The Shocking Truth About Transforming Debt Into Wealth

Are you tired of living month to month, paycheck to paycheck? Do all of your financed purchases pale in light of the debt you obtained to acquire them?
How would you like to learn how to go about transforming debt into wealth? It can be done, with discipline, a change in habits, and a solid plan.
First, discipline. You need to decide for sure that this is what you want to do. You don't want to be a slave to debt any more.
You want to tell your money what to do for you, rather than having your debt tell you where to put your money. Remind yourself of these things, and it will be much easier to maintain your self discipline in eliminating debt and becoming truly wealthy.
Second, habits. This is a biggie. This is where your friends and family and society in general will think you are completely off your rocker.
You have to stop spending money you don't have. This means no credit card purchases (cut those suckers up!), no financing automobiles, and no personal loans.
You'll find on your journey of transforming debt into wealth that the truly wealthy don't use these things.
You can do this, and if you do this for some time, not purchasing anything that isn't a strict need or specifically allotted for on your budget, in a few short years, you will have the CASH to buy what you want and need, and you will wonder why you ever thought you had to have credit in the first place.
Third, a plan. Your plan is key. Going straight to cash is step number one. (Did you cut up those cards yet?)
Step two is working out a budget. The budget is a comprehensive listing of every single category in which you spend money, spelled out at the beginning of a pay period, before you spend a dime.
You need to tell your money where to go, not the other way around. Pay your bills, and put money in savings to save up for annual expenses like car tags and homeowner's association dues.
Put all spending money in envelopes, labeled for their purpose. (e.g., groceries and personal care products, gasoline, gifts, eating out, medical, etc.)
And now you're on your way to transforming debt into wealth. Get rid of the debt, and you'll have your wealth!

By Brittany Shawnee

Wealth Principle - Put Yourself In A Critical Condition

There is a famous saying by Donald Trump, "As long as you're going to think anyway, you might as well think big." So, make sure that you have a big or monumental goal. It is very natural then, that later on you will eventually ask yourself: "How do I achieve this big goal?"
Our brain plays an important role when we set our goal and formulating plan to achieve it. It is important to note that when our brain is given a choice to do something or to put it off, we will always be pulled towards the more comfortable path, especially if the goal is so difficult to achieve. However, when we have no choice but to do something no matter how big it is, our brain will start taking us seriously and we will always find a way!

Therefore, to ensure that you achieve your big goal successfully, you must put yourself in a critical condition where you have absolutely no choice but to achieve the goal. You put yourself on the line where there is no doubt that the only option is to succeed. You focus on success, you think success, you breathe success, and you dream success. As Benjamin Disraeli said, "Life is too short to be small."
Many successful individuals created the results they did because they simply had no choice. They put themselves in critical condition (their future was at stake) and this action eventually led them to successfully achieve their goals!
Likewise, you must know what is worth dying for. Spend some time reflecting this: "What in life would I not be able to stop doing, no matter what the consequences were?"
You must ensure that your goal is STAMPS: Specific, Time-limited, Action-oriented, Measurable, Purpose-driven and Stretching.

· Specific. The goal must be clearly spelled out.
· Time-limited. The goal must have a time frame and deadline which will force you to watch and put your best efforts to fulfill.
· Action-oriented. The goal must inspire action.
· Measurable. You must be able to measure the goal so that you have the idea in expressing it using figures of measurement.
· Purpose-driven. The goal must be reasonable, i.e. it has a strong "Why" behind it.
· Stretching. The goal must be very challenging, something which pushes you and yet is achievable.
The following five strategies can be used to put yourself in a critical condition to ensure that you achieve your big STAMPS goal:
1. "Burn the ships."
You put everything you have on the line. Of the five strategies, this is the most daring strategy because the stake is very big.
In 1519, Hernan Cortez sailed his fleet of 11 ships from Spain into the harbor of Vera Cruz, Mexico, bringing with him soldiers, sailors, and horses. He landed in Mexico on 4 March 1519. Cortez did not want his troops to have any doubts about their mission, so he gave the order to "burn the ships" to make retreat impossible. His men no doubt understood that Cortez was very serious about this mission and really wanted results, and they had to focus on victory.
When I quitted from my profession to start internet business, I was tempted to go back to my old job when I did not see any money yet. However, I realized that if I did not "burn my ships" then I won't fight very hard to succeed in this internet business.
2. Set a monumental goal.
You deliberately set a highly challenging and monumental goal with adequate time limit so that you will be forced to take a lot of thinking and efforts to achieve it. According to Tom Hopkins, "You can't rest unless you set goals that make you stretch." Remember, however that there is nothing courageous about boldly saying that you will successfully do something without the capacity -- the skills or the resources -- to do it.
In 1508, Michelangelo, the famous artist, was summoned by Pope Julius II to work on a painting project, which involved painting a dozen figures on the ceiling of Sistine Chapel, a small chapel in the Vatican. Once Michelangelo agreed to do the job (albeit reluctantly), he poured himself into it. He expanded the scope of the project to include more than 400 figures and nine scenes from the book of Genesis. He spent four agonizing years sweating in physical distress -- his neck, shoulders and back ached, and his vision was damaged -- as he worked to paint the Sistine Chapel's ceiling and produced a real masterpiece.
What is your monumental goal in your financial? How much are you going to be worth in 2010?
3. Make a public declaration of your goal.
You make your goal and plans public, so that you will be more committed to following through with them. Thomas Edison called a press conference to announce his good idea for an invention. Then he would go into his lab and invent it.
Who should you declare your goal to so that there is no way you will back down?
4. Get other people involved in the process of attaining your goal.
You share your goal with some close friends or relatives, those who will be supportive to you. This will force you to be committed to achieve your goal, and at the same time enable you to get valuable support, advice and information from them. According to Tennessee Williams, "Life is partly what we make it, and partly what is made by the friends we choose."
5. Make a financial commitment on your goal.
You set your goal associated with financial commitment, such that it will hurt you not to do it. What is the extra money you are committed to make or to spend? When it comes to real commitment on money, people tend to be more serious and determined, and put their thought and actions wholeheartedly. As Voltaire properly put it, "When it's a question of money, everybody is of the same religion."
By putting yourself in a critical condition, you put yourself on the line and tell yourself that the only option is to succeed. Failure is not an option regardless of the immense obstacles. You force your mind, body and soul to focus your efforts, play all-out to achieve your big goal successfully and pay the price to reach it.
Make a solemn commitment in your heart to achieve your goal. Commitment is the inner strength that keeps you pressing on when everyone else tells you to give up and getting up no matter how many times you are knocked down.

By Tessie Setiabudi