Smoke. Drink. Conspire. Part 2

I was in a secret room I did not know existed, surrounded by successful businessmen. On the mirror it read “Smoke. Drink. Conspire.”

The men I was surrounded by did not stumble or luck their way into this secret room in the cigar lounge (like I may have). These individuals planned to be in this exact spot 10-15 years ago. No, I do not mean they planned to be sitting in a cigar lounge on the north side of Indianapolis back in year 2000. However, they did plan to be in their current financial situation. Everyone in this room exemplified what I later found out to be called a “Millionaire’s Mindset”. These men did not develop their wealth quickly, but rather slowly and purposefully. There are two basic rules these men follow. Rules that I was not yet aware of. However, each man swore by them and when they explained to me why, a light went off in my head.

Rule #1. Do not lose money.

Rule #2. If you ever feel tempted, refer back to rule #1.

You might think that’s common sense.

I know I haven’t left any money laying around and I am pretty sure there aren’t any holes in my pockets that money could fall out of. But this is not what they were referring to. The holes in which I was losing money was not caused by loose threads in my inseam. Instead they came in the form of shoes, clothes, electronics, and cars.

The wealthiest people in the world did not reach that status because they were big spenders, but rather because they are big savers. This reminds me of the episode of Aaron McGruder’s TV show The Boondocks, called “Fund Raiser”. In one moment of this episode a homeless man asked Riley for some spare change. Riley quickly said “no” as he entered his newly acquired hotel apartment. As he turned his nose up to this homeless man you could hear his thought process. “You can’t be raising funds and giving funds away at the same time. That’s like getting high on your own supply.”

While I am not saying you shouldn’t be giving to charitable organizations, I frequently participate in Hashtag lunch bag in Indianapolis (look it up). However, Riley’s thought process does make a lot of sense. You can’t give money away and save money at the same time. The men in this room see money as something to invest rather than something to spend. Their investments are calculated. And if a particular item does not hold or increase its value over time, chances are they are not buying it.

What are the holes in your pockets? I know mine are expensive cigars and nights out with the fellas. Studies have shown that the average adult spends 2-3 hours each month studying and thinking about their money. That’s usually at bill paying time. In contrast the average self made millionaire reviews and plans their finances 20-30 hours a month. These men have spent hours containing or sewing up their holes

All the men in this room had two things in common. They had incredible taste in cigars, and they save at a world class rate.  Instead of living a lifestyle that matches their income, these men save 15% – 20% of their income. The goal isn’t to appear to be wealthy with clothes, cars, and the latest technology, but to actually have your bank account reflect it. How much did you save last year?

As I have said before, it is time that we change our thinking. It is not always an easy task to find where the money is falling out of your pocket and its never a task we want to complete. But the sooner we look the sooner we can make a difference. If you need help seek out a professional. Financial advisors are not only for the wealthy. They are also for those who have questions and are ready to start making a difference in their financial life. 

Smoke. Drink. Conspire.

Over the last year I have had the privilege to work along side two of the best financial planners in the country. I was placed in the role of mentee under these two men and was shown a world I, nor anyone in my family, has ever seen before. I found myself invited to dinners with wildly successful entrepreneurs, businessmen, and lawyers. On one particular evening, I was sitting in my favorite cigar lounge (one I frequent with my friends). I was in a secret room I did not know existed, surrounded by successful businessmen in fields such as medical, corporate law, and commercial real estate. A few of these men, including my mentor, bring home an annual salary in the seven figures. On the mirror behind the bar of this secret room read the words “Smoke. Drink. Conspire.”  I knew I had to take advantage of this opportunity and learn as much as I could from these men. I found that most of the things they said to me made a lot of sense. Now I feel it is my responsibility to share and educate others on what I have learned.

  

"Smoke, Drink, Conspire". Over a year later it is those words that sticks out to me the most about that night. This is a room where business is done. This is a room where finances are discussed, strategies are developed, and deals are made. One gentlemen had his son with him taking notes and writing down important details that were being discussed. I was a few years older than his son and I too was taking notes. I learned so much about myself and my culture that night.   

That night I learned my own personal budgeting habits were counterproductive. I had spent very little time planning for the future and living a lifestyle that matched my income. Where did I learn how to handle our finances? Traditions in my family include religion, the kinds of food I eat, holidays I celebrate, and even the music I listen to. But what I did not realize is without someone teaching me how to handle my personal finances and business like the gentlemen and his son in the cigar lounge, I am bound to use the precedents set by our parents, community, and environment.

It is time that we change our thinking. Its time we start talking about finances with our families. And if we are struggling we need to know it is okay to seek professional help. Financial Advisors are not only for those who have established wealth. They are also for those who want to start building as well as those who are in need of help. So if you need it, seek it. 

Chad Spann

Financial Representative