Secure, Comfortable or Rich?

So, do you want to be Secure, Comfortable or Rich?

If you have graduated from university, chances are you will choose Secure and Comfortable because that is what you are trained to be all your life! You would probably buy unit trust and use dollar cost averaging and then plan to retire on half of your income...just according to plan!

But with inflation raging at 8% to 12% ( real inflation, not the govt stats) , you cannot afford to use the old method of investing amy more!

Say , you start work at 25, work 30 years till 55 , then live on your savings for the next 30 years...you will find that 10 years into retirement, your savings will not last any more than the nex t5 years!

That's when the mid-"later life" crisis will set in!

Enter Rich Dad's Guide for Investing :

You have to make a PLAN and CHOICE on the end result : SECURE, COMFORTABLE, or RICH.

Decide what income you want : Active, portfolio, or passive?

Quickly convert your Active Income into Portfolio and Passive Income.

After being secured, and confortable, it is time to get rich ( retire young and spend your time to get rich! A job gets in the way of getting rich. Hence start generating Passive Income that will exceed your Expenses and bingo...you are financially free)

The choice you make will be measured in TIME, and not money.

Your security purcahsed could be an ASSET or LIABILITY ( asset gives income, liability gives expenses!)

It is AUTOMATIC, BORING and it WORKS. Rein in your impatience, do not rock the proven method.

And the 3E's : Education, Experience, Excessive Cash.
( if you have the Education, and Experience, but no Excessive Cash... keep at it....the experience has probably not reached the Critical Mass yet....)

Sounds simple , eh? Well, humans always tend to complicate matters....