8/3/2019 7 Ways to Tell if You Are on the Trail to Success

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7 Ways to Tell If You Are on the Trail to Success - Article by Al JacobsAt some point in most peoples lives comes a realization that the dreams of youth and more soberaspirations of early adulthood may never come to pass. A childhood fantasy to become a famous

movie star, a teenage obsession to excel on the athletic field, or a young workers aspiration to be amillionaire, are among the hopes that remain a distant vision. But as years pass and i llusions fade,each of us must come to terms with the success we achieveor fail to achieve. Success may bedefined in different ways, such as gaining the respect of friends and relatives, attaining proficiency inthe arts and sciences, or living a satisfying domestic life. However, in our culture the very wordsuccess denotes financial achievement. It is in this context that we shall evaluate whether youreheaded in the right direction.

1. You regularly take in more than you spend.As a first step toward success, you must embrace a fundamental concept: Income exceeds outgo.This is the most important principal to which you must adhere. It goes without saying that there aretimes, such as medical emergencies or personal mishap, when unanticipated expenditure is incurred.In these instances youll vary from our rule of frugality. But, at other times, you will consistently live

below your means. Persons who fail to comply may expect a series of misfortunes with no relief.2. You honor your financial commitments.

Persons who promptly fulfill their financial obligations will find all involvement more profitable. Conductyour affairs in this manner and success will court you.

3. You owe no debt.

One important factor separating winners from losers is debt. Although mortgage financing to acquirereal estate, as well as wisely arranged business loans, can prove beneficial, personal borrowing isnormally a mistake. This means that the clothes on your back, the furniture in your home, and thevehicle you drive, are owned without obligation. Ill concede that you may appear prosperous behindthe wheel of a newly financed Mercedes Benz, but your actual prosperity is vastly enhanced if yourauto is fully paid for, even if you must drive a 1984 Toyota Corolla. And concerning debt, credit card

use is particularly insidious. Its my belief that a credit card serves a single purpose: a conveniencewhen neither check nor cash is handy. Most importantly, when the monthly statement arrives, pay thefull cash balance due before the date that interest is charged. Follow this rule and success will follow.If you cannot regulate your credit card use in this manner, destroy your cards and fashion your lifeaccordingly.

4. You control the present.

As we journey through life, there are three principal objects upon which we may fixate: the past, thepresent, and the future. All three serve a function. Its important to reflect upon the past, for byevaluating earlier performances we fashion a guide for handling new demands. Its equally vital tokeep an eye on the future, as how a course is steered determines its outcome. But its neither the pastnor the future over which we exercise control. It is only the present that affords an opportunity tograpple with events and arrange favorable results. If you regularly conduct your affairs so to resolvesituations in ways that satisfy you, you are exhibiting qualities that lead to success.

5. You are a skeptic.In navigating the perilous waters that lead to prosperity, youll encounter shoals. Avoid them bydemonstrating skepticism, defined as the recognition that ninety-five percent of everything isnonsense. Your thoughts then run in the following manner. You find it baffling why anyone buys alottery ticket. You understand that the variable annuity your neighbor just invested in is a sad mistake.You entertain no illusions that a financial advisor will provide sound counsel merely because of the

8/3/2019 7 Ways to Tell if You Are on the Trail to Success

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Certified Financial Planner (CFP) designation held. Youre not tempted to invest in something becauseof a hot tip from a friend or relative. Its beyond your comprehension why anyone not certifiably insanepurchases a timeshare property. Such is the mindset of one who is successful.

6. You are able to retire at 50.

Admittedly, this is arbitrary, but there is something significant about reaching this particular age.

Perhaps its the undeniable realization that there are fewer years ahead than behind. If the first half ofyour life is spent working for your assets, is it unreasonable that during the second half your assetswork for you? This doesnt mean you must actually retire at this age, and indeed most successfulpeople pursue gainfuland usually enjoyableendeavors as long as they are able. Nonetheless, theoption should be yours.

7. You have a reputation for honesty.Its my firm conviction that a reputation for impeccable honesty is among the most valuable assets youcan possess. There are no limits to the doors that open and the opportunities afforded a man orwoman whose words and actions can be trusted. Whether you are of truly high moral character, orpossess the personal values of an eighteenth century London pickpocket, is not the issue. From apurely pragmatic frame of reference, conduct your affairs in a way that your reliability can never bequestioned, even if it goes against the grain. This quality is truly a mark of success.Id like to share a final thought on the matter of success. Wealth, at least a certain amount of it, is anecessary criterion for success. However, the possession of wealth is not in itself sufficient, and I knowpersons with net worths of seven and eight figures that are abject failures in every respect. It's thecombination of assets, lifestyle, and attitude that engenders success . . . but this is a subject foranother time.