Category Archives: Blog

The Value of Your Time; Your Life.

Trading your life for stuffSpending your time equals spending your life.

(This blog is a continuation of yesterday’s blog)

There is one more piece to this process I want you thinking about. I want you thinking about what things cost you in hours worked. When you go to work you are exchanging your life (time) for money. Here are some examples.

Let’s assume you make $25 per hour.

1. You will have to work 61.32 hours to bring home enough money to buy the $1,000 couch. That means working just shy of 8 full work days.

2. You will have to work 4.6 hours to bring home enough money to pay for a $75 night on the town.

3. You will have to work 1,840 hours to bring home enough money to buy the $30,000 vehicle. That means working 46 weeks. That’s right…almost a FULL YEAR!!

Let’s assume you make $15 per hour.

1. You will have to work 102.2 hours to bring home enough money to buy the $1,000 couch. That means working just shy of 13 full work days.

2. You will have to work 7.65 hours (a whole day!!) to bring home enough money to pay for a $75 night on the town.

3. You will have to work 3,066 hours to bring home enough money to buy the $30,000 vehicle. That means working just shy of 77 weeks or about 1.5 years. (This vehicle will go down in value too but that is a topic for another day).

Is it worth it?

I’m not against buying couches, nights out, vehicles, or other items. My goal with this article is for you to understand and calculate the real cost of every item you purchase.

You have a choice, and the choice is yours. – Coach Bryan

(Note: a. For those of you who participate in biblical tithing (10%), your factor is 170% instead of the 153% so you would need to earn around $1,700 to have enough to buy the $1,000 couch. b. Tax percentages may be different for your situation).

Thank you for reading the My Financial Life Coach blog where we talk about money, goals, family, life events, spending, and economic news. We do make every attempt to avoid the topic of politics but we will bring up economic policies that need communicated. Our job is to educate and motivate you to the debt-free life style.

Don’t forget to checkout our website, www.MyFinancialLifeCoach.net  for 100’s of resources including tips, articles, spreadsheets, web-based training, and more.  Why not tell a friend? Looking for daily motivation on your financial walk? Checkout the My Financial Life Coach Facebook page.


 

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Filed under Balance, Blog, Family, Finance, Financial, Goals, Home, Life, Life Balance, Money, Personal Finance, Time, Uncategorized, Work

Calculating the REAL cost of every purchase you make.

How much?

One thing I have found to be consistent over the past 20 years when working with folks is that they do not understand the real cost of the purchases they make. I always ask the question “How much does a $1,000 couch cost?” When I ask this I normally hear “Am I paying cash or am I charging it?” For the following example the assumption is cash.

Only a $1,000, Right?

You are looking to buy a $1000 couch, and you say, “It is only $1,000.” Right? Wrong. Let’s look at what it really costs to make that purchase.

Taxes and More Taxes…

First, let’s assume you need to pay sales tax of 7%. So now you need to come up with $1070. But you actually need to earn more money because where I come from there are taxes to pay such as federal tax, city tax, state tax, and FICA. Let’s assume you are in a 15% federal tax bracket, 6% state, 2% city, and your portion of FICA. That means you will need to earn at least $1,533.00 before taxes to make that $1000 purchase.

In other words, the $1000 couch will cost you $1533 or 153% of the sale price. So when considering a purchase, make sure you evaluate the real cost.

So another way of saying this is…

  • You need to earn $1533 to buy a $1000 item
  • You need to earn $15.3 to buy a $10.00 item
  • You need to earn $1.53 to buy a $1.00 item

It impacts other areas…

Let’s shift from couches to vehicles. You know that vehicle sitting in the driveway that you paid $30,000 for? You had to earn $46,000, pay the taxes, in order to bring home enough money to buy it. OUCH!

Can’t seem to get ahead?

Have you ever wondered why it feels that your money doesn’t go very far? Here is why. If I ask you how much you make, what will you tell me? 9 out of 10 times you will tell me the gross amount that you make because we normally think in gross. So if your gross income is $70,000, you are walking around thinking you make $70,000 a year, and you are beating yourself up because you are wondering why you can’t make it on $70,000 a year. The reality is if you are grossing $70,000, you are bringing home (net) somewhere in the $46,000 range. That is a long way from $70,000. Once you start thinking in net, you will find yourself less frustrated and more understanding as to why you don’t have the purchasing power you thought you had.

Tomorrow we will talk about the value of your time.

You have a choice, and the choice is yours. – Coach Bryan

Thank you for reading the My Financial Life Coach blog where we talk about money, goals, family, life events, spending, and economic news. We do make every attempt to avoid the topic of politics but we will bring up economic policies that need communicated. Our job is to educate and motivate you to the debt-free life style.

Don’t forget to checkout our website, www.MyFinancialLifeCoach.net  for 100’s of resources including tips, articles, spreadsheets, web-based training, and more.  Why not tell a friend? Looking for daily motivation on your financial walk? Checkout the My Financial Life Coach Facebook page.

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Filed under Balance, Blog, Education, Finance, Financial, Goals, household budget, Life, Money, Personal Finance, Time, Uncategorized

Confession – My Financial Life Coach Lacks Discipline

I lack discipline

That’s right, I lack discipline. Did I go out and borrow money for a car? No, I have pretty good discipline with money; my challenge is with eating and exercise. I like to eat and I don’t like to exercise.

False advertisement?

The 20 ounce soda says it contains 2.5 servings. I find it only has one serving. The peanut butter flavored cereal says 12 servings; a new box is half gone when I finally push myself away from the table…so it only contains two servings for me.

No it isn’t false advertising, it is MY lack of discipline, MY inability to control the amount of consumption, and MY frequency of consumption. Bottom-line, MY eating habits and MY lack of exercise habits are similar to the money management habits of my clients.

Reflecting back

I was in great physical condition when I was in the military. That was 32 pounds ago or about a pound a year. I have rationalized that this rate of gain is acceptable until I realized last week I could live as long as my grandfather who lived to be 100 years old. If I live that long and keep up this current pace, I will have gained about 80 pounds. Totally unacceptable – I want to have good health and energy to do what I want to do.

Changes start today

It is time put my money discipline skills to work in the area of my health. Focus and discipline. That starts today. For those of you who have worked with me as a coach or have gone through the Balance Up program you know that is important to  1) Set goals; make them visible, 2) Put a plan together to achieve the goals, and 3) Hold yourself accountable to others. When clients do this they typically see significant progress in about 6 weeks.

I really like the 6 week time frame. 6 weeks is 42 days. It takes 21 days to form new habits so 42 days gives you twice as much time as you need to form new habits.

Next Steps

My goal – Shed 15 pounds in the next 6 weeks through exercise and eating discipline. How will I keep this goal visible?  I’m going back to the military haircut, the haircut of my prime. I will be reminded of my goal, my plan, every time I look in the mirror.

My plan – Eliminate the ice cream, soda, and PB cereal over the next 6 weeks. Drink more water and less coffee (ugh). Exercise no less than 4 times a week.

My accountability – I know that the My Financial Life Coach audience will hold me accountable and will cheer me on. I will update my situation twice a week on my blog and on Facebook.

Current Facts

Today’s weigh in – 180 lbs.

It’s not all about me.

Now a challenge for you. What are you going to do to in the next 42 days to improve your health or your financial health?  Feel free to join in the challenge by commenting on either the blog or on the Facebook page.

You know that I always end my post with the following quote…

“You have a choice, and the choice is yours.” – Bryan Cooper, Financial Coach

I think it is appropriate to change it for today…

“I have a choice, and the choice is mine.” – Bryan Cooper, a middle aged out-of-shape guy who needs discipline to get back into good physical shape.

Thank you for reading the My Financial Life Coach blog where we talk about money, goals, family, life events, spending, and economic news. We do make every attempt to avoid the topic of politics but we will bring up economic policies that need communicated. Our job is to educate and motivate you to the debt-free life style.

Don’t forget to checkout our website (www.MyFinancialLifeCoach.net)  for 100’s of resources including tips, articles, spreadsheets, web-based training, and more.  Why not tell a friend? Looking for daily motivation? Checkout the My Financial Life Coach Facebook page too.


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April 2, 2012 · 10:45 am

My Financial Life Coach – Week in Review – March 10-16, 2012

This blog entry includes everything from this week that I posted on Twitter, Facebook, LinkedIn; along with links to WordPress posts.

March 10

Consumer Credit Increased 8.6% in January 2012 http://ow.ly/9yhpQ

The days of homebuyers going after the biggest, best house they can afford (and sometimes can’t afford) are over. http://ow.ly/9yBdO

March 11

Banks foreclosing on churches in record numbershttp://ow.ly/9yBFk

Thought for Tomorrow: When your life is busy and stressful, sleep. Just as relaxation and recreation are necessary to help you recover from a busy day, a good night’s sleep will help you to rejuvenate so that you can be ready to pursue your goals. So why not start the week out right by going to bed on time tonight?

March 12

Time Tip: While delegation is generally a means to efficiency, it can sometimes create frustration and poor results. Be careful to delegate tasks to the correct people, those who understand them and can complete them well. Also be clear as to who has which responsibilities. Accidentally assigning the task to multiple people is a huge time waster.

Money Tip: When you go out to eat, skip the drinks and dessert. For example, say a family of four purchased four drinks at $1.50 each and four desserts costing $2.50 each. If they were to eliminate those items, they could save $16 every time they go out to eat. If they only go out to eat an average of four times per month, they would still be saving $768 per year!

Thought for Tomorrow: There are people so poor, that the only thing they have is money. –Unknown.  How about you? Don’t go to work tomorrow just for the money. Go there to meet needs of your customer, and the result will be a paycheck to meet the needs of your family. -Bryan

March 13

Time Tip: While multitasking is often detrimental when doing two or more needed tasks, it can work when one task requires little or no thought. For instance, if you want to listen to music, do it while you clean the house. Call your mother during your evening walk.

Article: Government records highest-ever monthly deficit: http://www.foxnews.com/politics/2012/03/08/government-records-highest-ever-monthly-deficit/

My Financial Life Coach Blog Article:  Enemies of Your Financial Goals   https://myfinanciallifecoach.wordpress.com/2012/03/13/the-enemies-of-your-financial-goals/

Money Tip: Wrap an insulating jacket or blanket around your hot water heater to help it be more efficient in retaining heat.  What ideas can you share?

Video: This three minute video puts the US deficit into perspective –   http://www.youtube.com/watch?v=Li0no7O9zmE&sns=fb

Thought for Tomorrow: The dictionary is the only place where success comes before work. Take responsibility of your situation & take action.

March 14

Time Tip: Work expands to fill your time frame. If you schedule a single project, it will likely take you all day. Instead, plan to accomplish several tasks.

My Financial Life Coach Blog Article: Poor vs. Broke – How do you look at it?  https://myfinanciallifecoach.wordpress.com/2012/03/14/poor-vs-broke-how-do-you-look-at-it/

Money Tip: Ask for your children’s input on your family’s financial decisions. You will be educating them, and they may even come up with some great ideas you hadn’t even considered.

Thought for Tomorrow:  Television viewing results in an upscaling of desire which in turn leads people to buy. Every additional hour of TV viewing per week boosts spending by roughly $200 a year. –Harvard Study

 March 15

Time Tip: Work on important tasks when you are more alert. Save more mundane pursuits for the times you are naturally less active.

Dave Say’shttp://ow.ly/9FznV

Money Tip: Heating and cooling costs generally comprise the majority of energy bills. To lower those costs, use appliances that require less energy. Some appliances may cost more initially but will save money over time. Before purchasing one, compare the operating costs over the expected life of the appliance to determine which model is the most cost effective.

And the Winner is… Single Mom’s Ask Sara http://www.youtube.com/watch?v=HUw0y1L1Wos&feature=youtu.be

Thought for Tomorrow: Want to feel rich? Count all the things you have that money cannot buy. So what you are thankful for tonight?

March 16

Time Tip: When you watch T.V., fold the laundry or clip the coupons. You can eliminate some work while watching your favorite show!

Money Tip: Avoid places where you make unnecessary purchases. For example, if you often buy clothing impulsively, don’t go to a clothing store unless you need and plan to purchase a particular item.

Thought for Tomorrow: You cannot live a positive life with a negative attitude. Are your finances negatively impacting your attitude? Take action this weekend.

Thank you for reading the My Financial Life Coach blog where we talk about money, goals, family, life events, spending, and economic news. We do make every attempt to avoid the topic of politics but we will bring up economic policies that need communicated. Our job is to educate and motivate you to the debt-free life style.

Don’t forget to checkout our website (www.MyFinancialLifeCoach.net)  for 100’s of resources including tips, articles, spreadsheets, web-based training, and more.  Why not tell a friend? Looking for daily motivation? Checkout the My Financial Life Coach Facebook page.

Bryan Cooper
My Financial Life Coach
2280 W William St., Suite A
Delaware, OH 43015

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Filed under Balance, Blog, Dave Ramsey, Events, Family, Finance, Goals, household budget, Life, Personal Finance, Saving Money, Time, Time Management, Uncategorized

Poor vs. Broke – How do you look at it?

Civil engineering and infrastructure repair in...

Image via Wikipedia

First let’s start out with a few bullet points for each and then a real world example.   

Poor   

  • Victim mentality
  • Someone else’s fault
  • Justify why they can’t get ahead
  • Complain
  • Do not take responsibility

Broke

  • No victim mentality. They realize it is temporary.
  • Not someone else’s fault. They take ownership.
  • Do not justify why they can’t get ahead
  • Do not complain (at least not for long)
  • Do take responsibility

Poor versus Broke. (from an earlier blog)

After a hurricane Katrina, my daughter and I traveled to the area affected by it to assist in the rebuilding. My job was to install plumbing in the new homes that were being built in one of the poorer areas.

Broke

While there, I had the pleasure of meeting a retired gentleman who lived across the street from where I was working. He was in his late 80’s, and he brought over some sodas for us to drink as we worked. He told us he appreciated the work we were doing in his neighborhood. He informed us that the water had been about 4 feet deep in his home and truck. He had cleaned up his place himself and was currently working on his truck so he could get it running again (his truck was worth about $200).

He said that he was living on a $600 per month income and that the storm had set him back a little financially, but he felt he had bounced back fairly quickly. He was broke, but not poor.

Poor

Beside him sat a house that still had all of the flood residue in the yard. On the porch sat three teenage boys who lived there, each listening to his MP3 player. They motioned for me to come over to where they were sitting, so I did.

When I got there, they asked if I knew when the work crew was coming to their house to clean their yard. I stood there in disbelief. Here were three able-bodied young men who had the physical ability to take care of their own situation but were waiting on volunteers- volunteers their own age who were paying to come from other states to help. It then occurred to me that these young men had been raised to believe that they were poor and that they could not do anything about it.

Which are You?

So as you look at your own finances, are you broke or poor? Broke is temporary . . . just a bump in the road. Or are you poor, thinking that you have no control over and no input into your situation? The two definitions I’m using have nothing to do with money; they have to do with people’s attitudes and perceptions of their situations.

You have a choice, and the choice is yours. – Bryan   My Financial Life Coach, LLC

Thank you for reading the My Financial Life Coach blog where we talk about money, goals, family, life events, spending, and economic news. We do make every attempt to avoid the topic of politics but we will bring up economic policies that need communicated. Our job is to educate and motivate you to the debt-free life style.

Don’t forget to checkout our website, www.MyFinancialLifeCoach.net  for 100’s of resources including tips, articles, spreadsheets, web-based training, and more.  Why not tell a friend? Looking for daily motivation on your financial walk? Checkout the My Financial Life Coach Facebook page.

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5 Reasons Your Goals May Have Failed in the Past

In my last blog article we discussed the need to re-evaluate your goals. Now I want you to look at why your goals may have failed in the past:

1. You didn’t have any goals or they were not written down.

If it isn’t written down, don’t plan on them happening.

2. You lacked POSITIVE SELF-TALK and/or you had a negative opinion of yourself.

If you keep telling yourself you can’t do something, it will become a self-fulfilling prophesy. Will you hit every goal on time? Probably not but you have a greater chance of hitting goals if you keep trying, so stop the negative talk to yourself.

3. Your attitude toward failure.

Failure is an event, not a person. Don’t be afraid to fail or make a mistake. The person who has not failed has never really tried. It is the law of numbers. The more things you try to do for the first time the greater the chance is that you will fail. Expect it, learn from it.

Did you fall down the first time you tried to walk? I’ll bet you fell down a number of times. So how did you learn to walk? You kept trying. You got up again and again until you were walking. The same thing goes for following through with your goals.

4. You stopped trying.

5. You did not ask for directions.

No one knows everything. Sometimes we just need to find someone who can assist us with what we are not familiar with.

Conclusion

It is so important for your goals to be written down. It is so easy to forget about them when they are out of sight, out of mind. You want them where you can see them on a regular basis. Believe that you can obtain those goals, attitude is key!

If you think you can, you will. If you think you can’t, your right…you won’t be able to do it.  Stop listening to all of those negative influences around you. Turning off the TV is a great start..do you really need to hear all of the negative news?  Plug away on your goals. When you hit a wall, read a book on the topic or find someone who knows. You really can do this, believe in yourself and start working toward your goals.

You have a choice, and the choice is yours.

Bryan Cooper – www.MyFinancialLifeCoach.net

Thank you for reading the My Financial Life Coach blog where we talk about money, goals, family, life events, spending, and economic news. We do make every attempt to avoid the topic of politics but we will bring up economic policies that need communicated. Looking for motivation multiple times per day? Check out the My Financial Life Coach Facebook page.

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Filed under Attitude, Blog, Change, Events, Family, Goal Setting, Goals, News