The Millionaire Fastlane by MJ DeMarco - FULL AUDIOBOOK

0:00 an existence of frugality and sacrifice to a Tipping Point

0:04 where life feels like incarceration does this guy's life seem awesome

0:09 or mediocre will it merge with a dream the slowlane plan

0:14 forsakes the now for a faint promise of a wealthy future

0:18 I don't consider settle for less a strategy which is

0:22 why the slow lane is predisposed to mediocrity life isn't great

0:26 but it isn't so bad either no it could be better

0:30 but you got to swap the slow lane for a new

0:34 plan chapter summary fast lane distinctions the sling is

0:39 a natural course correction

0:40 from the sidewalk evolving from taking responsibility

0:43 and accountability wealth is best experience when you're young vibrant

0:47 and able not in the Twilight of your life the sling is

0:51 a plan that takes decades to succeed often requiring masterful political

0:55 prowess in a corporate environment for the slow laner s Saturday

1:00 and Sunday is the paycheck for Monday through Friday the default

1:04 return on your time in the slow lane is a negative

1:07 60% or 5 for two the 5 for two trade

1:12 inherit in the slow lane is generally fixed and cannot be

1:14 manipulated because job standards are 5 days a week the predisposed

1:19 destination of the slow lane is mediocrity life isn't great

1:22 but it isn't so bad either chapter 11 the criminal

1:26 trade your job by working Faithfully 8 hours a day you

1:31 may eventually get to be the boss and work 12

1:33 hours a day Robert Frost I spent 5 years in college

1:39 for a phone book before college graduation I humored myself

1:44 and attended a few job workshops I remember one vividly an entrylevel

1:48 position at a big Insurance firm in Chicago during our introduction

1:52 at the corporate facility the company recruiters told us exactly

1:56 what to expect over there pointing to a see a c

2:00 Les is where our new hires sit I won't be koi

2:03 in the beginning this job is difficult we give you three

2:06 things a desk a telephone and a telephone book you will

2:11 spend 10 hours a day cold calling to build your clientele

2:15 I know not glamorous but the rewards at that point

2:20 the rewards were inconsequential and I went into acting mode

2:24 I acted interested I acted happy I acted like it was

2:28 acceptable it wasn't I spent five years in college just

2:31 to sit in a 6x6 cubicle and cold call elderly people

2:35 out of a damn telephone book are you freaking kidding me

2:38 I could have done this out of middle school and I

2:40 didn't need to spend thousands on a college degree to Hawk

2:44 insurance yet my peers salivated at the opportunity of having

2:47 a nice base salary at Great 401K in a top tier

2:51 Health Plan no thanks if I'm cold calling out of the damn

2:55 phone book it won't be for my boss but for me

2:59 jobs domestication into normaly if you want to escape

3:03 the slow lane find wealth and Freedom Fast you've got

3:07 to dump the damn job let me repeat dump the job jobs

3:11 suck I mean that generically not targeted toward a specific

3:15 job whether you're an electrician or a store manager you hold

3:18 a job jobs suck because they're rooted in limited leverage and limited

3:23 control sure you can have a great job and a fun

3:26 one too but in the scope of wealth they limit

3:29 both leverage and control two things desperately needed if you want

3:33 wealth here are six sucky reasons why your financial plan

3:38 shouldn't revolve around a job the nucleus to the slow lane

3:43 suckage number one to trade time is to trade life

3:48 who taught us that trading time in exchange for money was

3:51 a great idea why does this normaly consistently translate into unrivaled

3:57 suckage if you're Shackled to a job you're engaged to a glorified

4:01 exchange of your time your life for pieces of paper

4:05 that Grant you Freedom you sell your freedom to get Freedom

4:09 pretty stupid huh jobs suck because they ravenously consume time

4:14 at a job time trade is Central to how you make

4:17 money a job is the basis for that horrific 5

4:21 for two exchange but let me translate that word time differently

4:26 life in a job you sell your life for money

4:30 if you work you get paid if you don't work you

4:32 don't get paid who officiated this blood sucking marriage here's

4:36 a list of common jobs and how long you have to work

4:40 just to earn $1 million if you diligently save 10%

4:44 of your earnings and stuff it under a mattress your time

4:47 to 1 million multiplies by a factor of 10 architect

4:53 16 years to earn 1 million bartender 61 years to earn

4:58 1 million Carpenter 27 years to earn 1 million secretary 27

5:06 years to earn 1 million software engineer 13 years to earn

5:13 1 million pharmacist 11 years to earn 1 million physical therapist

5:20 15 years to earn 1 million veterinarian 14 years to earn

5:26 1 million now if you save 10% of your earning earnings

5:30 multiply each of those years by 10 that's how long it

5:34 will take you to save 1 million so wouldn't it

5:37 make sense to get paid regardless of what you're doing get

5:40 paid while you sleep while you have fun while you

5:43 poop while you sit on the beach why not get paid

5:46 with a simple passage of time and make time work

5:49 for you instead of against you does that exist it does

5:53 but it doesn't come from the slow lane suckage number two

5:58 limitation on experience I learned more as an entrepreneur in 2 months

6:02 than I did working 10 years at dozens of deadend

6:06 jobs the problem with a specialized skill set is it Narrows

6:09 your useful value to a confined set of marketplace needs

6:13 you become one of many cogs in a wheel and if

6:16 that Cog becomes obsolete or expendable guess what you're out

6:20 of luck for example thousands of Auto Workers have been displaced because

6:24 their jobs have been outsourced or replaced by robotics experience doesn't

6:29 help them it hinders them remember typewriters how is the typewriter

6:33 repair man doing these days how about stock Brokers travel

6:36 agents dying breeds of jobs move out of favor like fashion

6:39 fads one year your skill set has value the next it

6:44 doesn't second job experience is usually regimented into a core group

6:48 of activities that is routinely repeated over and over again

6:52 day after day after the initial learning experience the job becomes

6:56 regimented an accumulation of new knowledge creeps to a crawl

7:01 a job limits learning and mutates into life's death Nell a trade

7:05 of Life Force for money experience comes from what you

7:08 do in life not from what you do in a job

7:11 you don't need a job to get experience ask yourself

7:15 this which experience is more important the experience of a menial job

7:19 designed to pay your bills or the experience and failures

7:23 of creating something that could provide you Financial Freedom for a lifetime

7:26 without ever having to hold a job again suckage number

7:31 three no control a job is like sitting in the bed

7:35 of a pickup truck you're exposed to the harsh elements while

7:38 the driver of the truck sits comfortably in the driver's seat

7:42 and if the ride gets rough you get jacked around

7:44 or Worse tossed overboard there is no control sitting in the back

7:48 of a pickup truck and to have this strategy

7:50 at the heart of your financial plan is asinine if you don't

7:54 control your income you don't control your financial plan if

7:58 you don't control your financial plan you don't control your freedom

8:02 Millions obediently sing the employee Kumbaya and believe that a job

8:07 is Central to supporting themselves sure a job can support

8:11 you but is your goal only support do you want

8:14 wealth or mediocrity if the momentum of your financial road trip

8:18 can be roadblocked by a pink slip you're gambling you

8:21 aren't being real you're being stupid there is neither safety nor

8:24 Security in a job suckage number four 's bad breath I

8:31 have people in my family who are lifelong employees I hear

8:35 their trials and toils despite two dozen different jobs over

8:38 the years I notice nothing changes when it comes to office

8:42 politics it's the same story different people different day

8:47 in a different office so and so is sleeping with the boss

8:50 and courting favor Jim is lazy but takes credit for the work

8:54 Linda has bad breath and everyone is afraid to tell

8:57 her Lacy arrives late and leaves her early oh and Horus

9:01 Horus steals food and wears the same sport jacket every

9:04 day lazy Lester never replaces The copier paper same stories different

9:09 office no matter where you work office politics play A Part

9:13 the stage is different but the actors are the same

9:16 and unfortunately as an employee immersed in the work environment you

9:20 have to play the game you have to be obedient

9:22 or face retribution from co-workers or your boss I can remember

9:26 my friend's afterwork rants as she toiled a high carbohydrate corporate

9:30 environment everything had a process got an idea great send it

9:35 to the boss the boss sends it to his boss

9:37 who then hands it off to Legal who then sends it

9:39 back to her boss's boss for revisions who sends it back

9:43 Blah Blah Blah Blah by the time the idea gets anywhere

9:46 it's either stale or four other people have Stak a claim

9:49 to it who needs this entangled web destroying your sanity

9:54 the only defense to office politics is to control the playing

9:57 field and to do that you have to be the boss

10:01 and to be the boss you not only need to run

10:03 the show you need to own it suckage number five

10:08 a subscription to pay yourself last pay yourself first is a slowlane

10:13 Doctrine the problem is that it's near impossible in a job

10:17 local state and federal governments heavily tax earned income

10:20 and your options to Shield that income from taxation is limited

10:23 to contributions to 401ks and IAS which are also limited 10%

10:28 of your income or a maximum of $16,500 whichever is less

10:33 if you diligently trade your life and Ascend into corporate

10:36 management expect 50% of your money to disappear before it touches

10:40 your hands as an employee you immediately receive a subscription

10:44 to pay yourself last and yes that subscription arrives even if

10:49 you don't subscribe if you are paying yourself last and everyone

10:52 gets your money first don't expect to build wealth fast

10:58 suckage number six a dictatorship on income ever get hit

11:03 with a 1,000% pay raise from your boss imagine this impressed

11:07 at the obvious returns you've provided at your job you

11:10 confidently stroll into your boss's office and demand a raise I

11:14 bring value to this company you argue I'm reliable and I

11:18 rarely call in sick your boss takes a defensive posture crosses

11:22 his arms tilts his head Skyward and leisurely reclines in his big

11:26 red executive chair you take a deep breath and let

11:30 it ride therefore sir I'd like a 1,000% pay raise

11:35 your boss emits a gutural groan he lurches forward ends his recline

11:40 and hammers his hands to the desk okay what's the joke

11:43 I'm busy he Snipes you reply no joke I'm serious

11:48 I make $9 an hour I want to raise to $90

11:52 an hour how about this you'll get nothing and like it

11:55 get out of my office quit wasting my time and if

11:58 you do it fast I won't fire you you stammer

12:01 out I guess the boss didn't think a 1,000% pay raise

12:05 was doable this scenario would never happen as an employee you

12:10 can't demand a raise greater than 10% let alone 1,000%

12:15 yet as an employee of a company this is your playing

12:18 field your value is dictated and the job becomes a wealth

12:22 delimiter with limitations that cannot be subverted a job seals

12:26 your fate into a criminal time trade 5 days of Life

12:30 traded for two days of Freedom a job chains you

12:33 to a set grade of experience a job takes away your control

12:37 a job forces you to work with people you can't stand

12:41 a job forces you to get paid last a job imposes a dictatorship on your income

12:48 these limitations are counterinsurgencies to wealth

12:51 do you still want a job chapter summary fast lane

12:56 distinctions in a job you sell your freedom in the form

13:00 of time for freedom in the form of money experience

13:04 is gained in action the environment of that action is irrelevant

13:09 wealth accumulation is thwarted when you don't control your primary income

13:14 Source chapter 12 the slow lane why you aren't Rich somebody

13:20 should tell us right at the start of Our Lives

13:21 that we are dying that we might live life to the Limit

13:25 every minute of every day do it I say whatever

13:28 you want to do do it now there are only so

13:31 many tomorrows Michael Landon exposing slowlane ineptitude if the slow

13:38 lane is your get rich strategy I can make a likely

13:41 assumption you're not rich and you will never be wow how

13:45 could I be so sure simple the slow lane strategy is

13:49 rooted in uncontrollable limited leverage or U pronounced Yu if

13:55 you need help remembering this important concept just think if

13:59 the slow lane is your plan you'll never get rich uncontrollable

14:03 limited Leverage is the disturbing evidence that proves the slow Lane's

14:08 futility how do you get rich in the slow lane

14:11 you get a great paying job you save money live Frugal

14:14 invest in the stock market and repeat for 50 years if

14:18 you mine this strategy into its mathematical constructs you will find

14:22 the variables that Define the plan cannot be controlled and cannot

14:26 be leveraged uncontrollable limited leverage UL part one why is

14:34 UL so important to attract Financial wealth you need to attract

14:38 large sums of money to attract large sums of money you

14:42 need two things number one control and number two leverage

14:47 the slow lane has neither and that truth is exposed when you

14:50 reverse engineer the strategy into its mathematical equivalent or its wealth

14:54 Universe uncover the mathematics behind the plan and you un cover

14:59 its weakness when the slow L is deconstructed you'll find

15:03 two variables number one the primary income source which defines how

15:07 income is earned and number two the wealth accelerator which defines

15:11 how wealth is accumulated the slow Lander's primary income Source comes

15:16 from a job while the wealth acceleration vehicle comes from Market

15:20 Investments like 401ks and mutual funds put it together and you

15:25 arrive at the slow laners wealth equation wealth equal job

15:30 the primary income Source Plus Market Investments the wealth accelerator under

15:35 this plan income from a job funds both lifestyle and Market

15:40 Investments however to uncover the prohibitive UL within this plan

15:45 we have to factor these variables further starting with the job

15:50 variable the warden of wealth intrinsic value how is money earned

15:55 in a job intrinsic value intrin inic value is determined

16:00 by the marketplace and it is the price at which you

16:03 can trade your time for money intrinsic value is what you

16:06 earn working a job how much is someone willing to pay

16:09 you for what you have to offer to society intrinsic

16:12 value is measured in units of time either hourly or annually

16:17 if you're paid $10 an hour to flip burgers

16:20 at the neighborhood grill your intrinsic value is $10 an hour if

16:24 you're a lawyer and earn $120,000 annual salary your intrinsic

16:28 value is $120,000 per year the formulas job or intrinsic value

16:35 equals hourly rate of pay times hours worked or job

16:42 your intrinsic value equals annual salary

16:45 notice that intrinsic value is measured

16:48 in units of time this time attachment introduces the slow

16:53 Lane's first punitive element of wealth creation can you control time

16:59 can you leverage time you can't your time is limited

17:03 to 24 hours of exchange if you earn $200 an hour you

17:07 can't miraculously demand to work 400 hours in one day if

17:12 you earn $50,000 a year you can't miraculously demand to work

17:16 400 years in your life time has no leverage for the hourly

17:22 worker your maximum upper limit is 24 hours and guess

17:26 what there's nothing you can do to change it in theory

17:29 you can trade 24 hours of your day for income

17:32 but you can't trade more of course working 24 hours

17:35 a day is impossible so 8 to 12 hours per day

17:39 are usually traded for the salaried worker the prohibition is

17:42 the same you can't work more years than your normal life

17:45 expectancy what is the upper limit of this exchange 40 50

17:50 years in all of recorded history no human has ever worked

17:54 10,000 years of his life whether you're paid hourly or annually

17:58 it it doesn't matter you cannot leverage time consider this is

18:03 12 a large number or 50 are these numbers predisposed

18:07 to create millionaires they aren't and it exposes why the mathematics

18:12 of a job are wealth punitive your time is limited

18:15 to small numbers and can't be leveraged hours work their annual

18:19 salary are mathematically inept because they're based on time measurements which

18:24 cannot be controlled or manipulated mathematics doesn't lie 12 will always

18:29 be less than 10 million if Leverage is limited so

18:33 is wealth creation small numbers do not make millionaires behind limited

18:38 Leverage is another corrosive wealth killer no control can you

18:43 control your employer can you control your salary can you control

18:47 the economy can you earn $50,000 one year and next year

18:51 Bank 50 million can you control anything about your job including

18:56 your measly 4% pay raise you might think you can

18:59 by job hopping but you can't control is weak If Not absent

19:06 compound interest what they don't tell you the second variable

19:11 in the slowlane wealth equation is the primary wealth accelerator which

19:15 comes from Market Investments like mutual funds 401ks and other

19:20 traditional Investments touted by gurus

19:22 and financial advisors these Investments use

19:25 the financial strategy known as compound interest which is a mathematical

19:30 construct that outlines the power of Interest accumulation over great periods

19:34 of time the fundamental cell of compound interest is the old

19:38 Guru swan song regurgitated ad nauseum $10,000 invested today will be

19:45 worth gazillions in 40 years invest $250 a month for 50

19:50 years and you will retire Rich used correctly compound interest

19:55 is a powerful Ally to wealth used for slow Lane

19:59 purposes and it dredges the wealth road trip to a crawl

20:03 why again the puzzle is solved if you exploit the math

20:08 the answer plays sibling to why a job won't make

20:10 you rich time wealth creation via compound interest requires the passing

20:15 of time and lots of it like a job compound interest

20:20 or Market investment such as mutual funds and 401ks cannot

20:24 be leveraged or can they be controlled they rely on deficient

20:28 m to create wealth in as much as the income

20:31 you make in a job is measured in an hourly rate

20:34 or an annual salary the wealth acceleration process of compound interest

20:39 is also measured in time or years multiplied by a yearly

20:43 yield let's again review the physics the mathematical formula for the slowlane

20:48 pathology to wealth wealth equals job the primary income Source

20:53 Plus Market Investments the wealth accelerator this equation factored equals

21:00 wealth equals intrinsic value plus

21:02 compound interest factored further wealth equals

21:07 time time hourly or salaried Value Plus invested sum times

21:14 parentheses 1 plus yield to the square root of time like

21:18 a job the flaw in compound interest lies in the same

21:22 mathematical restrictions in which numbers work against you instead of for you

21:28 take a look listen to this chart which highlights the effect

21:30 of compound interest in that $10,000 investment for a $110,000

21:36 investment after 40 years at 10% growth you will have

21:41 $452,000 $110,000 invested at a rate of growth of 15% will

21:47 be worth $2.6 million at the end of 40 years

21:52 now a slow Ling Guru preaches that a $10,000 investment grown

21:56 at 15% will be worth over $2.5 million in 40

22:00 years hooray what don't they tell you they don't tell you

22:04 that a 15% return year after year is impossible unless you

22:09 invest with the likes of Bernie maof or Charles Ponzi they don't

22:13 tell you that in 40 years you'll likely be dead

22:16 and if you're not you'll be close they don't tell you

22:18 that in 40 years your $2.5 million will likely be worth

22:24 $250,000 in today's dollars and that a gallon of milk will

22:27 cost $12 they don't tell you that this method of wealth

22:32 acceleration is not what they use they don't tell you

22:35 plenty and yet you're supposed to believe it without question uncontrollable

22:41 limited leverage UL part two for compound interest to be effective

22:47 you need three things number one time as measured in years

22:52 number two a favorable yearly investment yield within those years

22:57 and number three an invested sum repeatedly invested these three variables

23:02 make up the latter portion of our slowlane wealth equation compound

23:07 interest equals invested sum times 1 plus yield squared by time

23:13 although this is a simplified version of a more complicated

23:16 equation the point of this analysis is its variable components compound

23:21 interest demands that your Investments yield a predictable 10% per year

23:27 good luck with de for 40 year gamble have the markets

23:30 ever lost 20% in one year or 40% they have

23:33 and when they do your hard-earned savings evaporate you see wealth

23:38 acceleration via compound interest is

23:41 deficient because its variables are deficient

23:44 neither time nor yield can be leveraged or controlled again

23:48 meet my friend uncontrollable limited leverage can you demand a 2,000%

23:54 return on your money this year can you demand your investment

23:57 time Horizon increas inre from the standard 40 years to 400

24:01 years again the numbers can't be leveraged your upper limit

24:04 of time investment Horizon is 50 years yield is worse 6%

24:09 8% or 10% yearly investment returns are typical standards time

24:14 is restrained by the years in your life yield is restrained

24:18 by the average yield of typical Market Investments and some is

24:21 limited because your means of creating income comes from a job

24:25 also limited the only way to divert the mathematical weakness

24:30 of compound interest is to start with a large number and large

24:34 numbers require leverage additionally like a job you can't control

24:38 compound interest can you demand your bank pay you 25% interest

24:43 on your savings hey Mr slow Lan bank I demand

24:46 a 25% yield on my savings account can you control the economy

24:50 hey Mr economy can you guarantee me low unemployment

24:53 and a business-friendly tax environment can you control the average yield

24:58 of the stock market hey Mr stock market I'm tired

25:01 of these 8% returns can you give me 250% this year funny

25:05 stuff can you control anything in this equation other than

25:09 the Furious labor intensive search for the best investments just to ensure

25:14 you can eek out another marginal 1% you can't why

25:20 mutual funds and 401ks won't make you rich in 2008 I

25:25 went to a fixed income investment seminar given by by a major

25:28 brokerage house fixed income Investments are instruments like Municipal

25:32 and corporate bonds approximately 50 people attended the standing room only

25:37 seminar I sat in the back and surveyed the crowd removed

25:41 the gray hair the socks and sandals combos the canes

25:44 the Wheelchairs and what was left just me I was the youngest

25:48 person in the room and heck I'm not even that young

25:50 anymore how does a 30 something get in a room

25:52 full of retirees the people in the room were slowlane success

25:57 stories they used time to accelerate wealth and what it got

26:00 them was old age I don't say that to be mean-spirited

26:03 to older Generations but to cast the light on the point

26:07 compound interest 401ks mutual funds the stock market cannot accelerate

26:13 wealth fast according to research and marketing firm the Harrison group

26:17 only 10% of pentam millionaires which is a net worth

26:20 of 5 million or more report that their wealth came from passive

26:24 instruments age data was not provided but you can guess

26:27 none of the 10% were under 30 think about it have

26:31 you ever met a college student who got rich investing

26:33 in mutual funds or because of his employers 401K how about

26:37 the guy who bought municipal bonds in 2006 and retired

26:41 in 2009 I wonder if that guy driving that $1.2 million

26:46 Supercar can because of his well-balanced portfolio of mutual funds

26:51 these people don't exist because the youthful Rich are not leveraging

26:55 8% returns but 800% has your wealth ever grown by 800%

27:01 in one year probably not but guess what mine has

27:05 because I'm not Shackled to the slowlane wealth equation my wealth

27:09 acceleration vehicle doesn't come from the stock market yet you've been

27:13 domesticated to believe that these tools accelerate wealth mutual funds

27:17 stocks bonds 401ks dollar cost averaging and compound interest these are

27:22 all standard strategies for wealth acceleration in the slow lane unfortunately

27:27 without control or leverage their impotent wealth accelerators Buy and Hold

27:34 is dead in college I was taught Buy and Hold was

27:38 the safe investment strategy that made Millions buy stocks and solid

27:41 companies sit back and wait decades and voila I'd be

27:45 a wash with Millions they'd shove that graph in your face

27:49 and say a $10,000 investment in XYZ company in 1955 would

27:54 be worth 5 million today thankfully I ignored it in 1997

27:59 I opened a Roth IRA with $1,000 and invested the monies

28:04 in a growth mutual fund at a major investment firm

28:07 yes I let the professionals manage it for me

28:10 for the next decade I didn't touch it essentially I forgot about

28:14 the account in the 10 years that followed I made over

28:17 $10 million by following a fast lane road map and leveraging

28:21 fast lane strategy and what about that Roth IRA I

28:25 started years ago I never touched it and and I let

28:28 it ride the es and flow of the slow lane today

28:32 that account is worth $698 with inflation the real purchasing power

28:38 was probably 500 bucks my spare change bucket on my kitchen

28:42 table was a better investment had I invested $1 million I

28:46 would have lost more than $400,000 and yet this is

28:50 the slow laner anointed weapon of wealth hilarious Millions worship the slowlane

28:55 road map with Buy and Hold as m M Street

28:58 a main street that is decades long imperiled by hazards

29:02 and rarely routes to wealth I recently heard a slowlane prognosticator

29:07 proclaimed the effectiveness of get-rich slow by citing this tasty factoid

29:13 if at the end of 1940 you had invested $1,000

29:17 in the stocks of the S&P 500 you would now have

29:20 $1.3 million so let's examine this fact assuming it is fact

29:26 number one it's 1940 and assume you are 21 years old

29:30 number two it's 1940 and you somehow got your hands

29:34 on $1,000 which in today's dollars is about $115,000 number three

29:39 you took that $1,000 in 1940s money and invested it

29:43 in the S&P as explained earlier congratulations it is now 2011

29:49 and you are 91 years old rich with $1.3 million

29:54 or if you were lucky to get your $11,000 on birth you'd

29:58 now be 71 years old yes folks it's time to get

30:02 excited get rich slow is going to make you rich just

30:06 ignore your 74-year life expectancy and make sure your wheelchair

30:10 comes equipped with chrome rims seriously how does anyone get excited

30:14 over this crap the slow Lane's traitorous relationship with time

30:21 compound interest in a job have the same disease the sinful

30:25 and gluttonous consumption of your time while forsaking control both

30:30 variables within the slowlane wealth equation are anchored by time time

30:33 traded in a job and time traded in the markets time

30:36 becomes the Lynch pin for wealth that ties to mathematical handicaps

30:40 of mortality 24 hours in a day and a 50-year work

30:44 life expectancy yes getting rich is a function of time unless

30:48 you plan on living forever this relationship is fool hearty why

30:54 because to trade your time away is to trade your wealth

30:56 away examp in this example if you had a salary

31:00 for $75,000 a year and you save 5% of it for 40

31:04 years at 8% you'd end up with more than a million

31:08 dollars don't get enamored with the number keep in mind

31:11 This is 40 years from now if you're 20 years

31:14 old you will be 60 years old if you're 30 years

31:16 old you will be 70 years old if you're 40

31:19 years old you'll likely be dead sorry but that's beyond life

31:23 expectancy so at these ages does this money and the freedom

31:26 it buys sound appeal deing also do you realize

31:29 that this money will have 50% of today's buying power 40

31:33 years ago you could buy a car for $3,000 and a loaf

31:36 of bread for 20 Les we not forget other lofty

31:40 assumptions gainful employment and a robust economy that behests a safe

31:45 8% per year in 2008 the markets lost 50% I guess

31:50 the gurus forgot to mention these anomalies folks you don't want

31:55 Millions to accompany your cane you wanted to accompany your youth

32:00 every day people sacrifice their time for tiny nuggets of wealth

32:04 where time is the liability and not the asset anything

32:08 that steals time and doesn't have the power to free time

32:11 is a liability within the slow lane time is mistreated

32:15 like an effervescent fountain that runs forever unfortunately the mortality rate

32:19 is 100% And life's prognosis is death someday you will die

32:24 and hopefully 60% of your time wasn't squand in a cubicle

32:29 while your children grew up and your spouse cheated

32:31 with the yoga instructor the slow lane is a plan of hope

32:38 you're reading this book because you want to control your financial

32:40 destiny not put it in the hands of some company

32:43 or the stock market if you want to get rich

32:46 you have to control and leverage the variables in your financial

32:50 plan any financial plan without control immediately disintegrates into a plan

32:55 of hope hope I don't get laid off hope my stocks

32:59 rebound hope I get that promotion hope my hours aren't cut

33:03 hope my company doesn't go bankrupt hope hope and hope sorry

33:07 but hope is not a plan the slow lane rests

33:11 in a mathematical prison with time as the warden to create explosive

33:16 wealth fast you must abandon the slowlane formula and its lecherous

33:21 relationship to time wealth is built with time as an asset

33:25 not as a liability yet to slow laners reaction to uncontrollable

33:30 limited Leverage is predictable they embark on a errant fight

33:34 against the one variable they perceive as controllable their intrinsic

33:38 value the slow laner argues I must make more money

33:42 and that fight is fought feudly with an expensive education chapter

33:48 summary fast lane distinctions slow lane

33:52 wealth is improbable due to uncontrollable

33:55 limited Leverage the first variable in the slowlane wealth equation

34:00 evolves from a job that factors to intrinsic value that equates

34:03 to your nominal value for each unit of time traded intrinsic

34:08 value is the value of your time set by the marketplace

34:12 and is measured in units of time either hourly or yearly

34:17 in the slow lane intrinsic value regardless of its time

34:20 measurement is numerically inhibited because there are only 24 hours

34:24 in a day for the hourly worker and the average lifespan is

34:27 74 years for the salaried worker like the slow laner

34:32 primary income Source a job the slow laner wealth acceleration vehicle

34:36 compound interest is also pegged to time like a job compound

34:42 interest is mathematically feudal and cannot be manipulated you cannot force

34:47 feed the market or the economy to give you phenomenal returns

34:51 year after year wealth cannot be accelerated when pegged to mathematics

34:56 based on time time is your primordial Fuel and it

35:00 should not be traded for money your time should not be

35:04 an Expendable resource for wealth because wealth itself is composed

35:08 of time your mortality makes time mathematically for wealth creation if

35:15 you don't control the variables inherent in your wealth Universe you

35:19 don't control your financial plan chapter 13 the feudal fight education

35:27 the only thing that interferes with my learning is my education

35:30 Albert Einstein the fight against

35:34 uncontrollable limited leverage education the slow

35:39 Lander's natural reaction to uncontrollable

35:41 limited leverage inherit in their wealth

35:43 equation is to wage war with intrinsic value by deploying

35:47 the education weapon since UL defines the slow laner the slow

35:52 laner rationalizes that the only variable worthy of escalation is

35:55 the rate of pay I need to make six figures

35:58 I need to make more money so predictably they go back

36:01 to school and get an MBA or some certification they'll

36:05 argue MBA grads earn 15% more or the starting salary

36:10 of a certified PMP is $120,000 a year for example Steve

36:15 Ambrose enrolls in an NBA program to sweeten his credentials the cost

36:20 of the MBA is $44,000 800 hours Steve justifies this two-fold

36:26 expense time and money because he anticipates his intrinsic value

36:30 will rise upon completion Steve expects to be worth more

36:34 to his company and worth more in the competitive Marketplace unfortunately he

36:39 still trades his time for money just at a higher rate

36:42 and yet still uncontrolled and unleveraged another example is my friend

36:47 who enrolled in a project management certification class that ate

36:51 five8 hour Saturdays from her life and cost $2,700 her goal

36:56 a project man agement credential that would raise her intrinsic

37:00 value in the marketplace as a certified project manager she exposes

37:04 herself to new opportunities at higher grades of pay but still

37:08 a trade of time for money whether consciously or not

37:12 the slow laner believes that elevating intrinsic value can create

37:16 wealth want to be highly paid right out of college go

37:19 to medical school and become a doctor as a physician

37:22 your intrinsic value is now worth $200 per hour become an engineer

37:26 a lawyer or an accountant all highly paid professional salaried

37:31 positions typically a formal college education is used to serve slowlane

37:35 purposes an explicit attempt to raise intrinsic value not all education

37:42 is created equal the problem with formal education used to raise

37:47 intrinsic value is that it's ungodly expensive in time and money

37:51 not a week goes by when I don't hear about some

37:53 freshly minted MBA grad who struggles to pay his student loan

37:57 while working a mid-grade job he could have gotten right out

38:00 of high school debt that traps you to a job

38:03 is not good debt a preoccupation to become Highly Educated could

38:07 be a trojan horse to your freedom not all education is

38:11 created equal some education can roadblock your wealth road trip if

38:15 an education in Tunes you under a mountain of debt

38:18 and shackles you to a job for the rest of your life

38:21 was it really a good education if an MBA increases

38:24 your salary by 15% but takes you 15 years to pay

38:29 was it a good investment it's a great myth to get

38:32 rich you need an expensive college degree hogwash a degree

38:37 isn't a prerequisite to Fast Lane wealth some of the richest

38:40 fast laners are people who never either finished high school

38:43 or college Bill Gates Steven Spielberg Richard Branson Michael Dell

38:48 Felix Dennis David geffin and John Paul dejoria all dropped out

38:53 of school to pursue fast lane objectives how dare they get

38:56 rich and not be educated slowlane entrapment financing expensive college tuition

39:04 for an education is a dangerous game that can lead

39:07 to slowlane entrapment Conformity and education

39:11 servitude a typical Collegiate study

39:13 progresses from general knowledge to very specific skill sets for example

39:18 while studying Finance I learned complex mathematical formulas that aided

39:23 in financial decision making things like lease or buy or return

39:26 on invest investment these concepts are specific tools to a trade

39:31 that can hinder your future options the prescribed path for graduates

39:35 with Finance degrees was to get a job in a financial

39:38 sector an insurance company an accounting firm or an investment

39:41 house my education had the indirect and unintended consequence of restricting

39:47 my options to specific disciplines based on an educative Skillet the result

39:53 Conformity and limited choice if there aren't opportunities in my field

39:57 my education becomes marginalized and devalued if the opportunities available

40:02 require less education say a BS and I have an MBA

40:06 I become overqualified and unemployable if my skills erode in practicality

40:11 based on technological Evolution my education becomes deprecated and my value

40:15 to society plummets accordingly the second educational entrapment danger is

40:21 education servitude while the sidewalker deals with lifestyle servitude the slow

40:26 laner wrestles with with education servitude which is freedom eroded

40:30 by education that traps the victim to a job has your education

40:35 indentured you to a job Advanced degrees are not cheap

40:38 according to the College Board the average college degree including room

40:41 and board now cost nearly $60,000 prefer The Prestige

40:46 of a private school the tab will set you back a Ferrari

40:50 this kind of debt buries the dreams of our youth

40:53 and puts them permanently bound to the slow lane or worse

40:57 the sidewalk consider the statistics in 2007 The Washington Post reported

41:02 that according to Nelly May the big student loan service provider

41:06 by the time college students are seniors 56% of them

41:09 will have four or more credit cards with an average balance

41:13 of $2,800 according to a research report by deos a public

41:17 policy research and advocacy organization people in the 18 to 24

41:21 age bracket spend nearly 30% of their monthly income on debt

41:26 repayment this is double from 20 years ago a survey

41:29 of college borrowers found that the average college senior graduated

41:33 with nearly $199,000 in student loan debts and graduate degree pursuers

41:38 more than $45,000 a 2007 Charles Schwab survey revealed that teenagers

41:44 believe that when they get older they will earn an average

41:47 salary of $145,000 the reality adults with a college degree

41:53 earned an average of $54,000 unfortunately the future isn't so bright

41:58 that you have to wear shades the truth behind the reality

42:02 and expectation is about a $100,000 Chasm this disparity might

42:07 explain why the debts of our youth have exploded as they

42:10 Bridge their reality to expectation hell if I can't make $145,000

42:15 I can make it look like I make $145,000 the best

42:20 excuse people have for not having wealth is I don't have

42:23 time well why don't you have time well because you have

42:27 a job why do you have a job because you need

42:30 one why do you need one because you have bills

42:32 to pay why do you have bills to pay because you

42:35 have debt why do you have debt oh yes because

42:38 you went to school for six years and have six figures

42:41 in student loans if you financed your Advanced education with debt

42:46 the debt automatically becomes parasitic and traps you into forced

42:51 job servitude and that destroys Freedom while you might earn more

42:55 work is forced to stable off the debt the debt is

42:58 parasitic because it fails to free time and instead creates

43:02 indentured time sadly the parasitic debt is unforgiving and it isn't

43:07 sympathetic to the source whether you owe $35,000 for your awesome

43:12 BMW or for student loans debt steals freedom and forces indentured

43:18 Time chapter summary fast lane distinctions slow laners attempt to manipulate

43:25 intrinsic value by education indentured time is the time you

43:30 spend earning a living it is the opposite of free time

43:34 parasitic debt is debt that creates indentured time and forces work

43:42 chapter 14 the hypocrisy of the gurus there was

43:47 a time when a fool and his money were soon parted

43:50 but now it happens to everybody adlay Stevenson you've been duped

43:57 suppose after college you're getting a bit pudgy around the middle

44:00 and decide it's time to get back into shape you enroll

44:03 in a community college class called Healthy nutrition eat your way

44:07 to a beautiful body on the first day of class you

44:10 arrive early seat yourself and anxiously await the class instructor after

44:15 a few minutes an obese man walks into the room

44:18 and Waddles to the front of the class you think wow

44:21 he's fat but he's here to change that so good

44:24 for him as the man profusely SWAT while fumbling with a stack

44:28 of papers you glance at the student chair next

44:31 to the man and wonder can he fit on it he's twice

44:34 the size of the chair then suddenly you're hit with the Paradox

44:39 this isn't a student but the instructor are you freaking

44:42 kidding me how could this man effectively teach a class

44:45 called Healthy nutrition eat your way to a beautiful body when

44:49 he is not a model of his teaching how can

44:52 anyone take him seriously bewildered at the hypocrisy you leave leave

44:57 class and head to the Buster's office intent on getting

45:00 a tuition refund when it comes to gurus and financial advisers

45:05 this is what you must do you must leave class

45:08 and request a refund because they're guilty of a paradox of practice

45:14 the Paradox of practice the Paradox of practice asks do you

45:20 practice what you preach are you a model and an exemplification

45:24 of what you teach for example would you take skin

45:28 care advice from a butterface would you take Financial advice

45:32 from a bankrupt bum would you take medical advice

45:35 from a sanitation worker would you take bodybuilding advice from a 90b

45:41 weakling the Paradox of practice is a heated debate in my Forum

45:45 some people feel it's perfectly acceptable to preach a strategy

45:49 for wealth and yet never use it do as I say

45:55 not as I do a paradox of practice exists when someone

45:59 promotes a money-making strategy but that strategy is not what made

46:03 him rich in other words they're not practitioners of their own

46:07 advice these people effectively teach one wealth equation the slow

46:12 lane why they get rich leveraging another the fast lane when

46:16 I see Financial Powerhouse Suzie instructing people to dollar cost

46:21 average their mutual fund portfolios do I listen to her hell

46:25 no I laugh when Kramer Advocates stock and Leman brothers

46:29 because he says it's a good buy do I listen no

46:33 way I feel sorry for anyone who follows the investment advice

46:37 of these people I consider these people to be better entertainers

46:41 than investment advisers I have no love lost for the poor

46:44 sap who lost his retirement savings because he listened to some

46:48 CNBC pundit pedling some hot stock tip or investment advice

46:53 what is wrong with people how do you not take responsibility

46:57 for your financial plan and then of course there's your uncle

47:01 you know the guy the well-educated Elder in your life

47:04 who knows everything including the molecular structure of dark matter

47:08 in the Horsehead nebula his army of factoids is always ready

47:12 for deployment stock tips the latest and greatest Investments money Trends

47:17 and of course lest you forget he lives paycheck to paycheck

47:21 I call these people broke know-it-alls people who dispense Financial money

47:26 making advice and yet they're dirt poor these fat behemoths are

47:31 walking hypocrisies on how to live a life of health

47:34 and fitness folks listen to these people with an entertainment expectation

47:40 not advice good advice comes from the guy who scores all

47:44 the touchdowns not the guy shut out in the fourth quarter

47:48 yes the best quarterbacking advice comes from Payton Manning not

47:52 MJ Demarco is the Paradox of prac practice and play

47:58 in the game of money money is the scorecard if someone

48:02 tells you how they scored make sure they disclose the real method

48:06 to wealth not the illusion concealing the real culprit sadly

48:10 it's virtually impossible to get good practical money advice because most

48:14 gurus live a paradox of practice yes gurus are rarely Rich

48:19 because of their advice but Rich because they're successful fast laners

48:24 Who covertly hide their Paradox of practice these paradoxical metaphors

48:28 described earlier beit the hypocrisy of the people who you've entrusted

48:33 with your financial road map you're sold blindly down the river

48:37 by a ride they've never completed meanwhile they gaze at you

48:42 comfortably above in their corporate jet drinking champagne no one

48:46 tells you the real unadulterated story behind the road to wealth

48:50 but I will the slowlane road map is sanctimoniously trumpeted

48:55 by best-selling book authors who dispense Financial advice through TV radio

49:00 and books the strategies they sell are a travesty of Grand

49:03 Illusions do you seriously think that these people are rich

49:07 from their preachings or are they selling you the slow lane

49:11 while they get rich in the fast lane let me hypothesize about

49:15 the probable Wizardry behind their charade first we have suie

49:20 Susie preaches mutual funds dollar cost averaging and 401ks we can

49:26 absorb Susie in many Media Radio TV and in any

49:30 of her half dozen books her Grill is everywhere she's The Wretched

49:35 slowlane poster child a high volume producer of slowlane junkets spewed

49:41 to Millions so what's the problem well ask yourself this is

49:46 Susie Rich because she followed her own advice like municipal

49:50 bonds dollar cost averaging in 401ks the probable hypocrisy the Paradox

49:55 of practice is that Susie's method of creating wealth doesn't

50:00 appear to be the road she travels nor teaches is Susie

50:04 fast lane Rich because she leverages the fast lane road

50:07 map while she pitches you the slow lane in other words

50:12 is she worth millions because she followed her own advice

50:16 or because she sold millions of books is her wealth equation

50:20 different from the one she teaches these are the things

50:23 that will make you go hm in a 2007 article Susie was

50:28 quoted as admitting to having the bulk of her wealth

50:31 an estimated 25 million in bonds primarily municipals additionally she admits

50:37 that only 4% of her wealth is tied up

50:40 in the stock market because personally if I lose a million dollars

50:43 I don't care wow and yet this is the vehicle

50:47 you should UST to build your wealth how exactly did Miss

50:51 suie acquire that $25 million Nest Egg because of her advice

50:55 which Champions the stock market mutual funds IAS bonds and treasuries

51:00 or did she use the fast lane road map amass

51:02 wealth fast by explosive net income and then pour her wealth

51:06 into these instruments yet her advice for the people at the precipice

51:09 of poverty is that they should invest in the stock

51:12 market to create wealth when it appears like she hasn't folks

51:17 the rich are using the markets for income and wealth preservation

51:21 not to create it then we have David as I thumb

51:25 through David's many books I was inundated with an alarming quantity

51:28 of slowlane ilk compound interest tables save 10% of your paycheck

51:33 stop drinking expensive coffee and other chronic slowlane diet tribes

51:39 again the Paradox of practice rears its ugly mug did David

51:43 get rich from his advice or from selling 11 books over

51:48 and over several million times often regurgitating the same slowlane

51:53 sludge until you can't take it anymore and finally we have

51:57 Robert Robert who hails from Hawaii and has two dads one

52:02 rich one poor double dad Robert Bell Cole explains the real

52:07 definition of assets and that sophisticated investors are deep into real

52:11 estate I'm National Television Robert once bragged about his Lamborghini

52:15 and I found this extravagant Exposition ironic yet disingenuous well why

52:22 isn't Robert showcasing the fruit of his teachings perhaps you see

52:27 Robert is a fast lane success story he created and built

52:30 a brand worth millions but the Curious question is this which

52:35 came first the best-selling book or the Lamborghini is there

52:40 a paradox of practice underneath did Robert have the status Icon

52:45 pre-book by leveraging his real estate teachings or did the Lamborghini

52:49 arrive after selling millions of books Robert undoubtedly has amassed

52:54 a great deal of wealth selling books games and seminars

52:59 and yet is it possible you're being sold one wealth equation while

53:03 the architect of the game uses another gurus fill a market

53:08 need and I don't deny it however consider this are

53:11 they being truthful about their Paradox and their magic potion are

53:14 they Rich because of what they preach or what they sell

53:18 once you're familiar with fast lane mathematics it should become

53:22 clear to you which gurus are likely guilty of the Paradox

53:26 is the underlying mathematical equation which governs their teachings the same

53:30 one that made them wrench if to do as I say

53:33 doesn't match the do as I do you should be suspicious

53:37 what makes me different is this the fascinating Concepts in this book

53:41 gave me Financial Independence I already have Financial Freedom the nice

53:45 house the sports carard the flashy rapper credit card I

53:48 don't need this book to get me these things I

53:52 also confess this fast lane disclaimer this book has the power

53:56 to make me wealthier because it leverages the same wealth equation

54:00 that I teach you in other words my do as I

54:03 say matches the do as I do slowlane gurus admit

54:10 failure on a slowlane financial radio show a caller sought advice

54:14 in a few months the recession destroyed more than 50%

54:17 of her savings which it had taken her nearly 10 years

54:20 to accumulate the slowlane guru's advice a palive stick

54:25 to the plan recommit rebuild in other words my crappy plan has

54:31 failed you has taken 11 years to fail you and yet

54:35 you need to stand by it hope the economy rebounds hope

54:38 the economy never sees another recession hope hope and hope

54:42 and yes please buy my newest book rebuild economic recessions exposed

54:48 the sling is a risky fraud with lifetime ramifications since

54:52 these gurus make their Rich livelihood selling the slowlane road map they

54:56 need you to believe it works their wealth comes

55:00 from your belief despite the current

55:02 recession's masterful expose the slowlane Illuminati

55:06 will never admit that their strategy is woefully inept and instead

55:10 they have deviously re-calibrated their message to conceal the truth they

55:14 continue to spew the same failed rhetoric by writing new books

55:19 with new titles and new platitudes titles like rebuild your wealth

55:24 or start over or recommit notice the shift in language

55:30 exposing the truth if the plan is so good why do

55:33 you need to rebuild or start over if the strategy

55:37 worked such words wouldn't be necessary for the charade to continue

55:42 the gurus need to reinforce the strategy with new books selling

55:46 the same old and of course the bigger question is do

55:50 you think the gurus need to start over or rebuild

55:54 of course not they don't use a plan that they sell

55:57 they operate in an entirely different wealth Universe which is not

56:02 predicated on uncontrollable limited leverage

56:07 chapter summary fast lane distinctions take

56:10 advice from people with a proven successful track record

56:13 of their espoused discipline many money gurus often suffer from a paradox

56:19 of practice they teach one wealth equation while getting rich

56:22 in another they're not rich from their own teachings slowlane Victory

56:28 a gamble of hope I'd rather live in regret of failure

56:33 than in regret of never trying MJ DeMarco Exodus life

56:39 in the slow lane wealth by the slowlane road map is

56:43 analogous to Exodus the biblical story of Moses God leads Moses

56:48 out of Egyptian bondage into a daunting 40-year journey through

56:52 the desert with the promise of a glorious future in the land

56:55 of milk and honey after a lifetime of toil and struggle

57:00 Moses arrives at the doorstep to his destination and then

57:03 Wham he dies he never sees the promise of the journey

57:07 because life has no guarantees sadly slowlane wealth is aching

57:12 to this long perilous journey through the desert it's a trip

57:15 that takes decades to finish starves your life and makes no

57:19 promises yes graduate from college get a good job entrust

57:23 your money to the stock market serve the boss well and you

57:26 might be rewarded in today's harrowing Financial climate I'm surprised

57:31 people still believe it but people do and in Legions when

57:34 I see sales figures for slowlane books I'm dumbfounded Millions

57:39 sold how sad Millions being led astray down a path littered

57:44 with dangerous potholes and detours a road that takes years

57:48 to travel for a far-fetched promise of a Freer tomorrow to assume

57:53 that you will live a long healthy life is arrogant

57:56 to assume that life won't throw you any curves is naive

57:59 for the slow lane to Prevail it assumes life is predictable

58:04 and forgiving as you know it isn't you lose your job

58:08 you get sick the car needs a new transmission you get

58:11 married you get divorced you have kids you have a child

58:14 with special needs you have aging parents who need care

58:18 the economy dips into recession or depression life is a managerie

58:22 littered with crisis points which makes the slow Ling Road

58:25 mapap a risky bet that consumes your most precious asset time

58:33 seven slowlane dangers people drive the slow lane because it's

58:37 what they've been told to drive they believe the risks are

58:40 minimal and it's safe after all 90% of all new

58:44 businesses fail after 5 years so that fast lane can't be

58:48 any safer if you l a little logic into the slowlane

58:51 narratives you'll find that it's extremely hazardous and a plan based

58:55 in entirely on Hope assumptions Decades of them expose the slow

59:01 Lane's true risks choose to travel the road and you

59:05 choose to gamble here are the risks number one the danger

59:09 of your health the slowlane hopes you will live long enough

59:13 to enjoy the fruits of your savings as you hit

59:15 your late stage years remember you will have millions when you

59:19 retire at 65 will you be healthy enough to enjoy it

59:23 alive if you can't work your job you can't make make

59:26 money if you can't work what happens to this plan

59:29 also you have to avoid other calamities hope your job stress

59:33 doesn't kill you and your family remains healthy number two

59:38 the danger of the job the Sloan hopes that you'll be gainfully

59:42 employed at all times safely climbing the corporate ladder year

59:46 after year you must avoid layoffs corporate politics firings poor industry

59:51 Cycles job skill degradation and bad job markets number three

59:56 the danger of your home home equity is lotted as a middle

1:00:00 class wealth vehicle many gurus have shouted from the rooftops

1:00:05 retire on your home equity or your home is an asset

1:00:09 Capital BS the slow Lan hopes that real estate values always

1:00:13 rise and it's false in 2008 the value of my home

1:00:18 equity plummeted by more than $800,000 I disavow my home

1:00:23 as an investment and thankfully I do not rely on it

1:00:27 number four the danger of the company not many companies outlive

1:00:31 the centuries if your retirement faith is put into one company

1:00:35 in the form of either one your job two your pension

1:00:39 or three their stock you hope the company survives you

1:00:43 make a bet many retirees discover too late that their retirement

1:00:47 pensions are lost due to mismanagement by company Executives others who

1:00:51 Focus their wealth into one company stock accept great risk

1:00:55 that the stock will be wor with more in the future

1:00:57 if you assign your retirement onto others you then accept external

1:01:01 risks that you cannot control when the torque of your financial

1:01:05 plan resides with others you're likely to lose control number five

1:01:10 the danger of your lifestyle the slowlane begs you to settle

1:01:14 and to become a miser you want to own an exotic

1:01:17 car forget it want to live on the beach wishful

1:01:20 thinking if you cannot control your Temptations of Lifestyle Improvement

1:01:24 a nicer home a nicer car a nicer meal out the slow

1:01:28 lane becomes slower and reverses course the slow lane hopes

1:01:32 your delayed gratification moves to no gratification number six the danger

1:01:38 of the economy the slow lane hopes that your investments

1:01:42 will yield a predictable 8% return year after year you must

1:01:46 believe the theory that Buy and Hold works it doesn't

1:01:50 because economic busts recessions and depressions occur for example in 2008

1:01:56 to 2009 the equity markets lost nearly 60% if you saved

1:02:01 for 15 years in a mass to $100,000 it would now

1:02:05 be worth $40,000 it would take you 14 years at 8%

1:02:10 yearly returns just to get back even that equates to almost

1:02:15 30 years gone and this doesn't account for inflation which

1:02:19 makes your $100,000 more like $50,000 number seven the danger

1:02:25 of the sidewalk frustrated slow laners often revert to the sidewalk

1:02:30 why hope Over Control when you can't control time when you can't

1:02:35 control your job and when you can't control five days

1:02:38 of your life each week you feel powerless emotions of helplessness

1:02:43 create an environment ripe for instant gratification and lifestyle servitude

1:02:47 a study published in 2008 by the Journal of consumer research found

1:02:51 that when people feel powerless and out of control they

1:02:53 have a strong desire to buy things that convey a high

1:02:57 status why do people feel powerless simple in the slow lane

1:03:02 you relinquish control because time is in control and the gates

1:03:05 to the sidewalk reopen hope is not a plan resistance

1:03:12 is feudal when you perform an autopsy in the slow lane

1:03:16 you see its true colors it's slow it eats time

1:03:19 and it's risky when a slow laner realizes the plan isn't

1:03:23 working he goes into overdrive overdrive in the slow lane

1:03:27 is like pushing a car's accelerator to the floor hoping its

1:03:31 upper speed limit somehow will mystically extend higher when in fact

1:03:35 the racetrack itself is the problem not the accelerator yet

1:03:40 a slow laner will try to manipulate his weak mathematical Universe

1:03:44 by trying to make the variables malleable for example manipulate intrinsic

1:03:49 value by increasing hours worked I need to make more money

1:03:53 manipulate intrinsic value by Chang changing jobs or adding jobs I

1:03:58 need to get paid more manipulate intrinsic value by going

1:04:02 back to school I need a better career manipulate compound interest

1:04:07 by seeking better investment yields

1:04:09 I need better Investments manipulate compound

1:04:13 interest by expanding investment time Horizon I need more time manipulate

1:04:18 compound interest by increasing the investment I need to save

1:04:22 more each of these six responses is a a feudal attempt

1:04:26 to manipulate the impotence of the slow ler wealth equation unfortunately

1:04:31 the limitations of mathematics cannot be subverted and doing so results

1:04:35 in dangerous cause effect Cycles when a slow laner wants

1:04:38 to make more money he increases his hour's work switches

1:04:42 to a better paying job or adds jobs when a slow

1:04:45 laner wants to get paid more he goes back to school hoping

1:04:48 to increase intrinsic value when a slow laner realizes

1:04:52 that a 3% investment return Isn't Building Wealth fast enough bigger risks

1:04:57 are assumed for bigger returns when a slow laner watches 40%

1:05:02 of his nest egg disappear in an economic recession he goes

1:05:06 back to work arguing that 5 years is not enough

1:05:09 to get back to even you can't overcome the limitations of mathematics

1:05:14 a car that has a top speed of 10 m

1:05:17 an hour will always have a top speed of 10 mil

1:05:19 an hour no matter how hard you push the accelerator

1:05:24 if you travel across the country at 10 m hour you're

1:05:27 going to need 40 years you see the slow lane is

1:05:31 predisposed to mediocrity because the numbers are always mediocre the slow

1:05:37 lane is risky because its variables are uncontrollable and Leverage

1:05:41 is absent UL really means you'll never get rich yet lifestyle

1:05:47 is one variable slow laners

1:05:49 can effectively manipulate unfortunately this quickly

1:05:52 turns slowlane life into a stale exhibition of misery yes settle

1:05:57 for less wealth fail wrong equation wrong variable at some

1:06:04 point the slow ler realizes he can't force the stock market

1:06:08 to yield bigger returns he can't force a 200% pay raise

1:06:12 he can't afford an advanced education to raise intrinsic value job

1:06:17 hopping offers little incremental pay upgrades the slow laner is

1:06:21 enslaved to his equation and resorts to manipulating the only controllable

1:06:25 variable personal net income which is increased by reducing expenses

1:06:31 the equation for personal net income is personal net income equals intrinsic

1:06:36 value minus personal expenses the sling gurus praise this strategy

1:06:43 the edicts are clear pay down your debt dump the new

1:06:46 car for an old one raise your insurance deductibles cancel

1:06:49 your credit cards and pay cash for everything quit buying $10 coffee

1:06:54 at Starbucks bag your lunch shop in bulk spend 4

1:06:58 hours clipping coupons come on buddy slash those expenses someday you're

1:07:03 going to be rich absolutely hilarious these tiresome strategies are

1:07:09 a classic response to being stuck in the slow lane lifestyle degradation

1:07:15 when you're married to a bad wealth equation this is resistance

1:07:19 this is like getting a divorce by sleeping on the couch

1:07:22 since wealth is tied to time and cannot be controlled

1:07:25 you're left with the kitchen scraps lifestyle degradation in the form

1:07:29 of expense reduction yep you become a cheap skate this is

1:07:34 absolutely wrong hoodwinking expenses does not create wealth exploding income

1:07:41 and controlling expenses creates wealth for example when I routinely

1:07:45 earned over $100,000 a month I accumulated wealth fast because I

1:07:50 maintained control over my expenses as my income exponentiated expenses

1:07:55 grew linearly and weren't neglected if my income increased by 100%

1:08:01 expenses only grew by 10% I didn't accumulate wealth because

1:08:05 of expense dickery income explosion and expense control created wealth so what

1:08:11 happens when a slow laner commits to the expense variable

1:08:15 well life becomes about what you cannot do you can't take

1:08:19 that trip you can't buy your kids a decent pair

1:08:22 of shoes you can't own that dream car you can't subscribe subribe

1:08:25 to the movie channels yes the good old sacrifice your today

1:08:29 for the promise of tomorrow in other words you settle

1:08:35 slowlane Victory fame or a geriatric award why invest in a plan

1:08:40 that consumes 40 Years of your life and fails most

1:08:43 of the time I wouldn't the dreary reality is that slow

1:08:47 Lan failure doesn't happen overnight failure transpires over the years

1:08:52 like a termite infested Woodshed and when it's Dennis come

1:08:56 to judgment it's too late yes slowlane Victory is as tough

1:09:00 as a truck stop sirloin in a 2002 AARP survey 69%

1:09:06 of the respondents said they would need to work past retirement

1:09:09 age a year earlier 45% said they would need to work

1:09:13 into their 70s or 80s we can deduce something very disturbing

1:09:17 from this data the slow Lanes failure rate is near

1:09:21 70% despite the risks despite the mathematical limitations despite the typical

1:09:26 five-day trade for a weekend despite all of it you might

1:09:29 stand firm and try your luck while Victory isn't impossible I

1:09:34 need to mention a few things slowlane winners are usually

1:09:37 extremely talented elderly or overworked how to win the slow lane

1:09:44 the secret exit the slow lane can be defied if you

1:09:48 can find its secret exit it's get out of jail free

1:09:51 card that neutralizes the limitations of uncontrollable limited Leverage

1:09:56 that secret slow an escape fame fame breaks the mathematical limitations

1:10:01 of intrinsic value those who defy the slow Lan are

1:10:04 the most pervasive in our culture because of Fame the pro athletes

1:10:08 the rappers the musicians the actors the entertainers if you want

1:10:11 to bludge in the slow Lane's weakness you need to get

1:10:15 famous why Fame and notoriety carry a high intrinsic value

1:10:20 people pay extraordinary rates for you in your services even if

1:10:23 you're just like a reality show star and you have

1:10:26 no skills when a 20-year-old basketball player leaves college and scores

1:10:30 a $30 million contract you've just witnessed slowlane Defiance when

1:10:36 an actress lands a $15 million lead role in a major Motion

1:10:39 Picture you've just witnessed slowlane Defiance when an obese freckly

1:10:44 faed Irish guy ascends from a waiter to a top finalist

1:10:48 on American Idol the limitations of the slowlane road map are

1:10:51 shattered because intrinsic value explodes

1:10:55 suddenly intrinsic value has leverage because

1:10:59 of demand unfortunately most people who seek wealth do so

1:11:03 through slowlane Defiance not via the fast lane Fortune leading fames

1:11:08 are the obvious attack why do stadiums breach the capacity

1:11:11 for American Idol auditions Fame explodes intrinsic value you can defy

1:11:16 the slow Lane's limitations by becoming so indispensable that your value

1:11:21 to society skyrockets if Millions Seek You you will be paid

1:11:26 Millions pro basketball player LeBron James is paid Millions because

1:11:30 his skills are in short supply famous actors and entertainers are paid

1:11:35 Millions because Millions demand their brand in Entertainment form extreme

1:11:40 Talent is paid extremely well overworked into corporate management the other

1:11:48 highly sought-after slowlane secret exit is good old corporate management no

1:11:52 doubt you've heard the slowlane missive climb the the corporate ladder

1:11:56 when a corporate CEO Cashes in on $20 million in stock

1:12:00 options you've witnessed another slowl Defiance surely you've heard about all

1:12:04 those overpaid CEOs of large companies raking in the big dough

1:12:09 have you ever looked at their age exclusive of the founders

1:12:12 and the owners most of them are in their 50s

1:12:14 and 60s obviously the roads through corporate management don't happen overnight

1:12:19 from mail room to CEO can take 40 years and if

1:12:23 it does you certainly don't get by taking it easy nope

1:12:26 you arrive early and leave late sorry but I don't have

1:12:31 40 Years of patience waiting for my golden parachute to land

1:12:34 in my backyard successful slow aners get stuck in the middle

1:12:41 I have no desire to be famous or to be

1:12:43 a corporate drone heck I don't even own a suit

1:12:45 or a tie so how would I climb the corporate ladder

1:12:49 if you're allergic to fame and corporate Ascension is a road

1:12:51 to riches what's left Society enfor verus the slow lane

1:12:56 is your only option unfortunately that strategy leads straight

1:12:59 into the middles middle class or middle age yes every Lottery has

1:13:05 a winner bad odds have winners old laners or slow laners

1:13:10 who succeed using a slowlane strategy who survived the slowlane road

1:13:15 map eventually become millionaires but please don't pop the cheap champagne

1:13:20 quite yet the distinction between a slowlane millionaire and a fast

1:13:24 lane millionaire is like the difference between a Buick

1:13:27 and a Ferrari when you recognize the difference you can critique advice

1:13:31 properly and assign it to its correct fast lane or slow

1:13:34 lane box millionaires are rich or are they I recently

1:13:40 read an article about a young woman named cie from the UK

1:13:44 who several years ago won millions in the lottery only

1:13:47 to lose most of it shortly thereafter of course lose implies

1:13:51 that the entire bag of cash flew out of her car

1:13:54 while losing down the Boulevard in her brand new convertible

1:13:58 she didn't lose it she spent it she was just 16

1:14:02 years old when she won the 3 million and it

1:14:04 only took her 6 years to blow it drugs partying exotic

1:14:08 cars breast implants and a jaw dropping $730,000 in designer clothes

1:14:15 the problem cie thought she was rich and she spent like

1:14:19 she was rich surely she bought into her title I'm

1:14:23 a millionaire by 3 million is a decent chunk of change

1:14:27 she needed 30 million for her lifestyle which brings us

1:14:30 to our famous word millionaire when you hear that word what

1:14:34 do you think like wealth you probably have visions

1:14:37 of an extravagant lifestyle boats helicopters

1:14:40 mansions and expensive jewelry for decades

1:14:43 the term millionaire has been ubiquitously used to describe somebody Rich

1:14:49 except these visions of opulence describe a lifestyle of a millionaire

1:14:53 elevated by the f fast lane not to slowlane slowlane

1:14:57 millionaires who don't escape by fame

1:14:59 or corporate bastardization live differently

1:15:03 they own homes in innocuous middleclass neighborhoods they drive unassuming

1:15:07 cars like Hondas or Toyotas they vacation in frequently they limit

1:15:12 their dining expenses they cut coupons and they max out

1:15:15 their 401ks they work 5 days a week at jobs they most

1:15:18 likely hate and diligently save 10% of their paychecks others own

1:15:23 small businesses franch sies and retail stores yes several National best-selling

1:15:29 books have enlightened us these are the millionaires next door

1:15:33 sadly in today's term a millionaire net worth of a million

1:15:37 dollars or more is simply upper middle class A Millionaire is

1:15:41 not rich 5 million is the old 1 million I know

1:15:46 depressing this hidden truth is why many lottery winners go

1:15:50 broke just after a few years winners Envision the lavish life

1:15:55 style and live it not knowing that several million dollars won't

1:15:59 support it if you win a million bucks which after taxes

1:16:02 is only $600,000 your lifestyle shouldn't change if you try

1:16:07 to live the millionaire lifestyle as shown on television a fool

1:16:11 and his money are soon parted playing the lottery is

1:16:14 a symptom of the sidewalk so why would it shock anyone

1:16:17 to discover that a newly crowned lottery winner goes broke just

1:16:21 years later lottery winners assign Rich to the the word millionaire

1:16:26 so their Fortune is fast spent on the icons of wealth

1:16:29 and soon thereafter they're bankrupt

1:16:32 the word millionaire fooled them millionaire

1:16:35 is middle class to live a lifestyle normally reserved for millionaires

1:16:40 you have to amass far more than $1 million having

1:16:44 1 million doesn't entitle you to a lifestyle of the Rich

1:16:47 and Famous you need at least 10 million for that so

1:16:50 when the media spoon feeds you the word millionaire determine

1:16:54 it's perspective is it slowlane and middle class or the fast

1:16:58 lane and Rich 12 distinctions between slowlane and Fastlane millionaires

1:17:06 number one slowlane millionaires make millions in 30 years or more

1:17:11 fast lane millionaires make millions in 10 years or less

1:17:14 slowlane millionaires need to live in middle class homes fast lane

1:17:18 millionaires can live in luxury Estates slowlane millionaires have mbas fast

1:17:24 Lane millionaires hire people with mbas slowlane millionaires let their assets

1:17:30 drift by market forces fast lane millionaires control their assets

1:17:34 and possess the power to manipulate their value slow lane millionaires

1:17:39 can't afford exotic cars fast lanane millionair can afford to drive

1:17:43 whatever they want slowlane millionair work for their time fast lane

1:17:47 millionair have time working for them slow lane millionair are

1:17:52 employees fast lane millionair higher employ employees slow lane millionair have

1:17:58 401ks fast lane millionair offer 401ks slow lane millionaires use mutual

1:18:04 funds in the stock market to get rich fast lane millionaires

1:18:07 use them to stay Rich slowlane millionaires let other people

1:18:11 control their income streams fast lane millionaires control their income streams

1:18:17 slowlane millionair are cheap with money fast lane millionaires are cheap

1:18:21 with time slowlane millionaires use their house for net worth fast

1:18:26 lane millionaires use their house for residency the fast lane

1:18:31 isn't about becoming the next middle class millionaire with tiresome mandates

1:18:35 about what you cannot do it's about what you can do

1:18:41 chapter summary fast lanane distinctions the slow lane has seven dangers

1:18:46 five of which cannot be controlled the risk of lifestyle is

1:18:50 the one risk slow lers will try to control the slow

1:18:55 is predisposed to mediocrity because its mathematical universe is mediocre

1:19:00 slow laners manipulate the expense variable because it's the only thing

1:19:04 they can control exponential income growth and expense management creates

1:19:09 wealth you can break the slowlane equation by exploding your intrinsic

1:19:14 value via fame or Insider corporate management successful slow laners not

1:19:19 famous or in corporate management end in the middle middle class

1:19:22 and middle age slow Lan millionaires are stuck in the middle

1:19:27 class 5 million is the new 1 million a millionaire cannot

1:19:31 live a millionaire lifestyle without Financial discipline lottery winners fall

1:19:36 into the millionaire trap and go broke because they attempt to live

1:19:40 a millionaire lifestyle not understanding that a few million doesn't

1:19:44 go very far [Music] part five wealth the fast lane road

1:20:02 map chapter 16 wealth shortcut the fast lane people would do

1:20:08 better if they knew better Jim ran what about door number

1:20:14 three sidewalk or slow lane sacrific today or tomorrow you

1:20:19 can walk the sidewalk with no financial plan and convince yourself

1:20:22 that the indulgences of today have no consequence for tomorrow

1:20:26 or drive the slow lane and sacrifice your today for the risk

1:20:29 and illusions of a secure tomorrow but wait there is

1:20:33 another Choice an alternative a hybrid Financial road map that can

1:20:37 create wealth fast and slash 40 years from wealth accumulation

1:20:42 fast however is relative if you're 18 you can be Filthy

1:20:45 Rich by 25 if you're 30 you can be retired

1:20:48 by 36 broke at 48 and you can retire by 54

1:20:52 but is it likely risky if you could play one

1:20:55 of three Raffles which one would you play raffle sidewalk first prize

1:21:01 is $10 million awarded immediately your odds of winning one

1:21:06 in six million raffle slow lane first prize is $500,000 awarded

1:21:12 in 40 years your odds of winning one in six

1:21:17 raffle fast lane first prize $10 million awarded in 6 years

1:21:22 your odds of winning one and seven so which did

1:21:26 you pick hopefully raffle fast lane because its rewards far exceed

1:21:30 the incremental risk of raffle slow lane raffle sidewalk of course

1:21:34 is a wasted long shot your choice of financial road maps sidewalk

1:21:39 slow lane or fast lane is like this hypothetical raffle

1:21:43 once you understand the road maps and the respective wealth equations

1:21:46 you can choose the one that will serve as your compass

1:21:51 what is the fast lane the fast lane is a business

1:21:54 and lifestyle strategy characterized by controllable unlimited leverage or C

1:22:00 hence creating an optimal environment

1:22:02 for Rapid wealth creation and extraordinary

1:22:05 Lifestyles definitively pay attention to these four segments number one

1:22:11 controllable unlimited leverage or C whereas the slow Lan is defined

1:22:16 by uncontrollable variables with no Leverage The Fast Lane exploits

1:22:20 the opposite conditions maximum control

1:22:23 and Leverage number two business your own

1:22:27 business self-employment and Entrepreneurship are Centrist to the fast lane

1:22:32 much like a job is to the slow lane number three

1:22:36 lifestyle the fast lane is a lifestyle Choice a commitment

1:22:39 of Blended beliefs processes and actions number four rapid wealth creation

1:22:46 the fast lane is about creating large sums of wealth rapidly

1:22:50 and Beyond the confines of the middle class here's a story

1:22:54 that best describes the fast lane and yes this story

1:22:57 is inspired from a real story posted on the internet after

1:23:01 four long years I sold my company for 32 million rapid

1:23:05 wealth creation and I wouldn't change a thing I'm happy I

1:23:09 sold because I wanted to make money fast and transform

1:23:12 paper money into real money this decision has changed my life

1:23:16 permanently now I do whatever I want and I'm not

1:23:19 the least bit bored the world is my playground I travel I

1:23:23 learned two new languages and how to play piano I play

1:23:27 water sports hike and snowboard at least a month a year

1:23:30 I own three homes I watch Pro Sports and my favorite

1:23:34 teams whenever I choose I watch three to four movies

1:23:36 a week and I read one to two books a week

1:23:40 most of my time is spent with my family I

1:23:42 literally watched my two daughters grow before my eyes my family

1:23:46 has lived on all four corners of the planet including Australia

1:23:49 and the Caribbean looking back it wasn't easy I worked

1:23:53 12 to 6 hours hour days for 4 years almost always

1:23:56 6 days a week and always a few hours on Sunday

1:24:00 we created an awesome service and sold the crap out

1:24:02 of it the business with c i remember tough times I

1:24:06 had to put every dime of my money into the company

1:24:09 we had less than 50 bucks on our account at least

1:24:12 five times except for my family during those startup years I

1:24:16 sacrificed plenty I cancelled cable TV and I temporarily stopped

1:24:21 doing a lot of things I enjoyed because I was committed

1:24:24 to a goal and a dream of something far greater

1:24:27 than a lifetime job the lifestyle now I am an investor

1:24:31 in multiple startup companies and I am making an impact

1:24:34 I could have never imagined I have no apologies or regrets

1:24:38 my life rocks and I wouldn't change a thing if I

1:24:41 didn't make a choice to get into business and start a company

1:24:44 I don't know where I'd be this story epitomizes the fast

1:24:49 lane a business was created a lifestyle grew the business

1:24:53 which opened up the EXP Expressway and the expressway led

1:24:56 to extraordinary wealth which led to freedom and yes it isn't

1:25:01 for everyone the question is is it for you the fast

1:25:06 lane mine posts like the other road maps the Fastlane road

1:25:10 map contains the same mind posts or behavioral characteristics that drive

1:25:15 the fast laner actions along the journey they are debt perception

1:25:21 debt is useful if it allows me to grow and build

1:25:23 my system system time perception time is the most important

1:25:28 asset I have far exceeding money education perception the moment

1:25:33 you stop learning is the moment you stop growing constant expansion

1:25:37 of my knowledge and awareness is critical to my journey

1:25:41 money perception money is everywhere and it's extremely abundant money is

1:25:45 a reflection on how many lives I've touched money reflects the value

1:25:50 I've created primary income source I earn income via my business

1:25:56 systems and Investments primary wealth accelerator I make something

1:26:02 from nothing I give birth to assets and make them valuable

1:26:05 to the marketplace other times I take existing assets and add

1:26:09 value to them wealth perception build business systems for cash flow

1:26:14 and asset valuation wealth equation wealth equals net profit plus

1:26:20 asset value strategy the more people I help the Richer I

1:26:25 become in time money and personal

1:26:28 fulfillment destination lifetime passive income

1:26:31 either through business or Investments responsibility and control life is what

1:26:37 I make it my financial plan is entirely my responsibility

1:26:41 and I choose how I react to my circumstances life perception

1:26:46 my dreams are worth pursuing no matter how outlandish and I

1:26:49 understand that it will take money to make some of those dreams

1:26:52 real these mind posts are what formulate the fast laner

1:26:56 lifestyle it drives action the fast lane road map predisposed

1:27:02 to wealth the fast lane road map is predisposed to wealth

1:27:07 because it operates under a wealth

1:27:08 equation with controllable unlimited variables

1:27:12 and the mathematical cage of time is removed UL L

1:27:16 is replaced with C correctly exploited the road map reveals

1:27:21 a rapid road to wealth via unlimited mathematics evolving via profit

1:27:26 or asset value or both this rapid wealth accumulation expunges years

1:27:31 from the journey to wealth because time is removed or exploited

1:27:36 during the process the fast lane produces wealth in short periods

1:27:40 Millions sometimes billions of dollars yes it's true get rich quick

1:27:48 exists the shadow behind get rich quick successful fast laners get

1:27:54 rich quick now don't let those three words scare you

1:27:57 I know when you hear them you're hit with a flurry

1:27:59 of negative associations starting with scam things like one tiny classified

1:28:05 ad and seminars that cost $55,000 memories of infomercial gurus foreign

1:28:11 lotteries the interior Finance Minister from Nigeria who needs help

1:28:15 unloading $9 million and of course the phony Bill Gates who

1:28:19 need you to forward this email beta test to everyone

1:28:22 and be rewarded with 50 $50,000 in Quick Cash because gosh golly

1:28:27 the attorney on the letter says so get rich quick

1:28:31 is such an abused phrase that it has no credibility beaten

1:28:35 and battered were numb to believe it doesn't exist like Santa

1:28:39 or a unicorn we're advised get rich quick is a scam

1:28:43 I don't blame you but is it true can't you make

1:28:46 millions like they say on infomercials the distinction is that get-rich

1:28:50 schemes aren't endemic of get-rich quick but it's evil Quinn

1:28:54 get rich easy get- Rich easy Shadows its innocent sibling leaving

1:28:59 a trail of victims to be blamed by its brother

1:29:02 get rich easy parades in the Limelight and on late night

1:29:05 television it lies it deceives it casts a mirage of vanity

1:29:10 that all desire just watch this quick start video or buy

1:29:14 this stock software program and Wham you will be rich

1:29:17 in 10 days no that's not get rich quick but get

1:29:22 rich easy and that only leads to a lighter wallet fast

1:29:26 lane success stories ody get rich quick for people to Proclaim

1:29:31 it doesn't exist is just another untruth Advanced by ignorance

1:29:35 don't allow slowlane losers to corrupt truth don't concede don't make

1:29:40 that only happens to other people Your Truth many people have

1:29:44 lived get rich quick because it was preceded by process Tales

1:29:50 from the fast lane unless you live in a vacuum you're

1:29:54 already familiar with the fast lane when anyone experiences a get-rich

1:29:58 quick event via business you're witnessing the fast lane here

1:30:02 are some fast lane stories pulled from the headlines the inventor

1:30:06 who creates a gadget and sells millions of them to 15

1:30:10 Wholesale Distributors the guy who builds a cell phone application

1:30:13 and sells it 50,000 times the guy who formulates an energy

1:30:18 bar to help him Stave off hunger and later is offered

1:30:21 $192 million for the company the guy who builds

1:30:25 a Blog and three years later sells it for $4 million

1:30:28 to a big pharmaceutical company the woman who invents a mop

1:30:32 and sells a half a million of them on QVC the teenager

1:30:36 who builds a website that profits $70,000 a month and later

1:30:40 sells it for Millions the guy who patents a product

1:30:43 process and then licens it to a Fortune 500 company

1:30:46 and goes on to make 14 million the guy who creates

1:30:50 a website to help him listen to his favorite basketball

1:30:52 team and later sells the company for $5.5 billion the guy

1:30:58 who builds a software company and later becomes the richest man

1:31:01 on the planet the Doctor Who researches anti-aging treatments and sells

1:31:05 them to a drug company for 700 million the author

1:31:09 who writes a book about a teenage Wizard and goes

1:31:12 on to become a billionaire the gal who manufactures and sells

1:31:16 20 million undergarments that help women

1:31:18 fight body Gravity the internet marketer

1:31:21 who makes $150,000 a month sell in ads the infomercial

1:31:26 marketer who remakes an existing product and sells 4 million

1:31:30 of the new and improved version the guy who creates an energy

1:31:33 drink to help him stay hydrated and then sells the company

1:31:36 for $530 million hidden get-rich quick Fast Lanes are everywhere

1:31:42 if you just know where to look for them the fast

1:31:46 lane wealth's Industrial Revolution the Industrial Revolution was a historic

1:31:52 period when humans learned how to leverage the speed and efficiency

1:31:55 of machine-based manufacturing manual labor was replaced in favor of systems

1:32:01 and organized Union of distinct parts that coalesced into a specific

1:32:05 production outcome long and arduous tasks manually handled by humans transformed

1:32:10 into mechanization expelling most human labor outside of the production equation

1:32:15 for that era it was their version of get rich

1:32:18 quick products that formerly took months to manufacture now took days

1:32:24 likewise Financial Freedom via the fast lane road map is like

1:32:27 an industrial revolution for wealth the default road to wealth is

1:32:31 manual labor a fight against time and intrinsic value the rapid

1:32:36 road to wealth is to industrialize the wealth process to systemize

1:32:40 it like our ancestors systemized production the differences between the default

1:32:44 Road the slow lane and the shortcut the fast lane

1:32:47 are best demonstrated in an Egyptian Parable the parable of Fast

1:32:53 Lane wealth a great Egyptian pharaoh summons his two young

1:32:57 nephews chuma and Azor and he commissions them to a majestic

1:33:00 task build two Monumental pyramids as a tribute to Egypt upon

1:33:06 completion of each nephew's pyramid Pharaoh promises each an immediate reward

1:33:10 of kingship retirement amidst riches and lavish luxury for the rest

1:33:15 of their natural lives additionally each nephew must construct his pyramid

1:33:20 alone chuma aor both 18 know their daunting task will

1:33:24 take years to complete nonetheless each is primed for the challenge

1:33:28 and honored by Pharaoh's directive they exit Pharaoh's Chambers ready

1:33:32 to begin the long pyramid building process Azor begins work immediately

1:33:38 he slowly drags large heavy stones into a square formation after

1:33:42 a few months the base of azor's pyramid takes shape

1:33:45 the town's folk gather around azor's

1:33:48 constructive efforts and praise His handiwork

1:33:50 the stones are heavy and difficult to move and after one

1:33:54 year of heavy labor azor's perfect square Foundation to the pyramid

1:33:58 is nearly finished but Azor is perplexed the plot of land

1:34:02 that should bear chuma pyramid is empty not one stone

1:34:06 has been laid no Foundation no dirt Engravings nothing it's

1:34:11 as Barren as it was a year ago when Pharaoh first

1:34:14 commissioned the job confused Azor visits chumas home and finds him

1:34:18 in his barn diligently working on a twisted apparatus that resembles

1:34:23 some kind of of human torture device Azor interrupts chuma

1:34:27 what the hell are you doing you're supposed to be building

1:34:30 Pharaoh a pyramid and you spend your days Locked

1:34:33 In This Barn fiddling with that crazy machine Tuma cracks a smile

1:34:38 and says I am building a pyramid leave me alone

1:34:41 Azor scofs yeah sure you are you haven't laid one stone

1:34:45 in over a year Tuma engrossed in unfazed by his brother's

1:34:49 accusation retorts Azor your shortsightedness and thirst for have clouded

1:34:54 your vision you build your pyramid and I will build mine

1:34:58 as aor walks away he chides you fool Pharaoh's going to hang

1:35:02 you in The Gallows when he discovers your treason another year

1:35:06 passes and azour solidifies the base of his pyramid and Begins

1:35:10 the second level except the problem arises Azor struggles

1:35:14 in his progress the stones are heavy and he cannot raise them

1:35:17 to the pyramid's second level challenged by his physical limitations

1:35:21 aor recognizes his weakness he needs more strength to move heavier

1:35:26 stones and to do so seeks the council of benu Egypt's

1:35:31 strongest man for a fee benu trains azour to build stronger

1:35:35 and bigger muscles with great strength Azor anticipates the heavier

1:35:40 stones will be easier to lift on the higher levels meanwhile

1:35:43 Chum's pyramid plot is still Barren azour assumes his brother has

1:35:48 a Death Wish since by all appearances chuma is violating Pharaoh's

1:35:52 mandate a forgets about his brother and his non-existing pyramid

1:35:57 another year passes and azor's pyramid construction Slows To A disheartening

1:36:01 crawl it often takes one month just to place one stone

1:36:06 moving stones to the upper levels requires great strength and Azor

1:36:10 spends much of his time working with benu to build

1:36:13 greater strength additionally Azor is spending most of his money

1:36:17 on counseling fees and the Exotic diet required for the training

1:36:21 azour estimates that his current construction pay his pyramid will be

1:36:25 completed in another 30 years unfazed aor snides after 3

1:36:30 years I've far surpassed my brother he hasn't placed one stone

1:36:34 yet that fool then suddenly one day while hauling a heavy

1:36:38 Stone up his pyramid azour hears a loud commotion erupting

1:36:42 from the Town Square the town's folk regular observers

1:36:45 to his work abruptly abandon his plat to examine the celebratory fuss

1:36:50 curious himself aor takes a break and leaves to investigate surrounded

1:36:55 by a cheering crowd chuma trolls up the Town Square commandeering

1:36:59 a 25- ft Contraption a towering machine built from a twisted

1:37:04 Maze of gantries Wheels levers and ropes as chuma slowly moves

1:37:09 up to Village Street am missst the buoyant crowd aour fears

1:37:12 the explanation after a short tral to chuma Barron pyramid plot

1:37:17 azor's suspicions are confirmed within

1:37:20 minutes chuma strange machine starts moving

1:37:23 heavy stones and begins to lay the foundation to his pyramid

1:37:27 one after another the machine effortlessly lifts the stones and softly

1:37:31 places them side by side into place miraculously the machine

1:37:36 requires little effort for tumor's operation crank a wheel attached

1:37:39 to a rope and a canle lever entwined by a gear

1:37:42 system and bingo heavy stones are moved quickly and magically while

1:37:48 azor's pyramid Foundation took over a year to build chuma lines

1:37:51 up the foundation to his pyramid within one week the second

1:37:56 level that Azor so arduously struggled with is even more

1:37:59 shocking Tuma machine does the work 30 times quicker what took

1:38:03 aour two months takes Chum's machine two days after 40 days

1:38:08 chuma and his machine accomplish as much as azor's three

1:38:11 years of toysome work Azor was destroyed he spent years doing

1:38:16 the heavy lifting while chuma built a machine to do it

1:38:20 for him instead of honoring the machine azour vows I must

1:38:24 get stronger I must lift heavier Stones azour continues the hard

1:38:29 labor of pyramid building while chuma continues to work the crank

1:38:33 of his machine after 8 years chuma finishes pyramid at age

1:38:38 26 3 years to build the system and five years

1:38:41 to reap the benefits of the system the great Pharaoh

1:38:44 is pleased and does as promised he rewards chuma with kingship

1:38:49 and endows him with great riches chuma never has to work

1:38:53 another day in his life meanwhile Azor continues to dredge away

1:38:57 at the same old routine lift rocks waste time and money

1:39:00 to get stronger lift rocks and get stronger sadly Azor

1:39:04 refuses to acknowledge his flawed strategy and endures the same old

1:39:08 process carry heavy Stones until you can lift no more then

1:39:12 get stronger so you can lift heavier Stones this mindless

1:39:17 prescription leads aor to a lifetime of toil he never finishes

1:39:21 pyramid promised to Pharaoh simply because he decides to do

1:39:24 the heavy lifting himself when he should have focused on a system

1:39:27 to do it for him Azor has a heart attack

1:39:30 and dies while in the 12th level of his pyramid just

1:39:34 two levels from finishing he never experiences the great riches promised

1:39:38 by Pharaoh meanwhile chuma retires 40 years early in a crown

1:39:43 of luxury sloshing in free time chuma goes on to become

1:39:47 Egypt's greatest scholar and an accomplished inventor he is inomed

1:39:51 along Pharaoh in the same pyramid he built the fast

1:39:56 lane is a business system the slow lane is a job

1:40:00 the slow lane is a job your hard work traded

1:40:03 for your employer cash azor's struggles resemble that of a slow

1:40:08 laner to get rich you're told to get stronger spend money

1:40:12 return to school and earn more in the job market so

1:40:14 you can lift heavier Stones the fast lane is about building

1:40:18 a better system a better Contraption a better product a better

1:40:22 something that will leverage your work in the slow lane you

1:40:26 are the source of the heavy lifting while in the fast

1:40:29 lane you construct a system that does it for you

1:40:32 on your road trip to wealth the slowlane road map asks

1:40:35 that you endure a long tiresome walk to wealth the toil

1:40:39 of wealth is the process itself in the fast lane

1:40:43 wealth is driven in a business system you create the toil

1:40:46 is the creation and management of the system itself chapter

1:40:51 summary fast lane distinction the risk profile of a fast lane

1:40:56 strategy isn't much different from the slow lane but the rewards

1:40:59 are far greater the fast lane road map is an alternative

1:41:03 Financial strategy predicated on controllable unlimited leverage the fast lane

1:41:09 road map is predisposed to wealth the fast lane road map

1:41:13 is capable of generating get-rich quick results not to be confused

1:41:17 with get-rich easy chapter 17 switch teams and Playbook a man

1:41:25 wrapped up in himself makes a very small bundle Benjamin

1:41:31 Franklin the fast lane road map the playbook for wealth losing

1:41:36 teams use losing playbooks play for the losing team and you're

1:41:39 stuck using their losing Playbook to win switch teams and use

1:41:44 the Winner's Playbook the fast lane road map creates Financial

1:41:48 winners because it uses a winning formula rooted in unlimited

1:41:52 and controllable mathematics where is this Playbook and how do you

1:41:56 get it you have to forsake the ideology of the majority

1:41:59 and become a slowlane Trader switching teams and the Playbook

1:42:06 from the day you were born you were baptized to play

1:42:08 for team consumer from the Barbie doal and the tonker truck

1:42:12 to the Star Wars action figures you've been conditioned

1:42:15 to demand to want products to need products to buy products

1:42:19 and of course to seek out the cheapest of those products

1:42:22 the correlation between the slow lane and the sidewalk is this jobs

1:42:26 exist to facilitate the consumer process you become a brand manager

1:42:30 for a consumer Products Company you become an insurance agent you

1:42:34 become an accountant for some Corporation it's all consumer driven

1:42:38 and focused to move goods and services into the hands of consumers

1:42:42 this consumer focus is like a gravitational pull to keep you

1:42:46 amable to anti Fastlane thinking cracking the code coding the fast

1:42:54 lane road map is as simple as joining the team

1:42:56 that is custodian to the decryption key the winning team is

1:43:00 team producer we shape life's focus on producing not consuming when

1:43:06 you reframe your thinking from the majority thinking consumer to minority

1:43:10 thinking producer you effectively switch teams and allegiances yes become

1:43:16 a producer first and a consumer second applied this means instead

1:43:21 of buying products on TV TV sell products instead of digging

1:43:25 for gold sell shovels instead of taking a class offer

1:43:29 a class instead of borrowing money lend it instead of taking

1:43:33 a job hire for jobs instead of taking a mortgage hold

1:43:37 a mortgage break free from consumption switch sides and reorient

1:43:42 to the world as a producer I know I know it's

1:43:45 not easy however once you see the world from a producer

1:43:49 perspective your perception sharpens like

1:43:51 a fine-tuned radio frequency from static

1:43:54 to clear stereo sound suddenly opportunities have Clarity ideas surface

1:44:00 and scams are exposed this new minority status is critical

1:44:05 to strengthening your wealth creation temperament remember the rich are

1:44:08 the minority and you want to be in that Minority it starts

1:44:12 with a producer mindset producer reorientation when you encounter an advertising

1:44:20 message that coaxes you to buy something examine it from the producer

1:44:24 perspective how does this company make money what is the aim

1:44:28 of its message what kind of business processes are involved

1:44:31 in offering this product or service is this company making

1:44:34 a profit what is the revenue model is this product manufactured

1:44:38 overseas or locally I've never bought a product on late night

1:44:41 television because I'm on the same team as a producer I

1:44:45 see The infomercials for what they are producers the minority

1:44:49 serving the consumer the majority the act now the but wait

1:44:54 there's more the free bonuses these are marketing weapons in a producer's

1:44:58 Arsenal I watch infomercials not to buy but to see

1:45:02 what the pros are doing as producers our job is

1:45:06 to entice consumers to buy as a producer locked in a producer

1:45:10 mindset I attract wealth because consumers seek producers consumers are

1:45:16 the majority who demand their fill to consume richly produce

1:45:22 effectively and the irony of this producer consumer dichotomy once

1:45:27 you succeed as a producer you can consume anything you want

1:45:31 with little consequence because you'll be rich to consume richly produce

1:45:36 richly first unfortunately most people have it backwards consumption and no

1:45:42 production producers get rich consumers get poor switch teams and reorient

1:45:47 yourself as a producer first a consumer second make wealth

1:45:52 a attracted to you be a producer Leverage The Business

1:45:58 of a system to switch teams and become a producer you need

1:46:02 to be an entrepreneur and an innovator you need to be

1:46:05 a Visionary and a Creator you need to give birth

1:46:08 to a business and offer the world value while the centr

1:46:12 theme to a slow lane is a job in the fast

1:46:14 lane it's a business yes good old self-employment I know

1:46:18 not breaking news for get-rich books however it's important to note

1:46:22 that most small business owners are light years away from a fast

1:46:25 lane and Dickering with slow lane metrics some businesses masquerade

1:46:31 as Jobs a fast lane business is the key

1:46:34 to the fast lane wealth equation wealth equals profit plus asset value

1:46:39 because it unlocks leverage a new set of wealth variables

1:46:42 that are unlimited and controllable whereas in the slow lane they're limited

1:46:48 and uncontrollable yes UL is swapped for cul for example

1:46:54 the sale of this book extricates me from the slowlane wealth

1:46:58 equation and its Universe this book puts me into the fast

1:47:01 lane Universe which is governed by its wealth equation of net

1:47:05 profit and asset value this book is a business system

1:47:08 that has unlimited leverage in both time and money first it

1:47:13 survives time and it's capable of earning income long after

1:47:17 my original time investment this book effectively transfers the act of income

1:47:21 generation from from me the human asset to the book

1:47:25 The Business asset from start to finish this book roughly cost

1:47:29 me 1,000 hours of my time if I sell 100,000

1:47:33 books at $5 profit each I will earn $500,000 or roughly

1:47:37 $500 per hour invested if I sell a half a million

1:47:41 books I will earn $2,500 per hour invested the more

1:47:45 I sell the greater the return on my original time investment

1:47:48 as I already paid the Time Imagine 10 years from today

1:47:52 and I sell one copy of this book suddenly I

1:47:55 earned $5 from a Time investment I made years ago if

1:47:58 I guess speak on a radio show for 10 minutes

1:48:01 and that appearance yields 1,000 Book

1:48:04 Sales this 10minute investment yields $5,000

1:48:08 in income 1,000 books times $5 profit and yields a return

1:48:12 on my time at $30,000 per hour can you get rich

1:48:17 trading your time for $30,000 per hour yes you can

1:48:20 and awfully fast you see when you unlock yourself from the handcuffs

1:48:24 of time imposed by the slowlane road map you assign

1:48:28 income to A system that leverages unlimited mathematics and fast wealth

1:48:32 becomes possible the variables in my wealth Universe can be

1:48:36 controlled and leveraged in the next chapter you will discover why

1:48:40 the fast lane can deliver Financial Freedom and wealth faster than

1:48:44 any mutual fund can chapter summary fast lane distinctions producers are

1:48:51 indigenous to the fast lane road map producers are the minority

1:48:56 as are the rich while consumers are the majority as are

1:48:59 the poor when you succeed as a producer you can consume anything you want fast

1:49:05 laners are producers entrepreneurs innovators Visionaries

1:49:09 and creators a business does not make a fast lane

1:49:13 some businesses are jobs in Disguise the fast lane wealth equation

1:49:18 is not bound by time and its variables are unlimited

1:49:22 and control controllable chapter 18 how the rich really get rich

1:49:28 only those who risk going too far can possibly find out

1:49:31 how far one can go TS Elliott the burning question how

1:49:37 did you get rich drive any car that costs more than

1:49:41 most people's homes and strangers will accost you with the question

1:49:45 what do you do for a living this seemingly anoculus

1:49:48 question fronts for the real question burning inside how did

1:49:52 you get rid people want to know the road I've

1:49:55 taken so they can assess their likelihood to travel the same

1:49:58 road when I prompt for a guest the answers are typical

1:50:02 athlete actor a spoiled brat indulged by Rich parents a lottery

1:50:06 winner these speculative answers unmask the reality behind people's perceptions

1:50:12 to get rich you have to get famous inherit money or win

1:50:15 money that's what I thought until I met that Stranger

1:50:18 in his Lamborghini so many years ago the fast PL wealth

1:50:23 equation living wealthy and Youthful exuberance has to shatter the myth

1:50:27 of get rich quick if you're 30 years old and worth

1:50:31 millions and you aren't famous or Rich bya inheritance you

1:50:34 dirty all Fabrics of normality now we can't have that can

1:50:38 we once again the secret is unmasked in the universal language

1:50:41 of mathematics the secret is to divorce yourself from the ugly

1:50:45 and obese slowlane equation ul and trade up to the smoking

1:50:49 hot blonde the fast lane equation cul the fast lane

1:50:54 wealth equation is wealth equals net profit plus asset value

1:51:00 underneath this equation lies the true power of the fast lane

1:51:02 and how to build wealth fast its variables are controllable

1:51:06 and unlimited if you can control the variables inherent to your wealth

1:51:11 equation you can get wealthy those variables are net profit

1:51:15 equals unit sold times unit profit and asset value equals net

1:51:22 profit time industry multiple all business owners leverage this equation

1:51:27 in which unit sold time unit profit will determine net profit

1:51:32 using my internet company as an example my unit profit was

1:51:36 approximately $4 for every website conversion a conversion was a user

1:51:41 who generated a lead on any given day I had

1:51:43 12,000 people visiting my website this means that my units sold

1:51:48 variable had an upper threshold of 12,000 per day I

1:51:53 had the opportunity to sell 12,000 people per day now let's

1:51:58 compare this variable to the slow laners counterpart of hours worked

1:52:02 under my wealth equation my upper limit of wealth is units

1:52:05 sold and currently stood at 12,000 of course 100% conversion is

1:52:10 unreasonable and converting all 12,000 is unlikely likewise in the slow

1:52:15 lane the unreasonable upper limit is 24 because there are

1:52:19 only 24 hours in the day logically the real upper limit

1:52:23 is 8 to 12 hours per day so what is

1:52:26 going to make you rich an upper limit of exposure

1:52:28 to 12,000 people per day or maximizing your hours worked

1:52:33 in the day that's 12,000 versus 24 no contest I get rich

1:52:39 and the slow laner gets old controllable unlimited variables will make

1:52:43 you rich so how did I control this variable how is

1:52:46 it unlimited simple my average conversion ratio was 12% if I

1:52:51 want to make more profit or more money I don't walk

1:52:54 into the boss's office have several weapons available for deployment

1:52:59 number one raise units sold by increasing conversion ratio a 1%

1:53:04 increase from 12% to 133% would give me an instant raise

1:53:07 of about $480 per day that's $14,400 per month if I

1:53:15 redesign the website hit a home run and get conversion

1:53:17 to 15% now I've expanded my income to over $43,000 a month

1:53:23 number two raise units sold by increasing web traffic to raise

1:53:28 profit I can increase traffic if I increase web users

1:53:31 to my website from 12,000 to 15,000 and conversion stays

1:53:35 at 12% my daily income Rises by $1,400 a day that's

1:53:41 over $43,000 a month not likely it's happened I'm some days

1:53:46 I would have traffic spikes where over 20,000 users would visit

1:53:50 number three raise unit profit profit if I detect a weakness

1:53:54 in supply for my service or improve value I can

1:53:57 raise prices and increase my unit profit if my unit profit

1:54:01 moves from $4 to $450 I raise my income to $10,800

1:54:05 per day from $8,000 that translates into an additional $84,000

1:54:11 per month don't you see isn't it wonderful to have control

1:54:16 these were my options to create wealth I had reasonable

1:54:19 control over both variables unit profit and unit it sold whereas

1:54:23 in the slow lane you're left pleading with the boss

1:54:26 for a measly 3% salary raise second notice how my wealth variables

1:54:31 are virtually unlimited I controlled only a small part of the market

1:54:35 and conceivably my upper threshold of traffic wasn't the current

1:54:39 12,000 people but upwards of 50,000 to 100,000 users per

1:54:43 day unit profit is also pliable I could experiment with increased

1:54:48 prices or new Services I remember the time when I

1:54:51 introduced a new service that cost me nothing and I sent

1:54:54 out an email to my advertisers outlining the program within minutes

1:54:58 I made a few thousand in reoccurring yearly income my invested

1:55:02 time was negligible and the results were accumulative high speed

1:55:07 limit equals high potential income the power of this example is

1:55:11 to illustrate why I got rich and most others don't I

1:55:15 changed my universe because my wealth equation was unlimited and controllable

1:55:21 when I made make tiny incremental changes in my strategy I

1:55:25 can explode my income a mere 1% increase in the variables

1:55:29 could mean thousands in a new Lamborghini when your wealth

1:55:32 variables have high leverage so does your income potential or would

1:55:36 you rather stick to the ceiling of 24 hours native

1:55:40 to intrinsic value unfortunately many

1:55:43 enthusiastic business owners engage in Opportunities

1:55:46 with low punitive speeds for example if you sit outside

1:55:50 the hardware store and sell hot dogs from your hot dog

1:55:53 cart you've muzzled your speed with no accelerative leverage the variables

1:55:58 are limited because your reach is confined to a small area

1:56:02 how many hot dogs could you conceivably sell in the day

1:56:06 40 100 is it possible you can go home and Rave

1:56:10 to your wife honey I sold 20,000 hot dogs today it

1:56:15 would never happen again this isn't much different from the 24-hour

1:56:19 cage on intrinsic value small numbers have a strong gravity

1:56:23 toward mediocrity another example is this book itself how many people

1:56:28 are interested in financial Independence or early retirement my market

1:56:33 my upper speed limit is virtually hundreds of millions of people all

1:56:36 over the world to weaponize the Fastlane wealth equation you must

1:56:41 engage in a Fastlane business that has the potential for high

1:56:45 leverage or high speed limits numbers wealth millionaires create and manipulate

1:56:54 assets or asset value in a survey of 3,000 pentam

1:56:59 millionaires which is 5 million net worth or more the Harrison

1:57:02 group reported that almost all pent millionaires made their Fortunes

1:57:06 in a big lump sum after a period of years worth

1:57:10 repeating a big lump sum not by Saving 10% of his paycheck

1:57:15 for 40 years a big lump sum is just another

1:57:18 phrase for asset value furthermore a% either started their own business

1:57:24 or worked for a small company that saw explosive growth

1:57:27 explosive growth is another phrase representing asset value and yet none

1:57:33 of these multi-millionaires had a cushy union job down at the DMV

1:57:37 surprised don't be the primary wealth accelerant for the rich

1:57:42 boils down to one concept appreciable and controllable assets within

1:57:47 our fast lane wealth equation this second component is called

1:57:51 asset value asset value is simply the worth of any

1:57:54 property you own that has Marketplace value slow laners and fast

1:57:58 laners have two antagonistic views of assets slow lers and sidewalkers

1:58:04 buy and sell depreciating assets that decline in value over time

1:58:09 cars boats Electronics designer clothes Gizmodo and sparkly bling to impress

1:58:15 that newly divorced women in the adjacent cubicle these are

1:58:18 all assets that lose value the moment your credit card is

1:58:22 is charged contrary to this fast Landers buy and sell appreciating

1:58:26 assets businesses Brands cash flows

1:58:30 notes intellectual property licenses inventions

1:58:33 patents and real estate as it relates to the fast lane

1:58:37 wealth equation the power of asset value lies in the ability

1:58:41 to control the variable in a virtually Limitless fashion wealth acceleration

1:58:47 by asset value the rich accelerate wealth by accelerating asset value

1:58:52 in selling those upgraded Assets in the marketplace 24-year-old Sheila Hinton

1:58:57 quits her job to become a rolling computer technician eradicating viruses

1:59:01 and cleaning computers at first her business operates in the local

1:59:05 metro area but growth forces her to hire additional technicians

1:59:09 her growth to additional cities is explosive and driven by demand

1:59:13 in a few years Sheila owns a company that operates

1:59:17 in 27 states she moves from a technician to a facilitator

1:59:20 of the system and her company enjoys an impressive $3

1:59:24 million profit after enjoying the profits and saving most of it

1:59:28 she sells her company for $24 million to a large computer

1:59:32 manufacturer she built an asset from nothing to something the asset

1:59:37 was her system and now with a $30 million Nest Egg

1:59:41 she never has to work again the preceding story best represents

1:59:45 the two variables that comprise asset value Asset value equals net

1:59:50 profit times industry multiplier anytime you have an asset that has

1:59:55 sustainable profits an industry multiplier governed by the prevailing market

2:00:00 conditions determines the valuation of that asset other people or companies

2:00:04 will buy that asset based on the asset's net profit multiplied

2:00:09 by the assessed multiple for example if you own a manufacturing

2:00:13 company that Nets $100,000 and the average multiple for your industry

2:00:17 is six your asset value is worth $600,000 industry multipliers

2:00:23 are subject to intense negotiating as they rise and fall

2:00:26 with the economy and within industry sectors you might already be

2:00:31 familiar with multipliers stocks trading on the public markets Define

2:00:35 the multiplier for each respective company by the price to earnings

2:00:38 ratio or PE if a company's stock trades at 10times PE

2:00:44 investors are purchasing that company at a multiple of 10 times

2:00:48 price their earnings is relevant regardless of whether your company

2:00:51 is a small private company or a large publicly traded company

2:00:55 the valuation of your company is predicated on the subjective PE

2:00:59 for your particular industry for example in my particular webspace industry

2:01:04 multipliers range from 2 to six for this analysis let's use

2:01:08 the middle four this means that anytime I increased my net

2:01:13 profit the value of my business increased by a minimum

2:01:16 factor of four or 400% let me repeat that 4 400%

2:01:23 where could you get a return of 400% in today's

2:01:26 Financial Market are there any mutual funds paying 400% forget about

2:01:31 today how about ever in effect this puts a phenomenal wealth

2:01:35 building tool at your disposal since net income profit or earnings

2:01:39 can determine asset value I experienced asset growth of 400%

2:01:44 every time I increased that profit for every dollar I earned

2:01:48 the value of my company would increase by a factor

2:01:51 of four or $4 if my net profit increased a half

2:01:55 a million dollars for the year my company's valuation increased

2:01:58 by 2 million here is a list of average multiples per respective

2:02:04 industry advertising multiple 2.85 beauty

2:02:08 shops multiple 4.1 carpet cleaning multiple 5.2 employment agencies multiple 5.4

2:02:18 gasoline stations multiple 3.7 grocery stores

2:02:22 multiple 11.3 medical labs multiple 2.6 patent owners and lessers

2:02:29 multiple 14.5 physical fitness facilities multiple 3.5 plumbing and HVAC

2:02:36 Services multiple 4.5 Surgical and Medical Equipment multiple 17.3 the wealth

2:02:44 acceleration factor or WF suppose you're a disgusted engineer employed

2:02:50 by a multinational corporation you've been employed for 3 years

2:02:53 and diligently saved 10% of your paycheck and invested into a mutual

2:02:57 fund earning an average of 8% a year your wealth acceleration

2:03:01 factor or WF is 8% now suppose you quit your job

2:03:06 and take your 3 years of experience and set off

2:03:08 to create a company manufacturing medical devices you estimate that your total

2:03:13 Market or potential buyers for your medical product is 16 million

2:03:18 according to our chart above the average multiple for the medical

2:03:21 device industry is over 17 this means within your scope

2:03:25 of wealth acceleration you can accelerate wealth at a factor

2:03:28 of 17 or 1700% your wealth acceleration factor or WF is

2:03:36 1700% let's extend this example further for the next 6 years

2:03:40 you grow the company to the point that it has

2:03:42 a net income of $1.2 million per year this means you

2:03:46 now earn $100,000 a month your net profit and your company

2:03:50 the asset is not worth in the neighborhood of $18.4 million

2:03:55 based on the average multiple which is 17.32 time 1.2 million

2:04:00 in profit you could choose to continue to grow the business

2:04:04 grow wealth by a asset value and cash flow grow

2:04:08 income or seek to liquidate sell asset value to realize wealth

2:04:13 acceleration contrast the two wealth acceleration options for the slow

2:04:16 laner and the fast laner your wealth acceleration options if you

2:04:20 stay as an employed engineer number one grow net income

2:04:24 with an income potential only limited by the number of devices you

2:04:27 can sell that is 16 million number two grow asset

2:04:31 value at a factor of 1 1700% number three liquidate asset

2:04:36 value and turn paper money into real money can you now

2:04:40 see why some 30-year-olds are worth 50 million and some others

2:04:44 are worth 13,000 the fast lane Universe operates on gains

2:04:48 of 1700% and millions while the slowlane universe is 8% and 40

2:04:54 one plan is about Hope while the other plan is

2:04:57 about control breaking news 8% and 40 makes millionaires in 40

2:05:03 years 1700% and 16 million makes billionaires in four years

2:05:10 wealth's dual flanked attack zealous pursuit of net profit is

2:05:14 a double flanked attack at creating wealth since asset value is

2:05:18 tied to net profit raising net profit simultaneous iously elevates asset

2:05:23 value by the average industry multiple of course this works

2:05:26 in the opposite as well if your company stagnates and net income

2:05:30 starts to erode so will a corresponding asset value when I

2:05:35 repurchased my company I paid $250,000 I then for the next

2:05:39 several years manipulated the asset and increased its value number

2:05:44 one I expanded my customer base by 30% number two I

2:05:48 reduced expenses improving profitability number

2:05:51 three I streamlined operations which

2:05:53 created passivity number four I elevated net income over this process

2:05:59 my net income exploded and with it asset value then

2:06:03 subsequently after profiting Millions passively I put the company up

2:06:07 for sale and entertained multi-million dollar offers I bought an asset

2:06:12 for 250,000 appreciated and manipulated the variables and then sold it

2:06:17 for Millions I controlled my financial plan the plan didn't

2:06:21 control me in the fast lane your wealth accelerator is based

2:06:25 on creating or buying appreciative assets

2:06:28 adding value and manipulating the variables

2:06:31 and then selling or you can opt for the slowlane alternative

2:06:34 dump $200 a month into a mutual fund and pray

2:06:38 for 8% per year and 40 Years of employment Excuse me

2:06:42 while I laugh Superfast wealth

2:06:46 acceleration liquidation events liquidation events can

2:06:50 create millionaires overnight but only

2:06:53 if liquidation occurs liquidation events are

2:06:56 the process of selling your appreciable asset to the market it's

2:06:59 a fast lane exit strategy John twit nuts creates a social

2:07:04 networking website that goes viral soon millions of people are using

2:07:08 his service and John finds himself entertaining buyout offers and Venture

2:07:13 Capital Investments despite having no revenue and no profit John

2:07:17 has built an asset that has value to the marketplace he

2:07:21 re receives a $640 million offer for his service

2:07:24 from the web's leading search engine John declines arguing that his business

2:07:29 will be worth more money once he starts generating Revenue

2:07:32 while this is true it's a gamble after a year

2:07:35 and a half John's social networking service falls out of Vogue

2:07:39 proving that the service was nothing more than a fad the company

2:07:43 becomes a bad party joke in search of glowing valuations

2:07:46 on a declining property Joe no longer receives investor or buyout

2:07:51 interest he realizes too late that he should have taken

2:07:54 the 640 million and experienced a liquidation event he eventually sells

2:07:59 the company at a fire sale price of 2.5 million

2:08:03 to a private Equity Firm his poor timing cost him more than

2:08:06 600 million asset valuations of business real estate and other appreciable

2:08:12 assets are nothing but just that valuations based on subjective analysis

2:08:17 and Market data if the company you built from scratch

2:08:20 has a paper valuation of 60 million and your bank account

2:08:24 only has $10,000 are you really a millionaire not really ill

2:08:29 Liquid Paper millionaires can't buy Ferraris and palatial Estates money does

2:08:35 and to get the money you have to increase the profit

2:08:37 save it or go for the Big Exit liquidation fast

2:08:42 laners accelerate wealth by building cash flowing assets that can be

2:08:46 sold in the marketplace to realize gains their wealth equation has

2:08:50 controllable un unlimited leverage chapter

2:08:54 summary fast lane distinctions the key

2:08:57 to the fast lane wealth equation is to have a high

2:09:00 speed limit or an unlimited range of values for units

2:09:03 sold this creates leverage the market for your product or service

2:09:07 determines your upper limit the higher your speed limit the higher

2:09:12 your potential income the primary wealth accelerant for the rich

2:09:16 is asset value defined as appreciable assets created founded or bought

2:09:22 wealth creation via asset value is accelerated by each industry's average

2:09:26 multiplier for every dollar and net income realized the asset value

2:09:30 multiplies by a factor of the multiple your industry of specialization

2:09:35 will determine the average multiple that determines your wealth accelerant

2:09:39 Factor if the multiple is three your wff or wealth acceleration

2:09:43 factor is 300% liquidation events transform appreciated assets paper net worth

2:09:49 into money real net worth that could be transformed into another

2:09:53 passive income stream a money system chapter 19 divorce wealth

2:10:00 from time time is the coin of your life it is

2:10:04 the only coin you have and only you can determine

2:10:06 how it will be spent be careful lest you let other

2:10:09 people spend it for you Carl Samberg industrializing wealth divorce

2:10:16 from time my first fast lane taste was in my late 20s

2:10:20 when I had one of the worst worst months

2:10:21 of my life a brutal mix of a bad relationship gone South

2:10:25 and some troubling Health news served as a lethal cocktail

2:10:28 to my business productivity I spent most of the month in bed

2:10:32 with the shades drawn watching Judge Judy unleash a firestorm

2:10:36 of Common Sense whoop ass during this troubling time I had

2:10:39 to cash in my fast lane lottery ticket and let me

2:10:42 tell you it paid despite being checked out on my life

2:10:46 my income actually grew yes grew my income didn't stop

2:10:52 because I stopped so how did I get so lucky I

2:10:55 was divorced from time years earlier I broke the chains

2:10:59 of my time for money this allowed me to escape the strangle

2:11:03 hold of the slowlane equation and operate on the fast lane

2:11:06 playing field when your wealth is predicated on factors that you

2:11:09 cannot control and that are implicitly limited you aren't going

2:11:13 to make fast progress you aren't in control because time is

2:11:16 in control you aren't in control because the boss is

2:11:19 in control you aren't in control because the stock market is

2:11:23 in control how did I escape these controls that Society finds

2:11:27 so perfectly acceptable well instead of trading my time for money

2:11:31 manual labor I traded it into a business system industrialized

2:11:36 wealth production in my situation time was working for me not

2:11:41 against me my business system earned money with the passage

2:11:45 of time and yet was exclusive of my time it was

2:11:49 a virtual money tree and it didn't care what I

2:11:51 was doing whether I was watching Jerry Springer or jet skiing

2:11:55 in Jamaica the system was built to be its own machine

2:11:58 a living breathing entity that did the dirty work for me

2:12:02 my system was a surrogate and traded its time I owned

2:12:06 my time instead of time owning me passive income the Holy

2:12:12 Grail to retirement the buzzword in money-making circles is passive

2:12:17 income earning income while not working while retired I receive checks

2:12:22 every month like clockwork and I don't lift a finger passive

2:12:25 income is a successful divorce from the work for money equation

2:12:29 indigenous to the slow lane the beauty of passive income is

2:12:32 this it doesn't care if you're 20 years old or 80

2:12:36 if your monthly income exceeds your lifestyle expenses including taxes

2:12:40 guess what you're retired the fast lane road map is

2:12:44 engineered for two purposes it's engineered to create a passive

2:12:47 income stream to the excess of your expenses and lifestyle desire

2:12:51 and to make Financial Freedom a reality exclusive of age

2:12:57 to break time is to grow a money tree mom convinced me

2:13:02 it was true we can't afford that do you think money

2:13:04 grows on trees well she was wrong money grows on trees

2:13:09 if you own a money tree and you can own one

2:13:12 too if you know how and where to get the seeds

2:13:15 money trees are business systems that survive on their own

2:13:19 they require periodic support in nurturing but survive on their own

2:13:23 creating a surrogate for your time for Money Trade A few

2:13:26 years ago I was in Vegas and lost nearly $2,000

2:13:29 gambling after retreating to my hotel room with my tail between

2:13:33 my legs I realized why fret I lost $2,000 and yet

2:13:38 on that day my money tree my internet company that I

2:13:41 created earned $6,000 while I gambled or slept swam or ate

2:13:47 my blooming Money Tree bore fruit a money tree is

2:13:50 a big business system and it's the fast lane road map's

2:13:53 Main Street Money Trees create passive income streams before you officially

2:13:59 retire yes you can experience the destination of retirement and Financial

2:14:03 Freedom without actually being retired this is aching to taking

2:14:07 a vacation to the South Pacific and magically bypassing the 9-hour

2:14:11 plane ride money tree seedlings a fast lane business not

2:14:18 all businesses are fast lane and many of them can't be

2:14:20 trans formed into Money Trees misled by gurus and life

2:14:24 coaches wannabe entrepreneurs are steered astray Under The Lure of Be

2:14:29 Your Own Boss or do what you love and head

2:14:32 down a path of business servitude that is identical to being

2:14:35 indentured to a job it is Jillian's dream to be

2:14:39 her own boss after a 133-year career on Wall Street Jillian quits

2:14:43 her financial advisor job and buys a well-known Deli franchise

2:14:48 she liquidates half of her 401k to pay for the Fran

2:14:51 franchise fees and startup costs 3 months later she is

2:14:54 in business and expects to realize her dream but Jillian discovers

2:14:58 that her dream is nothing but a nightmare between 7-Day work

2:15:02 weeks long hours and constant bickering between her and the corporate

2:15:06 franchiser she burns out in 2 years her profit margins slim

2:15:11 and softened by franchise royalties doesn't allow her to hire an operator

2:15:15 to run the restaurant in her place she feels trapped

2:15:18 as she trades her time for dollars although she earns $90,000

2:15:23 a year profit in her business Jillian has no free time

2:15:26 to enjoy the fruits of her labor she could pay $60,000

2:15:30 to a general manager which would give her free time

2:15:33 knowing she can't survive on $330,000 per year she feels trapped

2:15:37 to her business while her profit is cornered into submission four

2:15:42 years later she puts the business up for sale and seeks

2:15:44 the comfort of a 9 to-5 job too many people

2:15:48 plant businesses in Barren and fertile soil that is incapable

2:15:52 of spawning money trees and which is only suitable for a scrawny

2:15:56 slowl twig that sucks up time and money the five

2:16:01 Fastlane business seedlings there are five business seedlings to Money

2:16:06 Trees mind you these aren't absolute and they interbreed with each

2:16:10 other each system inherently has a grade that rates its level

2:16:13 of passivity a higher grade means a greater potential for passivity

2:16:17 but not necessarily a greater income the seed Lings are

2:16:22 number one rental systems number two computer software systems number three

2:16:27 content systems number four Distribution

2:16:30 Systems number five human resource systems

2:16:35 seedling number one rental systems passivity grade a real estate is

2:16:40 one rental system I consider real estate Money Trees as fast

2:16:44 lane 1.0 or wealth 1.0 it's the old way and still

2:16:49 very much a road to wealth for example I own

2:16:52 a single family rental home with a great tenant I could

2:16:55 be living on the moon and each month I get

2:16:57 a check in the mail because my time is detached from its

2:17:01 income real estate is a perfect example of wealth 1.0

2:17:05 because real estate is its own system it is 95% passive

2:17:10 as time passes tenants pay landlords to use their property

2:17:14 from single families to apartment

2:17:15 buildings to massive commercial Office Buildings

2:17:18 real estate has always been the default choice for seedling Money

2:17:22 Trees furthermore real estate is an asset that can be manipulated

2:17:26 and its value appreciated appreciative assets or asset value are

2:17:31 cornerstones in the fast lane wealth equation don't want to get

2:17:34 involved in real estate no problem rental systems aren't just

2:17:38 reserved for Real Estate rental systems can come from a variety

2:17:41 of other sources not real estate oriented leases royalty payments

2:17:46 and Licensing are other forms of rental systems that can produce reoccurring

2:17:50 month monthly income for example when you own their rights

2:17:53 to a music collection corporations have to pay you royalty to use

2:17:57 the music the work might have been recorded decades earlier

2:18:00 but it still generates royalties likewise if you invent and patent

2:18:05 a product process and license it to another company you

2:18:08 again earn income from the licensing fee the patent was invented

2:18:11 and registered yet its income survives time exclusive of your time

2:18:16 cartoonists license their Artistry to book authors and newspaper producers

2:18:21 the creation of the cartoon might have happened years ago yet

2:18:24 it survives time and generates rental income for the owner rental systems

2:18:29 are powerful Money Trees because they are high in the passivity

2:18:32 scale and survive time seedling number two computer software systems

2:18:37 passivity grade A minus my preferred system is computer and software

2:18:43 systems including the Internet it's no shock that the internet has

2:18:46 paved the road to Millions more than any other Road

2:18:49 out there in fact I heard a statistic the other day

2:18:52 that the internet has created more millionaires in the last five

2:18:55 years than the previous five decades combined what makes the internet

2:18:59 and computer systems so potent computers are miraculous inventions and fertile

2:19:04 seeds to Money Trees they work 24 hours a day

2:19:08 7 days a week and they don't about working conditions they

2:19:11 don't that you don't pay them enough they don't in moan

2:19:15 about co-workers like lazy Joan or same shirt Bob nope

2:19:18 computers aren't late they don't ask ask for pay raises

2:19:21 and they don't care that you just bought a new Mercedes

2:19:24 S Class nope they just do what they're programed to do

2:19:27 and it's done what sets the internet apart from real

2:19:30 estate is it implicitly contains leverage when you own a website

2:19:34 you're accessible to Millions when you own a three-bedroom home

2:19:38 on Elm Street it's accessible to a few this Duality makes internet

2:19:42 systems one of the best business seedlings in existence additionally

2:19:46 computer systems aren't limited to the internet it could be software

2:19:50 or applications some of the richest people on the planet are

2:19:53 software billionaires like Bill Gates of Microsoft and Larry Ellison of Oracle

2:19:58 software enjoys plump margins because it can be easily replicated

2:20:02 once the code is written it's done you can easily sell

2:20:05 one or 10,000 now can you replicate an office building

2:20:08 with ease you can't software millionaires can be Average Joe's Facebook

2:20:14 and iPhone application developers are making money fast one iPhone developer

2:20:19 Nicholas raked in $600,000 in a single month with a single

2:20:23 iPhone game in a phone interview Nicholas said that he

2:20:26 wouldn't be shocked if he became a millionaire by the Year's

2:20:28 End wow one day Nicholas is treading the slow lane

2:20:32 at his nice cushy job and popping a few Benjamins

2:20:35 into his 401k then suddenly he finds himself smack in the middle

2:20:39 of a fast lane of course the road to the fast

2:20:42 lane wasn't easy for necklace an engineer at Sun Microsystems

2:20:45 he worked on his application after working 8 hour days cradling

2:20:49 his one-year-old son in one hand and coding with the other

2:20:53 so how did he learn to code an iPhone app Nicholas

2:20:56 couldn't afford books so he taught himself by scouring websites

2:21:01 hm do you smell a process behind the event software when

2:21:05 tapped into potent distribution can be replicated to Millions it scales

2:21:10 without significant degradation to passivity

2:21:14 seedling number three content systems passivity

2:21:17 grade B+ content systems are systems of information that information can

2:21:23 be fused to a variety of other systems like the internet

2:21:25 and physical Distribution Systems this book is a Content system

2:21:29 that I can effectively move through other channels like the internet

2:21:32 or a book distributor in the old days of wealth striking

2:21:35 it rich via content meant you had to be a newspaper

2:21:38 Mogul magazine publisher or a successful author control the Press

2:21:43 distribute content information like software often has ease of replication I

2:21:49 can print 10 million of these books books I will

2:21:51 never own 10 million pieces of real estate nor do I

2:21:54 have any desire like their software counterparts some of the richest

2:21:57 people on the planet are successful authors in a few short

2:22:01 years JK Rowling author and owner of the Harry Potter brand

2:22:05 went from being a 32-year-old divorced English teacher to a media

2:22:08 Mogul worth over 400 million the single mom has sold

2:22:12 over 30 million copies of her books in 35 different

2:22:15 languages I guess she didn't hear the excuse I'm a single

2:22:19 mom and I don't have time time Miss Rowling recalls

2:22:22 the happiest point of her life not the acquisition of millions

2:22:25 but the point at which she could write fulltime similarly Dan

2:22:30 Brown has sold over 80 million copies of The Da

2:22:32 Vinci Code in 51 languages let me be perfectly clear if

2:22:37 you sell 80 million of anything you will be a very

2:22:40 rich human being the latest trend of content distribution has merged

2:22:45 with computer systems blogs social networks ebooks and online magazines

2:22:49 all serve the newest hybrid of computer systems and content distribution

2:22:54 in fact this new combination is so powerful that it is

2:22:57 driving many of the old Hardline models out of business paper

2:23:02 newspapers and magazines are officially endangered to be extinct

2:23:06 in the coming decade you see change creates Millionaires and those who

2:23:10 observe and take advantage of the change will be the new

2:23:13 Millionaires and the new billionaires content also survives time this book

2:23:19 might have taken me years to write but it also

2:23:21 survives years if someone buys this book 5 years from now

2:23:25 I will earn a small profit on a Time investment I

2:23:28 made years earlier the content is an asset that is sailable

2:23:33 over and over again and with each sale the effective

2:23:36 time cost declines while the hourly rate of return expands seedling

2:23:43 number four Distribution Systems passivity Grade B a distribution system is

2:23:49 any structure or organization designed to move products to the masses

2:23:53 Distribution Systems can be hybrids with other seedlings such as content

2:23:56 and computer systems if you invent and manufacture a new

2:24:00 product and sell it on QVC you are leveraging a distribution

2:24:04 system if you sell that product via infomercial at 2 a.m.

2:24:08 you are also leveraging a distribution system if you sell your product

2:24:12 to four Wholesale Distributors that in turn sell it to retailers

2:24:16 like Walmart and Target you are leveraging a distribution system when

2:24:20 inventing any product The Invention is always half the battle distribution

2:24:25 is the other the greatest product in the world can go

2:24:28 unused if it isn't leveraged into the proper distribution system either one

2:24:32 that exists or one that you create amazon.com is one example

2:24:37 of a distribution system that I use this book sells on Amazon

2:24:41 and is available to Millions however a book sitting on Amazon

2:24:45 represents unrealized potential like a thousand

2:24:48 horsepower car sitting in the garage

2:24:50 it is my job to turn the engine on and drive

2:24:53 the power of the distribution system the tool exists ready to be

2:24:57 exploited by successful or failed execution

2:25:01 our iPhone developer leveraged the iPhone

2:25:04 app store to move his software this was his distribution Point

2:25:08 without the distribution he couldn't sell the software distribution is a means

2:25:12 to move product to the masses some systems are better than others

2:25:15 and when it comes to distribution it all depends on the control

2:25:19 structure if if you create a network marketing company to sell

2:25:22 your new vitamin product you are creating a powerful distribution Network

2:25:26 capable of earning Millions if you join a network marketing company you

2:25:31 are electing to be a gear in the distribution process another

2:25:35 potent form of distribution is franchising or chaining when a successful store

2:25:39 concept is branded and systemized it can be replicated and sold

2:25:43 to other individuals Savvy Fastlane entrepreneurs

2:25:47 recognize that a successful local business

2:25:49 with weak letter could be made highly leveraged by franchises or chains

2:25:54 now does this path sound familiar well it should this is

2:25:57 what Starbucks did to become the biggest coffee chain in the world

2:26:01 other restaurants deploy a combination of chains and franchises Dairy Queen

2:26:05 and McDonald's both have chains and franchises if your business operates

2:26:09 in limited scale it can be conquered with chains and franchises if

2:26:14 you own one hot dog cart and sell at one location

2:26:17 there really is no leverage however if you own 500 hot dog

2:26:21 carts and sell at 500 locations to 500 owner operators suddenly

2:26:26 leverage appears the Fastlane wealth equation

2:26:29 has power seedling number five human

2:26:33 resource systems passivity grade C amazon.com is a distribution system backboned

2:26:40 by a computer system and operated by a human resource system human

2:26:44 resource systems are the most expensive and complicated to run humans

2:26:48 are unpredictable expensive and difficult to control ask anyone with the company

2:26:54 that relies on employees how challenging it is to keep employees

2:26:58 happy I came to the employee Crossroad with my own company I

2:27:02 had to either suffer internet technology obsolescence or hire two additional

2:27:06 people to scale my company to the next level since my business

2:27:09 was already 80% passive I knew that adding employees would erode

2:27:13 the passivity of the business because employees need management and at a certain

2:27:18 level even managers need managers the other Alternatives were to keep

2:27:22 my company an autopilot and watch it slowly degrade over the years

2:27:26 or dig in and get back to Startup mode or sell

2:27:29 it after evaluating the options I chose to sell in my case

2:27:34 human resource additions would have subtracted to passivity not added while

2:27:39 I would have made more money hiring more people I wasn't

2:27:42 willing to forgo my free time for it a year after

2:27:45 I sold my company I examined the possibility of a parking business

2:27:49 near the airport local travelers to the Phoenix Airport could Valet

2:27:52 Park their car in a neighboring parking lot and get chauffeured

2:27:56 to the airport in general this was a rental system people would

2:27:59 park to pay their car and I would earn a daily fee

2:28:01 for each parked car it had internet like qualities it ran

2:28:05 247 and generated income with a simple passage of time it was

2:28:10 a great idea with a high potential for passivity I found

2:28:13 land for sale near the airport and it was perfect I started

2:28:17 to run numbers projections and scenarios to see how I can

2:28:19 make this business a reality however

2:28:22 the numbers uncovered something important while

2:28:24 the business model was truly a rental system the operation itself

2:28:27 was a human resource system to make this idea a successful business

2:28:32 it would have required at least two dozen people on payroll

2:28:34 at all times that stopped me cold and I didn't pursue it

2:28:38 any further I wasn't willing to risk trading passivity for a human

2:28:41 resource system that is unpredictable and difficult to manage a member

2:28:46 of the Fast Lane Community owns a few self storage facilities

2:28:49 hers business is a rental system people pay money to store

2:28:52 their junk and she receives a monthly income you'd assumed that her facility

2:28:57 is run by a human resource system managers and property assistants

2:29:01 but it isn't her properties have automated kiosks that run each

2:29:04 property a computer system this makes your business mostly passive remove

2:29:09 the kiosk add human resource systems and passivity drops so does

2:29:14 this suggest that human resource systems are a drain to passivity it depends

2:29:19 first what is the existing level of passivity to the business

2:29:22 as it is now if you own a coffee shop and work

2:29:24 80 hours a week you have no passivity a general manager

2:29:28 or a human resource system would raise passivity by an estimated 40%

2:29:34 in my business I was operating at 85% passivity adding any

2:29:38 human resource system would have lowered passivity human resource systems can

2:29:42 add passivity or eroded good employees nurture Money Trees bad employees

2:29:48 pluck The Fruit Of Money Trees and require pruning however don't let

2:29:53 that scare you if you want to make millions of dollars

2:29:55 or billions human resource systems are needed because you simply can't do

2:30:00 everything yourself chapter summary fast lane

2:30:04 distinctions to divorce yourself from the slow

2:30:07 Lane's transactional relationship of time for money you need to become

2:30:10 a producer specifically a business owner Business Systems break the bond

2:30:16 between your time for money because they act like surrogate operatives

2:30:19 for your time trade if you have a passive income that exceeds

2:30:23 all your needs and lifestyle expenses

2:30:25 including taxes you're retired retirement can

2:30:29 happen at any age the fruit from a money tree is

2:30:33 passive income a fast Lan objective is to create a business system

2:30:37 that survives time exclusive of your time the five money tree

2:30:42 seedlings are rental Systems computer systems

2:30:45 content systems Distribution Systems and human

2:30:48 resource systems real estate licenses and patents are examples of rental

2:30:53 systems internet and software businesses

2:30:56 are examples of computer systems authoring

2:30:59 books blogging and magazines are forms of content systems franchising chaining

2:31:05 network marketing and television marketing are

2:31:07 examples of Distribution Systems human resource

2:31:11 systems can add or subtract to passivity human resource systems are

2:31:15 the most expensive to manage and implement chapter 20 recruit your army

2:31:21 of Freedom Fighters the rich rule over the poor and the borrower

2:31:26 is slave to the lender Proverbs 22:7 how the rich explode

2:31:33 wealth I spent a few years chauffeuring clients in limousines so

2:31:37 I heard a lot I remember Gary a young 20-some client who

2:31:40 hired our limousine several times a month to serve as his personal

2:31:44 escort to parties and beer drinking excursions oddly this guy wouldn't

2:31:48 just hire us on Friday or sat Saturday he hired US

2:31:51 during the week every day of his life was his weekend when

2:31:55 he hired us I knew it was going to be a long

2:31:56 night and a profitable one since he tipped fabulously being broke

2:32:01 and a student of wealth I couldn't bottle my curiosity I

2:32:04 asked the limo company owner hey what's Gary's story he told me

2:32:08 that Gary was semi-retired and just sold his Administrative Office company

2:32:12 for Millions wow this guy couldn't have been much older than I

2:32:16 and he was already retired and Living Large the next few

2:32:20 times I chauffeured the man I EES dropped on his conversations hoping

2:32:23 to catch a tasty tidbit of the Rich and I did

2:32:27 to his Club wingman I heard Gary drunkenly declare thanks to municipals

2:32:31 and treasuries I never have to work another day in my life

2:32:35 Wham another piece of the wealth puzzle solved the best passive

2:32:41 income venue in existence in the prior chapter I neglected to mention

2:32:46 the best money tree seedling in existence I omitted it because it

2:32:50 really isn't a business seedling at all but a seed you

2:32:52 already possess whether you're broke in a dead end job or without

2:32:56 a business you already have the raw materials for the best money

2:33:01 tree seed in existence what is it take a guess real estate

2:33:06 an internet business maybe a network marketing company licensing an invention

2:33:11 no no hell no and no the best Money Tree in existence

2:33:16 sits right in your pocketbook the good oldfashioned Buck yes money

2:33:22 money is the king of Money Trees how is money passive

2:33:26 if you have a lot of money you're given the gate

2:33:29 key to switch teams from consumer to producer specifically you move

2:33:33 from borrower to lender you move from employee to employer you move

2:33:38 from customer to owner in other words people pay you to use

2:33:42 your money in the form of Interest or ownership for example

2:33:46 let's examine interest which is the fee earned to lend money right

2:33:50 now you're probably someone who doesn't earn interest but pays it someone

2:33:54 lent you money for the mortgage on your home and in return

2:33:57 you pay the note holder interest that interest is profit or income

2:34:01 to somebody else while the act of becoming a lender sounds

2:34:04 complicated it really isn't anytime you buy a certificate of deposit

2:34:07 from a bank you become a lender anytime you buy a municipal

2:34:10 Bond either directly from the source or indirectly via mutual fund

2:34:14 you become a lender when you deposit money in the bank

2:34:17 you become a lender as a lender you don't don't administer

2:34:20 the loans you just sit back and collect checks it's super easy

2:34:24 and super passive Gary my rich limousine passenger was a lender

2:34:28 who never had to work another day in his life savers become

2:34:33 lenders owners and producers I heard a radio commercial the other day

2:34:38 from a self-proclaimed dual dad Guru who declared Savers are losers I

2:34:44 couldn't believe my ears Savers are losers and who are the winners

2:34:48 the people you advise the borrow Millions on risky real estate

2:34:51 Investments Savers aren't losers Savers

2:34:54 are winners because they eventually become

2:34:56 lenders Savers are winners because they

2:34:58 eventually become owners and companies Savers

2:35:01 are winners because they become producers and build Assets Now open

2:35:06 your wallet and look at a dollar one Buck it doesn't buy

2:35:09 much but it's the embryonic start to a passive income stream

2:35:13 $ar has the power to give you a nickel of passive income

2:35:17 for Life yes for Life while one nickel buys squat it

2:35:24 unlocks the DNA implicit in money it's fully passive I retired

2:35:29 in my 30s because of this simple reality I'm A lender

2:35:32 and when you have a lot of money to lend you live free

2:35:34 because passive income arrives every month now get this if you

2:35:39 had $10 million and lent it at a mere 5% interest you'd

2:35:44 enjoy a passive income of over $441,000 every every single month

2:35:51 at 8% your monthly income would be over $66,000 per month fully

2:35:56 passive over $60,000 every month and guess what this is without

2:36:02 touching the principal you can do this for years and still

2:36:05 have $10 million left over now imagine opening your mailbox every

2:36:10 month to a $40,000 check and you didn't have to do anything

2:36:13 for it what kind of trouble could you get into earning $40,000

2:36:17 a month I bet a lot unreal istic it isn't this is

2:36:21 how I live even in this lowest environment I can find

2:36:25 safe investment yields in the 4 to 6% range some of them

2:36:29 tax-free why most people shudder at the thought of an interest

2:36:32 rate hike I love it I get a pay raise a 1%

2:36:36 interest rate hike translates into thousands for me and since inflation

2:36:40 rises in unison with interest rates my income has an element

2:36:44 of inflation protection if inflation Rises so do interest rates so

2:36:49 how does this become a reality I created a passive income stream

2:36:53 via my internet business a business money tree seedling which funded

2:36:57 my passive income system from lending while my internet business was 85% passive

2:37:02 yes I had to work several hours per week my lending

2:37:05 passivity is 99% I do virtually nothing and the checks arrive instead

2:37:11 of trading my time for dollars I invested my time into an autonomous

2:37:15 system simultaneously capable of passivity and capable of funding my money

2:37:21 system it was a dual flanked attack where passive income was

2:37:25 both a short and long-term goal amass your army of Freedom Fighters

2:37:32 every dollar saved is another freedom fighter in your army if

2:37:35 your money is fighting for you your time is freed and you

2:37:38 break the equation of time for money money is your army

2:37:42 the more you have the more they will fight for your freedom

2:37:45 slow lers focus on the expense variable in the wealth equation

2:37:49 when they should be focused on the income variable income is

2:37:52 the key to Growing your army of Freedom Fighters you aren't

2:37:55 going to recruit a massive Army detailing cars down at Jimmy's Auto

2:37:59 Salon and I'm not referring to just the US dollar but all

2:38:03 International dollar denominated assets as I write this much of my income

2:38:07 is derived from non US dollar Assets in other countries with stronger

2:38:11 currencies and better yields fast lers think globally not locally so

2:38:17 what does a dollar represent to you a mechanism that gets

2:38:20 you bottle service at the club every Friday night or is it

2:38:23 a seed of your money tree is it your freedom fighter

2:38:26 make money fight for you instead of you fighting for your money

2:38:32 how fast laners the rich use compound interest while examining the slow

2:38:37 lane I impune compound interest as an impotent wealth accelerator because

2:38:41 of its attachment to time when the slowlane media Darlings read

2:38:45 that assertion I'll be crucified because

2:38:47 lambasting compound interest is the Pinnacle

2:38:51 of financial blasphemy but I also claimed it to be a powerful

2:38:54 passive income generator when leveraged

2:38:57 against large sums of money contradictory

2:39:00 well just like education fast laners and slow lers leverage compound

2:39:04 interest differently slow laners the middle class use compound interest to get

2:39:10 wealthy while the fast laners the rich use it to create

2:39:13 income and liquidity slow laners start with five bucks fast laners start

2:39:19 with 5 million compound interest pays my bills it's my tool

2:39:23 it's my passive income Source yet compound interest is not responsible

2:39:29 for my wealth this is critical fast slers aren't using compound interest

2:39:33 to build wealth because it's not in their wealth equation the heavy

2:39:37 lifting of wealth creation is left to their Fastlane business when

2:39:41 a rich politician or public figure has to come forth and disclose

2:39:44 his finances notice the common themes the source of their wealth

2:39:49 comes from their business ventures while their liquid cash reserves are tied

2:39:53 into fixed income securities like municipal bonds treasuries and other highly

2:39:57 liquid safe Investments the rich aren't using the markets to create wealth

2:40:02 they're increasing their existing wealth

2:40:04 with leveraged business assets remember that 25-year-old

2:40:08 multi-millionaire who got rich investing in mutual funds is a fairy

2:40:12 tale the millionaires are the guys running the funds they're the producers

2:40:18 how to really used compound interest would you rather have $5

2:40:22 million right now or a penny doubled every day for 40

2:40:26 days no Briner right accept 5 million now and you forsake nearly

2:40:32 $5.5 billion when you get a moment examine the chart below

2:40:37 that demonstrates the force of doubling on day one you have one

2:40:42 penny on day two you have two pennies on day 10

2:40:46 you have $512 on day 20 you have $524 188 on day

2:40:54 30 you have 5,368 7912 if you examine the chart outlining

2:41:02 each day as the penny is doubled notice how you don't see

2:41:06 big numbers until day 25 if we transpose this doubling a penny

2:41:10 a day example to that of a slow lner's journey and say

2:41:13 double the penny every year starting at age 21 you'd barely

2:41:17 have five grand by the time you were age 40 5 million

2:41:21 isn't hit until age 50 this is indicative of a slow

2:41:25 ler Journey where compound interest doesn't enforce power until most of life

2:41:30 has evaporated big money doesn't come until you are in your 50s

2:41:34 or 60s and this is with 100% returns year after year

2:41:39 average market returns would be about 7% yet at a doubling

2:41:43 at age 40 you barely have six grand again this is a slow

2:41:47 laners predicament imprisoned in time

2:41:50 and uncontrollable yield fast lers understand

2:41:53 this weakness and realize that the compound interest weapon is most effective

2:41:57 with large sums of money for compound interest to be powerful

2:42:02 you must bypass 30 years of mathematical ineptitude by riding the crest

2:42:06 where it is effective the tidal wave of compound interest like

2:42:12 a tital wave far out at Sea compound interest's strength isn't visible

2:42:17 until it moves near land as the wave approaches land its

2:42:20 Force becomes incredibly powerful most slow

2:42:23 laners ride the compound interest Title

2:42:25 Wave a million miles out at Sea and guess what

2:42:28 nothing happens they float aimlessly going nowhere saving $200 a month

2:42:34 from your paycheck and a 3% savings account isn't going to make

2:42:37 you rich fast you simply can't ride a wave millions of miles

2:42:41 out at Sea now the fast ler observes the title force

2:42:44 is near land and seeks to meet it at the shore

2:42:47 at the shore the tital wave can be rid with impact

2:42:50 to actuate compound interest power start at the shore with a large number

2:42:55 that can be leveraged 10% interest on $10 million is

2:42:59 a million doar a year $83,000 every single month exploit compound interest

2:43:05 at its Crest not a million miles out at Sea the point

2:43:09 of this illustration is to show that the rich aren't using compound

2:43:12 interest to get wealthy they're using it for income and liquidity

2:43:16 a 5% tax-free yield on $10 million suddenly creates a half a million

2:43:21 dollars per year in passive income like a title wave

2:43:24 at the seashore compound interest rears

2:43:27 excruciating Force when pitted against large sums

2:43:30 of money this is where money transforms into a fully passive

2:43:34 income stream as for earning your $10 million that solution lies

2:43:37 in exponential leveraged growth stemming

2:43:40 from a fast-lane business net income plus

2:43:43 asset value not in expenses not in the stock market and definitely

2:43:48 not in a Job chapter summary fast lane distinctions one saved

2:43:55 dollar is a seed to a money treat a mere 5% interest

2:43:59 on $10 million is $40,000 a month in passive income a Sav

2:44:05 dollar is the best passive income instrument fast laners the rich

2:44:10 don't use compound interest or the markets to get wealthy

2:44:13 but to create income and preserve liquidity a saved dollar is a freedom

2:44:19 figher added to your army the rich leverag compound interest at its

2:44:23 Crest applied against large sums of money fast laners eventually become

2:44:29 net lenders chapter 21 the real law of wealth try not

2:44:36 to become a man of success but a man of value Albert

2:44:41 Einstein inection not attraction the law of affection nope not a misspeak

2:44:48 mathematics is the Transcendent language of the universe it cannot be

2:44:52 controverted nor debated 2+ 2 equals 4 the number 10 million

2:44:56 will always be greater than 24 these statements are facts and not

2:45:00 subject to interpretation by some mystical theory of philosophy math is

2:45:05 law secrets and mystical philosophies are not if you want to get

2:45:09 rich start observing the true law of the universe math and not

2:45:13 some Hocus Pocus law that can't be proved or documented singing

2:45:18 positive platitudes around the campfire isn't going to make you rich

2:45:22 oh don't get your panties in a wad I know the law

2:45:24 of attraction sounds great and does have practical applications now

2:45:29 for those of you not familiar with the law of attraction or Loa

2:45:33 it's a mystical philosophy that states you become what you think

2:45:36 and that your conscious and unconscious thoughts make you reality the law

2:45:40 of attraction contends that if you know exactly what you want

2:45:44 ask the universe for it see it coming and then you will

2:45:47 eventually receive it think riches and you'll have riches sounds very easy

2:45:52 huh I won't hide my candid sacrilege to the Law of Attraction

2:45:56 crowd I think it's a bunch of baloney orchestrated to sell

2:45:59 books to those who think that thinking will make you rich

2:46:02 in fact the law of attraction is nothing but old principles

2:46:05 of belief and visualization repackaged

2:46:08 and remarketed for Mass consumption who are

2:46:11 the true fast laners The Law of Attraction marketers bake

2:46:17 a cake without sugar why did this book take me so long

2:46:21 to write I spent two years wishing and thinking positively about it

2:46:26 yep I let the Law of Attraction do the work I asked

2:46:29 the universe for this book I was open to it I saw

2:46:32 it before my eyes I even snapped a picture of a bookstore

2:46:35 shelf and Photoshop my book on the Shelf what happened absolutely

2:46:40 nothing notada zilch the universe never gave me my finished book

2:46:46 the fact is despite all my positive thinking and meditations to the universe

2:46:50 for my book it never materialized until I sat my butt

2:46:54 down in a chair and started to write it I made

2:46:57 a coordinated commitment to action not just any action but repeated action

2:47:01 a conscious Choice and then a commitment to all those choices

2:47:05 in the form of Massive Action if you're a law of attraction

2:47:08 fan and you find this critique offensive that's okay I didn't

2:47:12 write the millionaire fast Lan to make friends or to book

2:47:15 speaking engagements on being a positive thinker I wrote it to tell

2:47:19 exactly what you need to do to get rich thinking never

2:47:23 made anyone Rich unless that thinking manifests itself into consistent action

2:47:28 toward application of laws that work in fact I find it insulting

2:47:33 that someone might Assume My Success is due to positive thinking

2:47:37 I'm a realist who understands human nature and that nature is

2:47:40 to take the path of least resistance it doesn't surprise me

2:47:44 that these attraction books sell millions

2:47:46 the books that promise the easiest roads

2:47:48 to wealth do well because like sex easiness sells events of wealth

2:47:54 sell process does not while the law of attraction is a nice

2:47:58 hammer in the toolbox its flaw is that it ignores the real

2:48:02 secret behind wealth the real secret that transcends all wealth all

2:48:06 people all cultures and all roads and that is the law

2:48:09 of affection the flaw of Attraction is that it ignores mathematics

2:48:16 the law of affection a Fastlane Prime the law of affection

2:48:21 states that the more lives you affect in an entity you control

2:48:24 in scale and or magnitude the Richer you will become the shorten

2:48:29 sanitized version is simply affect millions and make millions a while

2:48:34 ago I wrote an article titled the shortest make millions article ever

2:48:38 written guess how long the article was a paragraph maybe a sentence

2:48:42 or two nope just two words and those two words impact

2:48:47 Millions impact millions and make millions it really doesn't get any simpler

2:48:52 than that in other words how many lives have you touched

2:48:55 who has benefited from your work your assets and your handiwork what

2:48:59 problems have you solved what value are you to society if

2:49:03 you're working the front desk at a motel you simply aren't making

2:49:07 much of an impact and your bank account will represent that same

2:49:10 fact the amount of money you have or don't have is

2:49:13 a direct reflection on the amount of value you have provided

2:49:16 or not provided inection is scale magnitude or both business needs to make

2:49:23 an impact of either scale or magnitude or both within our fast

2:49:27 lane wealth equation scale and magnitude are implicit to our net

2:49:31 profit variable net profit equals unit sold scale times unit profit

2:49:38 magnitude an example of scale is reflected on our fast lane

2:49:41 road map bya The Profit variable in our wealth equation units

2:49:45 sold if you sell 20 million pens and make 75 cents profit

2:49:50 on each you just earn 15 million this is having an impact

2:49:54 on scale with little magnitude obviously selling a writing pen doesn't

2:49:59 have a major impact on anyone's life the wealth is transmuted

2:50:03 by a scale not magnitude conversely magnitude is having a great impact

2:50:07 on a few and within our fast lane wealth equation is

2:50:11 reflected in unit profit price always reflects magnitude if you sell

2:50:16 a product that's worth 50 million you have access to magnitude

2:50:20 for example if you owned an apartment complex with 400 units and you

2:50:24 profit $100 from each unit you generate $40,000 in monthly income

2:50:29 because you are providing housing for 400 families you are making

2:50:33 an impact of magnitude not scale shelter has magnitude activities of magnitude

2:50:39 have higher profit potential with smaller scales magnitude is always reflected

2:50:44 by an item's price high value equals high price equals High

2:50:48 magnitude if you can combine both scale and magnitude we won't be

2:50:53 discussing Millions but billions Donald Trump makes an impact on both magnitude

2:50:59 and scale and therefore is worth

2:51:01 billions scale creates millionaires magnitude creates

2:51:05 millionaires scale and magnitude creates billionaires

2:51:11 follow the money unfortunately the word

2:51:14 law is Loosely tossed around to represent Concepts that aren't really

2:51:18 laws The Law of Attraction isn't a law but a theory

2:51:22 the word law is absolute it works 100% of the time when

2:51:27 you drop a watermelon from your 10th floor dorm window the law

2:51:30 of gravity takes over the watermelon falls to the ground every

2:51:34 single time the outcome is 100%

2:51:37 certainty unfortunately positive thinking and visualization

2:51:41 doesn't work with 100% certainty belief

2:51:44 and manifestation aren't absolute so they

2:51:46 can't be classified as laws however the law of affection is

2:51:50 absolute show me any self-made billionaire and I will show you

2:51:54 a person who has touched the law of affection either in scale

2:51:57 or magnitude to Woodward and Bernstein deep throat said follow the money

2:52:02 and when you do you find the only true law of wealth

2:52:05 and that is affection why because affection is rooted in mathematics

2:52:10 and because of this it operates exclusive of any road map

2:52:13 a slow laner can use a law of affection to escape

2:52:16 slowlane confinement pro athletes actors

2:52:19 entertainers intrinsic value explosions happen because

2:52:22 of affection Society suddenly perceives your value to be meteoric yes

2:52:27 these people are still trading their time for money but in an unprecedented

2:52:31 stratum of value for example over the last decade Bill Clinton

2:52:35 earned over $50 million in public speaking fees while speaking is

2:52:39 a direct tradeit of time for money his intrinsic value is legendary

2:52:44 perhaps more than $100,000 per hour underneath the big fee is

2:52:48 the law of affection he speaks to millions and is paid Millions

2:52:53 a rapper sells millions of songs and is paid Millions a housewife

2:52:56 sells a million kitchen gadgets and earns Millions a lottery winner

2:53:00 wins Millions because Millions enter the drawing daddy waru's son inherits

2:53:05 Millions because waru's company served Millions

2:53:08 a plastic surgeon earns Millions because

2:53:10 he serves many in magnitude a star athletes agent earns Millions

2:53:15 because his clients serve Millions retra the source of millionaire money

2:53:20 and you will always find millions of something affection or scale

2:53:24 or magnitude always precedes money either

2:53:27 directly or indirectly the more lives you

2:53:30 impact directly or indirectly the more wealth you will attract big

2:53:36 wealth follows big numbers athletes are a perfect example of affection if

2:53:42 you play professional baseball you're paid a meteoric intrinsic value in 2009

2:53:47 Alex Rodriguez signed up a $240 million contract how exactly is

2:53:52 that justified simple the law of affection justifies all wealth Alex

2:53:56 Rodriguez via baseball entertains Millions he leverages scale this is the same

2:54:01 for any professional athlete they get paid Millions because they entertain

2:54:05 Millions a comedian who makes millions of people laugh gets paid Millions

2:54:09 the corporate executive who facilitates a corporation that serves millions

2:54:13 of people gets paid millions of dollars again these are glorified power

2:54:17 intrinsic value positions that Leverage The Law of affection if you

2:54:20 want to get rich by intrinsic value you must do it via

2:54:23 the law of affection get into a position to impact Millions

2:54:28 become indispensable and irreplaceable like

2:54:30 an athlete Entertainer or top brass executive

2:54:34 can't get access to Millions like an athlete then go directly

2:54:36 to the source and serve the source for example agents of high-profile athletes

2:54:42 are as rich as the athletes themselves because they have indirect

2:54:45 contact to the law of affection real estate bro ERS who

2:54:48 specialize in the homes of the rich become rich themselves because

2:54:52 they indirectly connect themselves to the Arbiter of the law the law

2:54:55 of affection doesn't care about road maps or time trades or anything

2:54:59 but the mathematical power of large numbers make a giant impact

2:55:03 a few times or make a small impact millions of times Joe

2:55:09 magnitude owns a company that develops commercial real estate he develops 14

2:55:13 office complexes and partitions the offices into condos each fully sold

2:55:17 complex profits him $400,000 14 scale* 400,000 magnitude equals 5.6 million Joe

2:55:28 scale writes a book detailing a diet of the Stars he

2:55:31 sells 8 million copies scale and earns $7 per copy magnitude he

2:55:37 earns the same amount $5.6 million the closer you get

2:55:42 to the source of large numbers the closer you will get to wealth

2:55:46 to serve Millions is to make millions think big to earn big

2:55:52 chapter summary fast lane distinctions the law of affection States the more

2:55:57 lives you affect or breach both in scale or magnitude the Richer

2:56:01 you will become scale translates to units sold of our profit

2:56:05 variable within our fast lane wealth equation magnitude translates to unit

2:56:10 profit of our profit variable within our fast Lan wealth equation

2:56:14 the law of attraction is not a law but a theory

2:56:17 the law of affection is absolute and operates exclusive of any road

2:56:21 map all lineages of self-made wealth Trace back to the law

2:56:25 of affection the law of affections

2:56:28 absoluteness comes from direct access and control

2:56:31 for example you are the athlete versus indirect access for example

2:56:35 you are the athletes agent to make millions you must serve millions

2:56:39 in scale or few in magnitude the law of affections absoluteness

2:56:44 comes from a direct access and control you are the athlete versus

2:56:48 indirect access you are the athletes agent to make millions you

2:56:52 must serve millions in scale or a few in [Music] magnitude part

2:57:10 six your vehicle to wealth you chapter 22 own yourself first events

2:57:20 and circumstances have their origin in ourselves they spring from the seeds

2:57:23 which we have sown Henry David thoro the paralysis of pay

2:57:29 yourself first fast lane success Demands

2:57:32 a well-tuned vehicle primed and prepared

2:57:34 for the journey that awaits you are the vehicle to wealth

2:57:38 you are the mechanism for movement you are responsible for making

2:57:41 the journey and the first step in taking charge of you

2:57:44 is to own you surely you've heard pay yourself first a common

2:57:48 slowlane declaration born from the classic 1926 book the richest man

2:57:52 in Babylon by George clayon a good read but fundamentally flawed if

2:57:57 you aren't familiar with pay yourself first it's a slowlane doctrine

2:58:00 that urges you to save your money pay yourself before all else

2:58:04 food gas car payments and other bills this supposedly forces the slow

2:58:08 laner savings rate to accelerate

2:58:10 their putrid wealth acceleration vehicle compound

2:58:13 interest via Market Investments the fact is advising a slow l

2:58:18 to pay yourself first is like advising a quadriplegic to climb

2:58:21 a flight of stairs it's fruitless if you have a job examine

2:58:25 your last paycheck is your gross pay the same as your net

2:58:28 pay it isn't and for some it may be as much

2:58:31 as 35% less additionally pre-tax saving weapons such as 401ks and IAS

2:58:38 severely limit your contributions to small amounts we're creating wealth

2:58:42 on a pre-tax basis in a job becomes organizationally penal if your primary

2:58:47 income ource comes from a job your ability to pay yourself

2:58:51 first is paralyzed because the governments are paid first for pay yourself

2:58:55 first to be legitimate you truly need to pay yourself first

2:58:58 in infinite amounts and the government last you must own your own vehicle

2:59:06 to pay yourself first you must own yourself you can't pay

2:59:10 yourself first if you don't own yourself your vehicle you must

2:59:13 be free and clear when you have a job someone owns

2:59:17 you and when someone owns you you weren't paid first but last

2:59:21 the first step in controlling your vehicle you is to own

2:59:23 yourself so you can truly pay yourself first and the government last

2:59:28 that is accomplished by shelling your business into a corporation that you

2:59:31 control the corporation serves as the fast lane frame because it offers

2:59:35 the immediate tax benefit of pay yourself first versus pay yourself

2:59:39 last when you own a corporation net profits are reduced by expenses

2:59:44 the remaining profit is taxed and those taxes are paid

2:59:46 to the government additionally corporations exist

2:59:49 separate from their owners and survive time

2:59:52 it's the surrogate structure that serves as your business system when

2:59:55 you own a corporation the government is paid four times a year

2:59:58 once every quarter through estimated taxes if you have a payroll

3:00:02 taxes are paid each time you pay your employees I pay myself

3:00:06 first 365 times a year but the government is just paid

3:00:10 four times a year doesn't that sound like a structure that is

3:00:13 conducive to not only pay yourself first but also wealth how

3:00:18 to own yourself like many entrepreneurs

3:00:21 have made the horrific mistake of getting

3:00:23 into business as a soul proprietor any advisor who recommends a business

3:00:28 structure as a sole proprietorship or a general partnership should be

3:00:31 avoided like an airport toilet these entities are risky because they

3:00:35 don't protect you and catapult unlimited liability onto you in your personal

3:00:39 assets if you're a plumber organized as a sole proprietor and you

3:00:43 accidentally leave a pipe cutter at the client's house and a client's

3:00:47 three-year-old kid kills himself with it guess what they're coming after

3:00:51 you because you have chosen an ill protected business entity instead

3:00:55 of suing a corporation they sue you and everything you own

3:00:58 is up for grabs the best business structures for your fast lane

3:01:01 business are number one C corporation number two S corporation number

3:01:07 three limited liability Corporation assuming you live in America each has its

3:01:12 advantages and disadvantages but all share two common benefits limitation

3:01:17 of liability and tax efficiency the C corporation the C corporation is

3:01:23 a business structure that survives time and can easily be transferred

3:01:26 corporate profits are taxed at the corporate income tax rates with net

3:01:30 income distributed to shareholders some C Corp owners use a structure

3:01:33 to deploy a strategy known as income splitting the strategy is

3:01:37 to partition the business income to both the owner and the business

3:01:41 effectively lowering the tax bracket of the two versus a large income

3:01:44 for just one while it's not within the scope of this book

3:01:47 to dive into tax strategy and corporate formation it does offer

3:01:50 up a fast lane component which is control while C corporations

3:01:54 and their owners are subject to double taxation tax on corporate profits

3:01:58 and dividends to shareholders they are

3:02:00 advantageous for larger corporations and corporations

3:02:02 with an asset growth strategy in other words if you don't

3:02:05 plan on Distributing profits and are focused on building asset value over

3:02:09 net profit C corporations do the job the majority of publicly traded

3:02:13 companies are C Corps that do not distribute dividends to their shareholders

3:02:17 they grow revenue and asset value the S corporation an S

3:02:21 corporation is like a C corporation except that it isn't taxed

3:02:24 as a separate entity considered a pass through entity taxes aren't paid

3:02:28 at the corporate level but at the individual level and reflected

3:02:31 on the owner's personal tax return s corporations also have some tax

3:02:35 advantages because profits are not subject to the Hefty self-employment tax

3:02:39 that comes with sole proprietorships however

3:02:42 unlike CC corporations which have Limitless

3:02:44 owners s corporations are limited to 100 owners and will have

3:02:48 additional filing requirements the limited liability

3:02:52 Corp LLC an LLC operates just

3:02:55 like a corporation with the benefits of a partnership or sole proprietorship

3:02:59 the LLC profit passes through to its owners called members and is

3:03:03 reflected on their personal income tax llc's are also considered a pass

3:03:07 through entity because profit passes directly to the owners for Partnerships

3:03:12 the LLC or escorp is the recommended structure in lie