I’ve noticed a strong correlation between Physical Fitness Power and wealth building & Financial Independence habits. Physical Fitness and wealth building are both character driven activities that require goal setting, focus, commitment, perseverance, and good old fashioned hard work.
It takes a lot of commitment and deep sense of purpose to reach your potential in wealth building and Financial Independence. These are the Power Trilogy that are vital tools for your Financial Independence Journey.
Income Power
This is the building block for the Power Trilogy. You need to have money coming in before you can save and invest it. One of the first things you can do to raise your income is to work at increasing the money you’re making from your day job. Think of yourself as a product and upgrade yourself every year. View yourself as a competitive product with features and benefits, assets and liabilities all waiting to be improve upon year after year, carefully differentiating yourself from others and creating your personal brand. The best way I know to improve myself and increase my value as a corporate employee is to always keep learning and growing. I treat my career as a business and treat myself as a competitive product to be continuously improved, year after year. Here are some examples of some of the topics I’ve chosen for in-depth study over the years.
· Presentation/ Speaking Skills
· Communication Techniques
· Emotional Intelligence
· Sales Mastery
· Real Estate (Live & Flip Strategy)
· Financial Independence & Personal Finance
· Strategic Planning
· Leadership
· Change Management
· Coaching and Mentoring Techniques
I’ve been a Corporate employee all my life and by continuously improving myself and having a Growth Mindset I’ve seen my income grow year after year to the point that I reached the Top 5% income earner in Canada. I personally know what it’s like to have nothing, to stress about paying my next bill, and to feel hopeless. I also know what it’s like to thrive, and I’ve been fortunate enough to create some great income as well. Having money is a lot more enjoyable and fulfilling, but most importantly it gives you options.
Another way to increase you Income Power is to Start up a Side hustle business. Side hustles are all the rage. They're businesses that you can launch on the side. Even while you have a full-time job. Some require a bit of time, others require far more of your resources. This all boils down to your skill set. If you don't have the skills, go out there and learn them. Sign up to an online course and educate yourself. If you want to reach your financial goals more quickly, you may be looking for ways to boost your income.
Personally buying and selling real-estate (Live and Flip strategy) puts me and my family to the Path of Financial Independence faster. We bought and sold 4 houses in 10 years and we put all the Tax Free Profits into our Money Making Machine that produces passive income… 24 hours a day 7 days a week.
Learning how to increase your income and implementing steps to do so should continue throughout your life. Keep on planning and taking steps to earn more money, and make more money in more and more ways.
Income Power has been my greatest strength. Through the years by God’s Grace and lots of Massive Action and Effective Execution I have manage to increase my Income power every year. I now belong to the Top 5% income earner in Canada. If a Very Average & Ordinary person like me can do it anybody can gradually increase their Income Power also!
Saving Power
Saving Power is an important tool in creating wealth and achieving Financial Independence. If you are spending 100% or more of your income, you will never achieve Financial Independence.
If you are spending 0% of your income (you live for free somehow), and can maintain this, you are Financially Independent right Now. So your working career can be Zero.
How fast you want to achieve your wealth goals through savings (7 years? 40 years?) is purely a lifestyle choice and a statement of your personal values and priorities. The paths you choose to realize your financial dreams should reflect your life situation.
Here’s how many years you will have to work for a range of possible savings rates, starting from a net worth of zero:
Savings Rate (Percent) Working years Until Retirement
5 66
10 51
15 43
20 37
25 32
30 28
35 25
40 22
45 19
50 17
55 14.5
60 12.5
65 10.5
70 8.5
75 7
80 5.5
85 4
90 under 3
95 under 2
100 0
As soon as this income is enough to pay for your living expenses you’ve achieve Financial Independence in building wealth and achieving financial independence.
Personally this is Not my area of strength. We were able to achieve Flexible Middle Class Financial Independence through buying and selling real estate (Live & Flip strategy). I am still learning and improving my own personal Savings Power and I am getting better every year.
Investing Power
There are 3 Asset Classes that we can use to invest money. We should design our Investing Power by integrating every aspect of our life, values, interest, skills, habits and abilities. Here are the 3 Asset Classes.
1. Paper Assets class: Conventional buy and hold using low cost index funds and proven asset allocation models. Vanguard Funds offers you everything you need.
2. Real Estate class: Direct ownership of positive cash flow real estate in your local area.
3. Business Asset class: Entrepreneurs will typically build wealth through their business, and park that wealth in paper assets or real estate.
There are no shortcuts to success. Continuously improving in the Power Trilogy requires smart goal setting, long term thinking, great coaching, self-pacing, picking yourself up when you fall, conquering worry, and going the extra mile. The Stronger you become in the Power Trilogy will mean more rapid accumulation of wealth and the faster you would achieve Middle-Class Financial Independence.
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