Thursday, January 15, 2009

Concept for Financial Freedom College

School Module
Basic
Concept of Money Game
Mindset and language of wealth
Concept of Passive Income – scaling value
How to Increase Value? Increase your Value
How to Reach More? Amplify your value
How to take me out? - Clone your value
Concept of Investments
Common Phase
Money Management and Strategies
Self Discovery
The 4 Qn
What you love
Your gifts
Things do to make life complete
Things you do if you are totally free
Specialisation
Mastery one at a time
The losers in the game
Not Important
Most Important – too important
The truth. It is just a tool.
Problem:
People work for it all their lifes. Once stop working, can only depend on savings, once savins is used up... no choice but to work again or depend on others
FF -
Common Man's Definition
no debts
huge amount of savings
FF College's Definition
Ability to stop working and sustain current lifestyle
FA -
Ability to not work and sustain desired lifestyle
Strategies (less inflation first)
Common Man's stratgey
Work Hard, save up and put in financial insitutue and banks
E.g.
Current Lifestyle requires $5k
1 Year = $5k x 12 mths = $60,000
Strategy 1
Retire at 55 years old and aim to pass on at 70 years old
Therefore, have to sustain 15 years.
60 x 15 years = $900,000
Start working at 25, retire at 55 --> 30 years of working
Save 900/30 = 30k per year
Problems Faced:
Difficult to save $900k
What if last beyond 70 yearsold?
Strategy 2
Create income stream via interest from bank
Interest from bank must be $60k
Bank Rates estinate = 2%
There Savings x 2% = $60k
Savings = $3million
Problem
Difficult to get $3million
FF College Stratgey
PIOI + Saving x i/r + Inv X ROI = FF Amt Per Year
Learn
Investments
How to increase ROI?
Choose Strong Company
Options Sales Strategy
How to Compound Inv amt?
Passive Income
Rental Income
Biz

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