SECRET RECIPE #1
GENERATE CASH FLOW APPETIZERS
Take the first steps in generating life-long income
Your first step is to understand cash flow management. The “flow” in “cash flow” refers to the in and out motion of money: how it flows to and from your wallet. If you are simply earning income and paying bills, you are not engaged in the process of cash flow management — you’re simply surviving. True cash flow management involves understanding where the money comes from, where it goes, and what choices are appropriate in building wealth.
1 bag of all sources of income
3 cups of expenses
1 generous handful of paying yourself first
1 heaping TBSP of living beneath your means
1. Pay yourself first – without fail.
2. Spend less than you earn.
3. Stick to your budget.
4. Calculate your income.
5. Track your spending.
6. Increase your income or cut expenses.
7. Understand wants versus needs.
8. Make the commitment.
1 year, including monthly assessments
After properly preparing this recipe, you can expect to generate additional cash flow, create an opportunity to expand investment options, provide breathing room, lower stress, and produce a more enjoyable life.
There are only two ways to change your cash flow:
1. Manage/reduce your expenses.
2. Increase your income.
Once you’ve eliminated all possible expenses, the only option is to look for additional sources of revenue.