Video Transcript: Pay Yourself First

So in the last few lessons, we've talked about why we need to have a clear purpose in life. What is God's will for our life? Why do I want to achieve financial prosperity? Why we need to have a burning desire? What is his dream that you have? One of the other things I learned from Peter J Daniels is he said, If you do not save the seeds of success, what are not in me. I thought that was a little tough to hear when I first heard it. If I don't save, the seed of success isn't in me, I said, Well, I want to be successful. So I guess that means I got to save. 

But I didn't quite understand what was the connection between savings and being successful. Eventually, when I understood it, I said, Ah, it makes all the sense in the world, and I'm going to explain it to you guys. This concept that we're going to learn in this lesson is pretty simple. And anybody can put it to practice. No matter how much money you have, no matter what country you live in, no matter what age you are, it’s something that even little kids can do. It's a very simple concept. But it's very, very powerful. And once you get it, and once you start to apply consistently in your life, you're going to start to see your life turn around. 

Now some people think it's so simple that they dismiss it. But the key here is to understand what it really means. So we're gonna go back once again, to the richest man in Babylon. And we're gonna read one more lesson, that in fact, that's the name of it is called The Richest Man in Babylon. We're gonna figure out why. Why this story has the same you guys recall the story that we read about the two friends who were having a discussion with themselves and musician, and the chariot builder. And what did they say we're gonna go meet our friends, our Arkad The Richest Man in Babylon to figure out what he might be able to share with us in terms of wisdom. 

Well, what was Babylon, called one of the seven wonders of the world. Right? And what was so great about it, the Hanging Gardens, Right?, Hanging Gardens of Babylon Babylon, once upon a time was the richest empire of the 5000 years ago. And according to this book, there was a very rich man, they're called Arkad. So I'm going to start the story off, and then maybe you guys can help me with it. It says, In old Babylon, There once lived a certain very rich man named Arkad, fine and wide. He was famed for his great wealth. Also, he was famed for his liberality, in other words, that he was very generous. He was generous in his charities, he was generous with his family, he was liberal in his own expenses.

But nevertheless, each year, his wealth increased more rapidly than he could spend it. How many of you guys would like to have more money each year than you can spend? Right. And there were certain friends of younger days, who came to him and said, You are Arkad are more fortunate than we, you have become the richest man in all Babylon, while we struggle for existence. 

You can wear the finest garments, and you can enjoy the rarest foods. While we must be content that we can call their families and arrangement that is presentable and feed them as best as we can. Yeah, once we were equal, we studied under the same master we played the same games. And then neither the studies nor the games that you are China's in the years since you have been no more an honorable citizen than we, nor have you worked any harder or more faithfully insofar as we can judge Why then should should a Fickle Fate single you out to enjoy all the good things of life and ignore us who are equally deserving. 

Notice what these guys thought was going on their thought process, they said, we grew up in the same town we came from the same neighborhood. You know, we played together we went to the same school. You didn't work any harder than we. And somehow they're almost like upset at him saying, Life is not fair. Right? How many people have said that before life isn't fair. Why should Fickle Fate, what is fate mean? What's another word for faith? Luck, right. Why did why why did luck single you out? Why did you get so lucky? And their mind means guys? We're thinking it's all about luck. He had good luck. We had bad luck, right? 

Today's in today's age, what do people what are some of the ways that people think they can get ahead in life? How do a lot of poor people spend their money? When they believe in luck? Lottery? Yep. So they think, hey, if I spend $1, I might make 350 million. Right? What else? Casinos what's another form of Casino? Even if you don't go to Las Vegas? Bets? Right? Gambling, some type of races, right horse races. What else? How else do people try to make money these days?

That's based on luck. Have you guys heard of Bitcoin? Or some of these other right? You hear all these stories and say all these guys became millionaires? Some, some form of it. But for all the people who got in this Christmas, what happened a month later? Lost, probably two thirds of their money, right. For some people, the stock market and I work in the stock markets. I'm not saying it's a gamble for for some people who don't do their research. The stock market is no different than going to Vegas. Hey, I heard this talk was good. Well, I'll just buy that one. How do people lose money in the stock market? When they don't do any research. And they just basically throw a dart, you know, or they get a stock tip. Right? They don't know anything about the company. 

They just heard some rumors that, hey, the stock is going up. So there is a lot of different ways that people try to make money and based on luck, right? So these guys, they thought our cat maybe became rich based on luck. So he says they're upon our Arkad remonstrated with them. In other words, he said you guys are wrong, saying if you have not acquired more than a bear existence in the years since we were young, us, it's because you either have failed to learn the laws that govern the building of wealth, or else you don't observe them. So he's saying, it's not a matter of luck. It's a matter of what laws. What's another term for laws? Principles? Have you guys heard of something called the law of gravity? The law of the more dynamics, right? What are laws? 

Laws are something that is going to be the same way. Today, yesterday, 1000 years ago, and 1000 years from now, right? 

Principles are eternal. And like he says, you either don't know them. Right? Don't understand them or don't know them. Or you don't observe them. In other words, you don't follow them. You might know what you need to do. But what good is it to know if you don't follow it? Right. Now, how can you follow something you don't know? So what is that you need to do? You need to know how money works? And then you need to follow  how it works. Right? 

So that's the first thing that he's telling them is that there's laws. Money Making money is a science. Making money is something that you can learn. For example, does learning how to ride a bicycle? Is that a question of luck? No, it's a question of what? Figuring out the physics of it. Right? What happens if you don't balance correctly in the bicycle? You're gonna fall. What happens if you don't step on the pedals fast enough? You're gonna fall right? There's a science to it. The same thing? What happens if your tires don't have the proper error? It's not going to work. Right? There's a science to riding a bicycle. There's a science to making money. 

So he says Fickle Fate is a vicious goddess who brings no permanent good to anyone. On the contrary, she brings ruin to almost every man upon whom she showers unearned gold She makes one sense vendors who soon dissipate all they receive and are left beset by overwhelming appetites and desires. They have not the ability to gratify, yet others whom she favors become misers, and hoard their wealth fearing to spend what they have, knowing they do not possess the ability to replace it. They further are beset by fear of robbers and doom themselves to lives of emptiness and secret misery. Others there are probably who can take unearned gold and add to it and continue to be happy and contented citizens. 

But so few are they I know of them only by here saying, Thank you, the man who have inherited sudden wealth and see if these things are not so. So what's he saying? He's saying basically, that if you make a lot of money that you didn't earn, through inheritance, through a lottery through whatever, how long is that money gonna last you think of even guys who have been sports stars, right? Or boxers or whatever. 

They make a lot of money when they're young, because they have some skill. But if they didn't develop the skill of being good at money, how long is that money going to last time? You guys heard of sports stars who go broke after a few years when they get out of sports? Right? What happened? I've always kind of tried to explain this to people, you know, people think a large part of the solution to the inequity in life, is the government should take money from the rich and give it to the poor, and say, Okay, so let's try that experiment. 

Let's say that the government was to just tax all the 1000 or 10,000 richest people in this country and give it to all the poor people, let's say every poor person, we're going to get a million dollars. 

Let's say you've lined up every homeless person and you get a million dollars. How long is that million dollars gonna last that person? A million, if you hadn't learned the principles, foundation, Right?. So what do you think a homeless person with the million dollar we're gonna do? He's going to spend it quickly, and then it's going to be gone. Or like it says right there, he'll be so afraid to lose it, then he'll just keep it and not even enjoy it. Right? Because he knows he's not going to be able to make that money.

Now, if you were to tax away all the money from Bill Gates, and, you know, Jeff Bezos, and all the richest guys in the planet, you know, Oprah, all these people, if you were to take away all their money today, but you let them go back and start earning some more, how much money do you think they'd have in 10 years? 

They've made they probably have even more than they got today. Why? What is it that they have that the homeless guy doesn't have? Something in here, Right? Know how money works. All right. So his friends admitted, that of the men they knew who had inherited wealth, these words are true. And they besought him to explain to them how he had become possessed of so much prosperity. So he continued, in my youth, I looked about me and I saw all the good things that were there to bring happiness and contentment. And I realized that wealth increase the potency of all these, wealth is a power. 

With wealth, many things are possible one may ornament the home with the richest or furnishings, one may sail to distant seas, one may feast on the delicacies of farmlands. One may buy the ornaments of the gold worker and the stone polisher, one may even build mine temples for the gods. One may do all these things, and many others in which there is delight for the senses and gratification for the soul. 

And when I realized all this, I decided to myself that I would claim my share of the good things of life. I would not be one of those who stands far away far off enviously watching others enjoy. I would not be content to quote myself in the cheapest rain meant, that look respectable. I would not be satisfied with a lot of a poor man. On the contrary, I would make myself a guest at the banquet of good things. Being as you know, a son of a humble merchant, one of a family, large family with no hope of an inheritance, and not being endowed as you have so frankly said with superior powers of wisdom, I decided that if I was to achieve what I desired, time and study would be required.

This guy's basically saying I didn't come from a rich family. I didn't come from a wealthy background, I didn't have something special, you know more than you guys. But what he did have is from a young age, he had a what? A desire to get ahead in life, right? And he realized that if he wanted to get this, he was going to have to invest what? time and study to require to acquire the knowledge of the laws of money. He says, ask for time, all men have it in abundance, you each of you have let it slip by sufficient time to have made yourself wealthy. You admit, you have nothing to show, except your good families, of which you can be justly proud. 

As for study, did not our wise teacher teach us that learning was of two kinds, the one kind being the things we learned, and the other time being the training that taught us how to find out what we did not know. Right? Therefore, I did decide he made another key decision. He says, how to find out how one might accumulate wealth. And when I found out to make this my task and do it well, for is it not wise, that we should enjoy while we dwell in the brightness of this sunshine? For sorrows enough shall descend upon us when we depart to the darkness of the world is spirit. 

I found employment as a scribe. So that was the next step. He first had the desire and made these decisions. Then what was the next step he did? He started to work, right? He said, I found employment as described in the Hall of Records. And long hours each day I labored upon the clay tablets week after week, month after month, I labored it for my earnings. I had nothing to show food and clothing and pennants to the gods and other things of which I could not remember, absorbed all my earnings. But my determination did not leave me. Right?. 

So this guy, he had a few things going for him. Maybe he didn't have any money, but he had a burning desire, right? He had a strong work ethic you need to be rich reporter to have these things. No. He made good decisions. Right?. And he was persistent. He says that he was determined. What's another word for determined? committed? Right? 

So somebody asked me a while ago, to become from some other country can you get ahead in life? Well, if you have these ingredients, doesn't matter where you come from, doesn't matter what country you're from, to have a burning desire to have a strong work ethic, to make good decisions, and to be determined and persistent?.No. To do this, regardless of where you start off in life. What else? He says one day, alchemist, the moneylender came to the house of the city master and ordered a copy of the ninth law. And he said to me, I must have this in two days. If the task is done, by the time two coppers will I give to you. 

So I labored hard. And the law was long and but when Algamish returned, the task was unfinished. He was angry and had had been his slave. He would have beaten me. But knowing the city Master would not permit him to injure me. I was unafraid. So I said to him, You are a very rich man. Tell me how I may also become rich. In all night, I will carve upon the play on the sunrises it shall be completed. So what else did he have? negotiation skills. Good. He knew how to ask for what he wanted. Right? How many people if you met a rich person wouldn't be afraid to even talk to him. Right?. 

This guy said he wasn't afraid to ask for what he wanted. When an opportunity showed up, he took advantage of his opportunities right let's put that here to you advantage of opportunity. 

Do you guys know that opportunities don't always come twice? Sometimes they only show up once in your lifetime. And if you don't take it when it shows up, guess what? might never come back. 

So this guy asked, and what did the richest guy told him this money lender? He said to him, he smiled at me and he replied, You are a forward name, but we'll call it a bargain. All that night I carved though my back pain and the smell of the week made my headache until my eyes could hardly see. But when he returned at sunup, the tablets were complete. So this guy was determined, he was persistent, he was committed. And he made good on his word, right. Now, I said, Tell me what you promise?. So he delivered his side of the deal. He expected this rich guy to tell him the secret. 

So he says, You have fulfilled your part of our bargain my son, he said to me kindly, and I am ready to fulfill mine. I will tell you these things you wish to know because I'm becoming an old man. And an old tongue loves to wag and when the youth comes to age for advice, he receives the wisdom of yours. But too often does you think that age knows only the wisdom of days that are gone and therefore profits not. But remember this the sun that shines today, is the sun that shone when your father was born, and will still be shining when your last grandchild shall pass into the darkness. 

So what else did this guy do? He asked for advice from  who? from older people who has the most experience in the world in the world? Older people they've already lived through a lot of stuff. Sometimes they could help us avoid bad situations. And we would only somebody who's been through something before. I'd like to add here commandment. All Right?. So let's see what Algamish told our Arkad. What was the secret? He says, the thoughts of you can continue to our bright lights that shine forth like the media that often make brilliant described, but the wisdom of age is like the fixed stars that shines through and change that the sailor may depend upon him to steer his course. Marquee well my words, for if you do not, you will fail to grasp the truth. And I will tell you and you will think that your night's work had been in vain. You guys ready?

 So what did you tell him? He looked at him through his glasses, with his bagel eyebrows. And he says he looked at me surely from under his shaggy brows, and said in a low forceful tone. I found the road to wealth when I decided to make another decision. That a what? A part of all I earned was mine to keep. And so will you. This was the great secret that Algamish shared with Arkad. A part of all you earn is yours to what to keep what are most people do when they get a paycheck every week? They go spend how much? All, And what is he telling him he's supposed to do? A part of all you earn is yours to keep. Right? He says when he continued looking at me with the glans that I could feel pierced me but I said no more. Is that all? 

So the next part of the secret is he told him to what? Save, remember the part that I said to Peter J Daniel said, if you do not save the seeds of success are not in you. Okay, so all of sadin he start all things to come together. And he said is that all that was sufficient to change the heart of a sheepherder into the heart of a moneylender, he replied. 

But all I earn is mine to keep does it not? I demanded. Far from it, he replied. Do you not pay the garment maker? Do you not pay the sandal maker? Do you not pay for the things you eat? Can you live in Babylon without spending? What have you to show for your earnings of the past month? What for the past year? Full? You pay everyone but yourself. Dollard are you labor for others?, you might as well be a slave and work for what your master gives you to eat and warned. If you did keep for yourself 1/10 Of all you earn, how much would you have in 10 years? My knowledge of the numbers did not forsake me. And I answered as much as I earned in one year. He said you speak but half the truth, he retorted, every gold piece that you save is a slave to work for you. 

Every copper it earns is a child that can also earn for you. If you would become wealthy than what you save, must earn and its children must earn that all may help to give you the abundance that you crave. You think that I cheat you for your long nights work, but he can, he continued, but I am paying you over 1000 times over. If you have the intelligence to grasp the truth I offer you, a part of all you earn is yours to keep it should not be less than how much attempt how much of the 10th how much is 10th? 10% a part of all you earn as it shouldn't be as much as you can afford, pay yourself first, do not buy from the cold maker the central maker more than you can pay out of the rest and still have enough food for charity and penance to the gods. 

So he's saying to him, you have to save you have to what paying yourself in what order?. First, how much? 10%. Doesn't matter whether you're in in in dollars, or in pesos, or in rupees or in rubles or whatever currency your country you live in doesn't matter. Pay yourself a much?. First 10% first year, wealth is like a tree it grows from a tiny seed. Right? The first copy you save is the seed from which your tree of wealth will grow. And the sooner you plant that seed the sooner that tree will grow. And the more faithfully you nourish and water that tree with consistent savings, the sooner you make bask in contentment beneath the shade. So saying he took his tablets, and he went away. I'm gonna pause the story for just a little bit. 

I want to tell you guys I went to Hawaii about three years ago. And I went to this place where they used to sell macadamia nuts. I don't know if you guys have ever seen those macadamia nuts. Anyway, in the big island in Hawaii. They have this plant called Mauna Loa. And they took us to the plant where they grow the seeds. While there was a sign in the road that said this way to the headquarters. So we started driving down that road. And on the left hand side, what do you think we saw? some trees. And on the right hand side, we saw some trees and all those trees are macadamia nut trees. So we kept driving for miles and miles and miles and miles. And all we saw was trees on every which side till we finally got to the manufacturing plant. When we got to the manufacturing plant, what do you think we saw/, we had to they have to conveyor belt like, like to the assembly lines, they had all these nuts coming down those things. And at the end, they would go into this little barrel. And they would grab them from there and put them in a little bag. 

Every little bag. Every second, they were just pulling bags and bags and bags of these nuts. Each little bag sells for 10 bucks. When I saw that, I thought man this is like literally a money machine here. Now, how do you think that whole tree farmer got started? They had to plant some trees. I don't know when 4050 years ago. But it has to start first here in the mind of somebody, right? Who had that idea, that vision that they plant all 1000 trees or 10,000 trees. Now all they have to do is start with one, one. And then that one they have to grow it. They have to let it grow. Once that thing started giving fruit, what if they had to do with the fruit needed? Tell me you have to grab some of that and go plant some more in that process. Right? A lot of times we're very anxious and we're very impatient. But we have to realize it's no different what he's talking about, than what these people in Hawaii did, than anything that we can do. Right? 

A lot of times we might think, jeez, if I save 10% of my paycheck. How's that going to do anything? How's that going? Making you rich. Well, believe me, your riches has to start somewhere. So it's gotta start with your first paycheck, saving 10% Don't worry about how long it's gonna take, just realize that it's already started, you planted that first seed, right? Says here, I thought much about what he said to me. And it seemed reasonable. So I decided that I would go try it. 

Each time I was paid, I took one from each 10 pieces of copper, and I hid it away. And as strange as it may seem, I was no shorter of funds than before. I noticed little differences I managed to get along without it. But often I was tempted as my hoard began to grow, to spend some of it for the good things and merchants displayed, brought by camels and ships from the land of the Phoenicians, but I wisely refrained. So what is he saying? He's saying that if you start to save money, what's going to be the temptation to go spend it as soon as you say, Well, guess, I got this money saved away. I can go buy. 

So this other stuff, right? After 12 months, how can we had gone? And he returned again? Algamish he said to me, son, have you paid yourself not less than 10% of all that you have earned for the past year? I answered, probably. Yes, Master I have. That is good. He answered, beaming upon me. And what have you done with it? I have given it to Azmur, the brick maker who told me he was traveling over the four season tire, he would buy from me the rare jewels of the Phoenicians who entrust his money to? to bring nature to go by what tools? How much? How much does that guy know about jewels? So what do you think happened? When he returned, we're gonna sell these tools at high prices and divide the earnings. So he got himself a partner, he gave them the investment, Right? And this other guy took off with the money to go buy these tools. So let's see what he bought. It says, You guys want to read it? 

Once every few months. He grew up. But why trust the knowledge of brick maker about Jews? Would you go to the bread maker to inquire about the stars? No, my, no buy my tunic, you will go to the astrologer. If you have power to think your savings are gone up. You have jerk your wells tree up by the roof. But, but time another, try again. The next time if you would have advice about Jelws go to a Jewel merchant. If you would know the truth about sheep go to a herdsmen advice is one thing that is given away freely. But watch that you take only what is worth having. He who take the advice about his saving from the one who is inexperienced in such a manner shall pay the saving for proving the falsity of their opinion seeing this, he went away.

So the story doesn't have such a good ending right now. Right? So this was the ending. So this guy, he did all those things, Right? He saved but what was his mistake? He listened to the wrong person about his investment. Right? So he had the good intention that the wrong result. Did he give up now and so it was as he said the Phoenicians are scoundrels, insult to asthma, worthless bits of glass that looked like gems. But as Azmur had bid me and again saved each 10th copper for I now had formed the habit. 

That was it was no longer difficult to over this habit. savings. So he got something good out of it. Right. He learned how to save and he learned how to live on the other 90%. Again, 12 months later Algamish came to the room and describes and address me. What progress have you made since I last saw you? Well, I paid myself faithfully, I replied. In my savings I have entrusted to Agger the shield maker to buy bonds. Do you think a shield maker knows something about bronze? And each fourth month? He does pay me the rental comic the interest. That is good. And what do you do with the rental? What do you think he did with the earnings? His interest? She says I do have a great feast with honey and fine wine and spice cake. Also I bought me a scarlet tunic. 

And someday I should buy me a young ass to write upon. So what was he doing with the earnings from his investments? spending it on a better lifestyle? Right? What do you think he should have been doing with those earnings? reinvesting Right? So to wish Algamish shall have, he said you do eat the children of your savings? How then do you expect them to work for you? And how can they have children that will also work for you? First, get yourself an army of golden slaves, and then many rich banquet you will enjoy without regret. 

So saying he went away again. I did not see him for two years. And once more when he returned, his face was full of deep lines in his eyes truth. For he was becoming a very old man. And he said to me, Arkad, have you yet achieved the wealth? Your dreams have been answered? Not all that I desire. But some of it I have, and it earns more, and its earnings earns more. And do you still take the advice of brick makers, about brick making they give good advice? I retorted. So so far, what have we seen here? This guy was learning something right? 

First he learned to work, then he learns to save, then he learned to invest, then he learned to be invest. Right. And he learned not to take advice from the wrong people. Arkad, he continued, You have learned your lessons? Well, you first learn to live upon less than you could earn. Next, you learn to seek advice from those who are competent to their own experiences to give it and lastly you have learned to mate word might make gold work for you. You have taught yourself how to acquire money, how to keep it and how to use it. 

Therefore, you are competent for a responsible physician. So let's just review here, First number one, he learned to earn the money. How did he earn it through his work? Right? Then he learned to keep the money through doing what? saving paying himself first, then he learned to make the money work by putting it by investing. Then he learned to make the money grow by reinvesting it. And he learned to take advice from home, from anybody, from experts in their field. 

And now, what just is about to show up for him. He says you are competent and risk for a responsible position. I am becoming an old man. He says my sons think only of spending and give no thought to earning my interests are great. And I fear too much for me to look after. If you will go to the Nippur and look after my lend there. I shall make you my partner and you shall share in my estate. So he found an opportunity to profit. Right in this case it came through a partnership. 

Do you think Algamish would have offered him this partnership after year one on day one, or after year two? Or after year three? Why did he wait five years before he offered this to him? Yet to see that this guy was at the right place, right that he had the right skills, the right persistence, the right understanding? Why didn't he leave his business to his children? He says yeah, what were they only thinking about? They only think about what?  spending, Right? They weren't thinking like Arkad. 

So they didn't become his partners. He says so I went to the Nippur and I took charge of his holdings which were large and because I was full of ambition, and because I have mastered the three laws of successfully handling Well, I was unable to increase greatly the value of his properties. So I prospered much. And when the spirit of argument is parted, departed for on the fear of darkness, for the fear of darkness, I did share in his estate as he had arranged under the law, so to speak, Arkad, when he finished his tale, one of his friends said, What do you think his friend said? He said, You were indeed, fortunate. So once again, that Algamish made you an error. So what is this friends going back to?

What are they ascribing? To what?luck, fortune? How much too any of these things have anything to do with luck? Do you think he was fortunate or that he was lucky? Do you think he became a partner by being lucky? It seems like these friends listen to the whole story. But they're still thinking about what?  the way that they their beliefs, they're still trying to think of it in terms of good luck, bad luck. They didn't really get it. Right?. Fortunate only and that I had the desire to prosper, right. You have to have a desire to prosper. And before I first met him, for four years that I proved my definiteness of purpose. By keeping 1/10th of all I earned, what you call a fisherman lucky who for years, so studied the habits of the fish that with each changing when he could cast his nets above them. 

Opportune is a hottie goddess who wastes no time with those who are unprepared. Because know what luck, maybe he was lucky, you know what luck supposedly stands for? laboring under correct knowledge. Maybe he was lucky in that sense, Right? He knew what he was doing. He was prepared. Abraham Lincoln once said, you know that if the opportunity arises, that you will be able to take advantage of it if you're prepared. 

Okay, it says another guy. Another his friend said well, you have strong will power to keep on after you lost your first year savings. You are unusual in that way. Some other guy was saying wasn't due to scale it was due to willpower. Will power, retorted our kid, what nonsense do you think will power gives a man the strength to lift a burden to Campbell cannot carry or to draw? A load the oxen can not budge, will powers but the unflinching purpose to carry a task you set for yourself to fulfillment? 

If I set for myself a task, me it ever so trifling, I shall see it through? How else shall I have confidence in myself to do important things? Should I say to myself for 100 days, as I walk across the bridge into the city, I will pick from the road and febrile and cast it into the stream, I would do it. If on the seventh day I passed by without remembering, I would not say to myself, tomorrow, I will cast two pebbles, which will do as well. Instead, I would retrace my steps and cast a pebble no one between and say what I'd say to myself, forget our cab. 

This is useless. But does it avail you to cast the pebble every day, throw in a handful and be done with it? Nor, I would say that, nor would I do that when I set myself a task for myself, I complete it. Therefore, I'm careful not to start difficult or impractical tasks, because I love leisure. So what's the saying, basically? We have to build habits, right? habits is something that we have to do consistently, every single day. 

Another friend said, well, if what you say is true, and it does seem as you have said, reasonable than being so simple as all men did it, too, would not be enough wealth to go around. This guy's basically saying that not everybody can be wealthy. Right? What does Arkad reply to him? Says wealth grows forever. Men exert energy Arkad reply. If a rich man builds a palace, a new palace, is the gold he pays off gun? No, the brick maker has part of it. The labor has part of it, the artist is part of it. Everyone for laborers upon the house as part of it yet when the palace is completed, is it not worth all that cost? And is the ground upon which it stands not worth more because it's there, and is the ground that adjoins it, not worth more because it's their wealth grows in magic ways. No man can prophesy the limit of it. 

Have not the Phoenicians built great cities, I'm very close with the wealth that comes from the ships of Commerce on the scene. So what's he saying? He's saying that basically there isn't a limit to wealth. Where does wealth come from? Where does wealth start? starts right here. Right? How much? What's the limit of wealth? There is no limit to how many thoughts we have. Finally, his last friend says, What do you then advise us to do that we may also be rich. Now finally the ask a good question. And he says the years have passed by, we're no longer young men we have now been put by. So that's what he says to them. I advise you to take the wisdom of Algamish and say to yourself, a part of all I have it is mine to keep. 

Say it in the morning. Say it when you first arrived, say it. Say it at night. Say it every hour of every day. Say to yourself, until the words stand out like letters of fire across the sky. impress yourself with this idea. Fill yourself with this thought take whatever portion seems wise, but let it not be less than 1/10th. Arrange your other expenditures to do this if necessary, but lay that portion by first. Soon you will realize what a rich feeling it is to own a treasure upon which only you have a claim as it grows, it will stimulate you, a new joy of life will thrill you greater efforts will come to you to earn more of your increased earnings will not the same percentage be also yours to keep. 

Then he says, learn to make your treasure work for you make it enslaved make his children and his children children work for you. Ensure an income for your future. Look at the age and forget not that in the days to come you will also be numbered among them. Therefore invest your treasure with great caution that has been not lost. 

Usury rates of return deceitful sings that thing but to lower the unwary upon the rocks of loss and remorse. He's basically saying to them, you have to think about that someday you're going to be an old person. And you have to start providing for when that day comes when today, today is when you got to start putting money aside, learn how to make that money work, make sure you don't lose that money and make sure that you're going to have a sufficient income for when you become all right?. It says provide also that your family should not want should the Gods call you to the realms for such protection, it's always possible to make provision with small payments at regular intervals. 

Therefore, a provident man delay is not an expectation of large sum available for such a wise purpose. He's basically saying he should have some life insurance. In case you have to die prematurely, to take care of your family and replace your income once you're done. We're going to talk about this tomorrow. Lastly, it says counsel with wise man seek the advice of men whose daily work is handling money, let them save you from such an error as I made for myself and entrusting my money to the judgment of the brick maker. A small return in a safe one is far better than a lot of risks. 

Lastly, he says Enjoy life. While you're here, do not over-strain or try to save too much. If 1/10th is all you have, all you earn is as much as you can comfortably keep be content to save this portion. Live otherwise according to your income and don't let yourself become niggardly and afraid to spend. Life is good and life is rich with things worthwhile and things to enjoy. So his friends thanked him and went away. Some were silent, because they had no imagination they couldn't understand. Some were sarcastic. They thought that once so rich, should divide with old friends who were not so fortunate. Some had in their eyes, a new light. What does the light mean? New understanding right? They realized that automation had come back each year to the woman described because he was watching a man worked his way out of darkness into light. When that man had found the light of place waited him. 

No one control that place until he had worked out his own understanding until he was ready for opportunity. These latter ones were the ones who in the following years frequently revisited Arkad who received them gladly he counseled with them and gave them freely of his wisdom as men abroad experience we're always glad to do when he assisted them and so investing their savings, that it would do bring in a good interest with safety and would neither be lost or entangled in investments that paid no dividends. 

The turning point in these men's lives came upon that day when they realized the truth had to come from Algamish to Arkad from to market to them. What does that truth a part of all you earn is yours to keep. And that is the story of the richest man in Babylon. So what did we take away from this story? What did you guys learn from this story? Do you think his friends were right that is a question of luck or persistence or you know, being in the right place at the right time. Like what was the real secret here? All those points. It first starts here, having the burning desire to get ahead, then learning the laws of success, then working, then saving, and learning to invest, then keep reinvesting and keep making your money grow and grow and grow. Right? I mean, those are the steps. So, we already talked about the burning desire, the key decision, you know, he made a decision, hey, I need to find out how money works. 

That's why I'm glad you guys are tuning in today, because that's what this is about. So what's the secret the secret of success, the secret of money is right here. A part of all I earn is mine to keep. If you guys can take nothing away, except this, this could make or break your financial future. A part of all you earn is yours to keep it should be as little as 10% more if you can afford it. So, you know, don't pay all these other guys first, pay yourself first. You got to make yourself a priority. Who Wants to Be a Millionaire, everybody wants to be a millionaire, at least in this country in America, everybody is a millionaire. How even people who make minimum wage, if you do the math over a 40 year time frame, they make a million dollars. If it's a 25 percent income, they make $2 million. 

The question is, where does all that money go? Right? Imagine if you had just put aside 10% of what you would have at retirement. Imagine if you had put that money to work for what you have. So you got to plant your tree of wealth. You got to start somewhere, you got to start today and basically making that money work for you. 

So right now, I'm going to ask for three volunteers. I'm going to have, I'm going to teach you guys how to put this to work in real life. But the thing to remember is a part of all I earn is mine to keep I must pay myself first, right? It has to be at least 10%. Remember what Peter J Daniel said, If you do not save the seed of success is not in you. Okay, so let's, won't you guys come up. And I'm going to teach you guys a concept called net income. If I could have my three volunteers in the meantime, let me just erase. Clean the board up a little bit. Just this half, I guess. So let's clean this up. That's okay. Thanks..

All right. So I mean, number one, number two and number three right here. I don't need to speak that much. I don't think, but I guess we'll keep the mic nearby. All right. Well, what we need is we need each of you guys to tell us your name. What's your name? Yvonne, Yvonne. Okay, we'll put her name here. Okay, next person. Steve, we’ve got Steve here and the next person. Rich, Rich,  Okay we’ve got Rich.

Okay, so I'm going to teach you guys a very simple concept. And it's called the button net income. So the first thing that we got to show here is what's called the earning, earnings is what you make, is what you get paid every paycheck. The next concept is what's called spending, right? I think we all know what spending is. And the difference between what you make minus what you spend is equal to what? Net income.

All right. So instead of paying you guys in dollars, what I'm going to do is I'm gonna pay you guys and seeds that okay? I'm gonna pay you guys and seeds.  All right, so we're gonna start here with Yvonne. We're gonna make pay her 10 seeds. All right. And Steve, we're gonna pay him 10 seeds. And Rich, we're gonna pay him 10 seeds, right? That's after one pay period. So let's write this down. She made 10. He made How much 10. And he made 10. So they all started off in the same spot. Right? So the difference is that Yvonne is a really fun person. She loves to have fun. And she loves to go party every weekend. Right? So whenever she gets her money, what's the first thing you think that she does? She invites all her friends and says, Hey, we're gonna go party at this place. And she likes to pay for things, you know, to have a lot of friends. So how much do you think she spends over a paycheck? She spends 11. So, where did she get the other one? She used my credit. Use the credit card. Okay. I guess she didn't come to the seminar. So what's her net income after one week? 10 minus 11 is how much? Negative one, right? She borrowed $1. 

Okay, Steve, he also didn't make it to the class. But he's not that he's not fun. But he's just a little more responsible. Right? So he believes that money is meant to be spent. So of each 10. He spends 10. Right? In order to give me your spend. So he spends 10. He doesn't like to get into debt that he also didn't realize he needs to save. So how much does he have at the end of one week? 0. But Rich. Rich took some time when he came to the Financial Freedom Seminar this weekend. Right? And what did he learned? He has to pay who pay himself first. So what he does is, he puts aside one and he saves it. Right? So we'll just put aside one into your pocket or somewhere else. And he puts aside one, and he spends the other one, nine. Right. So after one of these periods? Let's go through this again. 

Yvonne made 10. She spent 11. How much does she have? minus 1? Steve had 10. He spent 10. How much does he have? 0. And Rich? Make 10? He saved one. And what does he have? How much did he get to spend? 9. Right? Do you notice? The notice the order that he didn't? He first made the money? Did he spend the money? Or did he say what did he do first? He saved first and then he spent what he had left? Right? When people do some things, people start to build habits. So what do you think is gonna happen the next week when he Vaughn goes to work? And she makes 10. 

And then when Steve goes to work, and he makes 10. And then when rich goes to work, and he makes 10 What do you think Yvonne is going to do when she made when she makes another 10? What she gonna do the next weekend? Hey, call the friends. Hey, what are you guys doing? And what she's going to spend? She's going to spend 11 Again, because she's got a thing called credit card. So now, what's her net income? Minus two? Right? What about Steve? Steve thinks money is meant to be spent. But he doesn't like to get into that. So he's going to make 10. He's going to spend 10 What does he have at the end of the day? 0 and Rich he first learned to put one aside to savings and he's gonna spend spend sure that's fine. 

So he's gonna bet how much here to get what this earlier when the den some hopefully. Right? On top of what she's learning, what else is she'll? Interest? Right? So she's gonna owe a debt? plus interest. What about Steve? Steve works hard. He spends responsibly, but he never saves. So how much money is he going to have after a week? 0? How much is he going to have after a month 0? How much is he going to have? After one year? 0? How much is going to have 20 years? So much, you're going to have a retirement? 0, right? It's better than being in debt. But it's not good enough. What about Rich, if Rich, continues to make more money, save more money? What's he going to do with the savings, His then going to invest. And if he comes tomorrow, he's going to learn how to become, going to become his own bank. Right. 

So what's going to happen to his earnings and his savings in his interest? He's going to go up. Right. And his lifestyle is soon going to come out of what?  is earnings. Right? . So this is the foundation of everything that you need to know about why some people are poor. Why some people are middle class, and why some people become rich. Is it a question of luck? What does it depend upon? habits and understanding the laws of money? Okay, everybody, give him a hand. Thank you very much. Thanks. Thank you. Thanks. Thanks, guys. 

All right. So if you guys who are out there in the audience, understand these principles. This is going to change your life. Right? It may seem simple. But this is the foundation of why people struggle. And this is the foundation of why very few get ahead in life. It's not a question of lock. It's not even a question of hard work. It's a matter of understanding how money works. So the poor get poor, because they consistently spend what more than they make. They live above their means. People who end up with nothing, it's because they consistently would spend everything that they make. And the rich have learned to live below their means. And they gotta save some money, right? 

Now. And here, we're only showing $1 Doesn't matter if it's $1. The point is, you'd always have to save But ideally, you should be saving 10%. Now, they don't spend first and then save what's left over, the order is you have to earn the money, then you have to pay yourself first. And then you live with the difference. Why is this different than that? Even though it looks similar? appreciating yourself that temptation to overspend, right? you're creating a priority and saying my future and my future income and my future self is more important than my current need or desire to spend today. 

And I'm going to do this because I want to make sure that I have enough money to last the rest of my life and for me to accomplish all of my dreams in life. Whereas if I blow it all today, how much am I going to have for future dreams? Nothing right? So torn between religious desires or paying yourself first. What religious desires tithing, we're gonna get to that. We're gonna get to that. This is not necessarily in conflict with that.

But the point is, if you spend everything, whether it's in tithing or in your own personal expenses, and you're left with nothing, you're still left with nothing. Right? Now, how do we accomplish this? Physically speaking realistically, practically speaking, most people and I would say 99.9% of the people, they have a bank account where they deposit their salary. Right? Soon as the money comes in, what do they do with it? They blow it away. In what? Living expenses, credit cards, car loans, student loan, home, mortgage, all kinds of stuff. The point is, it comes in, put it in the bank, immediately, it goes out. So how can we switch what we've been doing? 

The first step is you got to have two accounts. It's okay to do this, we all need to live. But you don't send 100% of your paycheck here. You open up the same separate account, maybe in the same bank, maybe in a separate bank, whatever you want. But this money, you're going to direct, your direct you whoever pays you your paycheck, to send a minimum of 10%. To this other account, every time you get a paycheck. Why? So that you never even see it here, you're not tempted to spend that you can't spend it. This money is your financial freedom account. 

This money is what's going to set you up for life. And it's going to what's going to help you to get out of debt, and then to become rich. You have to pay yourself first. And I mean, literally, you have to separate these two. Why can't you just put the money here and then do something else with it? What's going to be the temptation? Spend it, because you don't know this is the money labeled something. Now, the only way you label it is basically by putting it in a separate container. So some words of wisdom on savings. 

Financial success begins with the savings attitude, right? Success in life starts with saving, how can you have capital to invest? How can you have capital for your retirement? If you never see, savings is the very first step. That's why, you know, we can't get ahead in life, unless we make saving the most important priority. But if Peter J Daniel saying, if you don't save the seed of success, hen it’s not in you, I can't say it often enough. This is a guy that wrote Richest Man in Babylon, a part of all you earn is yours to keep pay yourself first. It starts with switching mindset. It starts with switching beliefs. 

To start with switching habits, it starts with understanding principles of mathematics. Right, 

What I'm trying to teach you guys, is just the basic foundation of how money works. And yes, we've been taught lots of other things. But try to keep an open mind right now. Because if you don't, if you end up in one of these two scenarios, no matter how you got there, they're never going to get you to prosperity. And if you desire to be financially free and prosperous and used for God, and for lots of other things to give, you have to switch the order, you have to save first and then spend any questions up until this point? Any columns? All right, it's starting to take shape. Alright, we're starting to get into the numbers, all the other stuff was just foundation to get us to this point. Okay, so let's go on to the next lesson. Charlie, on Facebook. Yes. Question, what advice or tips would you give to someone who has little to no money who struggle with that? What are ways you can direct someone to financial gain, even if it's the smallest ways? 

And I think you've kind of really answered that right now. But is there any way you want to expound I guess on a little bit more? Yeah, we're, we're getting to that a little bit. A little bit ahead. But I guess I can sort of address that at this time. Let me let me do that. In fact, that's kind of what we're gonna do here in the next lesson. So maybe we can hold that question to a few more minutes. Let's come back to it. So that's the topic of this next slide. Awesome