I’ve always been inspired by Robert Kiyosaki’s CashFlow 101/202 board game and his Cash Flow Quadrant below.
Don’t pay off debt? Acquire good debt? Purchase income producing assets? Makes sense to me.
I’ve decided to conduct a real-life case study based off the Cash Flow game and to get myself out of this freakin rat race!
(Follow along if you’re game)
Rules are simple:
Create enough monthly cashflow to pay all your expenses = out of Rat Race
-Cashflow should come from business systems and investments not a job…(if you’re self employed w/o a team or system I would still consider that the Employee quadrant…as you are an employee to your job)
The goal is to get from the Left Quadrant below to the Right Quadrant
I’m starting this from ground zero so it might be some time before we see any progress, but public announcements always seem to keep me on track so let’s get started. My focus will be on income producing assets like Multi-unit rentals and fully systemized online businesses. I’ll also dabble a little bit into Crypto Currency (5%) as a majority of my investments are in Vanguard Index Funds (95%)
Step #1 calculate my October expense and cashflow.
Oct Expense Breakdown
Car: $700 (insurance, gas, toll, payments)*
Eating Out/Misc: $250
Other: $300 (gym, workers comp, life insurance, taxes)
Designer: $120 (Merch by Amazon)
Total Expense: -$2570
*Get rid of my car……I know! We’ll talk about savings in another blog, yes I do save, but I do not count that as an expense to get out of the rat race.
Oct Cashflow Breakdown
Merch by Amazon: $100
Investments: To Be Calculated (Vanguard Funds)
Total Cashflow: $100
$100 – $2570 =’s -$2470 additional cashflow needed
October Goal: Add additional $200 in CashFlow thru Merch by Amazon
Oct potential Cashflow opportunities:
-Affiliate Monetization (Site/Youtube)
-Real Estate – Multi Unit acquisition