Can You Be Rich? Part 1

What does becoming rich mean to you? Is it early retirement? Perhaps it is the big house and the fancy car. Do you want the personal freedom that comes with being wealthy? Knowing you could go anywhere in the world you wish at anytime. Imagine knowing that your children and even your grandchildren will be taken care of financially after you are gone. Becoming rich is not a birthright or a random act of chance, it is a choice. So the question is, do you choose to be rich?

What is the definition of wealthy? It is not someone who makes a lot of money. A doctor with a six figure salary could still be considered poor if he/she spends every cent they make. The true definition of wealth is someone who makes enough money to live without having to work. That is, their monthly passive income is greater then their monthly expenses.

So what is passive income? Passive income is essentially money you earn that did not require your constant presence to do so. If you stopped showing up to your job you would no longer earn a paycheque. A passive income opportunity may take time initially to set up. However, if done right you will be earning passive income even as you sleep. This is also known as residual income, or leveraged income. A good example is a home that you rent out to a tenant. Once you have bought the property and set up the systems of management there is very little for you to do except collect the money from your bank account. Another example would be financial instuments that pay you a monthly yeild, such as a bond, a dividend or a distrubution. These are but just a few examples. The wonderful thing about passive income is you no longer have to trade your time for money. If you choose to be rich then passive income will be your investment of choice.

Try this exercise to calculate your personal wealth ratio. Add up all passive income you have earned over the past month. For this exercise do not include paper assets such as stocks and bonds. Divide your monthly passive income by your monthly expenses to get your wealth ratio. If that number is one or higher, you can consider yourself wealthy. For example:

$200 (passive income) / $2000 (monthly expenses) = 0.1 (wealth ratio)par This individual has enough passive income to cover 10% of their monthly expenses. Those that choose to be rich make it their goal to achieve a high wealth ratio.

We're just a couple guys you want to educate people, like we've been educated, to help them become financially free. Learn more about us at http://www.choose-to-be-rich.com

In The News:


pen paper and inkwell


cat break through


Financial Planning for Beginners

Financial planning at an early age may seem complicated, however... Read More

Who Wants To Be A Millionaire?

Steve Martin once delivered an opening monologue for Saturday Night... Read More

Your Money Or Your Life

Have you stopped to realize that although you go... Read More

5 Simple Steps for Serious Saving and Financial Growth

1) Pay off your loan, credit and store card debt... Read More

How to Make More Money

When I was a student in London, I had a... Read More

Dont Leave Your Financial Success To Chance

Recently I was reading a book called The Millionaire Mind.... Read More

Spiritual and Emotional Money Goals: The Keys to a Financially Free Future

Are you setting the right money goals?Most people believe having... Read More

The Making Money Obsession - Discover The Real Truth

In most societies, we are raised to believe in the... Read More

7 Power Habits that Build Financial Independence

Financial independence is having the freedom to support yourself through... Read More

Your Own Products Can Make You Rich

Although there are advantages to selling other people`s products and... Read More

Top 7 Ways To Get Rich

Want to be one of the lucky ones on the... Read More

You Deserve To Retire Early

The fact is that most people continue to work for... Read More

Four Pillars of Creating Wealth

Some people in this world are thinking that their poor... Read More

Finding Financial Freedom

Do you ever get this in your email box: Find... Read More

The Philosophers Stone

"If you know how to spend less than you get,... Read More

Turn That Fixed Rate Mortgage Into A Goldmine

When you purchased your home, you most likely got a... Read More

10 Wisdom-Based Wealth-Building Strategies

"It's the business of your life?and you're the CEO!" Gala... Read More

Money Myths Of The Poor

From tender age, we were exposed to myths about money... Read More

Business After The Iraqi War

The rewarding of high compensation packages to top executives who... Read More

Can You Be Rich? Part 1

What does becoming rich mean to you? Is it early... Read More

3 Simple Ways to Generate Cash Flow

This article focuses on generating cash as a full time... Read More

New Year Resolutions to a Better Financial Future

There could not be a better time to mull over... Read More

5 Easy Ways to Save and Build Wealth

1. Pay off high-cost debt. The best investment most borrowers... Read More

The TRAP Behind Websites With INSTANT Searches for Unclaimed Money

There is no questioning that the amount of unclaimed money... Read More

Create Tax Savings And Transfer Wealth To Your Child With A Roth IRA

Parents must give serious thought to protecting their family through... Read More

Increase Your Business with a New Old Method: Vaastu Shastra

Whether an established conglomerate or a fledgling company, a business... Read More

Retirement ? Can You Afford It?

Every day you work is one day closer to your... Read More

Are You Ready For Undesired Events?

Planning for the undesired, accidents and possible unknowns in life.... Read More

Budget Tips

To budget, to have a budget and to be on... Read More

WARNING: The Biggest Lie About Social Security

Like I said, If you are poor and on social... Read More

Lesson 2 - The Commodity Of Kings!

What is "The Commodity of Kings""Power is simply "the ability... Read More

Who Else Is Tired of Life Punching Them in the Face?

Remember the bloodied face of Randall "Tex" Cobb?He was a... Read More

The Predicament of the Newly Rich

They are the object of thinly disguised envy. They are... Read More