TIME:  Two Sides of the Same Coin

Michael Laurance  The Wealth Coach

     We all want to become wealthy.  You want to be able to own a house, go on vacations and have a good life style.  I know you do!  I also know that you are having fun and enjoying your life.  When you are young it seems that you will always have time and that you can get started later; no need to worry now.  Well, I want you to have fun! However, I also want you to have the life you want, and I am going to give you a great way to start! 

     Understand that "TIME" is both your best friend and your worst enemy.  It all depends upon WHAT YOU DO WITH IT!  Whether it is getting to the gym, starting a diet, or saving money, if you act today, you will be amply rewarded.  If you wait until tomorrow, you will have to overcome an added day of inertia and the lost opportunity.  I can tell you endless stories of clients coming to me at 35, 40, 50, 60 and older wondering why they cannot buy the house they want, or borrow money to start the business they want, or even retire. But not you, my friend!  More goals are killed by TOMORROW than by anything else.  More financial goals have been lost by TOMORROW than in any bear market, mutual fund scandal, or tech stock meltdown.

     I know it is very hard to look in the mirror at 21, 25, or maybe even 30, and convince yourself that you need to save for the future.  It might seem like it will not make a difference.  After all, there are a thousand and one news stories today that will tell you that investing is for suckers, you are sure to be scammed, or you can't get wealthy by saving a little bit of money.  Besides, what good will saving $50, $75, or $100 a month do anyway?  Especially when I need a new cell phone that has the new camera on it!  Well, leave the “news” and cynicism to others.  You, and only you, are responsible for your finances. Therefore, it is time to take charge.

     Ever hear the old story about the pair of twins who started saving at different times in their lives.  Both averaged the same 11% return (this is what the stock market has averaged over the past century!).  The only difference is that one started at age 21 (the smarter one!), and the other waited until age 30 to start saving.  The smarter twin saves the same amount each year for the first five years, and then never saves another nickel.  The slower twin saves that same amount per year EVERY YEAR.  Guess who ends up with more money at age 40?? Age 50? Age 60?  What you do today really will make a difference.

     Time does wonderful things for those who ACT!  It also carries a heavy penalty for those who WAIT FOR TOMORROW!  I want to encourage you to turn time into your ally, and let it work for you!  Maybe no one ever told you how you can get the life you want.  Maybe it always seemed out of reach and you felt powerless.  I know you can have the life you want and I know you are powerful.  It does not have to come at a sacrifice of your fun now.  You do not have to sit home every night.  Simply get started with some amount, today.  Decide that you will put X away weekly and pretend that money doesn't exist.  The truth is we simply live to our maximum. If we had less we would be fine. 

There are simple tools that can help you:

1. Best idea:  PAY YOURSELF FIRST!  Start investing in your company savings plan today, before the money even gets to your checking account.
2. Great idea:  Automatic deduction from your checking into a savings account with your bank or investment firm.
3. Good idea (if you have the will!):  Write a check each month to a savings or investment account.
4. Bad idea:  Buy lottery tickets today for the $50 Million Powerball.
5. Worst idea:  Take action tomorrow!