5 EASY Money RULES That Helped Me Become Wealthy

 We also need to be able to reverse engineer intentional living and say these are the metrics in business. We call them KPIs. Yes. But what are intentional living metrics to know like I am actually living my intentional life. For me, I have the five C's. I like it. It's like the UF clarity. You have clarity. Part of clarity is you got to know thyself. You got to know where you're going, but then you also have to know the clarity of the metrics. So if we're going to say that wealth is intentional living, like you have to really we got to identify what is wealth. And then but you got to first of all be able to identify where you're at. Yeah. And because a lot of times it's like I can't give you a strategy or a doctor can't say this is what you should do if they're not diagnosing. But then we also need to be able to reverse engineer intentional living and say these are the metrics in business. We call them KPIs. Yes. But what are intentional living metrics to know like I am actually living my intentional life. So clarity is like so key. It's like nothing to do with money, but everything to do with money. Yes it does. If you're if you're not headed in the right direction, then why are we even talking? Then when we talk about the second C's, second C's cash flow. And the there's a lot of important financial metrics out there. Network rate return, return on risk. The lifeblood of your financial life is cash flow. Like the example is this is morbid example, but if you're heart stops beating. You're dead. It's real. And here's the deal is the you might still have your network, your mass of your body, but it's not live because there's. There's no cat. There's no blood flow. I think it's I think it's a there's obviously I'm simplifying this, but it's it's the concept of cash flow is a very, very important. Financial metric. And so we use that as the metric to say, okay, when we start looking at certain things cash flow is going to be the metric that we're going to compare. And we're not going to be emotional about good. This thing is good. This thing is bad. We're going to use cash flow as the financial metric. But ultimately, the thing that trumps it all is our intentional living metric, which goes back to the first C. But we have to understand when we have cash flow, your cash flows can needs to be created. So then we go down to what how do you create cash flow? It's auditing your time. You know, your relationships, your skill sets and your resources and saying out of the overflow of those things, they're creating either service or a product. And those service or product is creating. You know, the percept perceived value of that is going to create cash flow cash flow comes by result of the perception of value of your output. I know I'm triggering some people, but you your cash flows ultimately a scorecard by your perception of value. It doesn't mean that I'm more valuable than you, but it just means that the market is saying they're putting a value on your service or product that you're creating the marketplace. And so that that's interesting, but once you have that, so we could talk all about, you know, you need to reverse and engineer how you're spending your time or your skill sets or we could talk all day long about that. Once you have it, your money is only capable of doing two things. It's either it can be saved, which is a verb. It can be controlled or saved or it can be consumed. And that's really it's a consumption could happen like going to Starbucks consumption could be medical consumption could be taxes consumption could be giving it the idea of consumption is it's gone. Yes. Control I would say save, but I needed five seats. I needed control control was this concept of like your it's a savings and it's more of like you're you're doing something with that. So once we break down so cash flow and creation of cash flow and now we look at the both if money is only capable of doing two things it makes it easy. So let's look at consumption consumption is the cost of your life. If someone makes a hundred dollars and they save ten dollars, that means that the way that it costs them 90 dollars to live their life in this analogy. Yes. But we just look at where that money is going and they're spending their money, they're paying taxes that's going to debt. So we look at certain things like you is your debt aligned is your credit aligned are you overpaying on your taxes. Are you spending money on what you value and hate to say it, but those are the four areas that most your money's going to. And if all we could do is help people get really intentional with where they're spending their money and understand that debt look at debt like a portfolio of assets and say what what's serving me what's not. And and then credit how how having a good credit score versus bad credit work and really enhance that. And then a lot of the people that we serve have a tax problem. You're overpaying on taxes. That's one of the things that we do is we can help people pay pay less in taxes by really understanding fundamentals of taxes. But then when we look at controlled the control element is okay money that's not consumed is control. And and for us it's that it's that emergency opportunity so it's like get build that emergency fund. The ROI of emergency funds are amazing because it's like it allows us to show it more powerfully. And then you have opportunity and opportunity is should be invested in assets and the definition of an asset is something that is valuable that creates cash flow. And then we have the resources that are created equal we reverse engineer you you are your greatest assets so make sure you're not under valuing yourself. But then we just go through what you invest in might be different than I. And our good friend Garrett Gunnerson is like talks about investor DNA which I love because not everyone's created equal. So it's really identifying what assets bring you most most intentionality but also most cash flow. And so people are not aligned they're diversifying too early and they're diversifying them their ability for to even have an impact or make a dent. And so it's it's identifying that but the control aspect and then the final see is just cover make sure that you're covering your financial process from. We don't know what's going to happen you guys are a perfect example of that so so make sure that you have you're doing risk management because we can't eliminate risk but we can manage how risk is going to affect us we can make the definition of risk is your chance of loss. So you guys are a great example of like you got the medical bills have probably were staggering. And if you didn't have the proper insurance is in place it would be crippling. Oh man. That's an example of risk management of like I can't imagine if you guys didn't have health insurance like that would be game over game over. That's that's the framework of like and there's no no no right or wrong is just like a. The beautiful thing about frameworks and processes is just gives you places to it's a process of of how things flow and mindset and I think some of the best frameworks and processes take mindset and money and concepts and bring them all together but ultimately you're only as good as someone implementing it and that's where Dave Ramsey has seven baby steps we could probably poke holes into it all day long. So it's it's people are following it's a friend and I would rather have a a seven I would rather have someone follow this name and maybe steps in that's follow anything in general. So I know I talked a ton. Thank you for listening me out but what are your thoughts on what we're what we're talking about oh my God. Well you got me so hype over here I was going to say Caleb who is your mama and daddy I need to meet them we need to have dinner or and you know obviously take responsibility because a lot of this is you sir but damn Caleb. Like I am just so I'm like what was I doing it in my 20s like this. Oh you inspire me so much but yeah everything that you're talking about so many pull up my notes again so clarity absolutely that's everything that we talk about as far as what we've been learning and again we're we're on the same path right at we've been in the business long enough where we recognize if our clients don't have clarity we can't help you. We would love to serve you and in getting a nice fancy policy but if you don't know what you're going to do then you're going to come back to all of us and be like you sold us a bunch of crap when probably have an amazing product but you just don't know what to do with it right or even understanding why we tell you. No is not a good time for you to get this type of policy and you need to start looking at your income a little differently. Absolutely cash flow we were literally just talking about this we had a retreat with our clients over the weekend and getting everyone to see the importance of cash flow and I love how you break it broke it down it does two things and that's where you strip the emotion away from it you're either going to use it for consumption or you're going to control it and with control I love what you said that's an intentional action right and we were talking about to with with our clients over the weekend banking so when you said saving is a verb we were like banking. We were adding banking in the sense of being intentional because there's a bank right and then there's banking and banking is is taking action and doing something with it so you're either going to consume and control I love that because now also to as a couple right we're thinking about our clients who are couples and this also helps remove another layer of probably blame or whatever you want to call it in the conversation if a couple comes together and they're trying to understand their finance. And when you can just break things down simply simply and categorize things this is our consumption bucket this is our control bucket that that takes the blame game out of things when you can just put facts to to the process and the goals that you're trying to accomplish so yeah I think everything that you said is phenomenal love it and I like the fact that is is where you can have a conversation about it everybody be on the same page that's involved in that conversation. Because it's one thing for us to talk about these life insurance policies when people have even no idea what a whole life insurance policy is versus a term policy so we have to start our foundation or something that we can have a we can communicate clearly about and we both have to find definitions as to what what it is clarity cash flow control we know exactly what that means and we can't start the conversation about how you use your policy or even buying a policy how you use the policy how you create a system around it without. That's how additional information. Yep. Well, yeah, love it love love it love conversations I even love more disagreeing so I don't love that we're agreeing with everything you gotta find things. You gotta give us something to disagree on. I'll say some controversial thing. 60 is controversial. Very much so very much so. I'm moved anyway.