In my work with clients in all different kinds of financial circumstances, one of the most significant problems I encounter is the lack of understanding about the power of a cash surplus. Very few people, it seems, really comprehend all the advantages they could have if they got their finances under control and accumulated a significant amount of money.
The “live now, pay later” attitude that is so prevalent in today’s consumeristic society makes it next to impossible for most people to see how to make their money work for them over time so it can increase in value.
The importance of having a cash surplus can only be explained to a point, and then it must be experienced in order to fully comprehend it.
Having a cash surplus not only allows you to purchase more of the consumable goods you may need and want right now, but also opens up
wonderful opportunities to create additional long-lasting and far-reaching wealth. The ability to create this cash surplus is only possible when you understand time-proven foundational principles of money management, such as those taught by the Money Mastery program. When you learn the principles of this program and apply them, they build upon one another making it possible to get finances under control and create a cash surplus.
Experiencing the power of the “multiplier effect.” The multiplier effect is what happens when you have surplus instead of debt. It works even when you only have a little bit of extra money to work with, multiplying quickly in your hand — like multiplying two times two times two — the end result is much greater than if those numbers are simply added together. 
Wealthy people understand this concept, controlling their spending, eliminating bad debt, planning for the future, protecting assets, and reducing taxes all at the same time, which creates the multiplier effect on their money. They are more efficient with their time and resources, creating a surplus of both that can go to work to make additional wealth. “Secrets of the Wealthy” studies conducted on millionaires across the U.S. reveal secret strategies of these wealthy people that contribute to their ability to create a cash surplus.
1. Average wealthy Americans have about $1.4 million in assets, but only $275,000 in debt. Of that debt, only 1% of it is comprised of credit card debt.
2. Most millionaires have far more in real estate assets apart from their primary residence than any other type of wealth, including jewelry and cars. Owning rental properties, with their perpetual source of income, is an important way that the rich get richer.
3. In general, statistics show that most wealthy people don’t drive fancy cars. So when you see an opulent vehicle on the road, you need not 
necessarily assume that its driver is rich — they’re more likely to be in debt up to their eyeballs. The average value of the sum of ALL the vehicles that wealthy Americans own is just $28,800. Remember, the spiffy car that depreciates in value only SLOWS wealth creation.
4. The standard destroyers of the middle class — car loans and credit cards — don’t have much place in the debt load of the wealthy. Rich people seem generally not to live above their means. Car loans and credit card balances are almost non-existent among millionaires.
So, how do you stack up? If you can see from these statistics that you are sabotaging your best efforts at creating a cash surplus perhaps now is the time to commit to change.
For information on how the Money Mastery Principles can help you, call me today: (801) 292-1099, ext. 1.
