3 Main Reasons Why Most People Are Poor

This is now the formal start of my financial planning guide lessons. Since in our previous series of steps (for those who are new in my blog please click here and follow each step) we already talked about the necessary steps to take before actually planning your financial life.

You already have a dream life, a financial goal, and now it is time for the "apply lessons-fail-plan again-repeat until successful" part of financial planning.

Now let's talk about the three most common reasons why many people are poor.


1. Because most people do not really want to be rich.

Yup, you heard me right! We really do not want to be rich. I know many of you would react and say, "I have never heard a person say that he does not want to be rich". In fact if I ask you right now if you want to be financial free and be wealthy?

The common answer would be - OF COURSE!

3 Main Reasons Why Most People Are Poor

Step 4 Present Your Financial Goal To God and Start Tithing

Today, I will let you on a secret that not many financial planning experts will tell you.

Let me start by giving you a brief history.

As a Christian, I have a very good relationship with the Lord and although some of you may disagree but I am proud to say He has fully blessed my financial life because we are good friends.

Don't get me wrong, I am not a preacher or a priest (although when I was young I wanted to be one) but I firmly believe that there is really a higher power out there that really loves us unconditionally. Because of that of love, he helps us cope with our problems, gives us great families who also love us unconditionally, he gives us a way in difficult situations, he makes us smile in simplest ways, and He gives us ENORMOUS WEALTH. 

Step 4 Present Your Financial Goal To God and Start Tithing

Step 3 : Claim And Commit To Your Financial Goal

I know that this may seem as a "non-contributor" in a financial planning guide lesson but I want to clarify this issue and how it relates to our financial life.

We often relate financial freedom to having lots of money, or how much money a person earns, spends, his cars, etc..... So in a natural way, we relate wealth to the amount of money a person has in his bank account.
For most people, if you don't have a big house, don't drive a Jaguar, or don't have the latest cellphone then you are not rich.

Step 3 : Claim And Commit To Your Financial Goal

Continuation of Step 2 - Taking A Financial Retreat

Today is an exciting week for all us since this week is also a week of reflection for the Holy Week. This week is where we look back into our life and evaluate our sins and be reconciled with our Father in heaven.

Although many would consider it as a Roman Catholic tradition but the importance of this day all leads to looking back on how our Father gave His only son Jesus (our savior and brother) so that we can all be save. Out here in the Philippines, specifically in Cebu City, I see Jesus' sacrifice as a sign of love and compassion and that's how we Pinoy's are living it especially on the Holy Week.

Continuation of Step 2 - Taking A Financial Retreat

Step 2: Taking A Personal Retreat - "A Financial Retreat"

<w:lsdexception locked="false" priority="1" name="Default Paragraph <br />

Step 2: Taking A Personal Retreat - "A Financial Retreat"

Step 1: How to Compute Your Net Worth

Now going back to the Steps of Setting our Financial Goal, we start with step 1 which is:
"How to compute your Net Worth"

I know a lot of people hate the subject of accounting (that includes my wife), but it is a necessity when it comes to taking control of our financial life. Although in this section we will discuss a few points in accounting but we will discuss it the simplest and practical way I can possibly explain.

Step 1: How to Compute Your Net Worth

Setting A Financial Goal

Based on our previous discussion (please click here for those who have not read it), we all belong to a financial stage and all the steps that we should be doing should take into consideration where we currently belong.
Again, the goal is financial freedom so I guess we all agree that, that is all our "end-state".

Now let's start with setting a Financial Goal.

Setting A Financial Goal

Financial Life Stages

I have observed that our life is all about stages, and even in our finances we also have different stages.

A lot of financial planning guide books define it in many ways, but I like to make things simple. For me there are only four (4) stages in a person's financial life:

Financial Life Stages

My Emotional Inspiration To Change My Financial Life

Hi everyone, welcome to my financial improvement blog.

To be honest with you, this is actually my personal “Financial blue print”. My life’s financial journey and all the many lessons, the tears, and especially the joy that I have experience in my financial life is written in this site.

A background on how my financial life was.

When I was young, my family has faced many financial rollercoaster. As a child, I would often hear my mother telling me “let’s go to your grandpa’s house, we will ask financial help from him for your school”. As a child I never really understand this, not until I reached my teens that I was fully acquainted with the many needs for money. Although within that period (my childhood years to my teens), my father was able to set-up a furniture export business that brings sudden wealth and thus changed our lives. We are able to fix our house, had foams as bed, had two automobiles, we dined in restaurants, had the toys I wanted, and etc. In short, we were living the life of the wealthy.

My Emotional Inspiration To Change My Financial Life