#debtfreecommunity discussion

Overall, I thought this month's book was compelling and offered some interesting perspectives on personal finance. These were the key takeaways that resonated with me:

1) Mindset is critical. This was a common theme throughout but some of my favorite reframing concepts are:
- 'How can I afford it' instead of 'I can't afford it'
- 'If you want something, work for it'
- 'The easy road becomes hard. The hard road becomes easy'
I already practiced some of these but it was a nice refresher on the importance of your internal dialogue and mindset about money.

2) Importance of taxes. Conceptually I knew that taxes make a difference but the historical context helped me understand it at a more practical level. This is something I need to action in my own finances.

3) Passive income as sole income. Culturally, passive income is usually spoken about as side hustle work that nets a few dollars every month. I found Kiyosaki's narrative compelling because it focused on passive income (via asset management) as the sole income stream in the long term. This is another thing I would like to action by reflecting passive income targets in my long term goals.
- 'Money should work for you instead of you working for money'
- 'Working class vs. investing class'

4) Increase financial literacy. I loved this message. Seeking out information daily and learning by doing are needed to master any skill. I have added quite a few personal finance books (including the #dfcbookclub picks of course!) to my reading list for 2019 to prioritize financial literacy this year. I have also budgeted a (very) small amount in February to begin investing. This initial investment isn't intended to make money but to learn through trial and error how to invest.
- 'Exercise your mind every day so that it gets stronger'

What concepts resonated the most with you?

I love reading all of the other posts so far in this topic! Great discussions!

These are great takeaways Samantha and I agree with you on all points. I had read this book in years prior and actually loved it more the first time I read it and not as much this time. I think the biggest part of that was so many of the concepts were brand new to me back then and are not now that - 1. I've read it before and 2. I have more financial literacy/intelligence than I used to.

My two biggest takeaways that I will now keep in my mind when approaching future finances: taxes and passive income. I won't repeat what Samantha wrote but similar thoughts!

I didn't grow to or like his perspective on paying yourself first in the way he put it. I understand that to a degree but just merely didn't agree. I don't want to have any extra financial pressures and also being responsible/paying my bills timely is just important to me.

Overall a great read though! And its always good to read things that are different from how we think and do things as it forces us to grow and learn! Can't wait for next month!

@Elizabeth Yes! Paying yourself first (before bills, etc) didn’t resonate with me either the way that he framed it. I do like to think of it that way from a savings perspective though. So when I’m budgeting I like to look at my savings goals for the year like a salary I’m paying myself (e.g., $12,000 per year is $1,000 savings “salary” per month) and then I make sure all of my expenses fit within the rest of my take home instead of just saving what is left over. That makes it so that when an unbudgeted want comes up, I figure out how I can afford it. That may mean more side hustling, lowering other expense budgets, creating a sinking fund, etc. instead of taking it from what was allocated for savings. I’m not interested in having pressure from the government or collectors to pay them either 😂