- Ackerie, Stefan 175
- active growth 101, 102, 237
- active dividend strategy 145–146
- ageing population 37, 87, 138, 176
- Andrew’s story 24–25, 54–55, 88, 93, 174–175
- arc, generational 12
- asset
- assets
- attachment theory 17
- automation 42
- baby boomers 34, 55, 76, 90, 92, 138, 141
- bad customers, dealing with 192–193, 196
- beliefs 4–5, 8, 28; see also values
- The Big Short (film) 87
- brain structure and function 7–8, 112
- Brisbane floods 232–233, 235–236
- Buddenbrooks effect 11
- budget 115–116, 120, 128, 163, 164, 165–166, 178, 179
- business, creating a big 174–175
- business, small see also Andrew’s story; David’s story; Melissa’s story
- — as an asset 102, 117–120, 223–224
- — employees 210, 211, 233–234
- — equipment 185, 228
- — freedom and 170, 196–197, 199
- — growth 228–237
- — specialisation 152–153, 158–160, 167, 181, 204, 228
- — starting 157–159, 167–170, 171, 172, 177–178
- — vs job 117–120, 168–169
- business, starting a 157–159, 179–187; see also Andrew’s story; David’s story; Melissa’s story
- — generalist vs specialist 152–153, 158–159
- calorie restriction 4
- Chau, Amy 11
- chess 148
- children
- — best financial support for 75–76
- — effect of financial support on 73–77
- choices, increasing 83, 167–170, 197, 199
- civilisations, cycles 12, 140–141
- clients, losing 209–210
- cold calls 185–186
- compound interest 150
- Confucius 4
- consumer mindset 96, 133, 135
- consumption 28, 75, 115–116, 133–134, 135, 162, 165
- cost-cutting 136–137
- credit 119
- customer spend, increasing 200–201
- cycles 137–148, 151
- — awareness of 147
- — civilisational 140–141
- — consumer 137
- — decade 138–139, 141–142
- — El Nino 232–233
- — La Nina 232–233
- — lifetime 137–138
- — market 146
- — presidential 140
- — trends and countertrends 63, 79–80, 90, 94, 124, 138, 141, 144, 153, 233
- — using for prediction 141–143
- — using for wealth 141–144
- — yearly 139–140
- David’s story 68–69, 119–120, 152–153, 177, 214, 216–217, 223–224, 225–228, 230, 234
- debt
- — addiction to 85
- — attitudes to 90–93
- — cost of 92–93, 107
- — credit ratings 91
- — dependence on 77, 85–107
- — effects of 114
- — financialisation of 87, 90, 96, 100
- — good 52, 87, 88, 90, 92, 93, 105, 107, 122, 157
- — prioritising repayment 104–105, 163
- — recovery from 90–102
- — slavery 90, 92
- — stability, illusion of 85–87
- — student 91–92
- — techniques for getting out of 104–105, 163
- debt, freedom from 102–106
- — reasons for 105–106
- — techniques for 104–105
- — vs escape 105–106
- debt snowball technique 104–105, 163
- deflation 10, 86, 87–88
- dependence 32; see also debt; income; job
- — on a boss 68–69, 71–72, 89
- — freedom from 71–84, 189–197
- — on parents 73–78
- — on a pension 78–80
- — on a platform 81–82
- — stigma of 80–81
- — on stock market 89–90, 100
- — trap 68–69, 71–84, 191
- — vs independence and interdependence 82
- depreciation 126
- derivatives 97, 100–101
- Digital Great Depression 35
- disinflation 88
- diversification 81–82
- Dostoyevsky, Fyodor 40
- Dunbar, Robin see Dunbar’s Number
- Dunbar’s Number 31–32
- Economic Outpatient Care (EOC) 73–75
- econo-system 131, 137, 144, 151
- education
- — benefit of 35
- — costs 90–91, 93
- — as an investment 117–118
- — value of 90–96, 93
- — valuing 13–14
- Eisenhower Principle 193
- emergency fund 160, 161, 162
- equality 30
- equity vs income 101–102
- Facebook 226, 227
- fame as a value 23–26, 45
- financial advice 18, 22, 34, 88–89, 103, 160, 166, 172
- financial instruments, investing through 96–99, 137–138, 145–147
- — assets, creating 100–102
- — control vs ownership 97–99, 126–126
- — covered calls 126–127
- — falling market 99–100
- — options 97–100, 126–127, 145–147
- — without debt 96–99
- financialisation of debt 87, 90, 96, 100
- FIRE economy 86
- freedom
- — achieving 46, 209, 210
- — homeownership and 54–55
- — lack of 25
- — as a motivator 41–47, 103
- — valuing 19, 46–47, 51–54
- — vs wealth 215
- freedom, financial 22, 51, 81
- — freedom first and 224–225, 239–242
- — wealth and 32–33
- freedom, traps from lack of 151,157–158, 157–237 199
- Freedom Escape Velocity 101, 128, 175–187
- freedom first 107, 128
- — achieving 155–252
- — benefits of 49–61, 81
- — creativity and 243–246
- — compass not ladder 239, 240–241
- — for financial freedom 224–225, 239–242
- — getting free first 155
- — as a motivator 41–47, 103
- — perfect motivator 41, 47
- — putting freedom first 49
- — two sides of xii
- — vs homeownership 54–55
- — vs status 55–56
- — what is meant by x
- Freedom First Wealth Creation Formula 132–137, 182
- Freedom Quadrant 189
- — activities 193–197, 201
- — four quadrants 195–197
- — goals 194
- — values 194
- freedom window 187
- gig economy 35
- Global Financial Crisis (GFC) and its aftermath 10, 19, 50, 52, 72, 76, 83, 87–88, 93, 100, 125, 139, 141, 142, 144–145, 157–158, 172, 236
- goals
- — big 43–44
- — focus on 10, 43–44
- — pleasure and 43
- — risk-reward calculations 43
- — short-term 45–46
- — values and 45–46
- Great Depression 35, 37, 142, 172
- growth 148–153, 228–237; see also business, small
- — assets, building 225–228
- — converting income to 218–220, 224–225, 227
- — creating an asset 223–225
- — exponential/compounding 148, 149–150
- — opportunities 153
- — passive 85, 87–90, 101
- — personal 39, 180, 225, 230–231
- — potential for 151
- — power of 149, 150, 175–187
- — predicting 177–178
- — tech billionaires and 148–150
- — working for 223–237
- growth vs fixed mindset 150–151
- homeownership
- — alternatives 57–59
- — incentives for 56–57
- — real cost of 54–55
- — rent vs buy 93–95
- — six-year rule 57–58
- — vs stock market 94–95
- hunter-gather societies 31–32, 111
- income see also investment
- — active 146
- — allure of 125
- — attitudes to 110–113
- — beyond passive 145–147
- — from capital 221–222
- — consumption 114–116
- — converting to growth 221–222
- — debt and 114–115
- — escaping trap of 128
- — farming and 110–111
- — increasing 196, 199–208
- — inequality 10
- — as input and output 29, 113, 116, 117, 118, 119, 122, 158, 158, 160, 166, 169, 178
- — investment, effect on 120–124
- — investment for 124–129
- — passive 101, 124–126, 127, 145–147
- — reason it is a trap 112–113
- — replacing 122
- — security and 112–113, 114
- — supra stimulus 111–112
- — as a trap 109–129, 131, 147, 216–217, 243
- — vs growth 218–220, 221–222
- immigrant families 13–14, 16–17, 31
- inequality 10, 77–78
- inflation 10, 35–36, 86, 88–89, 219
- insurance 100
- interest rates 88
- investment see also income; financial instruments; growth; property
- — bargains 101–102
- — big risk 121–122
- — consumption and 115–116
- — control vs ownerships 97–98
- — financial instruments 96–99, 137–138, 145–147
- — for income 124–129
- — income trap and 120–121
- — income trap, reason for 124–129
- — loans 90
- — margin calls 100
- — missing 149
- — passive 123
- — passive, risks of 146–147
- — past performance 121
- — production minded 135
- — in self 117–118, 150–151
- — straight line thinking 123–124
- — strategy 93, 95
- — vs home ownership 93–95
- — without debt 96–99
- job, regular see also David’s story; income; Melissa’s story
- — income 71
- — platform dependence 82
- — security and 121, 122
- — style and income trap 120–124
- — as a trap 25, 173, 175
- — upside 160
- — vs small business 117–120
- leverage without debt 96–99
- levers 197, 199–211, 216–217
- loss
- — aversion 29–30, 149–150
- — limiting 150
- Maslow, Abraham 15–16, 19
- margins 203–205
- market, defined 225–226
- marketing 171, 181–184, 197, 199–211, 228; see also Melissa’s story
- market mispricing 143–144, 233, 236
- Maslow’s hierarchy of needs 15–17
- — inverting 18–19
- — testing 17
- — values and 18–19
- Melissa’s story 24, 83, 200–211, 243–246
- — add-ons 184–185, 203–204, 233
- — assets, building 234–235
- — bad customers 192–193, 196
- — business development 189–189
- — business start-up 157–159, 179–187
- — choices 197, 199
- — clients, losing 209–210
- — cold calls 185–186
- — customer spend, increasing 200–201
- — database 244
- — drones 184, 245
- — employees 210, 211, 233–234
- — equipment 185, 228
- — exclusive offers 189–193, 204, 205
- — fees 181, 209–211, 228–229
- — free offer 205, 207
- — future 244–245
- — growth 228–237
- — growth, personal 230–231
- — income, increasing 196, 199–208
- — investment, new 232, 235–236
- — job change 71–72
- — levers 199–206
- — linear earnings 193
- — margins 203–205
- — marketing 171, 181–184, 197, 199–211
- — marketing kit 183, 206
- — outsourcing 186, 190, 229–230, 231
- — photo editing app 244–245
- — photography course 206–207
- — prices, increasing 209–211, 228–229
- — promotion 200–201
- — referrals 200, 202, 205
- — refusing work 208, 209
- — relationship building 205, 207
- — retirement 237, 244–245
- — sale of business 244–245
- — specialisation 159–160, 167, 181, 204
- — systemising 234
- — training courses 231–232, 234–235
- — value, creating 182–183, 186, 203, 205
- — website 181, 184
- meritocracy 30–31
- mindset
- — growth vs fixed 150–151
- — passive 120
- minimum viable product 169
- millennials 24, 76, 90, 92
- Millionaire Next Door, The (Stanley & Danko) 13, 73, 77, 115–116, 178
- money see also income
- — erosion of value 113
- — experience of, individual 118–119
- — healthy view of 166
- — production and 117
- Montaigne, Michel de 16
- moral exhibitionism 28
- motivation 6, 15–17, 18
- — ability for 42
- — action and 42–43
- — freedom and 41–47
- — goal focus 43–44, 45–46
- — importance of 41–44
- — process focus 44
- — security and 39–40
- — status and 55–56
- — trap 74
- motivation equation 44
- Occupy Wall Street 142
- Okinawans, values 4
- optionality 98–99, 150
- options 97–100, 145–147
- outsourcing 186, 190, 229–230, 231
- Parable of the Talents 242
- parents, children of rich 73–77
- PayPal 148–150
- pension see also retirement
- — consumer behaviour and 79–80
- — defined benefit 35, 77
- — defined contribution 35, 77
- — effects of 37–38
- — forms of 77–78
- — government 78–80
- — as a trap 78–80
- Perceived Income Level Lag (PILL) 128
- politicking vs production 33, 83
- power as a value 30–33
- prediction
- — elections 142–144
- — market corrections 141–142
- — trends, noticing 144
- pricing 209–211, 228–229
- priorities see Freedom Quadrant
- production
- — thinking like a producer 134–135
- — vs consumption 133–134, 136–137
- productivity 119–120, 152
- property see also Brisbane floods; homeownership; mispricing
- — investment 57–59, 93, 100–102
- — prices and booms 125
- — renovation 235–236
- — six-year rule 57–58
- Ramsey, Dave 104
- recessions and depressions 141–142; see also Great Depression; Global Financial Crisis
- relationships and money 60–61
- relationships, cognitive limit to 30–31
- retirement see also baby boomers; pension
- — creating wealth 36
- — debt 87
- — dependence 78–80, 89–90
- — early 36–37, 38, 39, 237, 244–245
- — earnings in 38–39
- — economic seasons 86–87
- — income 126
- — pensions 35, 37–38
- — rates of savings withdrawal 37, 39, 78–79
- — saving(s) 35–36, 43, 86–87, 96, 109–110, 121–122, 219–220, 223
- — secure 39–40
- — security 36–40
- — stock-market investment 36–39
- rich, the
- — behaviour 10
- — as evil 5, 23
- — as good 23
- — income and consumption 115–116
- — tax secrets 58–59, 215
- The Richest Man in Babylon (book) 11
- ridesharing 35
- risk 89, 122
- — investment, big risk 121–122
- — limiting 98–99
- salary sacrifice 221, 225
- Salvo-Reno-Primo strategy 236
- saving(s) 89, 90, 119–120, 128; see also retirement
- — accounts 160–165
- — attitudes to 144–161
- — automating 166
- — failure to accumulate 95
- — freedom 72, 106, 158, 177, 241
- — for no-thing 72
- — retirement 35–36, 43, 86–87, 96, 109–110, 121–122, 219–220, 223
- — systematising 160–166
- — utility 121–122
- savings, systematising 160–166
- — freedom for fun account 165
- — freedom from bills account 163–164
- — freedom from debt accounts 163
- — freedom from expenses account 164
- — freedom savings account 160–162, 164, 165
- — objective of 165–166
- seasons, economic 9, 86
- seasons, money 131
- security
- — cost of 36–39
- — financial planning and 34
- — motivation and 39–40
- — need for 40
- — savings and 36–37
- — as a value 17, 22, 33–40
- — valuing 68–69, 78–79, 125, 126
- — vs insecurity 35
- short term
- side-gigs 35
- signalling 27, 28
- specialisation 159–160, 167, 181, 204
- — for systemisation 159–160
- Stanley (Thomas J) and Danko, William D 73–77, 115–116, 178
- status
- — competition 26–27
- — property and tax and 56–59
- — through freedom 59–60
- — trap 74
- — as a value 26–30
- — vs freedom 55–56
- straight line thinking 123–124, 147–149, 175, 177–178
- stock-market returns
- — long-term 36–37
- — straight line thinking 123–124, 175, 177–178
- successful, looking 180
- supra stimulus 111–112
- systemising 159–160; see also specialisation
- tax, freedom from 213–222
- — capital gains 56–57, 58, 218, 219, 220, 223, 224
- — deductions 214, 215–216, 217, 223
- — financial freedom and 215, 216–218
- — income vs growth 218–220
- — income into growth 221, 224, 225, 227, 238
- — moving income 217–218
- — secrets of the rich 58–59, 215
- — thinking two dimensionally 194, 215–216, 222
- — thinking three dimensionally 194, 216–218, 222, 223
- — thinking four dimensionally 213, 218, 222
- Tech Wreck 141
- time
- Theil, Peter 148–150
- trends, predicting 79–80
- Trump, Donald 98–99, 143–144
- 23andme 226, 227
- unpaid leave 221
- urgency vs importance see Freedom Quadrant
- value, creating 159, 182–183, 186, 203, 205, 225; see also assets, building
- value-added cognitive work 41
- values
- — action and 8
- — changing 19, 21, 46
- — comfort 7, 41
- — competing 6, 19
- — defined 6, 7–8
- — dominant 21–40, 60–61
- — fame 23–26, 33
- — family influence 14
- — freedom 49–61, 175
- — generational 11
- — hierarchy 19, 50–51, 59–61
- — hierarchy of needs 15–17
- — identifying 49–61
- — importance 3–8
- — Okinawans and 4, 7
- — personal 22–23
- — power as 30–33
- — security 17, 22, 33–40
- — status 26–30
- — as subconscious desires 6, 7, 21, 23, 24, 60–61
- — true 174–175
- — variation in 42–43
- — vs beliefs 6
- values, hierarchy of
- Values Audit 50, 51
- volatility 55, 88, 101
- wages, stagnation of 87, 90
- wealth see also wealth creation
- — business and 22
- — defined 132
- — fame and 22, 23–26
- — freedom leads to 170
- — generational 9, 11–14, 22
- — paths to 22–40
- — power and 22
- wealth creation 3, 129, 131; see also Freedom First Wealth Creation Formula
- — cycles, understanding 12, 141–144
- — cyclical nature of 11–12
- — ecosystem of 137
- — families and 9–14, 17
- — fear and 13, 14
- — loss and gain 29–30
- — repeating 36
- — timetable to 49
- — vs freedom 13
- wealthy, the see rich, the
- withdrawal rate 38–39, 78
- work from home 229–230
- work vs labour 241
- Zero Income Founders Club 221
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