All I want for Christmas is… a new Lamborghini

Actually, my next dream car is the Tesla Roadster which is all electric, goes 0-60 in 3.5 seconds, and costs less than 1/3 of the new Lamborghini Murcealago. Check it out at http://www.TeslaMotors.com.  Way cool.  Several billionaires have already placed their orders and the first cars are set for delivery next month!

The Lamborghini Diablo is my 7 year old son Benjamin’s favorite car, so I bought one last year to show him you CAN live your dreams.  

It’s Christmas season, and as kids we all dreamed of having cool stuff every December.  Why not go ahead and get in touch with your inner child and start dreaming crazy dreams again?  Don’t let what others told you to steal your dreams stop you any longer. “Get your head out of the clouds.” “We can’t afford that.” “Who do you think you are?” “Don’t get your hopes up- you might get disappointed.” Any of those sound familiar?

Well, tell me… how is “getting your hopes DOWN” working out for you?!?  God created us to dream, to imagine the seemingly impossible.  Go ahead and ask yourself today, “HOW can I make my dreams come true?”  Then seek out knowledge and mentors to bridge the gap between where you are today and where you want to be.  You CAN do it.  Believe in yourself today… it’s one of the best gifts you can give yourself this Christmas.

To get your F.REE copy of my newly released “Legacy Builder Solution” report that will help you avoid making 4 different million dollar mistakes, go now to http://www.YourProsperityPower.com.  Merry Christmas!

It’s Not Every Day You Get to Meet The President(s)!!

It’s been a wild last month, that’s all I can say.

Went to the Philippines and was able to accomplish alot- was able to do my first seminar there, be a guest on 2 radio shows, be featured on national TV (watch the news clip at http://www.youtube.com/watch?v=DXAHKkctz3I)

and meet celebrities and the President (and figured out the EXACT action steps I need to take to move there next May). Came home early November and was able to meet “Dubya” 2 days later… that’s 2 Presidents in two weeks! (wink)

Whew… it’s taken me a couple weeks to settle back into a normal routine and restore my strength. Oh yeah, I almost forgot. I also got to do the Tininkling dance (the most well-known native Filipino dance) in our next to last night while in the Philippines. Very fun and a good workout too! (can you see me sweating in the pic?)

I’ve also been in the process of better training my staff and hiring 2-3 new salespeople. I must admit that’s been the most frustrating part of growing my business the last 6 months- finding decent sales staff. They say you’re growing whenever you feel uncomfortable… learning to hire good staff has been uncomfortable, so I guess that means I’m growing and learning!

Make it your goal to push yourself to do something that makes you uncomfortable at least every 2 month if you want MASSIVE results in your life.

It’s also Thanksgiving season… I am thankful for all the doors that have opened for me in the past year as I’ve pursued my passions, and I’m also thankful for all the trials and difficulties I’ve gone through. I’m thankful for my wife and kids who motivate me to be better, and I’m thankful for my clients I’ve been able to help. I’m also thankful for you this Thanksgiving as well!

Well, I’ll leave you with a quick Christmas pointer- if you can’t dip into your “house ATM” this Christmas because the equity’s all gone, think about giving a thoughtful gift to your loved ones this year that represents how you appreciate them. Appreciation doesn’t have to equal big dollar items.

As an example, my dad got me a $10 tie rope last Christmas and I thought of him all through the year as I wore it to keep my tie from swinging around. (BTW, Dad, I lost it so please get me a new one!)

That’s it for now. God bless and live prosperously this Holiday Season.

**While I was gone in the Philippines, a decent chunk of San Diego burned to the ground. If you have ANY equity in your house, you should go to www.YourProserityPower.com and sign up for my FRE.E report “The Legacy Builder Solution” to learn how to avoid a potential $1million mistake with your home equity.

The Playboy Mansion and a Religious Experience in the same weekend?

I was fortunate enough to be invited to the Playboy Mansion two weekends ago. I went there to network with some of the top info-marketers in the world, and I wasn’t disappointed. Several celebrities, guys who make $20 million to $100 million per year, and some athletes were there. Oh, and of course yours truly. Here are a couple pics…

My 7 year old Ben loves the MTV show ‘Pimp My Ride’ so he LOVED IT that I was able to meet Mad Mike and Dave from the show. If you haven’t seen it, it’s a show where they take an old beat up car (like the 1980 Mercury Bobcat I used to drive) and put $20,000 to $50,000 worth of upgrades into it to transform it into a really awesome ride.

Hanging out at the Playboy Mansion and befriending people who make $5 to $10 to $20 million/year or more did some good things for my psyche. It let me know I’m ready to step up to the next level. If YOU are struggling with limiting beliefs about what’s possible for you or what you’re worth, I encourage you to hang out with people who are at the level you aspire to reach. Just by association, you’ll start to achieve higher and higher levels of accomplishment.

So… after hanging out with a bunch of rich/famous people at the Playboy Mansion, I went to a Christian concert Sunday night with my friends Rick and Etu. The music was good, but what really touched my heart was the story one of the bandmembers told. He and his brothers had been distant from their father for 17 years since their mom died, and their father realized he had NEVER told his boys he was proud of them. He called them all, got them on a conference call, and told each one he was proud of them and asked their forgiveness for how harsh he had been with them growing up.

After that testimonial of reconciliation, the band played “In The Living Years” by Mike and the Mechanics. During the song, I broke down and started weeping. God touched my heart and helped me realize I had been harboring some bitterness against my dad for the past year. I have also developed the habit of shutting anyone out of my life that isn’t supportive of me, and I’ve lost several good relationships over that.

The good news is we talked today, we worked things out, and I have decided to love my dad as he is and not put big expectations on him. If you’re harboring any bitterness against someone who has offended you, I strongly encourage you to search your heart and forgive them. It will be a huge weight lifted off your shoulders, and it will free you up for a more fulfilled life.

So… the lesson for the day is hang out with people you want to be like, and make sure there aren’t things in your heart (anger, bitterness, etc) holding you back from living the life you want to live and you deserve to live. And you don’t have to go to the Playboy Mansion or a Christian concert to get started… do it today!

Tips to Avoid the Taxman’s Wrath

No one likes the IRS, and you’ve likely heard nightmare stories of friends, family, or colleagues having their taxes audited by the IRS. All of us want to avoid an IRS audit to keep our stress level at a manageable level, and here are a few simple and advanced strategies available to you now to stay off the IRS’s radar:

1. If you use TurboTax or TaxCut and file your taxes yourself, there is an Audit Review feature in the software that will tell you how likely you are to be audited. Don’t be afraid to take every deduction you qualify for; many people don’t take deductions they should take because they’re afraid of the IRS. Take your deductions, and use the Audit Review feature in your software to make sure you’re not likely to be audited. I did this from 1999 to 2004 and never had a problem. BTW, the guys at H&R Block usually prepare your taxes with TurboTax or TaxCut- ask them if they have an audit review feature in the program they use to do your taxes. And if you do your own taxes, you should be using TurboTax or another software- in addition to the audit review feature, for around $20 more (or with some versions it’s included) they’ll deal with the IRS for you in the unlikely event you ARE audited. A nice feature for a small price.

2. Here’s a little-known trick to greatly reduce your odds of being audited: ALWAYS file for an extension to file your taxes. This tip comes from an ex-IRS agent. What happens when all the taxes come in by April 15 is that tax agents have big piles of returns to go through. They put the ones that appear “a little off” in a pile of returns likely to be audited. They go through the rest, then they carefully go through the ones that they’re more likely to audit. By filing for an extension every year, you accomplish two positive objectives- first, your CPA or accountant that files your taxes will love you because you’re not pressuring him the beginning of the year like everyone else is (”Did you get my taxes done yet?!”), and second, you’re GREATLY reducing the chance of being audited because the IRS agents who review your return will likely be done going through their “audit pile” by the time they receive your tax return. Cool, huh?

3. This one is way more advanced- only do this one if you’re willing to do a little extra work to greatly reduce your taxes. There is a little-known loophole in the law that allows a Roth IRA to own a company. If you have a 9-5 job, why should this matter to you? By setting up a Roth IRA (if you don’t already have one) and forming a company, you can give yourself an instant 20% pay raise. I KNOW it sounds too good to be true, but it’s not. I’ve personally met dozens of people who have benefitted from this “tax structure,” I use it myself, and it’s been upheld in U.S. court as a perfectly legal, ethical way to greatly reduce your taxes. To learn more, you can go to www.YourProsperityPower.com or www.FinancialSuccessBlueprint.com. (Hint: if you decide to check out either of these items, get my book at www.FinancialPlanning202.com to give yourself a nice discount.)

You don’t have to overpay your taxes, and you don’t have to fear an IRS audit if you take a few simple steps to protect yourself. Get some audit protection, take your deductions, and ALWAYS file an extension to get your taxes done. If you want to give yourself an instant pay raise of 20% or more and you’re willing to do a little work to get it, get more informed at the websites above. It’s your money; the only question you have to ask yourself is how much of it do you want to keep in your pocket and how much do you want Uncle Sam to keep stealing out of your pocket when you’re not looking?

In The Market For A New House? A couple options

In America, we’re conditioned to think more is better. This philosophy when applied to housing has led to so many oversize houses being built that they’re referred to as “McMansions” nowadays. But how much house do we need? A better question is “How much house is best for us?” A story I saw this week illustrates this point very well…

I was watching the Colbert Report the other day on Comedy Central, and a certain segment got me thinking. It’s a new segment called “Colbert Platinum” for millionaires only(!), and in the segment this week the trusty host Stephen featured the richest man in India (Mukesh Ambani) who is building a $1 billion dollar house. It will be 60 stories tall and feature a 3 story garage to hold his 168 cars.

Contrast this to many of the “houses” I visited in the Philippines as a missionary. You walked down a 4-5 foot wide alley to get to people’s homes- with sewage running beneath you- and entered houses that were 10′ by 15′ or so. They were made out of a combination of cement and sheetmetal (usually scrap metal from a junkyard), and oftentimes you’d have a small wall dividing the houses into two rooms- one as kitchen/bathroom and the other as living room/dining room/ bedroom.

“New Home! New Life!” is what the sign says- it’s at the entrance to a typical poor barrio in the Philippines.

These are obviously two extreme examples; they are both instructive. First, everyone with running water and electricity in the developed world should consider themselves prosperous- if you’re reading this then I’m talking about you and me.

If you don’t feel prosperous or you feel “poor” in some ways, I suggest going to the nearest Third World country and living among the poor people for 2-3 days as they live. Your perspective will change very quickly. If you have kids, seriously consider taking them with you and they will learn to stop complaining about not having EVERY toy they want. That’s what happened to me at the age of 10 at least.

Second, it is not my place nor yours to “judge” Mr. Ambani, the Indian billionaire. It is only God’s place to judge men. The splendor of his mansion I’m sure will inspire many to live fuller, richer lives. He will employ hundreds of local people to maintain and care for his house. And of course it will be awesome to be invited to hang out in his house- if you’re a car guy like me I’m sure you’d like to check out his garage.

At the same time, I’m sure a house of that magnitude will come with equally-as-big headaches of maintenance. I have a regular sized house in a U.S. suburb and don’t like dealing with fixing stuff or taking care of the yard- just thinking of handling the details of a house that size gives me a headache.

So, what can we take away from the 2 examples above? First, know that you are already more rich and prosperous than you often think; take a moment to be thankful for that. Second, know that you can achieve your goals and get your dream house one day. Don’t be afraid to re-think exactly what IS your dream home and accurately assess how much of a home you want to deal with. I like the idea of having 1-2 houses (a main residence and a vacation house), and joining a luxury time-share club where you can stay at cool houses all over the world when you travel. You get the benefits of high-end homeownership without all the hassles.

If you’re in the U.S. and you’re about to buy a new house, find out who your top local real estate agent is (or go to a local REIA- Real Estate Investor Association- and find the top 2 investors in your area) and buy a house for 70 cents on the dollar or less. Unless you’re in an ultra-hot real estate market, this shouldn’t be too hard to do. Put that 30% equity in your pocket! If buying directly from the seller, you can even legally get cash back at the closing table or have your down payment paid for you; check out http://www.TheGiftProgram.com for details.

Now go out and start shopping for your $1 billion dollar house!! (or less if you prefer)

Fires and Hurricanes and Floods- OH MY!

Ah… the joys of summer. Warm days, outdoor activities, driving with your sunroof open, and wondering if a natural disaster will wipe out your house.

It seems more and more natural disasters and whacky weather assail us with each passing summer. Whether you’re in the fire/mudslide/earthquake Western U.S. zone, the tornado/flood zone of the South and Midwest, or the tornado/flood/hurricane zone of the East, Mother Nature seems to have surprises in store for us all from time to time. All of this is part of nature, but it saddens me how underinformed people are about the financial risks they are taking by following traditional advice when it comes to protecting their #1 asset- their homes.

It’s interesting how little people are willing to “work on” their thinking. Henry Ford said that thinking is some of the hardest work you can do, and that’s why so few people do it. Are we just lazy mentally, or are we too bombarded with messages that vie for our attention that we forget how to think independently?

Take home equity, for instance. I have seen person after person lose their home because they left equity trapped in it, and when an emergency came up they couldn’t get access to it. Or something happens to the house (like Katrina), and they have to wait for eons to get their own money back.

Traditional thinking limits us in many ways. For example, most of us are taught to pay our house off. It’s good advice as far as paying less interest, but at what risk? Home equity is a large chunk of most Americans’ total wealth, and I contend that it’s needlessly at risk of being lost.

Simply take the “access test.” When something happens to you OR your house, would you rather have your money tied up where you can’t get to it or would you like to have it liquid? I’ll take the liquid choice, thank you. On page 76 of my book “Why Didn’t Anyone Teach Me This?” (FinancialPlanning202.com) I told the following story: When I was a loan officer, I watched a guy lose $100K of his home equity because he got laid off and didn’t qualify to get a loan to refinance his house. Sadly, he lost the house to foreclosure.

So… the moral of the story is: you can’t control the weather, but you CAN control how liquid your home equity is. Have access to it while everything is fine… refinance it to 100% LTV or have a Home Equity Line of Credit (HELOC) open on it (*make sure you get one that is convertible to a fixed rate 2nd mortgage if you have to use more than 50% of it). When the storms of life come (either through financial emergency or natural disaster), you’ll be in a much better position.

And if you’re willing to grow your thinking enough to grasp and implement this strategy, you may even be able to break even or make a profit safely on your home equity while keeping it liquid. But only if you’re willing to do the mental work of thinking.