Participants: Cordell Thomas
Series Code: TITTB
Program Code: TITTB000035
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00:01 On Take It to the Bank,
00:02 you'll find ways to get out of debt. 00:09 Solve your credit card problems. 00:14 How to make and stick with a budget? 00:19 Simple ways to save... 00:24 buying or selling a home, 00:26 and many more financial matters on Take It to the Bank. 00:31 Hi, my name is Cordell Thomas 00:32 and thank you for joining us on Take It to the Bank. 00:35 I'm excited to talk to you about something specific 00:37 that we had a couple of questions on, 00:40 in reference, there wasn't direct questions 00:42 on how the wealthy live, 00:43 but that's what we're going to talk about 00:45 and how they think. 00:46 But the questions have come in about, 00:48 "How can I think on a more wealthy basis?" 00:50 "How can I think about savings and investing 00:54 and what are some of the things that I should take to heart 00:57 about making these type of decisions?" 00:59 Well, I think there are several things we can talk about, 01:02 and I think there are things that we can make you aware of. 01:06 One of the things that have happened 01:08 over the past several years is this evolution of smartphones 01:12 and what they have brought to the table. 01:14 Now, for every positive thing, there is a negative thing. 01:17 Now, the smartphones has given us an opportunity 01:20 to download apps, to make our life easier, 01:22 and I'm gonna go through some things 01:24 that you can use apps for, 01:25 that will make your life a little easier. 01:27 There is a flip side to that, 01:29 in reference to the things you should be aware of, 01:32 that these smart phones are actually bringing to the table, 01:34 that you should be concerned about 01:37 because they are sharing information and data. 01:39 Remember something, 01:41 business is in business to make money, 01:43 business is in business to do business. 01:46 So a lot of things at play right now, 01:50 in our economy, that is driving the ability 01:55 for corporations, organizations, 01:58 individuals, groups, 01:59 to study each one of our behavior patterns. 02:02 For example, one of the things that are of concern is 02:07 trying to limit government access 02:09 to the private information 02:11 that is pretty much online now in anything that we do. 02:17 There are many different identifiers on your computer, 02:21 and when we take a look at terminology that's being used, 02:24 it's going to be a lot of it coming at you, 02:27 but I think we'll try to make it as simple as possible. 02:29 For example, government wants access 02:32 to a lot of your private data, 02:34 a lot of people want access to your private data, 02:36 that's how people are making a lot of money 02:38 by selling information about how you go on the internet. 02:42 That's how people recognize who you are 02:45 by different cookies. 02:47 We use the name "cookies" 02:49 not because we like to eat them, I do, 02:51 but because they are referencing 02:53 more of a technical term 02:55 of how you are recognized when you go online. 02:58 And based on some of that information, 03:01 when you go to a specific URL, it takes that data, 03:04 based on where you go, what you do, what you see, 03:07 and how you act online, 03:09 and categorizes it, and compiles it, 03:11 and shares it with those agencies, 03:13 so they can make better decisions 03:15 of how to approach you. 03:17 Look, our lives have become very complicated right now. 03:23 You remember the day when you could basically 03:27 send a note to somebody in the mail. 03:32 You send it to them, you write the letter, 03:33 you put a stamp on it, 03:34 and you put it into the mailbox, 03:36 that is delivered to somebody. 03:37 Now you have email, now you have social networks, 03:41 now you have so many different elements 03:43 of where people can access you 03:46 and people are there looking for that information. 03:51 Facial recognition, what is that? 03:54 Have you ever used a social network 03:57 and it captures a picture of an individual 03:59 that you post online? 04:01 It then can capture that face, how that face looks, who it is. 04:06 And you put the name of that person, 04:09 your loved one, your relative, into the system. 04:12 Now that system has the name of an individual 04:16 that can now recognize them anywhere. 04:19 Location devices, in your smart phone, 04:23 we think it's great, and it is a great resource. 04:25 We're getting a lot of wonderful opportunities 04:28 to use technology to keep us safer, 04:31 to keep us knowledgeable of where we're going. 04:34 I use my smartphone 04:36 because I don't have to rent that feature 04:37 through the rental car agency 04:39 and I can know where I'm going, tapping where I want to be, 04:42 and it will lead me to that destination. 04:44 But we talk about this simple thing 04:46 called mail now, email now, 04:50 and it becomes far more complex 04:53 because within e-mail is the context of phishing, 04:58 P-H-I-S-H-I-N-G. 05:01 It's just the same concept 05:02 as if you like to go actual fishing 05:04 and you throw out a rod, a line 05:07 to see if you can capture a fish, 05:10 that's what it is. 05:11 Someone throws out an email to you, 05:14 or gets in connection with you, 05:16 and it looks like a legitimate site 05:18 that you can connect with, 05:19 but all they're trying to do 05:21 is to get your specific information, 05:24 and getting you to click on a link 05:27 that could download a virus 05:28 that can actually track your keystrokes, 05:31 that can track where you go online, 05:33 that can invade your computer. 05:36 One of the major concerns people are having now, 05:38 is when they make the wrong click on something, 05:42 there's an automatic download, 05:44 or now they're finding that their purchasing equipment 05:47 that already have viruses or applications in the system 05:52 and they cannot get rid of them. 05:54 These are real-time issues that people are dealing with 05:58 in reference to technology. 06:00 Technology is, 06:01 yes, making life easier and better for us, 06:04 but technology is also providing a platform 06:07 to collect more information, more data, 06:10 more things about what you do that develops a profile, 06:15 about who you specifically are. 06:17 So now they are beginning 06:18 to develop these demographic categories, 06:21 demographic, a demography is a group of individuals, 06:27 you can group them by psychology, how they think, 06:30 by culture, who they are, by region, by how they buy, 06:34 how much money they make, by what kind of car they own, 06:37 by what kind of house they're in, 06:39 whether or not they're a renter, 06:40 or not they're an owner, 06:42 and the list goes on, and on, and on. 06:44 And now, that can be studied even more so 06:47 by where you go online. 06:49 So if I go somewhere online, now I'm categorized 06:52 that an individual that likes these type of books, 06:54 that like these type of extracurricular activities, 06:57 that likes to go biking, 06:59 that likes to do these type of things, 07:01 and that information becomes an overwhelming type of things 07:05 where you can't even store them on your computer anymore, 07:09 but you have to have this virtual space 07:12 where you can lock up all the information 07:16 that you can't necessarily store on your computer. 07:21 Why is this information for you so important? 07:26 Because it has to do with you as an individual, 07:31 it has to do with you as a demography, 07:33 with you as a target group. 07:35 Why? 07:36 You make a certain amount of money. 07:38 As a middle class American 07:40 or anyone that makes between $30,000 and $80,000 a year, 07:43 they know that you spend what you make, 07:46 they know that you as an individual, 07:49 don't have emergency savings. 07:51 And you are looking for that next great opportunity 07:55 to make a lot of money. 07:57 Things happen where they can promise you fortunes and riches 08:01 and you jump into it without necessarily studying. 08:05 It goes back to that issue 08:07 called the critical think on money, 08:09 always asking that question, asking the next question. 08:12 Why are you targeting me? 08:14 Why are you asking me these questions? 08:16 Why are you asking me to get involved in this type of thing? 08:19 Why are you doing these type of things 08:22 and invading my privacy through the internet, 08:25 through the e-mail, 08:27 through the regular mail system? 08:28 And now you have all of these different resources 08:31 that are coming at you in many different ways, 08:34 and studying your behavior patterns. 08:36 So you're amazed when you're on your social network 08:39 and up pops on the right something that you like to do, 08:41 or something you like to purchase. 08:43 Because they studied it, 08:44 and now they can fine-tune their advertising directly 08:49 to what they would like you to buy from them. 08:52 Again, consuming and doing. 08:55 And so it was appropriate for me 08:57 to begin the process of studying, 09:00 what it is that the wealthy do? 09:03 Now, I categorize the wealthy as an individual 09:06 that spends less than they make, 09:09 which is the top thing that comes out of 09:12 how the wealthy think. 09:15 But we also begin to understand 09:16 that they don't behave the same as we do 09:20 on those social networks. 09:22 They don't do the same type of things 09:25 and, of course, when they do participate 09:29 in some of these networks in online, 09:32 because of their wealth, 09:33 and because they have been categorized, 09:35 they are targeted a whole different way 09:37 than we are targeted. 09:39 They make those different decisions way differently 09:42 than we make decisions. 09:44 Because we are caught up in the lottery mentality. 09:48 They are caught up in more logic 09:51 and the ability to utilize their resources 09:56 to gain access to more money. 09:58 So if you begin to think like the wealthy think, 10:02 it has nothing to do with how much money you make. 10:06 We go back to the issue of studying 10:09 where you're at and where you wanna go. 10:12 If you have debt that you're dealing with, 10:14 try to get rid of that debt. 10:16 Set up a formal process of getting rid of the debt 10:19 and we hear many different, different processes. 10:22 One is, I've heard and I agree with is, 10:25 start with the smallest 10:26 and work up to the largest debt that you have 10:28 and pay those off in sequence. 10:30 Pay the minimal amount you can on the others 10:33 and target one, pay it off. 10:35 And it feels, you feel like you've accomplished something 10:38 and work on the next until you've targeted all of those. 10:41 The other thing I would ask you to use 10:43 are some unique apps online 10:45 that you can actually download on your smartphone, 10:49 that can help you figure out how much debt you have, 10:52 and how quickly you can get it paid off, 10:54 if you can pay off certain amount 10:57 on each one of those debts that you have. 11:00 There are fantastic opportunities 11:02 and it can tell you, 11:03 you're gonna take about three and a half years 11:05 to pay it off. 11:06 But now you have not a resolution, 11:08 not an opportunity, but you have an actual goal, 11:11 and if you follow through, I'm gonna take a step back. 11:14 Wealth is also about developing, 11:16 developing a mindset to become a producer. 11:21 Okay, what is a producer? 11:24 When I say wealthy, producer, it's all the same, 11:27 it's not about business ownership, 11:29 it's about how you manage your money. 11:33 The overall context of what I believe is this. 11:39 A producer is someone that thinks of wealth 11:43 in a different capacity than we do as individuals that, 11:48 that spend what we make. 11:51 There are approximately, in a 2010 study, it said, 11:54 "There's approximately 3.07 million millionaires 11:57 in the United States." 11:59 That's quite a bit. 12:00 And then when you think about it, 12:02 we have the most number of millionaires in this country, 12:07 more than any other country in the world. 12:10 But how did they get there? 12:11 And what did they do to get there? 12:13 So you begin to assume that the United States 12:16 is the country where social economic advancement, 12:19 is better than any other country. 12:22 But when you look at that study, 12:24 we are really not the country where you can move up in wealth 12:29 as easy as other countries. 12:31 In fact, in Canada, 12:33 you're two and a half times more likely to get wealthy 12:36 than in the United States. 12:39 But what is it about those that understand wealth 12:43 versus those that are consumers? 12:46 Well, there is a difference between a consumer, 12:49 someone that goes and buy things 12:51 when they get money to do things 12:52 versus those that produce things. 12:56 Now, let me give you this type of example. 12:59 There are many, 13:01 if you listen to talk shows on Sunday mornings 13:02 or if you listen to different caveats of talk shows, 13:06 where you can hear ex-presidents 13:08 or ex-politicians or politicians talk, 13:10 you'll hear different hints to what that is all about. 13:14 The first thing you think about is 13:17 a tax incentive verse a welfare handout, 13:19 they're both the same thing 13:21 because we are looking at government funds being utilized 13:24 to handout to different agencies. 13:27 It's labeled, again, categorized as a tax incentive, 13:32 if they see that there will be a return on that investment. 13:36 They call it a welfare handout, still a tax incentive, 13:40 to those that are in need of it 13:41 but they know, they know, 13:44 that those that get a welfare handout 13:46 are those that are not going to turn around 13:49 and use those funds to create wealth 13:51 in their own life. 13:53 They're gonna use those funds to buy things, 13:56 and there is a difference between the producer mentality, 14:00 of using funds to produce more funds and create wealth 14:05 versus those that take money and spend 14:08 without managing the money well. 14:11 Now, as we talk about wealth and producer mentality, 14:15 it's very easy to get to that perspective, 14:18 because what it means is that, you become a process 14:21 in the major continuum of GDP. 14:27 What is GDP? 14:28 Gross domestic product. 14:30 What is gross domestic product? 14:31 Basically, gross domestic product 14:33 is the amounts of goods and services 14:36 that United States distributes on a global basis. 14:38 What is that amount? 14:40 $15.09 trillion in 2010 and 2011. 14:44 That's a lot of money. 14:46 We have approximately 990,000 14:49 different products and/or services 14:51 that in the United States we produce on an ongoing basis. 14:55 And a producer mentality is, 14:57 "How do I access to some of that $15.09 trillion?" 15:02 Because when you look at this statistic, 15:05 for an average man of 30 years of age, between, 15:08 I believe it is 1974 and the year 2000, 15:14 his average paycheck actually dropped about 7%. 15:18 An average paycheck of about $40,000 in 1974 15:23 has dropped to about $35,000 a year, 15:26 for a 30-year-old gentleman, over that course of that time. 15:29 But in reference to gross domestic product, 15:33 the difference is astounding. 15:36 Because over the same time frame, 15:38 the gross domestic product, 15:40 GDP of the United States has grown 150%, 15:43 so the producers who are selling 15:45 and or providing services to other individuals 15:48 in other countries has grown 150% 15:51 versus those, in the consuming perspective, 15:55 their amount of income has actually dropped off. 15:58 When you take a look at a minimum wage, 16:01 it's only going up in real value about 21%. 16:04 When you take a look at the cost of living index 16:08 and during the same time frame, 16:10 it's actually gone up about 67%. 16:13 So your cost of living has gone up 16:15 three times the amount of your, the minimum wage, 16:20 from a real value standpoint. 16:22 And these are things to keep in context 16:24 because then it takes you to the realization that, 16:28 "If I really want to become a producer, 16:31 I need to change my mentality 16:33 and change how I approach the value of the dollars 16:36 that I'm given on a monthly basis. 16:38 And if I value that well, 16:40 then I will manage it well by sticking to a budget, 16:43 by developing a budget, by paying off my debt, 16:46 and beginning the process of saving money, 16:48 putting money away, investing those funds 16:51 and making sure you have access to something that you can use 16:55 to acquire assets with." 16:59 What is it like to think like a wealthy individual? 17:02 I've given you a certain hint. 17:04 Start the process now. 17:05 Begin to understand 17:07 what it is in your life you need to give up, 17:09 so you can bring the amount of money 17:11 that you spend on a monthly basis 17:14 under the amount of money that you spend on a monthly basis. 17:18 And when you can understand that, you have won, 17:22 you've taken a leapfrog from where you were in the past, 17:26 so now you have extra funds on a monthly basis 17:30 to do something with. 17:31 Now what are you going to do with those extra funds? 17:34 Are you gonna put it into savings? 17:36 Are you gonna put it into investments? 17:37 Are you gonna put some of that money away 17:40 to start a retirement fund? 17:44 These are all things you should start thinking about, 17:46 and talking to a financial planner, 17:47 so that you can get the right type of advice 17:50 and learn from someone that has managed 17:54 that type of investment and doing things the right way. 17:58 So that's how you start thinking, 18:00 and that's how you start producing, 18:02 but then look for opportunities, 18:03 and I'm gonna share with you something. 18:05 In many different geographies around the United States, 18:07 in different markets, 18:09 if you are able to sit through a six-hour presentation 18:11 on financial literacy on money, you are then able to be, 18:17 you can apply for a free savings match. 18:19 What do I mean? 18:20 If you get involved in the program, 18:22 if you reach your goal of saving $1,000, 18:25 there are some programs that will match your monies, 18:28 two, three, or even four to one. 18:31 I know in the southern California area, 18:33 they have a program wherein if you target saving 18:36 approximately $1,000 or even $2,000 a month, 18:39 you can get a two to one match or a three to one match 18:43 on those funds. 18:44 And so you walk away with after $2,000, 18:46 they will put another $4,000 into your account, 18:50 so you come out with $4,000, with about $6,000. 18:54 That $6,000 isn't given directly to you 18:57 as an individual, 18:58 but is written towards your specific goal, 19:00 your specific objective. 19:02 So if you want to buy a home and you need a down payment, 19:06 you can have access to those funds. 19:08 If you need to pay tuition for school, 19:11 they'll put the funds towards tuition. 19:13 If you want to buy a new car, 19:15 they will put the funds towards that. 19:17 And if you want to start a business, 19:19 they'll take that and put the funds towards 19:21 that actual business that you'd like to start, 19:23 and give you the opportunity 19:25 to become one of those that produce. 19:28 Being a producer is a part of gross domestic product. 19:32 And you can be a part of the solution 19:35 to the problem of consumerism. 19:37 What I would like you to do is take a look at where you're at, 19:41 become that mindset of thinking like the wealthy do, 19:46 and then begin to understand how they think, 19:49 which is what we'll do towards closing of this session. 19:52 There are approximately, there is a story written 19:56 of approximately 21 different things 20:00 that the wealthy do differently. 20:02 And what I've done is try to synthesize 20:04 some of that information 20:05 and then come up with a top ten list 20:07 of what the wealthy do 20:08 and how they think about their... 20:11 How they gain their wealth 20:13 and replicate that process with their wealth gross. 20:17 One of the things they do is, 20:18 they acquire specific knowledge. 20:22 They study certain things. 20:25 They ensure that they understand 20:27 what they're getting into 20:29 and that they make the right type of decision 20:33 by talking to the qualified professionals. 20:36 This is one of the major issues that we begin to see, 20:39 that their mindset is they get the specific knowledge 20:43 about what they're trying to get into, 20:45 and then they study it well, so there's no room for error. 20:50 The wealthy think this way, 20:52 they believe that poverty is the root of all evil. 20:56 I don't believe that. I disagree with that. 20:58 But they believe that poverty is a bad thing 21:02 and they want to gain access to wealth, 21:04 so that they can in turn turnaround 21:06 and help solve some of the problems 21:09 that are out there in society today. 21:11 So you, as you change your mindset 21:13 from being a consumer to one that produces things, 21:17 you now can help resolve specific concerns 21:19 that our ministries may have, limitation of funds, 21:23 limitations and access to certain type of technology. 21:27 That is what you should begin thinking, 21:29 not it's the root of all evil, 21:31 but it's an opportunity now to help 21:35 and to do something that develops your legacy. 21:38 They believe that, that it's more appropriate 21:42 to take logical action on opportunities 21:46 that are out there in the marketplace 21:49 as opposed to the lottery mentality. 21:52 The chances of winning the lottery is, 21:54 1 in 176 million. 21:56 And many people fight to play this lottery thing 21:59 every single month, 22:01 that there's millions of dollars available. 22:04 I will tell you that many of the wealthy 22:07 haven't played that game. 22:09 They worked hard to get their wealth, 22:11 and their wealth has grown exponentially 22:14 because they take action and don't take chances. 22:19 There's a story of a young man that had a father 22:23 or did have a father, he still has a father, 22:25 the father had a bad back and was looking to get a chair, 22:29 and needed a specific type of chair 22:32 to help his back problems 22:34 and this young man at that time, 22:36 searched far and wide in the United States 22:38 to find that type of chair 22:39 and the cost associated with the chair 22:41 and wasn't able to find it. 22:43 This is the producer mentality. 22:46 He went in search globally 22:47 and found that same type of chair 22:49 that was produced in a different country 22:51 for a lesser price. 22:53 What is... What did you think he did? 22:56 Well, the rest of the story is out there. 22:58 Because now he owns a major organization, 23:00 making hundreds of millions of dollars a year, 23:03 and now his dad has quit his work to work for him. 23:06 The context is, "Where do you see that opportunity coming up? 23:09 Where is that chance to make a difference in life?" 23:13 Not about making the hundreds of millions of dollars 23:15 and becoming wealthy. 23:17 Because that young man wasn't thinking about wealth 23:21 and becoming rich, 23:23 he thought more so of satisfying a need. 23:28 And that's the first thing I want you to think about 23:30 when you're coming into this mindset 23:32 of developing this producer mentality. 23:35 Okay, so there's several steps that we've talked through now. 23:38 What is it? 23:39 One is, setting up goals. 23:41 Two is, paying off debt. 23:43 Number three, setting up that budget, 23:45 so that you can plan for retirement plan, 23:49 for investments plan, for the acquisition of assets. 23:51 Acquisition of assets, 23:53 for the purchasing of things that you can use 23:57 to make a product that you can sell to the public 24:00 or creating a service that you can sell to the public, 24:05 and with the internet as it is, 24:07 it provides a virtual space that people can come to you. 24:11 Did you know over this last holiday season, 24:13 there have been people, 24:14 the growth of sales on the internet 24:16 has grown exponentially and there are people out there, 24:19 simple individuals that are not wealthy 24:22 but understand how to make that internet work for them. 24:26 And, yes, the millionaire next door 24:29 could be that blue-collared worker, 24:31 an individual that fixes radiators, 24:34 that individual that understands 24:35 how to manage his money well, and it's that plumber. 24:38 And it doesn't have to be that corporate attorney 24:42 and that corporate individual. 24:43 It has everything to do with 24:47 how you manage your money. 24:51 So what is it about the wealthy and what they think, 24:54 and what they do? 24:55 Successful people don't create backup plans 25:00 because they plan so detailed 25:04 that they have no intention of failing 25:07 and having to go to the plan B. 25:11 They also use other people's money. 25:14 I was amazed at one of these past election cycles, 25:17 of wealthy people who are running for office. 25:19 And I receive in the mail, 25:21 I still have that piece of mail, 25:22 I saved it. 25:24 I have an individual worth well over $250 million 25:27 writing me a letter, asking me for a donation. 25:30 I hadn't mind to send him the letter back 25:31 saying, you know what? 25:33 "Why don't I ask you to donate the money to me 25:35 so I can give it to you?" 25:37 Or if I have that savings, 25:39 I could actually have taken it from that 25:41 and sent him an immediate contribution. 25:43 Whatever the case was, I thought it very humorous 25:45 to think that someone worth that amount of money 25:49 and, believe me, I don't believe 25:51 that they actually tapped into any of their wealth and riches. 25:55 What they had done is utilized the funds of other people 26:02 to run for government. 26:04 And that's the wisdom of these wealthy. 26:06 They leverage other people's revenue, 26:09 other people's cash to grow their own business 26:12 and to make more money, 26:15 one of the things that you should be aware of. 26:18 Now one of the big things that I'll leave you with is, 26:22 avoid low expectations 26:24 and don't be driven by emotion or greed. 26:28 One of the things that wealthy think 26:31 and what they do is this. 26:33 They set high expectations for themselves. 26:36 They set high goals for themselves. 26:39 And they make it a point to reach those goals. 26:42 They don't let anything get in their way 26:45 to reaching and attaining those goals. 26:47 And the other issue is a true wealthy mindset 26:50 is not about greed. 26:52 It's about fulfilling a needed service 26:56 by producing a product and a service 26:58 that people can use. 26:59 How do you get there? 27:01 Wealth is not about being a millionaire, 27:04 wealth is about spending less than you make, 27:08 wealth is about taking advantage of the opportunities 27:11 that God has given you to pay off your debt, 27:14 thinking wisely, about creating that budget. 27:18 Go through your budget line by line by line, 27:21 see what you don't really need, see what you can live without, 27:25 save that extra money, put it away, 27:27 put in a place that you can get access to those funds 27:31 and or put in investments where you can have 27:33 a retirement fund actually setup. 27:36 And most importantly, most importantly, 27:39 begin the process of thinking more so 27:41 as a producer mindset and not a consumer, 27:44 think about making that money make sense and work for you 27:49 because if you are able to think like the wealthy think, 27:54 you will be far better than anyone else 27:57 in your category. 27:59 Take that to the bank. 28:00 God bless. |
Revised 2017-04-13