📧 Email subscribers: 43.024 / 100.000 👥 Active users: 1.555 🎞️ New Documentary: Confidence. ⏰ Time it took to write: 11 hours 17 minutes
In today's world, the pursuit of "luxury" has become a universal goal.
Everyone wants to be wealthy, yet very few people succeed. 😔
Why is that?
Is it so difficult to build a tangible wealth? 🧐
No!
People just don't know how to get started...
So, in this 30 minute, I'm going to teach you what 12 years of school couldn't teach you.🏫
If you are committed to financial stability, independence and prosperity, my friend...
You've come to the right place!😉
🚀 How's the challenge?
📲 We have a new Onboarding
Kokesz dove into the research and put together a new Onboarding for the App.
It's much cooler and has only the most important elements. 🔥
We'll be testing this in the next few weeks and if it works well, it'll get a little upgrade next month (I can't give away details yet, but it'll be big)
🤝 Team meeting this weekend
On Friday, the big team will gather in Szeged (Kokesz's new headquarters) and a huge brainstorming session will start. 🧠
The question will be how to capture 10X our efficiency without 10X the work we put in.
But it won't be all about work, there will be joint training, sauna, go-karting and more.💪🏼
💡 Side note: Edu said that the first person who recognizes us in Szeged will get 1 month of free BookBase. So, it pays to keep your eyes open! 😉
🎞️ Mini Courses are expanding
Soon we will add a mini-course on Kryptos by Gábor MakeItCount.
☎️ That's all Gábor said on the phone:
"Listen, this will include all my current knowledge. This is how I would start crypto if I was starting from 0 with this knowledge."
That's a big promise, but knowing Gábor, he'll deliver!
And Bianka Fuller is also making a couple of video mini-courses. 🎥
There will be stress management, overthinking, self-awareness and a lot of other useful topics!
So, it's worth being on the lookout for the Courses menu!
🥳 Bigger room = 40 extra seats
This is the number of seats left for the Mindset Meetup on 16 March.
Now that we've managed to arrange a bigger room, let's fill it up to capacity! 🙏🏻
Don't forget, if you purchase by March 1, you'll also receive a 10-video Communication Course as a gift! 🎁
4.000 Ft for a Course and an experience of a lifetime is not bad...
We made more improvements to it last week, it's completely finished, but we won't publish it until Saturday.
It's gonna be awesome! Here is the thumbnail:
endless self-confidenceon...
💭 Why does everyone want to build a "huge" fortune?
We have so many stimuli in our brains these days and that's why we spend so much on impulse.
But, what does impulsive spending mean?
When you're browsing TikTok, an ad pops up and the product you see there makes you want to buy it IMMEDIATELY. ❗
Well, this is an example of impulse buying.
Or when you're scrolling through your feed on Instagram and a product pops up and you get that feeling of "Ohhh I need this".
I think you get the idea.
In reality, these products don't really need anything, they just make you feel in that moment that this is going to solve all your problems right now.
But in fact, it doesn't. 🤦♂️
You know that with good marketing you can sell almost anything...
ANYTHING!
Of course, a big part of this is modern capitalism, and the rapid advances in technology that push us to get bigger, better, newer.
"You know, the grass is always greener next door."
New car, phone, TV, whatever!
"My friend already has the newest one, why shouldn't I have the newest one?"
The goal is nothing but luxury, glamour, proving our social status through these objects.
You must have had the feeling - when you were younger - that you saw a man getting out of an expensive car and wondered:
"Wow, how much money does he have? I want one of those". 😧
That's exactly what it's about!
And it's these purchases that prevent you from building the wealth you need to live the life of your dreams.
At best, you just can't afford...
Worse case, you take out more and more loans to buy these things, driving yourself into perpetual debt. 😓
"I'll buy this one anyway. I'll pay more attention next month and save more."
And it repeats itself month after month, year after year! ♻️
That is why this article was written, so that you never get caught in this eternal cycle. 🫵
So, you can create the wealth and material well-being you've always wanted.
And, as always...
I'm also giving this to you completely free of charge, just so you can start on this path.
For me, a Post like this would have changed my life.
Maybe this will get you in the mood to read, because you see there are books that make sense. 📚
Fasten your seat belts, we're leaving!
A small request: if you've enjoyed today's article so far and learned something new from it, I'd be very grateful if you could send it to a friend or just share it on Social Media. It would help a lot in getting more people to read my thoughts. Not to mention, you can even get a gift for it!
I couldn't have broken it down any clearer for you.
16 categories - 82 steps.
The list is specifically designed so that if you follow the steps and tick them off in order, you'll be on concrete sure feet by the end.
And you'll be well on your way to generational wealth!
Let's get started!
🧠 1. Develop your Financial Intelligence: The more you know about personal finance, the better decisions you'll make, which will help you reach your goals faster. Read books on the subject to understand the basics.
[ ] Read/listen to these summaries:
[ ] Secrets of the millionaire mind
[ ] The psychology of money
[ ] I'll teach you how to become rich
How to learn the secrets of wealth
📕 Book Recommendation: All these are available in BookBase! 🎧
🔍 2. Take stock of your current financial situation. Know exactly where you stand financially.
[ ] Write down on a piece of paper how much money you have and in what form, right now, at this moment.
[ ] Bank, cash, Revolut, etc.
[ ] Add up how much in total, this will be your starting point.
🎯 3. Set clear financial goals: How much money do you want? Then use the S.M.A.R.T. Goals (set a goal that is Specific, Measurable, Achievable, Relevant and Time-bound, e.g. I want a 100.000.000 Ft house in 10 years.)
[ ] Describe the life you want to live in 10-20-30 years
[ ] How do you envision your future, what kind of house, what kind of car, what kind of wealth (use SMART Goals here)
[ ] Add up how much it would cost
[ ] Make it a goal you want to live up to
[ ] Divide it by the years you have left and see how much that would be per year (we're using a linear calculation here, so the same amount per year, but often in business exponential things happen, for example you make 1 million for 2-3 years, then suddenly you make 5 million. But you can't reliably calculate that.)
[ ] Look at how you want to achieve this?
[ ] Work or business
[ ] If business, what exactly? Answer these questions and try to find one that fits all:
[ ] What are you good at?
[ ] What do you like to do?
[ ] What do you like to do?
[ ] What does the world need?
[ ] Look at what it would take to reach the number you have set?
[ ] How many paying customers? Or how many subscribers?
For example, if the annual target is 10.000.000 Ft, it can be achieved in several ways:
1 service - 10.000.000 Ft (e.g.: a complete marketing campaign for a large company)
10 services - 1.000.000 Ft (e.g.: 10 webshop builds)
100 services - 100.000 Ft (e.g.: 100 afternoon consultations)
1.000 pieces - 10.000 Ft service (e.g.: 1.000 mini course sales)
You see, it is good to think in several scales, and even a mixed version of these is possible.
You see, it's good to think on several tracks, and even a mixed version of these is possible.
📊 4. Make a budget: You'll know exactly how much money you have and what you can spend it on.
[ ] Divide your income by %, for example, take The Secrets of a Millionaire's Mind
[ ] Sign up for YNAB on this website and get 1 month free.
[ ] Create a Wishfarm with a small, medium and large reward you collect
That's how it looks to me, but here the wishfarm is also an investment, because I only save for holidays, which is an investment in experiences. I'm sure some financial advisers would question that, but that's how I live my life and believe me it's better to travel now than when I'm 65.
[ ] Add to that the % you already have and even emojis
[ ] Create goals as subcategories to really fit into the % set
[ ] Add the amounts you have now (bank account, cash, revolut, etc.)
[ ] And make sure you always enter what and how much you've spent in the right place
[ ] Make sure you enter it in the App immediately after each spend, you'll get used to it after about 7 days
[ ] If you have a company, then use the methodology of Mike Michalowicz - "Profit First" and create a separate YNAB account for your company (you can have multiple accounts within one account) and allocate your money into these categories:
[ ] Profit
[ ] Owner's share (dividends)
[ ] Operating expenses
[ ] Tax
[ ] Try to cut operating costs and optimize tax legally if you can. This way you will have more profit and dividends at the end of the year.
🆘 5. Have an emergency reserve: aim to set aside at least 3-6 months of living expenses for unforeseen events such as a job change, medical emergency or unexpected expenses.
[ ] Hopefully you have also added an Emergency Reserve category in YNAB
[ ] See how much money you spend in a month
[ ] Level 1 is to multiply by 3 and set this as your target for the emergency savings category
[ ] Then, once you have that, double the amount and that should be your final target: 6 months of emergency reserves that you will ONLY use in case of an emergency
🏦 6. Pay down your debt: make a debt repayment plan. First, try to pay off your high-interest loans. If you're unsure where to start with this task, feel free to ask a financial advisor for help, as it can save you a lot of headaches.
[ ] If you have loans, sort them by interest rate
[ ] Try to pay the highest interest rate first and work your way down
💡 Side note: Feel free to ask an expert for help here, there is no shame at all and they can help you a lot!
💍 7. Plan ahead for major life events: These events all have financial implications, whether it's buying a house, getting married, having children or retiring. Plan well in advance and you can easily avoid unnecessary stress on your finances.
[ ] Write down when you want to buy a house and how much it will cost (this will of course vary until then, but at least you have a starting point)
[ ] Divide this amount by the years you have left and it will come out to how much money you need to put aside each year. This can be put into the Investments or Wishfarm category with a precise amount of Annual Goal, according to individual preference.
[ ] Remember, the more things you save for, either the more money you have to earn or the less you have to spend. But I prefer the former.
💰 8. Save regularly: make a habit of saving: A good starting point is to save at least 20% of your monthly income. Set up automatic transfers from your current account to your savings account immediately after payday. This way you can invest more money in your future.
Warren Buffett famously said, "Don't invest what's left after you spend it, spend what's left after you invest it."
And there is another saying that has helped me a lot:
"Any money you don't spend makes you richer."
[ ] Anytime, extra money hits you, DON'T spend it immediately, but allocate it to your YNAB category or wishfarm
[ ] Open a savings account
[ ] If possible, set up an automatic transfer on payday
💡 Side note: If not possible, simply add a recurring event (with notification) to your calendar for paydays. That way you know right away that you need to transfer.
📈 9. Invest your money: Investing is not just a sport for the "rich"; it's an option for anyone who wants to grow their savings. There are many types of investments and they are risky, but you can greatly reduce the risk by learning about them.
[ ] See what interests you and start learning about it
[ ] Stock market, Crypto, Real estate, Watches, you name it
📕 Book Recommendation: You'll find these in BookBase too! 🎧
[ ] Decide what you want to invest in first
[ ] If it's Krypto, then start here with the Spark course
[ ] If Real Estate, then listen to these 2 Podcasts:
[ ] If the Watches, then listen to this Podcast:
[ ] Invest a small part of your savings just to experience what it's really like
[ ] Once you're comfortable, you can invest the rest of the money sitting in your YNAB account in the "Invest" category.
📊 10. Diversify your investments: After all, the world changes very quickly and it may not be to the benefit of your investments. For example, if you had your money in Nokia stock in the 2000s, you would have made a big loss as the mobile market changed. So, it can help a lot if you spread your investments across several categories. This way you can protect your capital. Warren Buffet famously said, "Don't have all your eggs in 1 basket, because if the basket falls, all your eggs will break."
This allows me to move freely in space and NOT tie my investments to a specific location.
💡 Side note: This doesn't mean that you have to follow my example, it's just a good starting point.
[ ] So, within your investment category, create 3-4 or as many as you need, subcategories also with %. That way you know if money goes into the Investment category, you know how to allocate it. Think of it like a waterfall that keeps branching from the top.
💸 11.Develop another source of income: it can be risky to rely on a single source of income. Think of it as if the table has only 1 leg, it can stand if you're clever, but it's easy to fall. Each additional source of income means +1 leg on your theoretical table. These could be part-time or freelance work, starting a side business, investing in rental property, or interest and dividends from your investments. In the digital age, there are many online platforms where you can register as a freelancer, such as Upwork or Freelancer.
[ ] See what you could possibly earn extra income from?
[ ] Freelance jobs
[ ] Part-time jobs
[ ] Affiliate marketing
Here I can also recommend 2 courses from my friend Zolixplorer, who is probably in an exotic part of the world right now.
[ ] Or even your investment portfolio (I prefer this)
[ ] The key is to calculate in advance how much money you would need each month and how much capital you would need to invest.
You can do this by:
IF you need 300.000 HUF per month, 300.000 x 12 = 3.600.000 HUF per year
To get 3.600.000 Ft the amount you could withdraw every year without any problems (based on the 4% rule) = 90.000.000 Ft.
I break down the equation: (3.600.000 x 100) / 4 = 90.000.000 Ft
💡 The 4% rule: It states that you can only withdraw 4% of your investment at the end of the year, even if it earns 11% interest. This way you are prepared for inflation, economic crises and unpredictable situations. Besides, you'll always leave a little more money in the bank and more will earn interest.
🧐 13. Regularly review your financial plan: Regularly review and adjust it to keep you moving in the right direction.
[ ] Export your YNAB spending to an Excel spreadsheet every 3 months
[ ] See in which categories your spending has changed from month to month
[ ] See where you could cut back to leave more for Investment and Wishfarm
[ ] Based on these, readjust your goals so you always fit within your budget
❤️ 14. Take out insurance: Insurance is an essential part of a solid financial plan. From health care to your home to your car, make sure you're properly insured against financial losses.
[ ] When your child is on the go, take out life insurance on yourself so that whatever happens he or she is safe - life and accident insurance
[ ] Be sure to take out insurance for your property - home insurance
[ ] It's very common in America, but I've also seen pension insurance in one or two places here at home - pension insurance
[ ] If you work as an employee, it is worth considering claiming part of your salary into a private health fund as you will get a tax deduction and private health care will always be faster than public health insurance
⚠️ It's important to remember that if you want to insure yourself, you should only take out insurance and NOT this hybrid insurance and investment that many places offer in one. It's also expensive and you don't get as much out of it as you would if you did it yourself.
💪🏼 15. Follow a disciplined plan: Achieving financial security requires discipline and persistence. Stay committed to your financial plan and resist the temptation to spend impulsively.
[ ] Be determined and stick to your plan.
However difficult it may seem and however tempting it may be.
Believe me, one of the hardest decisions to make is when you've already scraped together the cash to buy that dream car that's been your backdrop for several years.
But you're conscious enough now to wake up and realize it's completely unnecessary.
It's already happened to me.
It was very difficult...
But looking back, it was the perfect decision!
Anyway, since then I have a different dream car and so I have other reasons to work.
👨🏼💼 16. Get professional help: If you feel your financial situation is complicated and overwhelming, don't hesitate to seek help from a financial advisor. They can provide you with personalized advice and strategies to help you achieve your financial goals.
[ ] If you get stuck, ask an experienced person for professional help. Preferably not from a 20-year-old newly qualified financial adviser, because he or she won't be able to help you that much.
And woah...
We've come to the end of list 82!
How was it?
Did you get it all sorted in your head?
I'm not saying it will be easy, just that it will be easy to follow the plan if you stick with it.
And after all, why wouldn't you?!
After all, your goal is to amass a comfortable fortune that will open the doors of opportunity.
Be that as it may, I hope that with this post I have helped you a little to achieve your dreams!
🔥 Biggest obstacle
The direction in which to develop the blog. 🧐
Because Substack has its limitations...
There's another platform on Beehiiv that is insanely cool for as much as $100 a month. So, I was thinking of doing a Premium section for the newsletter. 💪🏼
You would keep 2 free letters per month and 2 premiums per month.
Membership would be about 1.000 Ft/month.
But a little goes a long way! 🙏🏻
This money would pay for the new Platform and the rest would go to improving the quality of the posts.
More research, more editing, more exciting questions. 🧪
I realized that Kirill (one of the founders of Munch) was right.
"If you want to do good, you have to be FOR PROFIT, because then you can reach a bigger and bigger community with your work."
It's like the butterfly effect. 🦋
So, the decision has been made, the question is when to start.
Maybe after my trip to Alaska. 🏔️
Loading...
📖 What have I just read?
I read "The Time Millionaire Entrepreneur" by Attila Pongor Juhász. It was a positive disappointment to see that there are entrepreneurs in the Hungarian market who learn from the big names abroad. Now Attila is just like that! He translates and adapts the knowledge of the really great mentors to the Hungarian market. 💼
I have already bought my next book, which is "The Clockwork" by Mike Michalowicz, which will help you make your business "self-running". At least part of it! I saw this as a recommendation in the previous book and got it immediately! Then, I'll be back with updates on how well we've managed to automate our tasks. 🤖
🎧 What have I been listening to now?
I listened to Carl Weische's video on how they optimized Hormozi's book funnel. Yes, you heard me right, he works with Hormozi. There was brutal value in the video, it's at times like this that I realize how much I DON'T know. 🤯
✍🏼 Top quote
"The best investment you can make is to believe in yourself." ~ Warren Buffett
