We have discovered the true significance of our financial education in the last 18 months.  Prior to this, we were not proactively planning our financial future.  We thought it would just take care of itself.  Back in Michigan, we both had high paying jobs and a 401k plan.  We gave that up to move to Florida to start our traditional franchise business that we expected to exceed the income we earned on our jobs.

Well, luckily Dave went to the library in January 2008 looking for ideas for how we could increase our income since our traditional business was not performing as we hoped.  He was ready to open his mind and learn about other options and opportunities. That was the start of our real financial education that neither of us learned in school.

It was shocking to realize that a job is not going to give you the life of your dreams and that schools only teach students to strive for the job. With a job, you have no security even if you think you do. Your employer could lay you off or fire you at their discretion. You have no control. We prefer to be in control as is likely true for so many others.

A job generates income that is taxed at the highest tax rates. And on top of that, an employee has little to no tax deductions to reduce that tax bill. Once we knew that there were other ways to earn income that could be reduced by tax deductions and then taxed at much lower rates, we were ready to learn and take the first steps. In the past, I thought these other ways were out of reach. Now I know we can do it just as well as anyone else.

Also we were made aware that schools really teach nothing in regards to how to manage your money or how to use your money to make money. With an employee mindset promoted by schools, we didn’t know that the key to financial success is to purchase assets that produce income (this is not a savings account). We also didn’t know that our house was not an asset as I was taught in accounting and told by our banker. An asset is something that makes you money, not takes it away through mortgage payments and maintenance.

As we’ve hinted at here, we have learned so much about our financial future and how to create our financial independence from our financial mentors. Please take a look at what our mentors have to offer to you as well.

To your financial success!
Dawn & Dave