at the 4-Star Luxor Hotel and Resort
The question is very simple:
Can you have not only a happy life but also a wealthy life?
The answer is also quite simple: You can.
The choice is yours.
By the way…YOU SHOULD BE THINKING: “Is this real or is this not real.”
ANY TIME someone makes a claim you need to be skeptical.
Stupid = Ignore.
Skeptical (Smart) = Evaluate with a CRITICAL EYE.
Do You Deserve a Happy and Wealthy Life?
I have a simple philosophy about this. If you have busted your butt for the people you love and your self, if you’re the person who cares about the people around you…then I believe “yes,” but it’s your question to answer….
Is There Really a Millionaire “Inside” You?
Good question. Let’s get real precise. YOU are a millionaire waiting to happen and the latest scientific research shows that unless you are seriously cognitively impaired or live in a non-free nation, yes, you can make the choice as freely as you choose anything else.
One of the cool things about the October Event is that you will be exposed to a complete model of how the wealthy THINK, how they FEEL, and HOW THEY BEHAVE, and HOW THEY ARE MOTIVATED and what their WORLD VIEW, ATTITUDES and BELIEFS are. Whew….
I will walk you through all of this step by step on the first half of the day on Thursday. When you take a lunch break you will be thinking as the wealthy do. (It’s rather enlightening.)
What I won’t get to on Thursday is VENUE and PROCESS.
In other words, we won’t talk about the market, businesses, jobs, careers, biz opps, pyramid schemes, integrity, value, money, and well….you get the idea….until Friday.
“How Do I Know That YOU Know the Answer”
Because I can add.
Most people who talk about wealth are clueless…and frankly, most have accumulated enough to live two or three years without working.
I care about your reality. I care about my reality and I live a life where I help people live a comfortable, good life that includes unnecessary things life fun, enjoyment, love, happiness, giving, caring, making a difference, fulfillment and most important MEANING. Your life CAN HAVE MEANING.
Most people will never release that.
Like Zig said so often on stage, “Don’t die with your music in you.”
“This ain’t no dress rehearsal,” was John Lennon’s predating equivalent.
Both were saying, do what you love and do it now, because you don’t have a clue as to what day or date will be your last.
Building wealth is more than just “making money.” Building wealth is about building a lifestyle of PERSONAL INTEGRITY and MEANING.
Try living a life with meaning when you spend 8 hours each day in a cubicle.
The “answer” is frankly quite easy.
The IMPLEMENTATION on the other hand…..
“Do I Really Need to Be A “Millionaire?”
Short answer: Almost certainly.
What anyone needs, is to be able to live a comfortable and reduced stress life from now until they have finished their time on this planet.
If you are young, 20’s, 30’s, 40’s, 50’s then this is indeed a *need* question.
If you are older, say in your 60’s or 70’s, then, because of longevity factors, the fact that Social Security will still be paid until 2023 (15 years from now) then you may be able to live on $750,000.
In generally, conceptually, the answer is “yes.”
If you are going to retire when you are 65, are fine living on $50,000 per year, and plan to live 20 years, then of course, yes, you need to have $1,000,000 accessible to you in addition to a home. (And that is the definition of a millionaire, someone who has assets that are $1,000,000 greater than their debts.) If it costs you more than $50,000 per year to live comfortably, then you’ll need more. If it costs you less than a $1,000,000 per year then you won’t need quite that much.
In fact, if you are a man, your chances of living to 85 are not as great as those of a woman who needs that magic number far more than a man.
But even men are eclipsing 85 a good percentage of the time nowadays.
I’m a skeptic, but I have to plan that I’ll make 85 and maybe top that.
The other factor worth thinking about is that for almost everyone under the age of 50, today in 2008, their own personal income and savings is all they will have to support them when they retire or are unable to work.
Finally, having wealth when you are younger makes life more pleasant.
I want to be able to travel and have a comfortable life where I’m in charge of what I do and I want that from today forward.
If something goes wrong in life then there is a way for you to ride out the storm.
People who live in nursing homes spend $50,000-$100,000 annually for that little cubicle of a room.
In cases like this money runs out quickly. For me it’s just a math problem and nothing magical.
In fact, in various scenario’s that I’ve modeled the younger you are today, the more money you’ll need, forget want.
If you are 60 and male you will be able to retire at 65 if you have that million dollars. Otherwise you’ll have to work forever….and that by the way is GREAT, IF YOU ARE WORKING FOR YOUR SELF or doing something you truly love and enjoy doing.
“I Think I Could Live on a Lot Less”
People who believe that should stop reading because there are really two kinds of people in the world. People who believe in The Secret and that all you have to do is wish things into existence (and how is that working for you by the way)
…and there are intelligent people who can do 5th grade math.
I will simply tell you that you are, respectfully, in grave error.
“But Do I want to Spend My Life Chasing Money?”
If you do, you are an idiot.
Life is not about chasing money….ever.
Life is about living a life that is rich with meaning where you can make a difference in the lives of others whether subtle or significant in impact.
If you are chasing money, you aren’t living….and yes, most people cubicle-ize so they can chase money….and NO, this is not how people should be living.
Nothing we talk about in October will be remotely about chasing money.
“Do I Have What It Takes?”
If you can read, think, and write a check, care about the people around you, and indeed, care about yourself, and most importantly the desire to apply things you learn to make your life EASIER and BETTER, then yes indeed.
“Aren’t Millionaires Just As Susceptible to Economic Problems?”
Yes, their house went down in value. Yes, their stock portfolio is not much different than it was in 1998. But as a whole, the group is positioned better to survive the hurricane that is coming soon to the lives of those around them.
“It seems like a dream…”
Most people…it will stay that way because people are “in the moment,” status quo, take care of it tomorrow, start the diet in the morning, start walking tomorrow, quit the job tomorrow, do what I love tomorrow…….people.
And one of the things we address in October is the concept of THREADS…the little things that people can do that can help generate momentum for living a great life.
We are all who we are and where we are, in large part, because of our habits. Generally those habits haven’t helped much.
In October, you learn which threads, which tiny pieces of life need to change to generate the energy to cause action that matters.
I Could Have Been Wrong….
About four years ago I started helping friends begin accelerating
their wealth accumulation strategies by flat out answering their questions when they asked where they should take their savings and put it. The answer is almost the same now as it was then.
These aren’t strategies that would make them millionaires (probably, I guess they could). The goal was only to help them start accumulating wealth faster with their current investments.
Unfortunately, there’s more than just one little thing to do when you’re talking about growing life lasting wealth.
There’s, like…well….a LOT of stuff that has to happen.
**IF ANYONE ever tells you growing wealth is E-Z or implies it, grab your jacket and keys and leave.**
I’ve been helping a lot of people close to me with passive wealth building strategies, like investing in specific things.
…and that…always leads to this conversation….
Should You Be Putting Money in the Stock Market to Build Wealth?
Over the years, every now and then, people would write me when I’d write about rational investing in Coffee with Kevin Hogan. Scowl, grumble, grrr.
And please don’t confuse with putting money in 401 K’s and retirement and so forth as a way to accumulate significant wealth.
It’s potentially a way to accumulate…a little nest egg in case of emergencies.
Write a list of all the people you know who are living off of and will continue to live off of money they have saved in 401 K’s and IRA’s.
It took me 10 seconds. There are none. The plans are good ideas and they are helpful in stashing short- term needs but accumulate wealth for living?
How’s that working for you?
For some, they have their clients in broad spectrum funds that invest in a wide variety of stocks to “reduce risk.” What a lot of hoo-ha. (Hoo-ha is Minnesota for BULLSH…but we are nice people up here…)
Their return over the last few years? Marginal, if any.
Our return? Double and tripling of money. But that will change too…it’s TOO good to last in my mind.
In fact STOP.
Reality Check: Let results and before-the fact suggestions speak for itself. I’ve kept myself out of the investing advice business in large part because it is a function of probability, and also, because it is misleading to cause people to believe that they will retire on their companies 401 K, IRA and pension plans.
Can it happen? Sure.
The answer to the question? No.
So I hesitate to talk about this stuff because retirement plans should only be a tiny part of someone’s personal wealth accumulation program.
Go back through old issues of Coffee with Kevin Hogan for the last four years to see what suggestions my family and friends have asked me for. Compare those Monday morning transparent suggestions with just about anyone’s diversified portfolio of stocks, bonds and mutual funds.
Simply grab THEIR PORTFOLIO of wealth and stocks and bonds and investments and expenses and income and compare. I’ve ALWAYS been wide open to transparency…in ADVANCE. (I’ve already put it all out there in Coffee….!)
I’ve met a LOT of very smart and super honest high integrity people in the investment biz. I’ve also met some very wealthy one’s.
Here’s where a problem can happen….
Not all of the wealthy one’s got that way because of their personal investments and I wouldn’t expect ANYONE to become wealthy because of their personal investments in the stock market, but sometimes you and I get a sense that our future is in the market…and that is scary thinking.
You might want to consider that a license given by the government to advise is one thing and a person’s actual results on the job…another.
Just because someone has a pilot’s license doesn’t mean I wan them on the flight deck when I head out to Vegas.
I’m really big on RESULTS.
Something to ponder….seriously….all pilot’s are NOT the same…. Neither are all doctors, or….anyone. …and all people who have a piece of paper that says they know what they are doing in investing, are different too.
Why the bit of prodding here?
Because for MOST people, it’s their entire LIFE at stake. Remember, I told you to be skeptical. Ask to see performance records of the people who are advising you. Read their Ezine’s or newsletters.
I am *not* an advisor. I refuse to tell you what to do with your money (aside from think and be skeptical).
I’m a closet nerdy scientist.
A lot of people pull out “risk assessments” like they are scientific tools.
They aren’t. They are utterly meaningless. They are there to let you “feel better” when you invest, so you aren’t investing in a way that makes you “feel” uncomfortable. i.e. destined for failure.
Your “risk tolerance” needs to become a non-feeling issue. Because of the fact that it’s people’s entire life savings at stake, they dread the idea that their clients will lose money.
But the fact is that risk is incorrectly assessed by financial planners. They are trying to measure your feelings when your feelings don’t have diddle to do with your wealth.
Just because you feel gold is risky, doesn’t mean it isn’t the highest probability simple investment to make. It can “feel” scary and gold can be categorized as something that is risky by the company that makes the cute little risk tolerance
National Enquirer questionnaire…..
….but my feelings and my score on the National Enquirer Questionairre for risk “tolerance” don’t mean a thing.
Just because your planner uses it, doesn’t mean that SHE is a bad person. It does mean she doesn’t UNDERSTAND her business which is to secure your future to the best she can with what you have….
She is not a therapist. Her job isn’t to make you feel better. If you are paying a planner to be a therapist….it’s time to rethink that.
If you are a planner reading this, throw away the bogus questionnaire. Has it EVER dawned on you that it is essentially an almost evil tool?
You KNOW that the PE ratio of the market is 12 and your client SHOULD be in stocks or that it is 26 and your client shouldn’t have a PENNY in stocks and your client doesn’t know a PE ratio from a dividend.
Your job is to help your client preserve and make money. PERIOD.
And there’s other stuff that planners may or may not take into consideration.
The biggest risk factor is the one that most people under 50 will experience.
They will end up at retirement age, not working, have nothing, have no social security, and enough money to live on for 3-5 years.
THAT is the problem that YOU must solve as an individual and if you are
entrusted with your clients money you better not give a rip what his risk tolerance is, you better be investing highest probability of high return with lowest risk of negative return within the context of the person’s total net worth.
Take this home with you today…..
There is a very kind elderly lady in the car in front of you. She is driving 35 MPH in a 55 MPH lane on the highway and she and YOU could end up dead because she thinks it’s too risky to drive fast.
The lady, honestly and with good intentions, has miscalculated risk.
You and I totally get that the elderly lady is trying to be “safe,” but she doesn’t have the knowledge of analysis, statistics and calculus to be able to calculate that her decision making process is potentially devastating.
We will talk about “risk” and what it is in the scientific sense when it comes to money and you. Because there is nothing to buy or sell, there is no personal bias. It’s math. And people need to get math (and it isn’t that hard to get this kind of math).
Want a QUICK foretaste of life-risk assessment?
If so read this section, if not, scroll to the next section….
QUESTION ONE: If you became disabled tomorrow you’d have enough money to live on for the rest of your life, yes?
No? Then you are at HIGH RISK.
You and your family or those that rely on you are at very high risk.
You are (on average!) SEVEN times more likely to become disabled than die this year.
QUESTION TWO: Your 401 K/IRA/whatever it’s total value is enough to live on when you retire, yes?
No? Then you are at VERY high risk.
Those that depend on you are at SEVERELY high risk.
Why the difference?
Because most people are better prepared NOW for retirement than they will be in 10, 20, 30, or 40 years.
We’ll talk in October about this, but here’s a sliver of it….
When you choose to retire or are no longer able to work, will you have enough money to live the way you want to live for the rest of your life?
Most people’s 401 K and retirement plans are destined for maybe 100,000 or 200,000 at retirement in today’s dollars. (2-4 years of life.)
If you are currently over 70, you will probably have social security until you die. If you are under 60, it will likely be phased out completely before your death. If you are under 50 you need to be thinking HARD about what your plans will be.
The problem with little risk is when contrasting it with investment size. People should take SOME percentage of their net worth and put “it” at “risk.”
Actually money doesn’t “work” “for you” and anyone who tells you it does really doesn’t get money. Another crucial distinction for October when we meet.
There is little logic and huge real life risk, in 2008 of putting your SMALL percentage into the Dow….but there ARE logical investments that will hedge your real life income and other wealth building strats.
In other words, if you or the world screw up (and I generally like the odds of at least one of these things happening) you SHOULD have SOMETHING going on that will go up in value when your world, or THE world goes down.
That is common sense.
If someone has $100 and they are trying to build a retirement portfolio, it’s not going to grow on “little risk.”
In fact…it won’t grown on great risk either but you see the point.
Do I want you to take high risk?
Put it all on number 27 at the roulette wheel?
HA! No way.
I’m one of the lowest risk people on the planet…here’s why…
I’ve always been EXTREMELY risk averse and have had to challenge myself to even rarely break out of that thinking.
When you grow up like I did, 7 people, 440 square foot house….you are conditioned to survive on very, very little.
And we did.
Breaking out of that survival mode was extremely hard.
Don’t get me wrong, survival is a VERY GOOD THING.
But moving from barely surviving and missing the orphanage by weeks or days on more than one occasion….I can share with you that my little reptile brain is EXTREMELY RISK AVERSE.
As you will see, I hate it when people do stupid stuff.
Putting your money in the stock market, whether the DOW or gold or ANYTHING is NOT THE ANSWER for growing predictable long-term wealth.
And if I was down to my last thousand or ten thousand dollars, not a penny of it would be in “the market.”
What would the point be?
So, my answer to “risk,” is not about deviating from the median, it’s about having the vast majority of your wealth SAFELY stashed…and the market is anything but “safe.”
REALITY CHECK: How are all your “safe investments” doing?
Specifically, how much money have you made this decade?
Yup, same as everyone else. End of that story.
….There is never a reason to do stupid stuff in the markets.
We’ll talk about this stuff as it fits in later.
Almost everything I do in life, whether investing, biz building, or whatever, is going to go right past the brain of the average person on the street, because it is so counterintuitive and against conventional wisdom.
I totally understood this.
I’ve never done things in a “normal” way. Normal and average are pretty close in definition and when you look at how the average ANYONE does at ANYTHING it is not something I want to ever be infected with.
The normal, average American will live a literal life of quiet desperation.
They will be dissatisfied, frustrated, wanting their dreams to come true but nowhere near even going near their dreams because they hate what they do for a living. The things they love to do are fading. The things they like to do are rarely experienced. Their creative potential is still there but it’s rarely getting tapped if ever.
The normal, average American is sinking in so many different ways it’s hard to imagine them all.
Their relationships are often fried. They feel imprisoned, handcuffed to careers and lives they WISH they could jump from but wisely fear jumping into the ocean of waiting sharks.
That’s normal. That’s average.
That’s not going to be me…and I do hope, you will avoid “normal” and “average” as well. “Normal” and “average” lives will strip you of ….YOU. You become enslaved to things you never dreamt possible when you were a kid. The normal, average person will end up in a nursing home and die there.
That was my Mom. She was 63. 63.
Her Mom wasn’t average. She died at 36. 36. 1951. I promise you, you do not want either ending to your life.
Less than normal and normal, are not, acceptable.
Normal experience usually feels good in the moment…so it’s COMPELLING to be normal. But here is the reality:
It can be terrible and terrible is normal. That’s normal.
…One out of four people on the planet earth earn less than $2 per day….
I want to show you the SCIENCE of what is possible and do-able by YOUR
This is the Science of Affluence with the somewhat catchy, “releasing the millionaire inside” as a metaphor, a picture of letting YOU ESCAPE from NORMAL and from AVERAGE and from YOUR SELF.
Here is “Average” in the Stock Market…and How Framing
Can Create a Disaster in Your Life…
Conventional wisdom tells you that when stocks “average 10% per year,” over time, that you’ll double your money every 7.2 years, not including taxes, inflation, dividends or expenses.
And that SOUNDS right…except it’s not….and it’s not even close to real. Not 1% of real…
Fact is that stocks over the last century DO average 10% but the average RETURN (what you actually see in money) is about 5% or less and the difference is night and day.
YOU DO NOT WANT TO BE AVERAGE.
…if you have a minimal amount of money to start with, and you are not 10 years old, it’s going to take a LONG TIME to watch that money double given “conventional investments.”
In fact over the last 100 years the market has returned 1% of what all the spreadsheets people show other people. Seems wild but it sure looks good on paper until you do the honest math.
Quick lesson: If you could get your $100,000 investment to pay you 10% annually, reinvested, over the next 30 years, that would double over 4 times, to over $800,000.
WOW! I want THAT PLAN!! Don’t worry there isn’t one.)
If you have a 5% annual return reinvested over the next 30 years that same $100,000 will finish up at about $400,000. Take out the taxes and you have $480,000 and $240,000 respectively.
What is the difference between 10 and 5? $240,000 in this case….oh, did we talk about inflation? ah, you don’t want to know.
I believe people should always have SOME of their net worth invested in some sector or set of businesses….but if you stick too much there, you are risking your future and that …is…stupid.
All of this makes it sound like I don’t think stocks are a good investment.
And, that is partially true. I’ve always got money SOMEWHERE but won’t be in “the market” if that means the DOW or NASDAQ or similar.
When will I invest in the market?
When the Dow drops down to about 5,000, that is when I will put some cash in the market. Right now, I don’t feel like paying $11,000 for a plasma TV that is only worth $5,000.
But that’s just me.
There are sectors that are logical at different times but in “the market, now?”
All things considered, putting money in most other people’s companies no matter how smart they are, today…is too frigging risky for me. I don’t make money if you invest or not, in something.
What Do I Hope Family and Friends Do?
I do care about what you do, but I have no VESTED INTEREST in your actions.
IF you are a friend reading this and you demanded me to tell you what to do and you didn’t then it’s your own fault.
KEYPOINT: ….of course is if you didn’t have any to start with and you were “investing,” then you don’t have anything now either. You can’t grow wealth from the stock market acorn seed when the market is priced at twice it’s real value.
I have 34,000 miles on my 2000 Honda Accord. It’s worth about $8,000 according to Edmunds.com.
I paid $12,000. Want to buy it for $16,000? I didn’t think so.
It’s WORTH $8,000 so only an idiot would buy it for $16,000….. and I wouldn’t let someone do that anyway. So why would I want someone to invest in the market when the DOW is only worth $5000 but it’s selling for $11,000.
Answer: I wouldn’t. It’s as wrong as me trying to ask $16,000 for my little driven Honda. Now, if I saw the same car for $2000, I’d encourage you to buy it for sure, even if another buyer didn’t come around for a couple of years.
OK, so the market while interesting and a place for many lessons is wonderful, it is too spendy for a guy like me.
WHAT DO YOU DO?
Well, you can do anything you want to do. You’ll want your 401 K invested in some basket of stocks that are likely to increase in value over the next 5-10 years. Trying to time it out to what is going to happen THIS YEAR is brutally difficult.
I’ve been lucky in where I’ve had my family invested. I’ve guessed right a lot.
But it’s not as important as being on target for a decade or more.
That’s why we do need to look at the HIGH DEFINITION BLU RAY REALITY.
And we will in October….We’ll look at a scientist’s evaluation of the value of businesses and what makes sense to invest in….but even then….it’s hard for me to have too much in someone else’s house….
What about all the Business Opp’s That Come Your Way?
Just to save you a fortune between now and October….
You probably can’t grow wealth from the biz opp seed. You probably can’t grow wealth from the real estate seed. And, I specifically mean, 98% or more of us reading this.
And yes, we can easily prove it. There will typically be an exception to life rules of all kinds. I’m not lucky enough to be “an exception.”
1) Most new businesses and almost all biz opps fail, but certain kinds fail waaaaaaaaaaay more than others.
2) Businesses like franchises are much more likely to succeed than say the almost impossible to succeed bizzes like Network Marketing.
I’ll get brutally frank with complete data in October, but for now, if you are thinking about franchising or starting any business that requires you to do anything outside of your own home that you are not the main beneficiary of….really think hard because you will probably go down with the ship.
To repeat. There is only one kind of business with very low risk and very good probable and potential return. It has advantages toward building wealth in the next decade and that is when it is YOUR business or you are a PARTNER in a business where you can build your reputation and succeed because of YOU.
Could something like this fail? Of course.
Most will, but they fail for one reason and that is choice after research. In other words, they quit working. This is NOT the case with businesses in the brick and mortar world. It’s so hard to make it out “there” that even 300 Starbucks stores closed this year. Stores OWNED by the parent company!
How much do you need to earn to build wealth?
Look, you can have the smartest guy at the brokerage on your team and if you are making 75,000 per year you probably aren’t going to be able to pull off much of anything….short or long term.
That’s the painful reality.
Have someone email the list of people to you who earn 75K per year and have wealth today. Very short list….if anyone….
100 K per year? It’s done….not a lot but it’s done….let’s say it hits the radar of POSSIBLE but it also hits the other radar of grossly UNLIKELY.
FINALLY The Good News!
BUT once you hit 150 K per year, THAT little difference really does matter because now you are at a level that CAN accumulate.
But wait…one last reality check…
So it’s time to be REAL.
One last time, are you going to REALLY stash 15 of that 75 K?….in a mutual fund or portfolio of funds? If you want to really know what you’re going to earn by doing that see last week’s Coffee with Kevin Hogan. I’ll spare you the details. It’s nowhere near what you want to hear.
There are three crucial things that most people can’t tell you because of conflict of interests…and I don’t have any interests or conflicts so I’m just reading the news here.
1) It takes a chunky sized income to build wealth, but, you don’t need to make seven digits annually to build wealth. Using our 75K annually…that isn’t going to cut it….but 150K PROBABLY will. In the 90’s when the markets were on the rise and real estate was on the rise thereafter with the profits from the market…. people had the impression (delusion) that it could continue and anyone could accumulate wealth simply by “buying and holding”….not the case. Some people got lucky and pulled out in ’99. Other people were just starting their investing at the time and have zip to show for it today.
2) “Investments” like real estate (which is a good thing to have) and 401K’s (which are a good thing to have) and pensions (which are a good thing to have) aren’t likely to amount to much of anything truly impressive for most people. Stash 20% of your income annually and you will have about 3 months of income when you retire for each year you were investing. Could be a little worse or better. That’s a GOOD thing, it simply isn’t my idea of efficiency and optimization of time, money and life.
Now, notice I didn’t say to sell the house, take your money out of your 401K and sell it all. That would just give you dollar bills and dollars bills are worth…..a lot less than people think they are….a lot less….Got a house? Keep it. Got a 401 K? Keep it? Got pension money? (You hope you have what they promise, you really don’t have a clue….so check it out FOR REAL.) If it’s there, keep it.
3) The most common biz opp’s out there which APPEAR to be based on the surprisingly WISE premise of “have a small biz in your basement,” and YES THIS is pretty necessary….those biz opp’s are often pyramid-type schemes which topple over onto most people. Common biz opps aren’t going to do the trick for most people.
The biz opp’s cost too much money even when they are entry level cheap. Cost too much, return is micro-tiny, the effort involved is Herculean and the luck factor (randomness) is enormous. Takes too long to explain, I will in October….but understand this is the case…
As ALWAYS is the case, someone will make money in a pyramid. Ask me about it when you see me and I’ll show you some of the illegal and legal pyramids, how they work and show you who makes money and who doesn’t….the “who doesn’t” is about the 97%…and I’ve never randomly fit into a 3% “lucky” group…. I can’t, nor do I want to, nor would I, sell you a biz opp. I can’t sell you stocks or bonds or CD’s, insurance, investments, nothing, zip, nada.
So why do I care?
So What is in All This For Kevin Hogan?
The first answer is that it’s fun for me. That’s the emotional answer that has no big attachment to it…I have a great time in Vegas and the more the merrier.
And what do I miss if people don’t follow through?
Second Answer: I lose nothing tangible. I lose “feeling” good. And, I like to feel good. I like to know that someone read Coffee, came to an event, had fun and DID SOMETHING THAT MADE SENSE with their life to make it MEANINGFUL and worth living.
I like positive PR when my name is mentioned.
It’s fun to point to the people and say, “she was in the Speakers Course in 05 and now on TV. He was in the Speakers Course same year, now one of the most sought after….He was in the Internet Marketing course, no I can’t get him to return my calls! (He does but from China!)
Everybody likes something.
I like being an INFLUENCE on people. I like seeing the the INDIVIDUAL change the world for the better.
It does sound corny. It is nonetheless a fact.
I like telling people who are “offended” by stupid stuff that there are people that are starving around the block and before you go whining about STUPID SH… feed some people and see if the offense really mattered….
For me it’s about influence. f I care about someone I experience pain when I see what their doing is going to lead to disaster.
Forecasting is one of the few things I’ve always been interested in, and have been pretty good at.
At one time, I picked the winner of 12 Super Bowl games, in a row.
Maybe I got lucky….Maybe….
I can’t sell you a 401 K or stocks or investments or real estate. (Actually I could sell you my house as I am thinking about moving but that’s about it…)
I don’t have a conflict of interest….in anything. No one will be paying me 50% of sales in October to have their stuff at the back of the room in Las Vegas. That’s how it is supposed to work. I’ve never taken the money but then…I’m not bright. If it was “duh” obvious that sticking money in the stock market and letting it “compound” was going to do what you needed, well that’s what I’d tell you. But it doesn’t.
If it was so damn profitable for people to compound their way to riches why are they cold calling you and me?
If it was so bloody profitable for people to be in biz opps why are we having a mystery meeting Tuesday night?
Just THINK about it.
Here is the Great Investment Problem Everyone Faces
Aside from the “errors” in calculation I’ve pointed out in Coffee lately, all projections of stock type investments that COULD produce wealth, demand and rely on DOUBLING in size every 5-10 years. Problem is, that 75% of the money is forecasted to be made in the last TWO “doubles,” which MUST occur between your ages of 55 and 65.
No one ever thinks of that, so don’t worry if it sounds weird.
75% of the money that is to be made in compounding….is required to happen in the last 5-15 years and to that I say good frigging luck.
So if you have 100K invested and believe that you will double your money twice in the next 15 years, you’d have 400K. I can almost guarantee this won’t happen. (Because inflation could be huge, I can’t quite guarantee it, but the point is that it isn’t going to happen that you’ll have 400 K that is worth 4 times what your 100 K is today. Make sense?)
I wish we could just print paper and have it materialize magically at 10% per year. But it doesn’t happen in the real world.
So you can save for 30 years, great.
You got your doubles and triples when you had 5000 and 10,000 invested. Then you HOPED you’d get those doubles again, like people did in say the 90’s, and oops, there were no more doubles to get. (Surprise?!)
So people had saved for 30 years, amassed 25% of what they were told they would need when they retired and today, 10 years later, they still have 25% of what they need. They, are screwed.
How long can you live on 100 K in Texas? Chicago? San Francisco?
I’m looking at 4,3, and 2 years….respectively…….that’s the deal.
I can’t look someone in the eye and even fake telling them this scenario is the road to wealth and a meaningful life.
Anything that DEMANDS growth/doubling in a SPECIFIC time frame (the 10-20 years prior to you “retiring” or “needing the money”) is likely a DUMB STRATEGY to stake your LIFE on.
So the stock market, where you put your 401 K, while a good place to hang out and learn, and even make SOME money, SOMETIMES is still not a printing press.
KEYPOINT: THERE IS NO FREE MONEY.
“Kevin Hogan said there is no free money. He is so radical. He’s not an investment professional, how dare he say that where my clients can read that. My clients get free money.”
Squirrels don’t get “interest.” They get the nuts they stored.
I have money in certificates of deposit. They pay whatever they pay.
Do you think for a SECOND that they pay HIGHER THAN whatever the inflation rate is? THE REAL INFLATION RATE? Nope, they don’t.
No bank that is going to last would be dumb enough to do that.
The government (regardless of where you live) will give you a bond that pays you a TEENY TINY amount more than inflation….sometimes…but it’s so modest that the only thing compounding is your headaches as you grow old watching your money not grow with you.
Yet, compounding in theory and in SOME places is logical, rational and smart.
So have I sold you on that biz opp yet?
Or the new buy real estate with no money down concept? I mean how hard is that to sell until you do the real math?
“Hey, have some real estate. It’s free, you make money, you sell your house for more, you get rich….”
Really? Show me….
….no one showed…
Can it be done? Sure.
Consistently? Predictably? By Most?
What is Money?
MONEY, REAL MONEY is something of VALUE/Experience/Identity.
It is exchangeable for SOMETHING ELSE that has value.
If money comes too easy, beware the consequences.
If it’s coming TOO HARD, recognize you’re doing SOMETHING WRONG.
MONEY is an EXCHANGE of VALUE/EXPERIENCE….
If you are having a hard time accumulating wealth, then you are doing something wrong on the VALUE END.
And THAT is easy to understand.
Almost EVERYONE SCREWS THIS UP.
The people I’m bringing in to this event in October are sharp people who built their bizzes from zero.
They had nothing. They produced value. They *earned* SOMETHING. They didn’t stick all their money in the market and pray.
They *created MORE value for MORE PEOPLE.*
“Dang, Kev, this almost sounds like it’s going to require increasing my thinking or some form of effort or movement or motion….”
I know, I ask a lot. It will…it does…it is…
Releasing the Millionaire Within: The Science of Affluence
That’s more than a cool name, it’s what we will do in October.
I will show you how I’m “invested” in October, if you want to know. I’ll take the time and walk you through the math of “why.” I’ll show you the probabilities of success and failure. I’m not going to tell you to do the same because investing in any of the markets is simply not a predictable and consistent road to wealth.
When millionaires who did NOT INHERIT their money, are interviewed, you learn one thing….they did NOT build their wealth from their own investments in the market.
Perhaps 1% of all wealthy people got their because of investing in the stock market….perhaps. So, yes, I’ll show you, but don’t hallucinate that you will be part of the 1%. It’s simply NOT that easy.
….and while owning real estate is a good insurance policy, it’s not really a great investment looking forward 5-10 years. (maybe more…)
BUT I promise, I will take two hours and show you what I’m doing now.
What my family is doing and what my friends are doing. I’ll explain why I
don’t charge to put my portfolio in Coffee with Kevin Hogan every week
when others that produce negligible amounts of money charge hundreds
and thousands of dollars for advice that returns a heck of a lot of money.
How risky has all of this been?
I’ve got my children’s college education’s invested in exactly what I report in Coffee. If there was any significant “risk,” I wouldn’t consider taking a chance.
But all investments carry risks…right?
Well, you can believe that, but I would need someone to explain to me
how oil prices are going to dramatically drop in the next two years…
any scenario would do…I can’t create a fictional scenario…let’s see
Iran and America forgive the past, and all sit down to have lunch with
Russia and Venezuela for dinner? Nuff said.
And gold. Gold increases in value because currencies become impotent. Gold is generally not a great investment. It is an insurance policy against bad stuff happening in the world….stuff that rarely happens in America like high foreclosure rates, a bank going under, other countries not wanting to accept our money…stuff like that.
Yeah, that’s gonna change real soon….
And international companies (esp those in the Pacific Rim and Eastern Euro)
…they’re going to start doing worse?
Oh yes, I can see the Chinese consuming far less in the next five, 10, 20
years than I see right now. What about everything else?
…Like the DOW and the NASDAQ and buying U.S. real estate with no money down or with 20% down or …yeah…stop laughing…it doesn’t take a rocket scientist.
All that to say that, that…is NOT what we will spend our week in Las Vegas
together talking about. There won’t be time. Investing is what you do with your money that you aren’t using to develop your own micro-business.
Las Vegas is the perfect venue for Releasing the Millionaire Inside: The Science of Affluence because it is a FUN place to be.
CONTEXT is SO IMPORTANT to influence and my job is to transform your thinking and belief structure so that you depart with certainty that you can do what so many others do, but most don’t.
And if your brain remembers that it was FUN….then you will actually do it.
Your brain gravitates to FUN.
Is Everyone Welcome to Attend Releasing the Millionaire Inside?
Sure, money matters, but part of being wealthy is you don’t give a rat’s patut (sp?!) whether you turn away some moron.
If you come to something that is MY event, IT will be FUN. (and if I am not going to have fun, I will not have the event.)
It’s going to be exciting. Fun…a richly rewarding experience that people haven’t experienced before. Why?
Because I *hate* wasting my time. I *hate* having my time wasted.
You should know I’m 100% prejudicial and selective.
If an idiot applies to come to Releasing the Millionaire Inside: The Science of Affluence, their application will be rejected.
This is a private training. Not public. It is 100% selective. I’m not interested
in providing equal opportunity for idiots.
If people aren’t pleasant, nice, fun or interesting (or at least some combination
thereof) they will not be invited from their application and if they disrupt
my week (or yours) they will be shown the door.
The next thing you need to know is that as fun as this is, I don’t do
“rah rah” stuff.
You can go rub someone’s shoulders and shout to the stars after class in plenty of places in Vegas.
You don’t do stupid stuff in my events or at anything I do where I’m at the front of the room!
AND SPEAKING OF THE BACK OF THE ROOM…
….I do NOT NOT NOT NOT NOT NOT like back of the room selling.
I can’t tell you how many people I’ve talked with in the last few months that
told me something like, “hey Kev, I spent $5000 and then got ZIP for info. They were ‘sell, sell, sell’ the whole time.”
Hello…that’s what you can anticipate pretty much…everywhere…from pretty
For a decade or more I’ve put on Boot Camps and trainings.
Simple rule: No Selling.
Exceptions: Yep: If money is going for a charitable purpose that I help determine as needing love and money. You bet. Then that request lasts about…30 seconds.
And obviously I have damn good taste and trust in the people I bring with me, to work for you.
If something they do can directly help you, I’m not going to keep it a secret. But the purpose is to get stuff on the front table DURING the event.
Rarely are their products available at my events. I’m thinking…
I asked Dr. Eric Knowles to bring his amazing Resistance and Persuasion DVD set to Influence Boot Camp 2007.
I demanded 30% of sales and then refused the 30% (hee hee!) and had Dr. Knowles send 10% of the proceeds to a young seven year old boy in California that will never walk without a miracle…I’m good for making miracles…
Oh, I asked Dave Lakhani to bring his new book on Persuasion one year and
basically did demand that everyone buy a book. About $25. I then matched the total and sent it to a needy child that we could make a difference for…
And that…is all I can think of in the last decade…two…
AND when I hold an event I train the event, it is indeed my event. My whole being goes into making this a superb experience for you.
I haven’t “Sold you” on how many benefits you will get from attending
Releasing the Millionaire Inside: The Science of Affluence…and what the experience will mean to you and do for you….
OK here is your Required Checklist
1) You will learn the latest data on how wealthy people think, how they behave, what they do, what they believe and what their attitudes about dang near everything are.
2) You will be given….assigned….one or two actions or THREADS that you will perform personally, every day for a long, long time. This action(s) is your snowballat the top of the mountain. I’ve done this with people and need nothing more from me.
The results have often been dramatic and sometimes, I confess, I wish that I was a bigger part of the person’s exploding into the media or wealth, but whatever, my better nature takes over and I’m happy…
3) You’ll uncover your SELF SABOTAGE triggers and behaviors and you will be given projects to DELETE THEM from your behavior. The uncovery process is immediate. The deletion process can require weeks or months. (Sorry, I wish I could wiggle my nose…I can’t.)
4) You’ll be shown the models of wealth building, the drawbacks and predictability of all the most experienced methodologies.
5) You’ll walk through the most common experiences along the path to wealth building, where people fall or fail and learn exactly what to do next.
6) You’ll be able to apply all of this to your real life so you can begin on demand.
What will our schedule be like in Las Vegas??
8-9 Coffee with Kevin Hogan…live!
9-12 The Millionaire Data – A compendium of actions, behaviors, beliefs, attitudes, experiences, and thinking of SELF MADE MILLIONAIRE’S. There will be NO focus on those who have inherited wealth.
1-3 The old models of wealth building. (Real estate, monthly stock investing,
trading the markets, working for someone else, et al.)
3-5 The new triggers of wealth building…THREADS…never before released by
ANYONE ANYWHERE. Not Kiyosaki, not Harv, not anyone…you…are first…and if being first makes you nervous…excellent…because that can be an important piece of threads! THREADS requires no significant amount of money to “invest,” nor is there a follow up course to threads…there is no THREADS II (though it does sound cool and thus I won’t count it out, but my schedule is pretty packed next year)
End of Day One, Beginning of a Fun night out and about. (Dinner is typically “late” in Vegas.)
8-9 Coffee with Kevin Hogan…live!
9-11 The Threads Model. What it is, how it works, why it works, evidence that it works, comparing to the majority of models that (eeek) don’t really have much going for them…a basic understanding of what will happen in the next six months of your life and how to experience the evolution that will happen in your life. (WHY? Because CHANGE is scary for a lot of people and we FIX ALL the problems that stem from that before they become a mess and screw everything up that we work on.
11-1 Explaining what risk is. Discussing the risk of each person’s current life. (Probability for wealth accumulation vs. maintaining current life standards, vs. putting the money in the bank or bonds or the stock market. ***Understand this: I have a LOW tolerance for risk…a VERY LOW tolerance for risk. I do NOT buy lottery tickets or do ANYTHING that is riskier than the spin of a roulette wheel. I don’t invest in stocks because it seems to be conventional wisdom. There are only TWO reasons I take my money and put it in a COMPANIES hands. I’ll show you what they are and how to know
if you are making the right DECISION…and you MUST be able to INSTANTLY evaluate CHOICES and DECISIONS in your life or you will be SCREWED.
2-5 YOU SQUARE ONE– Genesis— You privately record experiences that you have in life so you can know precisely what MUST stay the same in life and what MUST change in life so you do NOT self sabotage your future. (Think about the last person who showed you that… exactly…never happened…explains a lot…)
Optimizing and Maximizing the Millionaire Models with Fred Gleeck, JP Micek and Kevin Hogan
- What are the common threads between Self Made Millionaires?
- What behaviors, actions, thoughts, beliefs and attitudes distinguish this group from groups of normal every day upper income people?
- Can you do the things that wealthy do and get the same results?
- Is there anything predictable that is reliable in Releasing the Millionaire Inside?
- What makes an event like this, with me, so different from any other?
- How do you know that there will be real answers to hard questions?
- Will it be fun?!?!
- Can you have it all, or are you different?
- Can you really get out of the hamster wheel once and for all?
- Are there any “short cuts” that can expedite the process?
- Instead of having a Millionaire next door, can there be one….in your house?
- What businesses are easiest to start that you can mostly run from home, which will be most likely to end up with the wealth of a Millionaire?
A very, very cool day!
Fine tuning the download of the previous two days so you have everything you need in sequence that you want to do.
(Special Guests, Surprise Guests)
The Secret Law of Attraction
Nowhere did The Secret strike it rich like it did in California.
Visualize, get a good feeling about it, be grateful, see it come into your life.
And it works!
The person goes to the bank, and on faith takes out a loan because they have visualized it, felt good about it, and are grateful and sure enough they move in on the 1st of the month.
And since the release of The Secret, the foreclosure rate in California is up and the prices of houses have dropped by 1/4. Imagine how philosophy can integrate into real life?
People are losing everything they struggled to earn over the years and they get hit so fast and hard they can’t imagine what they did wrong.
Isn’t buying a home a good investment?
That’s the real secret. The real result of thinking in the fashion taught in The Secret is destined for poverty. Not sometimes. Almost every time.
But I’m broke…
I grew up poor in Chicago. There were people who had less, but I don’t know anyone who had less money, except maybe the few homeless that would walk the streets in those days.
The difference between where everyone in that neighborhood “ended up” was in large part a result of thought and belief.
There were people who had lofty aspirations and they loftied themselves into bankruptcy at a young age. Sometimes twice.
So why was it that in our 440 square foot home, 4 of 5 little kids ended up with enviable income after they “did done growed up?”
It’s all about thinking, a few key instructions, and having a *real* map that is a true plan with contingencies and all…ON the map.
My Mom never said, “visualize, feel good about it, be grateful for what you don’t have yet, and receive it.”
She said, “no matter what happens we will survive.” “I don’t want you to go to the orphanage. We will survive.”
Now what kind of “success talk” is that?
It’s the only kind possible.
Talk of making millions to those little kids and you bend their brains in such a way that they turn to crime…the only way they would learn to get a lot of money. And many of those kids in that neighborhood did precisely that.
And crime touched all of us at some point in our lives.
At one point I was the victim of theft from one of the kids in the neighborhood. Broke into my bedroom, stole coins I had collected since I was 7. Spent all of the money. I was saving it for college. It would have paid for a year or so.
I recovered. Earlier in life, I had savings bonds stolen by someone I loved. Another year in college… I was a massive “saver” as a child. When you’re poor you either spend like an addict or you stash like it will be gone tomorrow. I fell into the latter camp because I hated being poor.
The advantage I had, was a Mom who wouldn’t tolerate deviance. There was never the option of “giving up.”
Our house was the home with the open door where everyone was always welcome and where anyone who needed a place to spend Christmas could be.
There was no money.
There was no deviance.
There was no tolerance for stupidity.
The four kids who went through hell with the Mom who accepted all and accepted no B.S. from anyone within or without…they all “made it.”
The odds of those four little kids “making it” was about 1/20 to the fourth power, or about 1 chance in 16,000…
Today, whether you are 30, 50 or 70, you have many years left on this planet!
Did you know that someone who is 65 years old today has a 5 in 6 chance of living to be 85?!
THAT is amazing. My Mom died at 63. Her Mom died at 36. Alcoholism.
That was one reason there was no tolerance for stupidity…
Mom was smart…not a genius, but probably close.
She never stepped foot in college.
She married young.
Married again. And again. And again.
Had a bunch of kids.
The reason this course will occasionally be referred to as “The Millionaire on Mom’s Advice,” is not because she had all the answers.
She didn’t even have a lot of the right questions.
She had no means. None. Zip.
But she had the ability to direct behavior in specific ways that work in creating a wealthy mindset.
She instilled thoughts, beliefs, attitudes that most people wouldn’t even guess…that ultimately do create The Millionaire Mind.
So that’s a slice of my story.
What about you?
You’re an inch away from the door. Opportunity knocks or you get finally are motivated to make life happen, you are going to do it, and then…
Are You Here?
Your wife is pregnant.
Your husband walks out.
The car dies.
A family disaster strikes.
You get motivated.
The unexpected bill hits…it’s big and bad.
And then you read this.
And you think, “now that IS Kevin Hogan, but can he really help ME make it? I mean really? How can he help me when I’ve failed so many times and never been able to take the chance.
“I’ve never finished what I’ve started and a lot of the starting stopped when I started thinking about things instead of doing them.
“So how can he help when no else has been able to help.”
You had best ask and scrutinize all claims from everyone…
1) I didn’t “make it” selling “success and money” information. I worked real jobs, developed real businesses and most importantly…
2) I was a successful therapist (I STILL see an occasional client because they just won’t go away!) . My tool of specialization was deep regression hypnosis. I did this full time for almost a decade.
Unlike NLP and those who do hypnosis, I did hypnotherapy. It’s the opposite of verbalization. Hypnotherapy is what happens when the client does all the talking. The therapist listens and occasionally points the client in a direction or asks for more information.
And I’ll walk you through it all.
For you, you get to learn the inner workings of what people REALLY THINK, all culled from 10 years of clients decisions, thoughts, beliefs and attitudes.
In regression hypnosis, people don’t lie. It’s about the only time that is the case. They simply tell the truth. They simply say what happened…
And that gives the therapist who listens for a living a unique vantage point on human nature.
We find out not only exactly what people DO, but we find out what they REALLY think, and thought at a certain time, and WHY people did what they did…and do what they do…and WHY people can’t say in public WHY they make certain choices…WHY people cover up…a lot.
And what do we find out?
That most everyone covers up a lot, to remain politically correct and societally accepted.
In other words, people want to conform to whatever bizarre standards of behavior, ethics and morals are set up in a community/State/ or Country.
And people will do precisely