My personal goal is to make every reader of this website financially secure.  I want us all not to lay in bed at night and wonder how (or even if) we will pay our electric bill.  Money is not the most important thing in our lives, but when we don’t have it…our worlds crumble.

“Financially secure? Sure, if I made six-figures!”  The truth is that it does not matter how much we make, it is our margin that matters.  Basically, I am talking about living within our means.  Take fish for example.  For the most part, a fish will not grow larger than the aquarium in which it lives.  Instinctively, they live within their means, or they have a comfortable margin.

We are the opposite.  We see the shark next to us in a huge tank with castles and envy  her “crib.”  Next, we pretend we are that shark and try to live like our budgets are that expansive.  All of a sudden, we have overstretched our means and are fighting to stay afloat.

You know that two-thirds of America’s millionaires are self-employed.  Not that interesting until you factor in the average salary of a small business owner is $233,000.  Compare that to the average Doctor’s of $250,000 per year.  Why are more small business owner’s actually richer?

Margin.  Small business owners are used to being frugal to ensure the doors stay open and employees get paid.  The ones who spend lavishly, go under.  Doctors have a status they must maintain.  They need to look and act the part of the shark.  Therefore, many overstretch their means.  Both make the same, but one is wiser.

If you make $30,000 a year, you can be rich.  You just can’t act like you make $60,000 yearly.  My grandparents lived by this philosophy.  My grandma was a school teacher, and grandpa ran a small manufacturing business.  Neither teachers or middle managers are notorious for being rich, but they respected the margin.

Naturally, they weren’t rock star rich with private planes.  However, they were able to travel all over the world and were still financially secure.

Respect the margin!

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