People…because I care so deeply about personal finances and corporate finances, I am writing this article. I will probably make some of you angry, which is fine, sabotage yourself, and it won’t hurt my feelings.

 

You must stop doing stupid stuff with your money. How do I know that you’re doing stupid stuff with your money? It’s not hard, 85% of the country is living paycheck to paycheck. So being stupid with money has permeated society. This is at all income levels, even doctors are being the top crazy with their money. Some have undergrad loans, dental school loans, nice car loans, big house loans, practice loans, and sometimes mortgages on the suite they practice in. So don’t wonder anymore why the doctor is so stressed out, they have it worse than the team most of the time.

 

When I tell people they need to stop being so stupid I get classic excuses like:

– I’m tired so I went out to dinner because I deserve it.

– I’m tired so I went out and I bought a new car.

– I’m tired so I deserve a good place to live because I work hard.

– I have worked hard to get this level of education, so I deserve ________.

 

The high income earners (dentist) do stupid on steroids like I did. We do it in the millions. These “I’m tired” and “I deserve it because…” are ridiculous and childish excuses.

Most of you need to do exactly what is listed below. And fire anyone of the professionals you meet that disagrees with the following plan.

First

Put one week of earnings in a savings account or a money market account at your local bank. So, if you earn 52k you want to put $1,000 in the account. Don’t leave it in your checking account because it’ll get gone. Please understand this is a very important step. All excuses are unacceptable. This is 100% in your control. If you can’t do this quickly, then sell anything you have until you get the money in the bank. And I mean sell it all people. You must stop doing stupid with your money.

 

Second

Stop borrowing money on credit cards. Start paying off your debts one at a time. All debts: credit cards, car loans, student loans. This is not an interest rate game. If this were about math then we would never borrow money. This is a behavior thing. The first debt you pay is the one with the lowest balance. Pay the minimum on all things except the one with the lowest balance. Eliminate all of your debt this way. Adding the money to the pile, after you pay off a debt. People who argue with you on this point are people that are more broke than you. Don’t listen to them.

This is a fact; no financially successful people borrow money when they have money. So that means if you have credit card debt, then you are broke. This is not hard. So stop screwing with credit card companies and car financing. They are rip off artists and society is falling for it daily and screwing themselves. This is voluntary modern day slavery. Do broke people stuff and you will remain broke. Do rich people stuff and you will get rich.

Third

Do not stop paying down your debt until it is all paid off except your house. Leave a mortgage until later. And for goodness sake DO NOT buy a house until you are out of debt, and have a six month emergency fund. When buying a house you must have a minimum of a 10% down payment. It is preferred to have a 20% to avoid private mortgage insurance.

These 3 steps take some people 6 months but for most it takes 2.5 years. I was so stupid with money it took me six miserable freaking years to pay back the money I borrowed. I did stupid with money in the millions. I did it a second time, to prove it does not work.

I did stupid with money on steroids.

So I am begging you to follow this plan. I know what it is like to sweat like an athlete over debt. Be as nervous as a cat in a room full of rocking chairs. I woke up in cold sweats frequently.

You see I started hearing there is good debt and bad debt. The answer to that is B.S. It is all bad when you are trying to enjoy your life. So hustle up and get out of being a slave to the banks. You deserve to know what it is like to have no debt and a six month emergency fund. Believe it or not that will put in the top 15% of the country. This is the foundation you need to start preparing for building an income in retirement.

All your broke friends may offer you some free advice or their opinion. Remember opinions are like armpits, we all have them and some of them stink. If the above are done, then you will be able to go from having to see patients to wanting to see patients. And if you choose to get the heck out of the dental business, you will have a better foundation to make the change. You will have choices that most of America will never experience. Stop screwing yourself, and start looking after your money. I look forward to hearing from you on the other side of debt and slavery. And you can laugh at the idiots who refuse to do something about their situation. The excuses come from all income levels. The worst whiners are usually the higher income folks. Good luck, I look forward to our meeting and talking about the choices having actual money gives you.