I’m writing this based on a challenge I got from someone. I was asked to condense everything I used to become financially free into as short a length as possible.

So…

Here it is.

The Secret To Always Being 100% Secure In Life – Financially And In Every Other Way

Serve people!

It’s that simple.

If the world is better with you in it then the world will provide for you. Sometimes that means they’ll pay you with cash. Sometimes that means they’ll give you what you need to get by.

If you’re insecure in life then look for more ways to serve others.

Want more money? Serve more people. Or serve people more. The money part – do it in a way that the compensation is financial. (Or accept non-financial payments that are often just as good.)

The Three Steps To Financial Abundance

1. Spend less than you earn.

Spending what you earn will keep you trapped in your job.

Spending more than you earn will extend that trap into the future.

Spending less than you earn is the only way out.

It’s not popular. It’s not good for the marketers trying to sell you a $100 pair of jeans or the college trying to sell you a $200,000 degree. But it’s the only way to get ahead.

The key here is to produce more than you consume.

If you were a farmer, you couldn’t live if you only grew half of the food you needed to survive

– if you only grow enough food for you to survive then you’ll always need to keep growing that food.

– if you grow enough to feed the people around you then you’ll have the opportunity to save for the future.

This makes you financially stable.

2. Build a savings (and other insurance policies)

Once you spend less than you earn, you can build a savings.

A savings is the ultimate insurance policy. No matter what problem comes up, a little bit of extra cash can make the situation a whole lot easier.

Lose your job? Savings will save your butt.

Car breaks down? Savings.

Emergency medical expenses? Savings.

Need a luxury car rental to impress a babe? SAVINGS BABY!

For extreme circumstances that your savings won’t possibly cover, that’s where you need to purchase other insurance policies. Of course, as your savings grows, you can cut some of those other insurance policies. One of the hidden advantages of a big savings is a smaller need for insurance policies.

This makes you financially secure.

3. Invest extra savings.

Put the remainder of your money into investments.

This is the million dollar question. It’s the question that most people trying to make a buck will focus on.

This is where you put money to grow. It’s where you utilize compound interest to become financially free.

Keep in mind – you can’t solve this problem until you take the first step.

You shouldn’t solve this problem until you take the second step – it’s risky.

Balance the risk and reward of your investments for your situation.

THIS is where the magic happens. But trying to do magic before you’ve got the basics will just make you look like a dope.

Someday your passive investment returns will cover your living expenses. (One of the ways to speed this up is to return to step one… lower living expense = good. Higher income creates more investment capital = good)

This makes you financially free.

IMPORTANT:

1. Follow these three steps in order.

If you can’t spend less than you earn then no amount of savings or investing will ever do you any good. It will just trap you deeper and deeper into your financial problems.

If you don’t have savings then investing can work but it’s significantly more dangerous and less profitable. (Having to pull your money out in an emergency can cost you in huge ways – taxes being one of the most painful.)

2. The poorer you are right now, the more you need to worry about step one first.

Never underestimate the value of cutting your expenses when you don’t have a large income. It’s something that is largely under your control. Income can be unpredictable. Expenses are something that you can worry about and solve right this second.

Increasing your income is also valuable. A good college degree, for example, can put you on the fast track to financial freedom. Or… something as simple as always applying for higher paying jobs until you get one of them… That will dramatically speed up your journey to financial freedom.

Rich people can get away with living above their means for a while.

Rich people can risk living with investments instead of savings.

Rich people may not even need to invest their money to live comfortably for the rest of their lives.

Step one is absolutely essential for everyone starting from zero. Until you learn it, your successes will need to be extraordinary to overcome it.

Why Worry About Money?

It’s one of the most efficient ways to take control of your own life.

Other ways include growing your own food and living off the grid. Stealing from people and not giving a crap what they think. And outsmarting people into taking care of you.

On Working For Money:

Enjoying your work more than anything else in your life makes the money you get free.

Hate your “job?” Expenses cost your time. If you make $25 an hour and want a $50 shirt then the shirt costs you 2 hours of your life. If you make $10 an hour then it costs you 5 hours of your life.

If you ever hear the word “work/life balance” then RUN AS FAST AS YOU CAN IN THE OTHER DIRECTION. (Or tread super carefully.)

Work is a part of life. If that worries you significantly then you need to find a new way to work or need to look deeper into the many meanings of the word “living.”

The Thing To Get From This

Serve the world significantly more than the world serves you.

Either serve more or ask for less from others. (Serving more is more awesome in my book.)

That’s how you get wealthy.