Martial Arts World News Magazine - Volume 23 | Issue 3

EXTRAORDINARY MARKETING
Wealth vs. Lifestyle (Part 2)
by Grandmaster Stephen Oliver
You know what I’d like to hear about?
1. What’s the quality of your lifestyle? Do you enjoy life? Are
you doing what you enjoy? Do you take time for hobbies, travel,
family and entertainment?
If you don’t have time for these things because of your
incredibly long hours, then, really, what good is the money?It’s
easy to get caught up in working and striving for more and more
money, but money is only good for two things:
First, insuring that you can do and have the things you want
RIGHT NOW. Are you able to afford those “toys” that are important
to you? Do you refrain from spending money on things that
won’t contribute substantially to the quality of your life. Do you
have expensive STUFF to impress others, or because you appreciate
them personally?
Second, so that you can build security for your
future — and I don’t necessarily just mean for
your retirement. What if your school has a
downturn (remember all kinds of unexpected
things can happen)? Are you
financially strong enough to weather
the storm? What if one of your kids has
unexpected medical expenses, or if you
have a medical emergency?
2. What’s your NET Income? How
much money do you have left over from
your business after EVERYONE
ELSE gets paid? If your
expenses are in line and
your gross is adequate
or excellent, you could
have 15%, 25% or maybe
even 45% or 50% left
over. Do $30,000 per
month with $15,000 left
over, and I’ll think you are
incredible. Do $180,000
per month with $3,000
left over — well nothing
personal, but who cares?
3. How much Net Worth
have you built, and how much do you save? Do you have equity
in your home? Equity in the building that houses your school?
How’s your IRA, savings, and investments? Does your SCHWAB
account grow every month,or are you living week to week? Forget
about the guy who boasts a huge student base — I want to
be like a friend of mine who bought the building that houses his
school, and ended up owning the whole city block, with positive
cash-flow from rental income and huge equity. Not very glamorous
in the “bragging rights” pool at the next karate tournament
or business convention, but hey, he paid HIMSELF first!
4. How much have you learned this week, month and year? If
you are constantly learning, you will always be about to recover
from setbacks as well as capitalize on new opportunities. Stuff:
Your day-to-day lifestyle expenses must really be determined by
what is really going to add enjoyment to your life, relative to the
costs.
A Personal Example Many years ago, many friends and employees
laughed at me (remember when they laugh, it’s
your money not theirs). Why did they laugh? Well, once a year,
I would hold a Christmas party at my house — which is huge,
beautiful, in one of the most expensive neighborhoods in the
Denver metro area and has tremendous views overlooking the
city. At the same time, on a day-to-day basis, I drove an Audi
4000, which was at about 150,000
miles (I finally traded it when it failed the emissions inspection,
got damaged by hail and needed more repairs than it
was worth). During this period, my house appreciated over
$300,000, and my car basically went from the $20,000 I paid for
it new to a value of $0.
Often, we are tempted to buy things based upon the image
we hope to project to friends, neighbors, business associates
and others. If you really want that expensive toy because it enhances
your enjoyment on a day-by-day basis,
then by all means, get it and enjoy it. Just decide, on a daily
basis, not because of the “image” you hope to project, or because
of an attempt to impress your friends.
Remember, about the only thing that you can buy for yourself
that has any real value after you buy it is your home.
Everything else, with very few exceptions, begins to depreciate
or have minimal value right after you’ve spent the money.
GRANDMASTER STEPHEN OLIVER, is a 9th degree black belt and is the founder and CEO of
Mile High Karate schools, and founder of the Martial Arts Wealth Mastery Program.
74 MARTIAL ARTS WORLD NEWS VOLUME 23 | ISSUE 3