The Habit Of Saving

July 12, 2017

Hey guys, it is day 47 of our 60 sunrises to success. We are counting down the days. And I got a really exciting lesson for you today, we are talking about the habit of saving. This is Mr. B. He’s madog. He’s a badass. He’s a part of the security system at the house. Anyway, today, day 47 habit saving is a pretty important habit. And I want to talk to you for just a few minutes about why you need to pay attention to this. And I think that there’s a big emergency that we have to address and that is that over 50% of adults right now in our country could not handle an emergency if it costs 500 bucks 500 bucks, it is gonna collapse most people’s household income. It’s crazy. And it’s because we don’t have this habit of saving. Let’s fix that. 

We gotta get this habit of saving going.  It’s for two reasons. Okay. One is it does something to our mind when we are when we know that cash is readily available. When we get stacks of this stuff, we calm down. Okay? We are opportunities that we would like to see when we have money. If we don’t have money. If we don’t have access to money, then we’re blind to these opportunities. And we just go around the world saying there’s no opportunities in America, how are we ever supposed to get ahead. But it comes down to what we’re programming in our minds. So the habit of saving. This is what it comes down to, I never carry cash, I didn’t care. It wasn’t a mindset for me.

 So I started taking some training and started hanging out with some really rich people and they said look, for your own safety, you got to go get a safe, and you got to go put some money in it. Okay, these guys are way more wealthier than I am. So I’m coachable. I take notes. I’m doing what they’re saying. But part of it is also just knowing and creating this habit that knowing that when future money comes in, you’re going to save that also it gets really exciting. So here’s a paradigm shift. I want to invite you guys to try out what it did for me at first and I applied it to money. But at first I did it with food. It was nutrition. Because a lot of people were like, Nah, I don’t want to go on a diet, diets suck just the word. Diet sounds terrible, right? So instead of diet, what the trainer’s were talking about was a meal plan. This is the plan I have for my meals, I have a meal plan. So if you have a meal plan, and let’s say you’re doing this low carb meal plan, or you’re doing you know ketosis or paleo or whatever, you have a plan. Then when someone offers you something that doesn’t fit in your plan, you say, No, thanks. That’s not in my meal plan. makes you sound important. Yes, this is my plan. This is how I plan out my meals. Instead of saying, oh, sorry, I can’t have it. That’s not in my diet. It comes across differently. So I applied that to money. And what I would hear a lot of people say when I come up with a new idea is Hey, let’s go do this, like, Oh, that’s not in the budget, they’ve talked about budget, my budget sounds like a diet. I don’t want that. So we mastermind we came up, we now operate with a spending plan. This is how we plan to spend our money. So we have the bills, the regular fixed costs, then we have education as one of the one of the costs for our spending plan. And then we have entertainment as a spending plan. Or a luxury fund k, this can be close, it could be experiences, whatever. But there’s a luxury fund. And then we have passive investments and active investments. Okay. And then the last one is savings and actually putting that money there just to be there. So now instead of saying, Oh my budget it’s so restrictive. We say oh, this is our spending plan. And the nice thing is, the more you start to make and the more you start to save your spending plan for your luxury fund will be incredible. 

So last year, you know, Vanessa worked her butt off. And with me in the business, we’re working from home building a business, she’s helping me grow it. And so she built up her luxury fund to where she could go spend three weeks in Europe, right? She got to go to France and Belgium and Rome and all these incredible places. And it was part of the spending plan, right? It was part of the budget like we built it in. So there’s a new way of looking at spending. We’re not trying to come in and say stop spending that’s bad, what we’re really saying is you got to look at it differently, you put this money aside, you pay yourself first. And then you can have a guilt free spending account, some money needs to go into savings to just never be touched, some goes into money into an account so that you can put it to work, right, we haven’t even talked about putting money to work, all we’re talking about is, is the mindset shift, we have a spending plan. And then you got your active investments as another category in your spending plan. So putting money into growth, putting money into growth and putting money into feel good, because you earn it. Savings is when people get afraid of it. But if you look at it as your future spending, putting it into this luxury account, it actually gets pretty easy to accumulate this stuff. So try it out, build a spending plan, you know, make a simple spreadsheet if you want. But it really has changed the way Vanessa and I run our numbers and, and how we decide to pay for new things or jump on new opportunities. 

I do remember a time when you know, was working at Jiffy Lube, barely making any money, you know, 12, 14, 15 bucks an hour nothing. And I was so blind to opportunities, I could not see them. Now that I’ve fixed my spending plan, and I have now created a space to put this money in. It’s easier for me to see more and more opportunities, more and more opportunities, real estate deals, I’m really excited to get into some land banking stuff that we’ll be working on. So I’ll keep you updated of that situation as that grows because of the saving habit, the habit of paying myself first, I’m able to do more and more things in the real estate world. So with that opportunity, guys, it’s all about opportunity. 

I tried this idea with a couple of my friends. And I’m like, Look, dude, you have to pay yourself first, you got to pay yourself first. And they’re like, No, you don’t understand I got bill collectors, I got all these things, I can’t pay myself first, I got to pay all these bills. And really what I started to realize is we need to use these, these bill collectors as motivation. Right, there was a time years ago, when my student loans, I couldn’t keep up with them. So I started getting called four or five times a day. And instead of me shrinking, and going into the basement and complaining about my life, actually use that as motivation. I couldn’t wait to write a check to get that thing paid off and get that thing taken care of. So pay yourself first, you will set up an account with some money so you can jump on opportunities, real estate, business, whatever. And then get motivated to make some more money and part of the money situation that allows you to save more is fixing your taxes. Right? 

If you got a job and you’re stuck in job mode, and you’re doing w two, the tax laws are our advantage towards business owners. So if you got a job, good luck trying to save money, it’s gonna be tough. You gotta I mean, you really gonna start, you might have to start with $1 a day, right? 30 bucks a month. But that dollar a day is going to create momentum. But if you start a small business, you start a home based business. The tax laws are incredible. You take the tax savings, and you go put that in your savings account instead of letting the government have it. And you’re really going to start creating some traction with your things. So take back your existence, create a spending plan, create a meal plan, take back control, you’ll feel a lot better, no more restriction around it. It’s all a plan. It’s all designed. It’ll be easy to work through. So stick with it. I’m excited to hear your guys’s results if you liked the video, share it thumbs up. You guys are awesome. Thanks for tuning into a late episode here. Day 47 take back your existence or die like a punk peace out guys.