Throughout your lifetime, most of you reading this will make in excess of $1 million.
There's only one problem.
It's going to take you 20-30 years to achieve it on your current yearly income.
Despite that, it's still a lot of money.
The bad news is, like most people, you'll spend it all – and after a lifetime of earnings, you'll probably end up with nothing.
How is that possible?
Because no one teaches you about money, you probably received no formal education in the most critical subject that your whole life revolves around.
Did you ever attend a class called, Money 101?
Have you ever thought, why isn't it compulsory to teach children the fundamentals of money?
I mean, so many people talk about how they wish they learnt the secrets of making money at school.
Let me tell you, it's never going to happen.
Schools as we know it today were built out of the industrial age's necessity to create a workforce for the industrial revolution. Henry Ford saw to that, he was one of the visionaries behind the current school system. The whole curriculum that today's society is built on is designed to turn you into an employee (they've done a good job of that, haven't they?).
Nothing more, nothing less.
There are some folks out there who foolishly believe they can change the school system and introduce more life-skills like “understanding how money works and operates.”
My suggestion is, put the oxygen mask on yourself first and forget about changing the system.
Let me ask you a question.
How did you learn about money?
Most likely you picked it up a piece here, and a tip there. You absorbed attitudes from your parents, peers and the media.
You proceeded through trial and error and learnt through the school of hard knocks. What you learnt was probably haphazard, mostly wrong and certainly out of context.
The end result usually is overwhelmed by the whole subject of money. Confused and frustrated – you do the unthinkable… and that is you put your financial future in the hands of somebody with a suit who smells good, looks good but has absolutely no idea about making money (financial professionals).
Here's an example of what I'm talking about – and how ridiculous our system is, and effectively what you're up against.
Let's call Person A, Bob.
Now, Bob is a bona-fide millionaire trader. He makes a living out of trading the market every day.
Now you meet Bob at a BBQ and in conversation you find out that he's a full-time trader. You of course are interested, and you ask Bob for a tip.
Bob casually obliges and says to you that he's looking at BHP at the moment and he's going to enter a trade on Monday morning if all the signals are right.
You take that on, because you respect Bob's history, background and the fact that he's been making a full-timeliving trading the market for the last 10 years.
Monday comes around and you take the trade based on Bob's advice. Now of course Bob never told you to trade the stock, you were just having a conversation. Anyway, after 3 days of being in the trade, you've lost 10% of your money and you get out of the trade.
No big deal, not every trade is a winner.
Why am I telling you all this?
Because based on the way our system is currently run – you can actually sue Bob for giving you financial advice without a license. Despite the fact that Bob is a multi-millionaire from trading.
Now consider this, imagine Bob was not a hard-core trader, but a financial planner 6 months out of school. He's never traded a share before in his life and he gives you the same information.
Let's assume the same thing happens on the trade and you lose some money. Well guess what, you can't sue the financial planner because he has a license.
The moral of the story… Results are meaningless when it comes to giving advice. Degrees, diplomas and process are all that matters. It doesn't make sense, right?
That's why you can't franchise your wealth-building to financial planners and accountants. You've got to take on the role yourself because at the end of the day it's your money and nobody is going to care about it as much as you.
I know I'm on a rant at the moment, but if I estimate the amount of money that has been lost in the last 12 months by financial planners and institutions – it would be in the billions… and yet nobody has gone to jail and no massive court cases.
The poor little investor at best, gets 5 cents in the dollar (if that) and is scared for life when it comes to investing.
Your money – your responsibility.
Don't get sucked in to “guaranteed” returns, especially those that promise 5-8% a month.
I've heard so many tragic stories of late of people who have poured in hundreds of thousands of dollars into such schemes.
The best insurance you can build against being ripped off isinvesting in your own education.
Ultimately, this is the highest payoff.
But if you're going to give money away to a 3rd party, here's my rule… “Only ever invest what you can afford to lose.”
If that's $5,000, so be it.
If it's $25,000 – that's cool too.
But always know in the back of your mind that investments like this are highly-speculative and risky.
Do yourself a favour and invest in your own education – I've been doing it for years and it's the best return of money that I've ever received.