New Plan for a New Economy

In the past, the common financial blueprint was to find a “good job” with benefits and stay there for 30-40 years. Then, one could retire with a pension and get Social Security. Even my father was trying to push me into the military and stay for 20 years so I can get a pension. The ruling mindset of the Industrial Era was “security”. Since 1971, the “new” mindset has become “freedom”, “independence” and autonomy.Over the past 40 years, the American public has witnessed globalization, downsizing, outsourcing and privatization of various industries. These actions have led to the loss of numerous jobs. It has also led to the end of the “40-40 Plan” (40 hrs per week for 40 years). This new economy requires an entrepreneurial mindset to build personal wealth for yourself and your family. The “new” plan for people to create and build wealth are in the following steps:

1. Focus on RADICALLY increasing your income: When increasing your income, think of increasing it by 25-35%! The reason is because your income has two enemies: inflation and taxes. By radically increasing your income, you can begin to ensure that inflation and taxes will not rob you of your wealth.2. Master an income-generating skill: In order to radically increase your income, you must choose to learn, apply and master a money-making skill. The four main money-making skills are: 1) sales, 2) marketing, 3) product development and 4) money management and investing. Choose one of these four to begin your journey to radical wealth increase.3. Pay Yourself FIRST (10% Solution): Every wealth creator has mastered this one habit. W. Clement Stone stated that the seeds of greatness are not in you if you cannot master this habit. The financial classic THE RICHEST MAN IN BABYLON teaches: A portion of all you earn is yours to keep.4. Minimize/Eliminate debt: As you radically increase your income, you should also seek to minimize or eliminate as much debt as possible. By making “new money” you can address “old debt”. Debt is slavery.5. Create 4 streams of revenue: Bishop TD Jakes stated in a sermon that “money is not the mission. Money funds the mission.” He states that when you create multiple streams of income, it allows you the freedom to fulfill your life’s mission. When you’re reduced to one stream of income, you run the risk of “prostituting yourself to the highest bidder”. So, having multiple streams of income is the new paradigm.

In the Entrepreneurial Economy, there will be tremendous opportunities to create wealth unlike any other time. However, it will require a paradigm shift to meet the needs of this new era. Those who choose to align themselves with this new economy will have financial freedom and security. Those who resist the changes will become victims of the new paradigm.