Financial Independence
Escape the Rat Race
The Eight Strategies for Financial Independence

“We simply assume that the way we see things is the way they really are or the way they
should be. And our attitudes and behaviors grow out of these assumptions.”
- Stephen Covey

Secret #1 – This is by far the single most important of the 8 secrets. It is the
foundational key to all success

TAKE ACTION!

If you can’t take the action necessary to achieve financial independence and success, to
improve your life, you will no doubt wind up right alongside the 95 percent of the
population that is dependent on debt and are ultimately financial failures.

It’s that simple. You can have the very best teachers, the very best education and
training, read the best books and listen to the best tapes but without taking action, it’s
all wasted.
I can’t emphasize this point too strongly or enough. You must find it in yourself to
resolve to act; otherwise your thinking will amount to nothing.

Secret #2 – The level of success you achieve in your life is directly proportional to your
willingness to accept full responsibility for your life.
No matter where you are now, you can only achieve greater things if you take blame and
hold yourself accountable for your past. Accept your past and grasp hold of your future.

Secret #3 – Failing to execute a plan for financial independence is the same as
planning to fail.
This seems fairly self evident. People just float around through their financial life hoping
it will all somehow just work out. This is not only wrong but it reeks of insanity

Secret #4 – A home based business where you can invest work and time instead of
money.
You can make more money with a business of your own than a job would pay you and
the tax benefits are worth the effort. It would be a good practice to start slow and small
and work it steadily. Eventually, the income will exceed your job and you will need to
make a decision as to whether you want to quit your job and take your business full time.

Secret #5 – Residual vs. Linear Income
Most people work at a job that pays them a linear income, which means that for every
hour they work they get paid an hour’s wage. Or they sell a widget and get paid a
commission on that one widget.
Residual income, on the other hand, is cumulative and continuous. Let’s say that you
sell a widget, instead of getting paid a onetime commission, you get an ongoing
commission for that sale month after month. Sell two widgets, get two times the
residual.

Secret #6 – Multiplex Income
This is the income that you receive when you run your own business and receive your
income from the work and efforts of others.

Secret #7 – Positive Mental Attitude
I used to think that keeping a positive mental attitude was the key ingredient to success
and achievement, that if I maintained a PMA, success was sure to follow. I knew people
that cranked up the positive attitude so much they glowed but were complete financial
failures. While a PMA is extremely important, the ACTION needed in secret #1 is the true
key. Couple PMA AND ACTION together and you have a solid foundation for success.

Secret #8 – Compound Interest
Compound interest refers to the fact that whenever interest is calculated, it is based not
only on the original principal, but also on any unpaid interest that has been added to the
principal. The more frequently interest is compounded, the faster the balance grows.

A good lesson was learned on the golf course when two friends decided to “make it fun”
by placing a wager on each hole. The bet was for a dime and on each hole the bet
would double. Let’s do the math. The first hole is ten cents. The second hole is twenty
and the third is forty cents. Not bad, just a friendly wager, right?

By the time they reached the ninth hole the bet was for $25.60. OK. Still not so bad for
golf buddies. The tenth hole was $51.20, the eleventh hole was $102.40 and the twelfth
hole was for $204.80! Now, if we were golfing this game, we would be getting a bit
nervous. Hole 13 - $409.60. Hole 14 - $819.20. The bet continues to rise. By the 18th
hole the bet will be a whopping $13,107.20!

THAT is the power of compound interest.

Dave Capra "The Debtonator" is author of "Your Guide To Perfect Credit", a radio show
host, columnist and certified debt consultant. For information contact The Debtonator at
312.674.4861 or email thedebtonator@yourguidetoperfectcredit.com

http://www.yourguidetoperfectcredit.com http://www.franklindebtrelief.com

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