financially independent but
then he created a vast fortune you know that that next 20 years of his
life simply because he was working for joy and not for necessity so get to that
position as quick as you can so I’m now teaching work both on your living and
your fortune the reason for earning a living is to make a fortune not necessarily from your living but
from what you earn invested wisely talk to a lady of the day she said Mr and I’m
in real estate I said wonderful how many properties do you own she said no no I sell real estate I said well let me ask you one more time
how many properties do you own finally got the message across that the reason
for selling real estate is to earn the money to buy real estate if you sell
real estate you make a living if you buy real estate you make a fortune she said I got the message so don’t buy
the second car to leave about the second home

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