These are Building Blocks that are the foundation to Financial Success.
Each block builds upon the next in priority, to prepare you for financial success and help you avoid the road blocks and pitfalls you may encounter along the way:

Proper Financial Protection
This first block insures you and your family from financial and emotional losses from events that are beyond your control.  Consider it a safety net as you walk the high wire. At a minimum you should protect your property and your income.

Property includes Auto, Home and Personal Liability coverages.

Protecting your income includes Life and Health insurance. Three types of Life insurance are:
1. Term (10, 20 or even 30 years) -Get a quote today!
2. Perm (A policy designed to keep you whole life, usually has cash values.)
3. Hybrid (includes living benefits - such as money for a diagnosis of Cancer or a Heart Attack or Stroke.)

Income Stability
This next block is the one most overlooked by financial professionals. Most people recognize that a job won't provide for long term financial security. It may be a necessary and good place to start. When the economy changes, as it always does, it is wise to have multiple streams of income. You may also want to consider a business or second income and develop residual income and ultimately have investments that also develop residual income.
1. Job
2. Second Income
3. Business
4. Residual Income
5. Investments

Cash Reserves
The lack of adequate cash reserves causes many to make unwise choices. That it why it is block number 3. We recommend a minimum of 3 to 6 months of cash reserves, the amount you need to spend each month, not the income. If you are putting money in a long term savings and don't have cash reserves, change where you put your savings for one year and you will be on track. Many people use debt or liquidate long terms savings when they have an emergency and don't have sufficient cash reserves.

Be Debt Free
Block number 4 is a stumbling block for many. We are shown at an early age how to have it now and pay later. Check out the video. It is much too costly and risky to carry debt. Start becoming debt free today by living within your means, committing to take on no new debt and then eliminate your debt in the following order:
1. Credit Card Debt (Never carry a balance!)
2. Personal Loans
3. Auto Loans (Would you have bought the same vehicle if you had to pay cash for it?)
4. Student Loans (May be considered an investment)
5. Mortgage Loans (Especially while you have income, your mortgage payoff account should ideally be kept separate from your mortgage loan.)

Long Term Savings
The sooner you get a handle on blocks 1 through 4, then you are ready for block 5. NOT Before, despite what that financial advisor at work says. You should begin saving money for long term goals such as retirement and children's education.
1. Make sure your savings is not taxed as it grows.
2. Avoid only using programs (like IRA or 401k) that are taxed in the future, while missing out on other more tax favorable options. (DO Take advantage of employer matching if available to you.)
3. Be reasonable in your savings expectations. (Usually, the higher the rate the higher the unnecessary risk.)


Create Wealth
Block 6 is the pinnacle. Keep it SEPARATE from the other blocks financially. Don't invade them for the next big thing. You create wealth when you merge opportunity with preparedness. Find something people need or want and figure out how you can help them get it. Wealth is created by leveraging of both human and financial resources, in other words, you need people (working for or with you) and money leveraged. Be careful not to leverage beyond your capacity to lose and thus, risk your long term savings and other blocks you so carefully put in place.
1. Money working for you. (compounding)
2. People working for you. (leveraging time)

We wish you success as you employ these correct principles and govern yourself.


More information is available in a consultation with one of our agents or by attending an online webinar or live seminar. Please contact us for more information or a free consultation.