All You Need Is To Dream

Written by Ed Chew

All You Need Is To Dream

Have you ever dreamed of earning a SIX FIGURE INCOME someday? Bet some of you do. But only a handful of us would actually commit ourselves into making our dream comes true. Instead of committing to pursue our dream we often just sit back and do nothing about it.

"The future belongs to those who believe inrepparttar beauty of their dreams." Eleanor Roosevelt "

Well, for some people, earning a SIX FIGURE INCOME seems to be an impossible dream to attain. It appears that such belief is absolutely pessimistic. To earn a SIX FIGURE INCOME is possible and within our reach if we possessrepparttar 109373 fundamental understanding of how wealth is created and accumulated.

Byrepparttar 109374 same token,repparttar 109375 depth of our financial knowledge and planning will determine our financial future whether we will retire broke, debt-ridden or leave a huge amount of wealth for our dependence. The choice is ours because we arerepparttar 109376 navigator of our own destiny.

As Burke Hedgesrepparttar 109377 author ofrepparttar 109378 book The Parable ofrepparttar 109379 Pipeline eloquently writes , " becoming a millionaire is a matter of choice, not chance."

How To Achieve A Six Figure Iincome And Be Financially Free

Most of you must have heard of people saying; you either be a professional or run your own business to earn a SIX FIGURE INCOME. It is true to a certain extent however, a profession per se does not guarantee one a brighter financial future. Why? Because no matter how much we earn as an engineer, a manager, an accountant, an architect, etc. you will still depend on a paycheck or a fee for a living. Sorepparttar 109380 moment when we stop working, our income will stop flowing in.

Thus, being a professional with a big income is never going to make us financially free. He/she will never make his or her family safe and secure. Burke Hedges calls this group of people a "bucket carrier". He writes," as long as you carry buckets, you have to show up and dorepparttar 109381 work in order to get paid".

Sound familiar isn't it. This is howrepparttar 109382 rat-race world works. Instead of working forrepparttar 109383 money as Robert T. Kiyosakirepparttar 109384 author ofrepparttar 109385 best selling book Rich Dad and Poor Dad has pointed out, we should makerepparttar 109386 money work for us. A brilliant saying!

So how do we get out of this rat-race world? The answer is we need to start thinking on how to makerepparttar 109387 money work for us. Have you heard ofrepparttar 109388 concept of leverage? It is a concept that is widely applied in all fields of work includingrepparttar 109389 financial world. So what is it all about?

What is leveraging?

Leverage is a phenomenal concept that has been known to people throughoutrepparttar 109390 ages. The root ofrepparttar 109391 word leverage, lever is originated from an old French word that means, "to make lighter." Say, if we want to move an object, which is many times heavier than us, what do we do? That's right. We place a rigid bar on a pivot to lever it andrepparttar 109392 object becomes so light that even a child can lift it easily.

" Give me a lever long enough and a fulcrum on which to place it, and I shall moverepparttar 109393 world." - Archimedes

This isrepparttar 109394 power of leverage. In today's financial world, we applyrepparttar 109395 same principle of leverage to time and money, andrepparttar 109396 outcomes are exponential. Leverage allows people to work smarter, not harder, and it isrepparttar 109397 reason behindrepparttar 109398 creation of so many millionaires inrepparttar 109399 last century.

Leverage: The Source of Residual Income

Residual income, which is also known as passive or recurring income, is an income that will continuously generates inflow of money to us afterrepparttar 109400 initial effort that we have put to work or money we have invested in an investment fund. Alternatively, if you are an inventor, your residual incomes will basically derived fromrepparttar 109401 rights and patents of something you have invented and used by others. The same goes to an artist or a musician.

Two Types of Leveraging

Leveraging Money

Have you heard of Warren Buffet? Yes,repparttar 109402 second richest man inrepparttar 109403 world and a legendary figure inrepparttar 109404 stock market that earn six figure income by leveraging other people's money and as result he made himself and his investors rich inrepparttar 109405 course.

Insurance Credi Scoring: An Ethical Issue

Written by Richard D. Schrader

The issue at hand isrepparttar use of a consumer’s credit score as an underwriting tool for auto insurance rates. What is a credit score or FICO score? A FICO score is a credit score developed by Fair Isaac & Co. Credit scoring is a method of determiningrepparttar 109372 likelihood that credit users will pay their bills. Fair, Isaac began its work with credit scoring inrepparttar 109373 late 1950s and, since then, scoring has become widely accepted by lenders as a reliable means of credit evaluation. A credit score attempts to condense a borrower’s credit history into a single number. Fair, Isaac & Co. andrepparttar 109374 credit bureaus do not reveal how these scores are computed. The Federal Trade Commission has ruled this to be acceptable.

Isn’t it interesting thatrepparttar 109375 score most important in our financial lives, our consumer credit score does not even contain full disclosure? As stated aboverepparttar 109376 Federal Trade Commission has ruled that it is ok for Fair Isaac & Co not to discloserepparttar 109377 algorithms used in this process, but what about consumer rights. While it is important to understand what a FICO score is, it is notrepparttar 109378 main issue of this paper, insurance rates are. So where isrepparttar 109379 connection? Allrepparttar 109380 public knows is that Fair Isaac tells us there is a high correlation between people with bad credit and high risk drivers. This notion is insane and from what I can see from this black box approach, there is no real causation betweenrepparttar 109381 two. This type of reasoning is similar to convicting a person of something before they have even committed a crime. For instance, let’s say I do a study and that study shows there is a high correlation between criminals and people with bad credit. Is this to say that just because you have bad credit you are more likely to commit a crime and therefore you should be profiled or perhaps locked up because you are a risk to society?

This system is discriminating against minorities, disabled and in my case college students among others. Fair Isaac & Co claims that they cannot showrepparttar 109382 sophisticated algorithms they use to calculate these correlations and scores because they fear that they would be giving up valuable proprietary information that was very costly to develop and maintain. What aboutrepparttar 109383 cost to consumer’s who may be paying higher rates or in worse cases even denied insurance based on these practices.

The Equal Credit Opportunity Act forbids creditors from considering race, sex, marital status, national origin, and religion, but if we don’t even know how these companies are calculating these scores, how inrepparttar 109384 world could we possibly know whether or not they are discriminating. This smoke and mirror approach is what many government agencies do to subtly discriminate and extort money fromrepparttar 109385 American.

What about extortion? As I reflect on this topic extortion comes to mind. Webster defines extortion as to “obtain by force or compulsion.” By using such unfounded tactics consumers are forced into payingrepparttar 109386 higher rates. First of all, 90% of all insurance companies use this procedure; secondly inrepparttar 109387 interest of society legislation requires all Americans with cars to have car insurance. Living in a country where it is virtually impossible to live without a car doesn’t this present some force to payrepparttar 109388 rates? Also, lets say you cannot afford to buy a car with cash, in which case you could obtain liability insurance alone and save quite a lot of money; but instead you take out a loan,repparttar 109389 bank will require you to obtain full coverage auto insurance to cover them until you pay offrepparttar 109390 loan. While this case may not represent an extreme case of extortion it does give reason to ponderrepparttar 109391 connection.

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