Why so many Americans have no savings

Could you come up with $2,000 in 30 days if you had to? As many as 40 percent of American families can’t, despite the improving economy. Among them is Neal Gabler, who is frequently broke despite his successful career as a writer. As part of a collaboration between The Atlantic and the PBS NewsHour, Judy Woodruff looks at why Gabler and so many other Americans are struggling with savings.

How much of what you would describe as your financial condition is due to decisions that Neal Gabler made, and how much of it is due to outside circumstances beyond your control?

NEAL GABLER: That’s a great question, and I want to take responsibility.

I don’t want to put everything off on these larger financial forces. I chose to become a writer. This is the most financially perilous profession that one can possibly imagine, except possibly being an actor.

I chose to live in New York City because I thought I needed to be close to magazines and publishers that I needed for my writing career. So I did that. And New York is expensive. I chose to have two children. Children are expensive.

I made the choice to send them to expensive colleges, so those were all choices that I made that had serious financial consequences, but, again, those choices were what I call life.

Why is it that we cannot live life and be financially free at the sametime?

If an emergency of $400 came up can you safely pay it?

What about savings? Have you even started to save? 36% of Americans have no savings AT ALL.

 

Now what if i told you that it doesn’t have to be this way? That you can have a nice savings and finally be on the road to financial freedom? What if I also told you that the Federal Government will fund it?

I mean the The 40/40/40 rule of life ! Is obviously not working.

And let’s face it nowadays you spend more time trying to survive than to live so i dare you to Click here and learn how you can create more time and have a financial future.

 

 

The 40/40/40 rule of life!

Greetings, today I would like to talk about the 40/40/40 rule of life.  I’m sure you have heard of it, but you might not know it by this name.  You see the 40/40/40 rule of life is what most Americans live by.  They work 40 hours a week, working for 40 years of their life, and then retire on 40% of what they made.

Most of us have all been taught the same things.  We are to go to school, get good grades so you can get a good college education, and then hope to make good money.  If you have read the Rich Dad Poor Dad books, then you will know that this philosophy is what Robert’s poor dad taught him, which is exactly what most of us were taught.  There is a much better way!  A way we don’t have to life by the 40/40/40 rule.

Let’s just do some math real quick and see how your retirement goal is fairing right now, and see if you on your 40/40/40 schedule?  If you make $100,000 per year, then based on this rule you retire you will live off about $60,000 per year OR $5,000 per month.  Based on the math you would need to have 1 million dollars in savings and getting at least 6% interest.  Are you on Track to have 1 Million dollars saved for retirement?  If your numbers are different you can quickly do the math yourself and see if you are on track for what you need at retirement.

Owning your own business and having a system is a much better way to get to where you want to be.  As I discussed yesterday starting your own business can be extremely risky since 9 out of 10 business fail.  That is why I love the Network Marketing industry so much.  You get access to being a business owner and all the benefits that come with it, without all the risk. Most companies in this industry cost less than $500 to get started, so that is not much risk at all.  The return on investments is out of this world.  Let’s run the same numbers as before and see how being in Network Marketing can change the numbers.  Again we are looking at you living off $5,000 a month that you saved for your entire 40 year working life.  When you join a company they have a system to make sure you are successful, if they don’t you joined the wrong company….smile!  If you will follow your companies system, and do the daily and weekly activities required to make this business work for you, in 3-5 years you could be earning the same $5,000 per month.  I have read tons of books on this subject in the past 11 months and they all say the average person will take between 3 and 5 years to replace their income.

What if you are NOT Average?  At our last company training event one of our speakers said that it took him 8 years to finally figure it out this industry.  That year he finally made his first $100,000, and has since hit the top rank in our company.  Let’s say you are not average and it took you 10 years.  Would you be willing to put in the time to learn how to do this business and be willing to actually do the daily tasks to make it happen even if it took you 10 years to hit $5,000 per month?  Time will continue to pass by so would you rather do something different to change the course of your life?  Remember this is part time work so you can continue working your current job saving up for your 1 million as your plan A.  However, the more you work this business, even part time, if you commit to it and Never Ever Quite, you will soon see that this option will quickly become your Plan A.  I would rather work 10 years at this than 40 years with the same results.

Time for the BIG Question: Do you want to continue doing what you are currently doing and hope to have enough for retirement, or are you willing to look at another option that can get your to your retirement goals much quicker? Check out how you can cut to curve dramatically! CLICK HERE