If you're new here, this blog will give you the tools to become financially independent in 5 years on a median salary. The wiki page gives a good summary of the principles of the strategy. The key to success is to run your personal finances much like a business, thinking about assets and inventory and focusing on efficiency and value for money. Not just any business but a business that's flexible, agile, and adaptable. Conversely most consumers run their personal finances like an inflexible money-losing anti-business always in danger of losing their jobs.
Here's almost a thousand online journals from people, who are following the ERE strategy tailored to their particular situation (age, children, location, education, goals, ...). Increasing their savings from the usual 5-15% of their income to tens of thousands of dollars each year or typically 40-80% of their income, many accumulate six-figure net-worths within a few years.
Since everybody's situation is different (age, education, location, children, goals, ...) I suggest only spending a brief moment on this blog, which can be thought of as my personal journal, before looking for the crowd's wisdom for your particular situation in the forum journals.
If you enjoy the blog, also consider the book which is much better organized and more complete. You can read the first chapter for free, listen to the preamble, or see the reviews (1,2,3,4,5,6,7,8,9, A,B,C,D,E,F,G,H,I,J,K,L,M,N,O,P,Q,R,S,T,U,V,W,Z). Subscribe to the blog via email or RSS. Get updates on the facebook page, join the forums, and look for tactics on the ERE wiki. Here's a list of all the ERE blog posts.
Many interpersonal misunderstandings originate in parties not having the same goal of the discussion. I do not wish to go into detail of which underlying psychological motivation e.g. ego that drives these goals, but it is certainly noticeable that if two people do not have exactly the same goal, at least one party will inevitably be disappointed by the outcome.
The four goals are
- Agreeing.
- Winning.
- Truth.
- Ignorance.
The last, ignorance, is not a goal per se, rather it reflects a non-caring attitude.
Now, it should be fairly obvious what will happen when any of the 10(=4+3+2+1) different combinations happen in face-to-face encounters. It could even be expanded upon to meetings and conferences of several people. What is more interesting is how each type deals with his own decisions. I know as a “truth”-type that I carry an internal dialogue at all times never being particularly pro nor con. I suspect a winning-type carries a lot more certitude, is less flexible, and more permanent, in other words, a winning-type will not grow. An agreeable type will not grow by himself but could be pulled along, especially by a winning-type. An person who doesn’t care is unlikely to be moved by anything and provides the constant or reference point of the system.
Originally posted 2009-03-01 21:57:25.
