I want to go back and elaborate on something I wrote about in my e-book.
But before I dive right in:
Do you already know your passion? What do you love doing which you never feel like you are working when you are doing it? Are you pursuing it? And if you are: are you trying to find ways to make income, and ideally passive residual income off of it? All I can say to you is this:
There is something that you must understand: you have to have a burning desire if you really want to make things happen; you have to have the drive to get up and do things; be there early and leave late; be prepared and at the right moment, go the extra mile. You can’t keep putting things off until tomorrow; because you may get hit by a bus and die later today!
Many of us have heard the phrase Carpe Diem before; but I strongly recommend really understanding the concept of those words: “cease the day” Stop procrastinating! None of us may be here tomorrow! You are alive now, you have options now; what are you going to be remembered for?
So knowing that the time to get something done is now, and the longer you wait and put things off; the more likely that nothing will get done:
Why write an outline? Because it will solve multiple problems. You will be amazed at just how much you can achieve if you simply break it down into little easy steps that you can do each and every day in order to get anything and everything you’ve always wanted— financially and otherwise — and once you have a step-by-step guide on how to get to where you want to be, not only are you about 90% more likely to actually get there, it surprisingly relieves a lot of stress as you are writing it, and then you experience even more relief and even happiness as you see yourself achieving your goals on a daily basis.
You never know what you may learn about yourself by creating one and sticking with it. A friend of mine has said on a number of occasions: “How would you eat an elephant? One bite at a time!” I don’t think that was his quote originally, but it definitely has a point, If your goal is huge or seemingly unreachable; most of the time it is very possible to obtain it; if you work towards it one step at a time. How would you purchase a Lamborghini in cash when they don’t have enough money to lease a Prius? One day/step/dollar at a time.
If you already know where you are going, what you want to have, do or achieve; it should make this simple outline creation process that much easier which means you can achieve all your goals that much faster! If you don’t know your own goals; Just putting pen to paper and starting to write actually will help you to find what you need, want, and have which will in turn give you an idea of the things that you really want which are your goals. I will give you a good idea of where to start no matter who you are nor how set you are financially.
This is how I recommend creating an outline:
If you know what you want; write it down! That can be the title of your outline;
- My path towards retirement,
- or outline towards the keys to my own Ferrari paid for in cash,
- or stepping stones towards 5 million dollars
- or even How I am going to afford to buy my own private island;
If you don’t know what you really want, that’s ok; but EVERYONE should be able to do this next step:
Figure out your liabilities
First just put the pen to paper and start writing out everything you know you currently need, that you can not survive without (this usually is referring to things that you have to pay for each month including rent or mortgage, car payments, other bills, the minimum amount you need to survive on food, etc. and since these numbers can and do fluctuate just make your best guess what the maximum you would ever have to pay just to survive the most expensive month of the year..) That is your target total expenses, obviously an important goal is to minimize these; so pay off your credit cards, stop going out to eat everyday, especially if you are living paycheck to paycheck…
Then write down the things that you already own (anything you own outright; that you are not making payments on…) anything that you don’t need, and don’t want. Sell it! Have a yard sale, go to a pawn shop, sell them on ebay or amazon or craigslist; that is unwanted junk which could easily be converted into extra money you could be investing towards your retirement!
Then write down any small things that you want but don’t need (like to spend $60 on a meal which you could have bought fresher ingredients from the grocery store that tasted better and are usually more healthy and cost as much as 75% less or so). Almost everyone has some sort of expensive habits, for example: smoking when you are killing yourself and need to stop or you will end up spending tons more on medical bills…or a gym membership when you can exercise at home using bodyweight techniques and going out jogging, or instead of going out to the movies once a week you could wait a couple months for them to be available for the same price if not cheaper on dvd (and watch it as many times as you want). You could minimize these types of behaviors and use the excess money to reach your goals sooner…
Now don’t get me wrong; we are ALL human; it is ok to spoil yourself every once in a while; you only live once; however, you need to get into the habit of calculating how much everything is costing you each month; for example: that $5 per day on starbucks adds up to about $150 per month, that’s $1800 per year!
Once you have written down all of the above you should easily be able to create a good first outline that will give you a better idea of what you have, want, and need, what you can sell (or stop doing in order to have more money) and where you want to be.
Now you should be able to figure out at minimum your short term goal if you don’t have one yet,
Then back-track from your goal, how much money do you need to reach that goal? Write out what you’ll need to do step-by-step to achieve that amount. If you prefer, create your outline moving forwards, write out what you can do each and every day to be on the right track to achieve your goals. An outline can be changed, the goal can change, a step can be subtracted or added, but ideally it is best to make goals that are achievable, stick to them, and remember that burning desire I was talking about earlier…And when you find something that comes your way, no matter what your preconceived notions are about said item, have an open mind and learn everything you can about it prior to judging. You never know when that may be just the thing you have been looking for. When you find something like that, which you are interested in; something that “speaks to you” in some way: take that opportunity while you have the chance; don’t live in regret! Have that burning desire to chase after it; you never know: it may be that one thing that will change your life forever.
Thank you for reading and keep an eye out for my next post; where I will go over the similarities between Finances and Music.
See you soon =)