Interest is always working.
It is either working for you or against you. You are either earning interest, paying interest or losing the opportunity to earn interest. There are no other scenarios.
Money has to move to earn.
Stagnant money is money in jail. But for whom is it in jail?
Some examples of stagnant money are Qualified & Non-Qualified Plans and CD’s.
Some examples of cash flowing and constantly moving are Qualified & Non-Qualified Plans and CD’s.
What am I talking about? I am talking about the difference between whoever has control of the money makes ALL the difference.
If you are depositing your money into a Qualified, Non-Qualified Plan or a CD, aren’t there restrictions and penalties if you touch YOUR money at any point before the term is up? Who set the term? The one who is in control of your money.
Why are you discouraged with restrictions and penalties, from using and moving your money? Is it to protect you, so you don’t spend it all before your retirement, or before the set term? Of course not. It is so they (the ones in control of your money) can keep your money moving for themselves.
It is not the owner of the money but the one who has control of moving the money who is making all the profits.
We are taught to store our money for the future, and not use it for all that time, so it can grow. Ha Ha Ha. Why is that? The Private Reserve Strategy as discussed in Nelson Nash’s book Becoming Your Own Banker puts YOU in CONTROL of YOUR money, throughout your entire lifetime.
LIQUIDITY
I have heard so many stories lately I have come to realize that liquidity of our money should be a high priority in our financial plan. There are multiple reasons why we should keep our money liquid but first; here are just three of the many real life scenarios to demonstrate my point.
Scenario 1.
June 19, 2009