1 Use these materials in conjunction with the FI Program Guide and the FI Instructor Guide. Use the slides to prepare visuals (flipcharts, overheads, slides) and use the notes as your guide in leading the seminar. This work is published under Creative Commons Attribution 3.0 License. Please see for rights restrictions. Financial Integrity Seminar

2 Financial Integrity Transforming Your Relationship with Money

3 “With debt payments hanging over me, I was handcuffed to unfulfilling jobs. Using the FI program to get out of debt allowed me to take risks that I couldn't take before. I could work because I chose to, not because I had to. For 11 years now, I've been completely debt free.” Fred Ecks, San Francisco, CA

4 "The FI Program has been one of the most empowering experiences of my life. I started in college, and it helped me craft a life based on my values rather than financial anxiety.” Alan Seid, Maple Falls, WA

5 “The FI program has given me incredible freedom. I spend my time doing the things that are most meaningful to me -- traveling, volunteering for important causes, learning new things, and being with the people I love. It's amazing to think that all this came about simply by examining my relationship with money.” Jane Dwinell, Montpelier, VT

6 Parking Lot

7 “Ground Rules” Treat all personal information confidentially No shame, no blame Pay attention when you feel resistance. Take some time to ask yourself WHY you are reacting or rejecting Take care of your own physical comfort needs

8 Introduce Yourself Your name Your location (city, town, neighborhood) The main reason you are here

9 A History of the FI Program Joe Dominguez ( ): Raised in Spanish Harlem, poor but brilliant Worked on Wall Street to study money Invested in stock market and lost it all Developed method that combined classic principals with daily behaviors in 9 steps 1969 – Joe Retired at age 31 with savings from paychecks alone – “Transforming Your Relationship With Money” seminars – he never took personal income 1984 – New Road Map Foundation created by Vicki Robin, Monica Wood and others to grant out income related to “the money work” 1986 – Seminar recordings published as audio course Transforming Your Relationship With Money and Achieving Financial Independence 1992 – Your Money or Your Life published by JD & VR 2008 – Program re-created as Financial Integrity materials published under “Creative Commons Copyright” for free distribution

10 Joe’s Framework Financial Intelligence  rational and responsible Financial Independence  meet your basic needs without paid employment Financial Integrity  ???

11 What is integrity?

12 What is integrity? Soundness Sturdy, sure, security Ethical Appropriateness Truthful Stability With an incorruptible foundation

13 Joe’s Framework Financial Intelligence  rational and responsible Financial Independence  meet your basic needs without paid employment Financial Integrity  awareness, wise decisions, alignment

14 Why the Financial Integrity program? Reduce stress about money Have more clarity about money Feel more in control Get out of debt Live within my means and save Be able to do the work I want to do Reconnect with my purpose in life

15 (transition to 9 circles exercise)

16 The 9 Circles Exercise

17 The 9 Circles Exercise - Solution

18 (transition to Money is …)

19 Money is …

20 Money is … Security Scarce, hard to get, don’t have enough Burden, responsibility, stress Don’t deserve it Makes me happy Can get great things with it Freedom, joy A necessary evil

21 (transition to Fulfillment Curve …)

22 Fulfillment Curve

23 Fulfillment Curve

24 Fulfillment Curve

25 Fulfillment Curve

26 Fulfillment Curve

27 Fulfillment Curve

28 Inventory Exercise Visualize a “public” room. List 9 objects and categorize them as: Needs, Comforts, Luxuries, Clutter Report out to the group.

29 Inventory Exercise – Report Out Needs Comforts Luxuries Clutter “Enough”

30 Inventory Exercise – Sample Needs- table, chairs Comforts – upholstered chairs, leather couch, photos, Luxuries – big screen TV, art work Clutter – (depends on audience!) **Some people will categorize similar items in different categories!

31 Enough It takes certain skills and qualities to reach enough, to recognize when you’ve reached enough, and to stay near that peak of the Fulfillment Curve, without falling back into deprivation or down into gluttony

32 Real Hourly Wage & Tracking Monthly Tabulation Three Questions Wall Chart Minimizing Spending Maximizing Income Capital & Crossover Managing Investments Lifetime Income & Personal Balance Sheet The Nine Step Process

33 Break

34 (transition to Step 1 …)

35 Step 1. How much money has come into your life? And what do you have to show for it? Lifetime Income & Personal Balance Sheet The Nine Step Process

36 Step 1. Lifetime Income

37 Step 1. Lifetime Income - sample

38 Step 1. Personal Balance Sheet

39 Step 1. Personal Balance Sheet - sample

40 Intangible Assets

41 Intangible Assets Family, friends Relationships, social network Your body, you’re alive, your health Your skills Education Travel experiences Compassion

42 Step 1. Personal Balance Sheet - sample

43 (Step 1 Reflection …)

44 (transition to Step 2 …)

45 Money is … Security Scarce, hard to get, don’t have enough Burden, responsibility, stress Don’t deserve it Makes me happy Can get great things with it Freedom, joy A necessary evil

46 Money is … a means of exchange

47 Money is … a means of exchange  What are you trading?  You trade your precious time for money!  Money = Life Energy

48 Money = Life Energy  Just how much of your life energy are you trading for money?

49 Real Hourly Wage & Tracking Step 2. Being in the Present: Tracking Your Life Energy The Nine Step Process

50 Step 2. Real Hourly Wage

51 Step 2. Real Hourly Wage - sample

52 Step 2. Is it worth it? Every dollar you spend = the amount of your life energy it took to get it. Every time I spend about $_______ I am trading about an hour of my life energy. When I buy ______, I am trading _____ hours of my life.  The key question: Is it worth it?

53 Step 2 – Tracking Tracking the flow of money into and out of your life Where does it come from? Where is it all going?

54 Step 2 – Tracking Methods

55 Step 2 – Tracking Methods Keep a small notebook – jot down everything Download transactions from online banking Quicken or other money manager software Check book Use debit card, and track cash on notebook.

56 Step 2 – Sample Tracking

57 Step 2 - Tracking vs. Budgeting What practices (budgets, envelopes, spending restrictions) have you tried in the past to help manage your finances? What were your experiences and feelings with those? How is tracking different from budgeting?

58 (Step 2 Reflection …)

59 End of Session 1

60 Welcome Back! Financial Integrity Transforming Your Relationship with Money Session 2

61 Monthly Tabulation Step 3. Where is it all going? The Nine Step Process

62 Step 3 –Add Your Categories

63 Step 3 – Sum by Categories

64 Step 3 – Final Tally

65 Step 3 – Check Totals

66 Step 3 – Tracking Debt What do you want to pay attention to? Separate principal and interest/fees/taxes/insurance Car payments Mortgage Credit card payments Paying off principal decreases your liabilities Interest and fees are the cost of borrowing money

67 Step 3 – Categories  Patterns Why keep track of your totals each month? Discover behaviors and patterns to gain awareness.

68 Step 3 – Gazingus Pins Those unnecessary things you buy automatically, because it’s a habit, or because they make you feel a certain way. You can create categories to track gazingus pins and to monitor when you make unconscious choices out of emotion or habit, and start building awareness for making conscious choices.. What do gazingus pins provide that you can get in other ways in your life? Comfort, connection, security, fun.

69 Step 3 – Gazingus Pins Exercise How do you decide something is a gazingus pin? Where would this item be on the fulfillment curve when I first buy it? Where would this item be in another month? Two months? A year? What are your gazingus pins?

70 Step 3 – Add Life Energy

71 Step 3 –Life Energy sample

72 (Step 3 Reflection …)

73 Break

74 Three Questions Step 4. Three Questions That Will Transform Your Life The Nine Step Process

75 Step 4 –Three Questions Q1 - Did I receive fulfillment in proportion to life energy spent? Q2 - Was this in alignment with my values, goals, purpose? Q3 - How would this change if I didn’t have to work for an income?

76 Step 4 –Add the Three Questions

77 Q 1 –Fulfillment in Proportion

78 Step 4 – Rate Categories for Q 1

79 Q 2 –Alignment

80 Step 4 – Rate Categories for Q 2

81 Q 3 –Financial Independence

82 Step 4 – Rate Categories for Q 3

83 Step 4 – Inventory Exercise Review your items from the Inventory Exercise. (Needs, Comforts, Luxuries, Clutter) What value or goal (other than utility) motivated you to buy those items?

84 (Step 4 Reflection …)

85 Wall Chart Step 5. Making Your Life Energy Visible The Nine Step Process

86 Step 5 – Wall Chart

87 Step 5 – Creating a 4-line Wall Chart

88 (Step 5 Reflection …)

89 End of Session 2

90 Welcome Back! Financial Integrity Transforming Your Relationship with Money Session 3

91 Minimizing Spending Step 6. Respecting Your Life Energy The Nine Step Process

92 Step 6 – Why do we spend money? What Why?

93 Step 6 – Why do we spend money? What ______________Why? Eat out Hungry (necessity) Pay rentShelter (necessity) GadgetsFor fun (luxury, clutter?) New car Transportation (comfort?) Cleaning serviceComfort, convenience?

94 Step 6 – Conscious Actions Conscious Elimination Conscious Consuming

95 Step 6 – Conscious Elimination Eliminate consumer debt Develop maintenance skills Eliminate unnecessary medical costs Eliminate costly entertainment. Rent or borrow whenever possible. Eliminate gazingus pins. Find other ways of meeting the need

96 Step 6 – Conscious Consuming Wait for second generation/buy refurbished Look for quality Evaluate the value of add-ons Shop thrift stores (value for less money)

97 Step 6 –Alternatives to Spending Money

98 Step 6 –Alternatives to Spending Money Get books, cds, dvds from the library Borrow tools from a neighbor Garden with friends Have pot-lucks instead of eating out Skip the convenience foods, and make your own snacks Ride a bike or walk instead of driving a car Join a babysitting co-op

99 (Step 6 Reflection …)

100 Maximizing Income Step 7. Respecting Your Life Energy The Nine Step Process

101 Step 7 – Maximizing Your Income * Move toward the highest possible income * commensurate with your integrity and health * for a finite period of time

102 Step 7 – Conserving Life Energy

103 Step 7 –Why Work? Why do people work? Or … What is the purpose of paid employment?

104 Step 7 –Why do people work? Status Contribute to society To pay the bills Get out of the house Tradition Health benefits, insurance Stimulation Be in contact with people Meaning in my life

105 Step 7 – Income vs. Work When we break the connection between income and work, we can look at our job and ask: Is this really what I want to be doing with my life energy?

106 Step 7 – Maximizing Your Income  Move toward the highest possible income

107 Step 7 – Maximizing Your Income Move toward the highest possible income  commensurate with your integrity and health

108 Step 7 – Maximizing Your Income Move toward the highest possible income  commensurate with your integrity and health What are ways to increase your income, commensurate with your integrity and health?

109 Step 7 – Ways to Increase your Income What are ways to increase your income, commensurate with your integrity and health? Research going rate Ask for raise or promotion (research prevailing wage for your area first) Take a second job Move to job that maximizes your sense of engagement as well as your income, rather than staying put merely for the sake of “security” Live within your means

110 Step 7 – Maximizing Your Income Move toward the highest possible income commensurate with your integrity and health  for a finite period of time

111 (Step 7 Reflection …)

112 Capital & Crossover Step 8. Capital and the Crossover Point The Nine Step Process

113 Step 8 – Living Within Your Means

114 Step 8 – Compound Interest The power of saving with compound interest

115 Step 8 – “Independence” Income

116 Step 8 – What is Inflation? Defined by society: The statistical inflation rate is based upon the purchases of the average wage-earner. But, how average are you? Defined by you:

117 (Step 8 Reflection …)

118 Managing Investments Step 9. Securing Your Financial Independence The Nine Step Process

119 Step 9 – Financial Independence Knowledgeable Adept Sophisticated about appropriate investment vehicles

120 Step 9 – The 3 Pillars The 3 Pillars of Financial Independence Cushion Capital Cache

121 Step 9 – Disintermediation Taking responsibility for: Knowing how to invest in alignment with your goals and values Implementing and managing those investments Dis-inter-mediation “No middle man” Going directly to the source

122 Step 9 – Investment Criteria What investment criteria would you suggest?

123 Step 9 – Investment Criteria Safety Guaranteed stable Income Liquidity Minimized costs (money) Minimized costs (time) Long-Term

124 How the Financial Integrity Program Works All steps are interdependent. The process is reflective and action based. Each step is important to the whole. You will see results even if you don’t do every step.

125 (transition to Participation …)

126 Independence vs. Inter-dependence

127 What are YOUR next steps?

128 Financial Integrity: Tips for Success Create a place for your materials. Customize the steps as you need to. Be patient - change can be hard. Keep a journal - record your changes over time. Check out resources. Find support and friendship

129 Thank you for participating !