Thursday, October 22, 2009
Saturday, October 17, 2009
Wednesday, October 7, 2009
Burden
Raw:
Average Americans spends 34% of their income on mortgage on house, 17% on car. It takes $4000 a year to feed a car you own right out and $7000 for a cheapest new toyota corolla.
Insanity. Houses are just 4 brick walls, cars are just 4 wheels, why are they so expensive? Society makes this rule so most people will be poor for life. 40% of their gross income is taxed, another 30% on car and house. And once your hocked, you will never go back to a smaller house, worse car. Your mortgage will grow with your pay rise, your traped.
How can an average person ever make money? And that's the point, we don't want them to.
I am fourturnate, I have no loans. If I can hold the temptation for 5 years and not buy a house, car, my net worth will be more than an average person over 30 of age. Puts me way ahead of the game.
Average Americans spends 34% of their income on mortgage on house, 17% on car. It takes $4000 a year to feed a car you own right out and $7000 for a cheapest new toyota corolla.
Insanity. Houses are just 4 brick walls, cars are just 4 wheels, why are they so expensive? Society makes this rule so most people will be poor for life. 40% of their gross income is taxed, another 30% on car and house. And once your hocked, you will never go back to a smaller house, worse car. Your mortgage will grow with your pay rise, your traped.
How can an average person ever make money? And that's the point, we don't want them to.
I am fourturnate, I have no loans. If I can hold the temptation for 5 years and not buy a house, car, my net worth will be more than an average person over 30 of age. Puts me way ahead of the game.
Gold
Raw:
People buying gold at 1100 per ounch are stupid. It is an useless comodity but the inflation on it is 300% in 8 years, 200% from the past 2 years.
They say, gold will always stay in value, the dollar is deflating. Duh, everyone knows that. The thing is when everyone does one thing, it is soon gona be overrated and turn a corner. History repeats itself over and over again, people don't see that, because they are that everyone who is driving it.
I have 2 believes:
Inflation is not gona happen, because only overflow of worthless paper- money wil rise it. Government are over printing, but per family is only getting their share of $9000. And they use it to pay down loans and save the rest. There isn't much money flowing around and hyperinflation is not going to kill us.
Macro economy however have infinate influencing factors, this balance can be breaken any moment, then we may be in trouble. But people rushing to gold? They are basically optimitic claiming that their nation are going to go bankrupt and everyone is gona to die, including themselves...
I believe reasonable people will work to not lead the nation to bankruptcy. And if one believe it will, better start packing and moving away instead putting 5% of their portfolio in metal. Not gona help.
But, who knows what Mr. Everybody's mood will be today?
People buying gold at 1100 per ounch are stupid. It is an useless comodity but the inflation on it is 300% in 8 years, 200% from the past 2 years.
They say, gold will always stay in value, the dollar is deflating. Duh, everyone knows that. The thing is when everyone does one thing, it is soon gona be overrated and turn a corner. History repeats itself over and over again, people don't see that, because they are that everyone who is driving it.
I have 2 believes:
Inflation is not gona happen, because only overflow of worthless paper- money wil rise it. Government are over printing, but per family is only getting their share of $9000. And they use it to pay down loans and save the rest. There isn't much money flowing around and hyperinflation is not going to kill us.
Macro economy however have infinate influencing factors, this balance can be breaken any moment, then we may be in trouble. But people rushing to gold? They are basically optimitic claiming that their nation are going to go bankrupt and everyone is gona to die, including themselves...
I believe reasonable people will work to not lead the nation to bankruptcy. And if one believe it will, better start packing and moving away instead putting 5% of their portfolio in metal. Not gona help.
But, who knows what Mr. Everybody's mood will be today?
Leverage
I love leverage, it is the only way to success.
So far, I came up with two brilliant ways to leverage.
Money is just an idea: Grow a company, get 3000% capital gain by helping others to realize they need what you got, you can sell fresh air for crying out loud.
OPM: In real estate, invest with 4 times your own capital with a mortgage. And that's just the start, try get 20 times your capital and earn 5% pure profit on that.
Good stuff.
I still need to figure out how to leverage OPT....
Update: Raw: Went to a fast track conference. Good work for turning Robert Kiyosaki's fame into OPM. They have such a edge now in what they do, good business. However, fast track canada isn't really related to Robert Kiyosaki at all... just a fun fact, maybe that can be count as OPT? Building ontop of someone's foundation.
So far, I came up with two brilliant ways to leverage.
Money is just an idea: Grow a company, get 3000% capital gain by helping others to realize they need what you got, you can sell fresh air for crying out loud.
OPM: In real estate, invest with 4 times your own capital with a mortgage. And that's just the start, try get 20 times your capital and earn 5% pure profit on that.
Good stuff.
I still need to figure out how to leverage OPT....
Update: Raw: Went to a fast track conference. Good work for turning Robert Kiyosaki's fame into OPM. They have such a edge now in what they do, good business. However, fast track canada isn't really related to Robert Kiyosaki at all... just a fun fact, maybe that can be count as OPT? Building ontop of someone's foundation.
Recession
Companies are prone to recessions because:
For example at Syncrude everything we sell/revenue, more specifically crude oil, goes down by 20%.
Our cost/input such as natural gas also goes down by 20%, but that only accounts for 1% of our production cost. Where else can we cut cost to match that 20% decrease in revenue?
And the accounting process is terribly lengthy, it takes 100 people to put together a month end summery and at least another month to react.
That's terrible, on my own accounting books, it takes me only 2 seconds to realize I loss my job and I should spend less tomorrow.
For example at Syncrude everything we sell/revenue, more specifically crude oil, goes down by 20%.
Our cost/input such as natural gas also goes down by 20%, but that only accounts for 1% of our production cost. Where else can we cut cost to match that 20% decrease in revenue?
And the accounting process is terribly lengthy, it takes 100 people to put together a month end summery and at least another month to react.
That's terrible, on my own accounting books, it takes me only 2 seconds to realize I loss my job and I should spend less tomorrow.
Tuesday, October 6, 2009
Quote
"Doing the same thing, the same way, and expecting a different result is insanity" -Albert Einstein
But most people do
But most people do
Quote
"Most people never get a chance to meet a bunch of people who done it before and get some real, unbiased advice" - Robert Herjavec
Don't think you can outsmart everyone
Don't think you can outsmart everyone
Education
I came up with a theory,
Education in three steps:
Mentor: Someone who you want to be; Give you guidance, rise your spirit, increase your confidence. Etc. The Art of the Deal, Rich Dad Poor Dad
Teacher: Someone that teaches you to evaluate; Teach you tools, to understand and judge info against your guidance. Etc. How to Make Money in Real Estate Canadian, text books.
Informer: Someone giving you facts; Give you random facts and opinions of the world around us.
Real Estate Magazine Canadian, News.
And it goes in that order, these are the steps I take to educate myself.
However schools does it in reverse: kids watch TV with overflow information, then at school they learn all kind of tools with the slightest interest. Yikes.
But I prefer it this way, I don't think I can handle the competition otherwise.
Education in three steps:
Mentor: Someone who you want to be; Give you guidance, rise your spirit, increase your confidence. Etc. The Art of the Deal, Rich Dad Poor Dad
Teacher: Someone that teaches you to evaluate; Teach you tools, to understand and judge info against your guidance. Etc. How to Make Money in Real Estate Canadian, text books.
Informer: Someone giving you facts; Give you random facts and opinions of the world around us.
Real Estate Magazine Canadian, News.
And it goes in that order, these are the steps I take to educate myself.
However schools does it in reverse: kids watch TV with overflow information, then at school they learn all kind of tools with the slightest interest. Yikes.
But I prefer it this way, I don't think I can handle the competition otherwise.
Stocks
I think stocks are just scams, and this is how I think they came up with the idea:
Entrepreneur: I need some money to grow my company.
Venture Capitalist: Moderate Idea, I want 51% ownership and I will give you $20,000 and my experience.
The Public: Me, Me! I want 0.0000000001% of MxDxxxxxx and I don't care what you do with my money!
And there you have it, people that will give you $20,000,000 for 95% ownership but you can still be in control.
I wish I was on the other side of the table...
Entrepreneur: I need some money to grow my company.
Venture Capitalist: Moderate Idea, I want 51% ownership and I will give you $20,000 and my experience.
The Public: Me, Me! I want 0.0000000001% of MxDxxxxxx and I don't care what you do with my money!
And there you have it, people that will give you $20,000,000 for 95% ownership but you can still be in control.
I wish I was on the other side of the table...
Tuesday, September 29, 2009
TD1
I am probably paying 2.6 times more in taxes than what is necessary at the moment, not considering that I have enough credit from school to not pay anything at all. I am taking home a sour 43% of my taxable income. Talk about depressing! Good thing, a really nice co-worker told me about TD1. Thanks Dave!
Thursday, September 24, 2009
Sep 2009
This is my first month at Syncrude as a Co-op employee, very exciting! I have been working for 3 weeks now and slowly adapting.
There were a lot of software I had to pick up to do my duties, they aren’t complicated but it has me thinking. What I have realized is, tasks at different jobs and positions can never be the same, and so the most important thing I can learn from this experience, is work ethics - a value towards life.
There were a lot of software I had to pick up to do my duties, they aren’t complicated but it has me thinking. What I have realized is, tasks at different jobs and positions can never be the same, and so the most important thing I can learn from this experience, is work ethics - a value towards life.
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