Dump drinking Lattes and get rich
I’ve got to be kidding, right? Stop drinking coffee and you can get rich?
Okay, it’s not simply a matter of stopping your visits to buy a Latte and a bun at Starbucks.
There is a bit more to it than that.
But stick with me as I walk you along this secret path to wealth.
Check out my video here:
THE LATTE FACTOR ON STEROIDS
Now you may have heard of the “The Latte Factor”. But what we have here is the Latte Factor on steroids.
Let me explain.
Millionaire author and financial expert David Bach has long been promoting the Latte Factor – stop spending money on coffees and buns at your favorite café and put the money aside to save and build assets.
Here’s Bach on the idea:
“The Latte Factor is based on the simple idea that all you need to do to finish rich is to look at the small things you spend your money on every day and see whether you could redirect that spending to yourself. Putting aside as little as a few dollars a day for your future rather than spending it on little purchases such as lattes, bottled water, fast food, cigarettes, magazines and so on, can really make a difference between accumulating wealth and living paycheck to paycheck.”
He even provides a calculator for a simple calculation based on the interest rate on your savings.
Check it out HERE
Just say you were able to save $5 a day over a year at an interest rate of 10%.
His calculator comes up with the figure of $2,007.50.
And his main suggestion is to use the money saved to invest, possibly in stocks and shares or mutual funds.
But there may be a better way.
DISCLAIMER – Please do your own due diligence when it comes to saving and investing. I am not a financial advisor.
PUMPING UP THE LATTE FACTOR
So what’s this about steroids?
I am currently on a journey to discover the best ways to build a business online and accumulate wealth.
Building assets is a crucial foundation to build upon – using a percentage of your income to build up wealth for a rainy day. It’s not just about income – it’s about what you get to keep. I would hazard a guess that there are many people who have actually done quite well online, only to find they spend all their money.
My approach is to give priority to building assets – especially as we look like we are in for another financial crisis, except this time it could be far worse than in 2008 (Sources: Lynette Zang; Mike Maloney)
THE CORE COMPONENT
If you are looking at David Bach’s calculator and the figure he comes up with when saving $5 a day, it will not look like the type of figure that translates into real wealth.
What matters is what you invest in, how often, and over what time period.
It is important to take this seriously and take the advice of millionaire author Robert Kiyosaki who encourages people to become investors.
But the question will obviously come up: what should I invest in?
And how, as this post suggests, can your asset accumulation run on steroids and bring you big returns?
FIRST THE BAD NEWS
If we check with tuned in financial advisors such as Lynette Zang and Mike Maloney, they will tell you that the traditional places where people put their money – stocks and shares, mutual funds, bank savings accounts, and pensions – is risky, especially given the danger posed by the coming recession.
Plus the return on investment may not be all that impressive.
That is not to say you should withdraw your money or liquidate now. Diversity in investment is a key component in protecting wealth.
But there are serious dangers in traditional investment options.
Again, do your own due diligence – and check out Zang and Maloney.
THE LIGHT AT THE END OF THE TUNNEL
From my investigations I’ve found that key assets to focus on include precious metals and cryptocurrencies. (Sources: Zang; Maloney; Kiyosaki)
If there is a problem here, it’s two-fold.
Firstly, there is a question of risk and the fact that most people are risk averse.
Secondly, there is the question that typically crops up – Are there really ways to purchase these assets in relatively small increments using processes that the average man or woman on the street could handle?
The good news is that it is getting easier to invest in gold and silver and cryptocurrency.
And if you are interested in the Latte Factor on steroids then there is one option that combines gold and cryptocurrencies – SEE HERE.
Again, do your own due diligence and recognize there is risk.
And recognize the need for a mindset shift – to be more open to risk and be open to receiving money (keep those negative thoughts about money at bay!).
THE NEW ONLINE PARADIGM
This more innovative way to look at the Latte Factor is one of a number of options in terms of building an asset base for yourself, your family and your online business.
The core feature of The New Online Paradigm is the focus on building assets as part of your overall business strategy. This is different from the typical approach to internet marketing where the focus is on bringing in income – profit and loss. The New Online Paradigm combines cashflow with savings and investment. It is an approach that attempts to “bulletproof” or “boilerplate” your online business to weather the ups and downs of your business and the financial system.
IMPORTANT DISCLAIMER – The information provided here is for educational and informational purposes. I am not providing financial advice. Please do your own due diligence.