Kindle Notes & Highlights
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June 28 - July 4, 2023
The budgeting mindset lowers people’s standard of living, as well as their quality of life.
Budgeting has come to mean can’t:
No reason to set up budgeting envelopes, jars, or items that constrain what you do as long as you don’t spend more than you make and pay yourself first.
Budgeting mindsets can feed scarcity as they focus mainly on the price of an item. Retirement planners don’t tell you this, but we will: Budgeting destroys dreams. When you only plan for later, you neglect life itself. If all you think about is retirement, you can't appreciate the present. In being too focused on savings and someday, yesterday, today, and tomorrow may pass you by.
Financial freedom is a mindset.
1. Price. The amount you pay for a good or service. 2. Cost. The economics of a deal measured in the net impact, overall financial benefit, and how it impacts your bottom line. 3. Value. The importance you place on a good or service based on your personal priorities and standards.
Some things are low price, but high cost.
If you skimp on equipment to save a few dollars, but it doesn’t get the job done right and you have to do it over, the cost can be incredibly high. If time is one of your most valuable assets, then pull the trigger and spend the extra money.
People in financial scarcity consider price and price alone. Those who are financially free look at value first, cost second, and price last.
Stop Budgeting and Automate Your Cash Flow
Manage your lifestyle expenses (never borrow to consume).
Peace of Mind Account (short-term savings):
Wealth Creation Account (mid-term savings):
Living Wealthy Account (Value Based Spending):
