If you had the choice to take $1 million dollars right NOW or a single penny that doubled in value every day for 31 days Which would you choose?

If you picked the penny, how much will you have on day 31 … ? $10,737,418.24

What percentage of lottery winners spend all their winnings within a few years? 70% How many NBA & NFL players are broke or bankrupt within five years of retirement? 60%

TOP THREE REASONS We Don’t do as Well as We’ll Like With Our Money FAILURE TO PLAN - No Financial PLAN We don’t plan to fail, we FAIL TO PLAN! UNINFORMED - No Financial EDUCATION, or MISINFORMATION Do you know the rule of 72? No Financial COACH Who’s HELPING YOU?

$30, Years $600, ???

1 – How to Earn It. 2 – How to Keep It. 3 – How to Grow It. a. Employee b. Self-Employed c. Business Owner d. Investor a.Rule of 72 b.Pension, 401(k), Investments, etc. a. Emergency Fund b. Savings Linear Income vs. Leveraged & Residual Income

The FIRST Payment should be to yourself Use AUTOMATIC Transfers Use payroll DEDUCTION How to KEEP IT - PAY YOURSELF FIRST! Take advantage of your employer’s retirement plan STOP paying yourself LAST!

START EARLY – Do You Know The Rule Of 72?

HOLEAMOUNT 1$ $ $ $ 8.00 HOLEAMOUNT 10$ 11$ 12$ 13$ 14$ 15$ 16$ 17$ 18$ “ Compound interest is the most powerful force in the universe” Albert Einstein 4, , , , , , $ $ $ $ $ , ,

“Nice to have but easy to do without” Adds up over time. What might you be spending on bottled water, coffee, ATM fees, and extra cell phone services? Spending money on small things Track your spending!

Track Your Spending WRITE DOWN everything you spend for a week/month Ask “DO I REALLY NEED IT - CAN I DO WITHOUT?” Everything counts!

Manage Your Money What Is a BUDGET? It’s a written record that allows you to MONITOR your income and ALLOCATE it towards expenses It’s the SECOND STEP on the road to FINANCIAL SUCCESS! It's been said that "spending money without a plan is like driving without headlights!" Your SPENDING PLAN!

FOLLOW THE RULE Monthly Income $4,000

Recommended Percentages - 70% 30% Housing Mortgage, Rent, Utilities, Insurance, etc. 15% Debt Student Loans, Credit Card, Medical etc. 15% Transportation Car Payments, Insurance, Gasoline, etc. 10% Personal Food, Clothing, Entertainment, etc. Monthly Income $4,000 $600 $1,200 $600 $400

What’s an EMERGENCY FUND Why do We Need One? it’s a savings account with a very special purpose. To allow you to be able to PAY CASH for future “Emergency Situations” Without this fund you may HAVE TO USE credit cards or borrow.

PAY Yourself First! How to keep it

2. HAVE AN EMERGENCY FUND 3 – 6 Months of Income! 1.PAY YOURSELF FIRST STOP paying yourself LAST!

Amount Pay-Off Interest Actual Owed Period Cost Cost $1, Years$ 3,800 $ 5,600 (3.1) $3, Years$10,100 $14,000 (3.58) CONTROL DEBT How LONG will it take, when you ONLY make Minimum Payments?

Follow the 20 – 10 Rule Avoid BORROWING more than 20 % Annual Net Income on all of your loans (not including mortgage). PAYMENTS on those loans SHOULDN’T EXCEED MORE than 10 % of your monthly Net Income. Avoid debt unless it makes you money !

Debt stacking it’s an Extremely Effective and Powerfu l DEBT ELIMINATION STRATEGY! It can dramatically SHORTEN HOW LONG it will take to get rid of ALL your debts including your mortgage. It Identifies the IDEAL ORDER for you to pay off debts.

DEBT FREE Takes into account INTEREST RATE and AMOUNT OF DEBT. Must MAKE CONSISTENT payments on ALL DEBTS.

List the debts in order of the LOWEST balance first. Pay minimums to ALL except the first debt.

Setting S.M.A.R.T. goals helps you stay focused on achieving them Putting your goals in writing make them seem more real Specific Measurable Achievable Realistic Time

1- Physical (Health) 2 – Emotional/Meaning 3 – Relationships 4 – Time 5 – Work/Career/Mission 6 - Financial 7 – Contribution/Celebration/Spiritual 7 Areas of Constant Growth for an EXTRAORDINARY LIFE

THANK YOU! Cecilia Prieto