My good friend, Erik Garcia, Garcia Financial Services, would be an excellent resource for you because he understands the insurance agency model. He understands producers. But most importantly, he understands, as Mr. Wonderful would say, money. He knows how money works. He understands the difference between income statement rich and balance sheet rich. See, here’s the thing, income statement rich can fool you because it’s all about how much you have coming in. It’s about your income, your expenses, and how much you have leftover, if anything, so you can make a lot of money. You can have a ton of money coming in without accumulating any wealth because you spend it as fast as it leaves. Now, listen, if you followed me for any time, you know I am all about rewarding yourself. You have to set the goal of the thing you want, and you have to work your tail off to achieve the goal. And then you reward yourself by buying whatever it is that you wish to or treating yourself to something.
It might be a day off. I don’t care. It’s whatever motivates you, but I’m never going to be the guy who says don’t buy the BMW. Don’t buy the Rolex. Don’t buy the Cartier. Don’t treat your spouse or your significant other to that lovely piece of jewelry. I think you should do that. Otherwise, what’s the point? But if you’re only income statement rich, then you’re not doing anything to build wealth for the long term. And that’s where the balance sheet comes in.
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