Quantum Leap 5-23-16 0911 - Amazon S3s3.amazonaws.com/kwu-userfiles/2016/06/06/5755e03a9d23d.pdf · Bob P. Buford quote regarding life from Halftime: Moving from Success to Significance:

QUANTUM LEAPGary Keller

iiiQuantum Leap ©2016 Keller Williams Realty, Inc. v0316

ACKNOWLEDGMENTSKeller Williams University would like to express heartfelt gratitude to the following individuals who provided the effort, expe-rience, and insight into putting on paper the concepts of this life-changing course by Gary Keller.

Bryon Ellington Gene Rivers Kim Harryman Skye AndersonDanny Thompson Jeffrey Ryder Mary Keith Trawick Tamara HurwitzDick Dillingham Julie Fantechi Owen Gibbs

NOTICESWhile Keller Williams Realty, Inc. (KWRI) has taken due care in the preparation of all course materials, we do not guarantee their accuracy now or in the future. KWRI makes no warranties either expressed or implied with regard to the information and programs presented in the course, or in this manual, and reserves the right to make changes from time to time.

This manual and any course it’s used as a part of may contain hypothetical exercises that are designed to help you understand how Keller Williams calculates profit sharing contributions and distributions under the MORE System, how Keller Williams determines agents’ compensation under the Keller Williams Compensation System, and how other aspects of a Keller Wil-liams Market Center’s financial results are determined and evaluated. Any exercises are entirely hypothetical. They are not intended to enable you to determine how much money you are likely to make as a Keller Williams Licensee or to predict the amount or range of sales or profits your Market Center is likely to achieve. Keller Williams therefore cautions you not to assume that the results of the exercises bear any relation to the financial performance you can expect as a Keller Williams Licensee and not to consider or rely on the results of the exercises in deciding whether to invest in a Keller Williams Market Center. If any part of this notice is unclear, please contact Keller Williams’ legal department.

Materials based on the Recruit-Select-Train-Manage-Motivate™ (RSTMM™) system and the Winning Through Selection™ course have been licensed to Keller Williams Realty, Inc., by Corporate Consulting. KWRI has the exclusive right within the residential real estate industry to market and present material from RSTMM™, Winning Through Selection™, and any deriva-tives owned by or created in cooperation with Corporate Consulting.

Material excerpted from The Millionaire Real Estate Agent appears courtesy of The McGraw-Hill Companies. The Millionaire Real Estate Agent is copyright © 2003–2004 Rellek Publishing Partners, Ltd. All rights reserved.

Copyright Notice

All other materials are copyright © 2016 Keller Williams Realty, Inc. All rights reserved.

No part of this publication and its associated materials may be reproduced or transmitted in any form or by any means with-out the prior permission of Keller Williams Realty, Inc.

ivQuantum Leap ©2016 Keller Williams Realty, Inc. v0316

TABLE OF CONTENTS

INTRODUCTION 1This Is My Life 3

The 4 Productivity Areas of a Wealthy Life 5

LIFE PRODUCTIVITY 9The Three Stages of Life 13

The Three-Phase Approach to Life 15

A Counterbalanced Life 23

The Incredible Magic Formula of Life 27

The Interaction of a Wealthy Person’s Life Discipline Areas 29

Look at it This Way 31

The Dilemma of Desire and Success 33

Building a Life with Great Purpose 35

A Life with a Mission, Vision, Values, Beliefs, and Perspective 41

The Six Keys to Abundance 43

Self-Mastery and Becoming a Black Belt in Life 45

The 80/20 Principle: The Principle of Greatest Leverage 47

Move from “E” to “P” on Your 20% 55

Becoming a Learning-Based Individual 57

Limiting vs. Unlimiting Beliefs 61

The Accountability Cycle 63

Being Aware 65

Plan for Break-Throughs 67

A Wealthy Person’s Six Life Discipline Areas 69

A Wealthy Person’s Five Life Relationships 71

PERSONAL PRODUCTIVITY 73Going Small 75

The Six Lies Between You and Success 77

Everything Matters Equally 79

Multitasking 81

A Disciplined Life 83

Willpower Is Always on Will-Call 85

A Balanced Life 87

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Big Is Bad 89

Goal Setting to the Now 91

The 1-3-5 “G-P-S” Business Plan 93

The 4-1-1 Worksheet 95

A Closer Look 97

Daily To-Do 99

The Focusing Question 101

Time Blocking 103

Accountability 105

Put it All Together 107

BUSINESS PRODUCTIVITY 109Recruit-Train-Manage 111

Cost of Errors Exercise 113

Recruiting 115

What Is “Preferred” Behavior? 117

FINANCIAL PRODUCTIVITY 119The True Purpose of Financial Wealth 121

Wealth Is a State Of Mind 123

The Six Truths About Money 125

The 8 Mythunderstandings Between You and Financial Wealth 127

The 8 Concepts of Personal Money Management 129

Reality Check 131

The Path of Money 133

$100 Invested Every Month 135

Attributes of Investment Options 137

Basic Stock Market Observations 139

The 10 Ways People Keep From Being a Millionaire 141

Real Estate: A Most “Able” Investment 143

A Financial Track to Run On 145

This Is My Life 147

Thank You for Attending This Course! 149

NOTES

viQuantum Leap ©2016 Keller Williams Realty, Inc. v0316

Instructor:This class can be delivered in either a one-day or two-day format. The difference in delivery time length will depend on how many class exercises you choose to do. With the one-day delivery, attendees will hear the content more. With the two-day format, attendees will experience the content more.

Instructor:Follow these steps to make the Quantum Leap experience even more impactful.Before class:Do some rereading to apply the concepts to the class where meaningful.

• The ONE Thing (for example: The Six Lies Between You and Success)• The BOLD Laws (for example: Clarity Is Power)• Any other material that has been significant to you and your own Quantum

Leap experience.At the start of class:

• Do early engagement.Ask the attendees to get out their phones and make a call to someone that will make their day (they can leave a message if no answer).Ask: “How did that make them feel? How did it make you feel?”

• Start with a powerful quote or story to set the tone for the day, such as the Bob P. Buford quote regarding life from Halftime: Moving from Success to Significance:“If the first half was a quest for success, the second half is a journey to significance.”Share the significance of the quote or story with the class.

• Leverage breaks and lunch to have attendees write topics that interest them/ideas/aha’s on sticky notes and place them on flip-chart paper on the wall. Ask attendees to check the notes that resonate with them. Revisit the notes at the end of the class.

INTRODUCTION

Slide 1

NOTES

2Quantum Leap ©2016 Keller Williams Realty, Inc. v0316

Slide 3


By Gary Keller

I am—I will forever be.

I am of this world—I am beyond this world.

I listen, but sometimes I can’t hear.

I talk, but sometimes no one listens.

I then realize that the secret of life is not in holding on, but in letting go.

I know to be up—I must be down.

To come out—I must go in.

To know life—I must know death.

To know happiness—I must know sadness.

To know joy—I must know sorrow.

I can walk or I can run.

I can sing or I can shout.

THIS IS MY LIFE.

In the constance I can hear the stillness and I now see life for the first time.

I see no beginning—I sense no end.

I know to finish—I must start.

To have yes—I must hear no.

To have wind—I must accept rain.

To live in light—I must also live in darkness.

I surrender my life to life.

I see the contradictions and accept them as wisdom.

THIS IS MY LIFE.

I understand with wisdom comes ignorance.

I understand that with left comes right.

I understand that with above comes below.

I understand that with hills comes dust.

I understand that with knowing just comes more longing.

I see each day as a new beginning while I know it is truly giving way to another old end.

I finally realize that I do not need to bring GOD into my life—but to truly acknowledge GOD is already there.

THIS IS MY LIFE.

It feels like a dream—but I know that it is real.

Time moves fast—but it feels so slow.

At times I think I know everything—then I awaken and realize that I know nothing.

I feel I am—I feel I am becoming.

I don’t know what—I don’t need to know.

I can laugh—I can cry.

I can whisper—I can say nothing.

I can breathe—I can stop.

I have a choice—I have no choice.

THIS IS MY LIFE.

Life holds such promise—life holds no promise.

Life is and I am alive.

I shall be forever alive. In life I live—in death I live, for at a higher place they are the same.

I am not my body—my body is not me.

I am a human being—not a human doing.

I need to be still and be—not be so active and do.

My life becomes more precious as I become—it possibly becomes less meaningful the more I do.

Less is more—more is less.

I have a name—I am a spirit—I have a soul.

THIS IS MY LIFE.

Now my spirit is set free—flying over the life given to me.

All my past is below—all my future is above.

It is nothing—it is everything.

I hear a million voices become one.

I sense a million souls yearning just to become.

Life has lifted me up and GOD has brought me to my knees.

I seek hope—I am hope.

I seek faith—I am faith.

I seek love—I am love.

I seek life—I am life.


From dust I came—to dust I will go.

THIS IS MY LIFE.

THIS IS MY LIFE

Slide 3

NOTES


Instructor:The following group exercise will accomplish early class involvementHave class form groups of 4-5 and discuss everything on page 5.Ask the class to discuss:

• What does this mean?• Elaborate on the meaning of each other’s questions and comments.• Give perspective.• Come up with some examples in your groups.

Ask: “What does your life look like/feel like if you don’t consider these questions?”

• Who am I?• What am I going to do?• What are we going to do?• What is my money going to do?

If this wasn’t even in your realm of thinking, what would your life look and feel like?”

After 4-5 minutes, ask attendees to turn to page 7.


LIFE PRODUCTIVITY

WHO AM I?

DON’T PASS GO UNTIL

YOU FIGURE THIS OUT.

What am I going to do?

Take who you are and go out and do

something with your career.

It’s addition. We’re not leaving anything behind.

What are we going to do?

Now take that and succeed through

others.

What is my money going to do?

Now take that and succeed through

your money.

PERSONAL PRODUCTIVITY

LIFE MEANING

POTENTIAL

CAREER POTENTIAL

BUSINESS PRODUCTIVITY

FINANCIAL PRODUCTIVITY

POTENTIAL THROUGH OTHERS

POTENTIAL THROUGH

MONEY

After you hire someone you immediately turn around and help them

with steps 1 & 2.

THE 4 PRODUCTIVITY AREAS OF A WEALTHY LIFE

Slide 4

NOTES


Instructor:Tell: “Now, looking at page 7, continue the discussion as initially instructed.”

Page 7 gives the attendees prompts to talk about what they were previously asked about.Clear the exercise by having the class share their aha’s.The entire exercise, including page 5, should take about 15 minutes.


LIFE

PERSONAL

PRODUCTIVITY

PRODUCTIVITY

Maximize Your Life-Meaning Potential

Maximize Your Career Potential

1

2

1. MVVBP

2. 6 Keys to Abundance

3. 6 Key Areas of Discipline

4. 5 Key Relationships

1. Goal

2. Plan

3. 4—1—1

4. Time Block

5. Accountability

1 – 3 – 5G – P – S

Step

s

Prio

rities

Go

als

FINANCIALPRODUCTIVITY

Maximize Your Potential Through Money

4

BUSINESSPRODUCTIVITY

Maximize Your Potential Through Others

3

1. Hire

2. Train

3. Manage

1. Set aside money

2. Invest for security first, freedom second

3. Invest in what you know and understand

4. Follow models

5. Hold your money accountable

THE 4 PRODUCTIVITY AREAS OF A WEALTHY LIFE

Slide 5

NOTES


PRODUCTIVITYLIFE1

Slide 6

Quantum Leap ©2016 Keller Williams Realty, Inc. v0316

NOTES

10LIFE PERSONAL BUSINESS FINANCIAL


LIFE PERSONAL BUSINESS FINANCIAL

ARE YOU LEADING?WHOSE LIFE

HOW DO YOU KNOW?

Slide 7


NOTES


Instructor:This page addresses the “postponement syndrome.”

Ask: “What are you postponing to the future?”

[The obvious answer is you’re postponing “Play.”]

Ask: “Is it possible that you’ll never get to the ‘Play’ stage if you’re doing these in a compartmentalized way?”

Tell: “With traditional thinking, we learn, then we work, then we play. The problem with that is, we may never get to play. We may not be able to play, physically or financially.”

Give some examples of this such as how some companies have gone under, taking their employees’ retirement accounts with them.Tell: “Also, think about the expression ‘All work and no play makes Jack a dull

boy.’”

Explain that on the next few pages you’ll be discussing how to learn, work, and play all at the same time instead of using the postponement theory.



TRADITIONAL THINKING

When these periods become more and more isolated from each other,

they begin to look like boxes.

THE RETIREMENT STAGE

THE WORK STAGE

THE EDUCATION STAGE

WE LEARN WE PLAYWE WORKthen then

THE THREE STAGES OF LIFE

Slide 8


NOTES




THE THREE-PHASE APPROACH TO LIFE

Your power begins when you begin to firmly take hold in your mind a vision of flexible lifetime patterns, where you have:

QUANTUM LEAP IS A SET OF TOOLS TO HELP YOU IN BALANCING YOUR LIFE.

Better balancing EACH DAY

Better balancing EACH WEEK

Better balancing EACH MONTH

Better balancing EACH YEAR

Better balancing THROUGHOUT LIFE

WHAT THIS LOOKS LIKE

The goal of Quantum Leap is to help you get rid of the boxes and see learning, working, and playing as essential parts of a whole life—in our youth, in our middle years, and in our mature age—throughout our life.

Slide 9


NOTES


Instructor:The emphasis of this page is all three phases are equally important. Whether you’re working first, playing first, or learning first, the other two have to occur also.



PLAYING

PLAYING

PLAYING

PLAYING

THE THREE OPPORTUNITIES THE THREE PHASES

WORKING

WORKING

WORKING

WORKING

LEARNINGLEARNING

LEARNING

LEARNING


Slide 10


NOTES


Instructor:

Ask: “What do you notice about this page?”

[The answer you’re looking for is that you don’t work on Saturday or Sunday.]

Discuss with the class how you get to that point. As a brand-new agent, that may not be likely or possible.Ask: “When we talk about doing lead generation, we talk about doing three

hours a day how many days a week?”

[Answer: Five days a week.]

Tell: “We’re already setting everybody up to work Monday through Friday. Most professional businesses are open Monday through Friday.

Also, consider the possibility that Learn is, frankly, a part of Work.

One of the beautiful things about real estate, even when you play you can be working.”

You might want to share your own example of this with the class.




PLAY

PLAY PLAY PLAY PLAY PLAY

PLAY

SUN MON TUE WED THU FRI SAT

WORK WORK WORK WORK WORK

LEARN

LEARN LEARN LEARN LEARN LEARN

LEARN

Slide 11


NOTES


Instructor:This is an opportunity to introduce the principle of “E to P.” This is the first of many examples of “E to P” in this course. Emphasize the statement “You can increase that control.”Tell: “The only way you can increase that control is to become more purposeful.

If you want to have a better life, become more purposeful. The reason there are 149 pages in this manual is to help answer the question ‘How do I become more purposeful?, In what areas do I become more purposeful?’

The theme that drives this course is ‘How do you be more purposeful about your life?’”



YOU ARE IN CHARGE OF YOUR LIFE!

No matter how many forces there may be which seem to influence or even dictate part of your life, there is always that part over which you have control. You can increase that control. If you decide what it is that you want out of your Learning and out of your Working and out of your Playing, you will be infinitely less powerless and “victimizable.” Because you are clear about what it is you want, you will not accept cheap substitutes willingly. You will no longer be vulnerable to being sold a bill of goods by any passing stranger. It is your life. Not hers, or his, or theirs. YOURS.


Slide 12


NOTES


Instructor:Tell: “These are the obstacles (or opportunities) we have in order to have a

better life. This page illustrates ‘E.’ If we don’t have a clear mission, vision, values, or beliefs, then we’re vague, shooting from the hip, living life on autopilot.

When it comes to self-mastery, most of us don’t know there are disciplines. Most of us haven’t even considered relationships.

We have very little focus. We’re not looking at models and adapting to them.

We’re very entrepreneurial about our OWN LIFE!”



A COUNTERBALANCED LIFE

THESE ARE THE FOCUS OF QUANTUM LEAP!

No clear mission, vision, values, or beliefs to guide our life and serve as a filter for the decisions we face throughout life.

Our power to successfully counterbalance is up against three major obstacles:

No self-mastery at a significant level in the six key discipline areas of our life.

No clear focus on the key relationships that surround and truly shape our life.

1

2

3

Slide 13


NOTES


Instructor:Tell: “This page clarifies what wealth means—that we can be wealthy in many

areas of our life and that our goal is to be wealthy in all areas.

Wealthy does describe financial. We want to be financially wealthy and we’ll talk about that later.

However, the term wealth goes far beyond the financial realm. It means great plenty or abundance, and we want great abundance in all areas of our life. Spiritual, physical, mental, and relationships, not just financial.”



THE GOAL OF QUANTUM LEAP IS TO HELP US LEAD THE WEALTHIEST LIFE WE POSSIBLY CAN!

A truly wealthy life is an abundant life! It is a life marked with GREAT PLENTY in our key relationships, our key areas of discipline, and in the accomplishment of our personal mission!

WEALTH = ABUNDANCE ABUNDANCE = GREAT PLENTY

Slide 14


NOTES


Instructor:This is a great opportunity to get the class to give examples of the First Creation – Second Creation concept.Give the class an example or two to get them started.

Ask: “When an artist looks at a blank canvas, what do they see?”

[Answer: A painting.]

Ask: “When a golf course architect see a hundred acres of rolling hills, trees, and valleys, what does the architect see?

[Answer: They see the entire golf course.]

Ask the class to share some examples of their own.Emphasize that there’s a natural order. Inside has to come first. You can’t start with outside and then go inside.Example: “If I made more money, I’d be happier.” This isn’t true. The natural order of First Creation-Second Creation would be “If I were happier, I’d make more money.”Think and Grow Rich makes sense. Grow rich and Think doesn’t.

Tell: “Think about how powerful the mind is. Think about unlimiting beliefs, Big Goals, and possibilities. You realize how important it is for you to feed your mind correctly.

What you think, in a sense, becomes what you do or who you are. Thoughts become deeds.”

Ask: “Crummy thoughts become what kinds of deeds?”

[Answer: Crummy deeds.]

Ask: “Positive thoughts become what kinds of deeds?”

[Answer: Positive deeds.]



THE INCREDIBLE MAGIC FORMULA OF LIFE

INSIDE OUTSIDE

FIRST CREATION SECOND CREATION

THOUGHTS

SPIRIT

THINK

AS A MAN THINKETH

IDEAS

BELIEF

WHEN YOU BELIEVE

WHAT YOU SEE (inside)

MIND

WHAT YOU CAN CONCEIVE

DEEDS

IN THE FLESH

GROW RICH

SHALL HE BE

RESULTS

REALITY

YOU’LL SEE IT

WHAT YOU GET (outside)

MATTER

ACHIEVE

becomemanifests

andso

beforebecomes

itis

overyou can

If someone asks you “What’s the matter?”, you can ask “What’s the mind?” In fact, if you want your “matter to matter,” you must “mind your mind.”

Slide 15


NOTES


Instructor:Tell: “This page is a more thorough visualization of the ‘First Creation-Second

Creation’ concept.”

Make sure you read the Greater Truth at the bottom of the page to the attendees and discuss it with the class.



THE INTERACTION OF A WEALTHY PERSON’S LIFE DISCIPLINE AREAS

KNOWING

THINK

MISSION

ACT

VALUES BELIEFS

PERSPECTIVE

THE WAY YOU SPEND YOUR TIME

VISION

RESULTSDOING

SPIRITUAL

FIRSTCREATION

SECONDCREATION

PHYSICAL

YOUR INSIDE WORLD

FEELING THINKINGBELIEVING

YOUROUTSIDEWORLD

FOCUSINGACTINGDONE

TIME

CHARACTER

ACHIEVEMENT

RELATIONSHIPSHABITS

PERSONAL

YOUR DESTINY

PROFESSIONAL

WHO YOUBECOME

All actions are relevant to history. The issue is that some have positive relevance and some have negative relevance.

What you think determines what you do. What you do determines who you are.

TRUTH:

GREATER TRUTH:

Slide 16


NOTES


Instructor:Tell: “This page is a visualization of the Truth at the bottom of the page.”



LOOK AT IT THIS WAY

YOUR PSYCHOLOGY

YOUR BIOLOGY

YOUR BIOGRAPHY

SPIRITUAL

PSYCHOLOGY

SPIRIT

SOUL

LOVE

THOUGHTS

EMOTIONS

BELIEVING

KNOWING

BODY

RELATIONSHIPS

MONEY

BEHAVIOR

RESULTS

DOING

PHYSICAL

CREATES

CREATES CREATES

BIOLOGY

INSIDE OUTSIDE

YOUR PHYSICAL LIFE IS SIMPLY AUTOBIOGRAPHICAL OF YOUR SPIRITUAL LIFE.

Your physical life is simply autobiographical of your spiritual life.TRUTH:

BEING AND BECOMING

Slide 17


NOTES


Instructor:Emphasize that this concept is in The ONE Thing.

Tell: “To have a better life, you have to make better choices. When it comes to those choices, what things are your priorities?

It’s generally agreed we can’t have it all, know it all, and do it all. The question is, for every choice we make, we have to give something else up. So, what’s the right choice? What’s the right thing we go after? What’s the right thing we’re willing to give up?

It’s an investment and a return. It’s a cause and effect. Every decision we make has implications and “there ain’t no free lunch.”

With everything we do, in a sense, there’s a cost. There’s a price to pay.

So to KNOW more, we might HAVE less or DO less. And we have to weigh those options out.

If you think about it, the size of the triangle, CHOICES and PRIORITIES doesn’t change. If you move the triangle more toward HAVE, then it reduces either KNOW or DO, or both.

As described in The ONE Thing, if you want to have mastery of something, the cost for that is chaos.”



THE DILEMMA OF DESIRE AND SUCCESS

COMPLEXITY ABUNDANCE

KNOWDesire to

HAVEDesire to

DODesire to

CHOICES AND PRIORITIES

The slice of each of these pies is a direct function of who you want to be and the choices you make.

TRUTH:

Slide 18


NOTES


Instructor:This page is a setup for creating a mission statement.

Tell: “The word purpose is a big word in Keller Williams—E to P—entrepreneurial to purposeful.”

Ask: “What’s a synonym for purposeful?”

[Answer: The word intentional may come up.]

Tell: “Every once in a while, the word intentional makes more sense. So to build a life with great intention, you could ask …”

[Decide ahead of time and read your favorite two or three questions here. Do not read them all out loud.]



BUILDING A LIFE WITH GREAT PURPOSE

Are you an Intentional Individual OR Are you just an Accidental Tourist?

Is the song in your head “My Way” OR Is it just “Dust in the Wind”?

Are you a Determined Determiner OR Are you just a Drifting Drifter?

Are you using your time to make your mark OR Are you just marking time?

Are you a Meaningful Specific OR Are you just a Wandering Generality?

Are you making Time Count OR Are you just Counting Time?

Are you making a Life OR Are you just making a Living?

Is the theme of your life “No Time To Kill” OR Is it just “Killing Time”?

Are you following your own plan OR Are you just a part of somebody else’s?

Are you living a life of purpose OR Are you just living?

QUESTION

QUESTION

QUESTION

QUESTION

QUESTION

QUESTION

QUESTION

QUESTION

QUESTION

QUESTIONSlide 19


NOTES


Instructor:The main point of this page is choices. This page breaks those choices down into spiritual choices and physical ones. You might call the physical choices life choices.Read the text box at the bottom of the page out loud to the class.Tell: “We’re building up to ‘Why are you here?’ We’re building up to your

mission statement.

• Building a life with great purpose is essentially ‘What is your mission?’• Your mission is your purpose. This page contemplates that your purpose

can be on two planes: it can be spiritual, and it can be physical.• If you only had one purpose, spiritual or physical, then, you’re probably

not at your highest level possible.• If you haven’t thought about it either way, to think about it one way

would be better than where you are.”




Our Spiritual and Physical Destinies are connected and together link up to take you to the

highest human experience level possible.

Our fi rst purpose in life is to seek the highest relationship possible with the omnipresent. This is our spiritual destiny.

Our second purpose in life is to bring additional meaning and purpose to our lives and by doing so take our spirituality to an even higher level. This is our physical destiny.

TO BE HUMAN MEANS TO HAVE A CHOICE

1

2

Slide 20


NOTES


Instructor:Read the quote about unemployment at the top of the page.Ask for a volunteer to read the Know Thyself statement.Read the remaining statements—Mission through Perspective—as a class.




People cannot live life to its fullest potential without bringing their own purpose to it.

“Unemployment is a characteristic unique to the human species only. All the other creatures and creations seem to know what they are supposed to be doing.”

KNOW THYSELF

Why you are alive.MISSION

What the world, lives, your life will look like during and after your mission has been accomplished. VISION

What is important to you. What you value.VALUES

What you believe to be true. What rules you will follow.BELIEFS

How you view yourself and your situation at any given moment.PERSPECTIVE

THE FOUNDATION OF A LIFE ON PURPOSE

Slide 21


NOTES


Instructor:Most of the people in the class won’t have any of these things. Twenty percent of the class might have a mission statement. Some attendees have some of them but they can’t communicate them.Tell: “If I can have you walk out of here with a mission statement, I’ll feel pretty

good about that.”

Ask: “Remember what your mission statement is supposed to be?”

[Answer: It’s your purpose in life.]

Tell: “One approach to create your mission statement is called the Eulogy Method. If you were able to script your eulogy, what would people say about you?

They will say whatever you lived. So if you want them to say you were charitable, all you have to do is be charitable. If you want them to say you used your talent for teaching, then all you have to do is use your talent for teaching.”

Have attendees work on their mission statements by themselves for 5-7 minutes.

Tell: “The thought process to guide you through creating your mission statement will be ‘Use my talents, in the area of my passion, to leave these gifts.’”

After 5-7 minutes, have attendees form groups of 2-3. Keep the groups small so that each member of the group can share.Ask for a few volunteers to share their mission statements with the class.Clear the exercise with 5-10 minutes of general aha’s.



A LIFE WITH A MISSION, VISION, VALUES, BELIEFS, AND PERSPECTIVE

MY PERSONAL MISSION

STATEMENT

MY PERSONAL VISION

STATEMENT

MY VALUES

MY BELIEFS

MY CURRENT PERSPECTIVE

Slide 22


NOTES


Instructor:Tell: “The origin of these Six Keys to Abundance, which are also referred to

as the Six Personal Perspectives, is that Gary Keller did a lot of research on successful people. Gary discovered that successful people became successful a lot of different ways.

However, Gary discovered there was one common thread among successful people, and that’s how they thought, how they approached problems or challenges—their mindset. The final result of Gary’s research was these six things.”



THE SIX KEYS TO ABUNDANCE

Commit to the path toward “Self-Mastery” in chosen areas1

Focus on the “20%” that matters most2

Move from “E” to “P” on the 20%3

Make being “Learning Based” the foundation of your Action Plan4

Remove your “Limiting Beliefs”5

Be accountable and live its cycle 6

How do you get to the highest level in life?QUESTION

Slide 23



EXERCISE: MASTER YOURSELF, MASTER ANYTHING ELSE

1. What task or topic would you like to master?

_______________________________________________________________________

_______________________________________________________________________

_______________________________________________________________________

2. What strength(s) do you see in yourself that will assist you in your journey toward mastering this task or topic?

_______________________________________________________________________

_______________________________________________________________________

_______________________________________________________________________

3. What specific obstacle or weakness do you see in yourself that might hinder your journey toward mastering this task or topic?

_______________________________________________________________________

_______________________________________________________________________

_______________________________________________________________________

4. How might you overcome that obstacle or weakness?

_______________________________________________________________________

_______________________________________________________________________

_______________________________________________________________________

Time: 5–7 minutes

Instructor:

Tell: “We’ve just discussed a few examples of how self-mastery and mastery work as a partnership. Now it is time to put these ideas into action.”

Exercise: 5–7 minutesWalk attendees through the exercise, then give them a few minutes to complete. Clear the exercise by taking some answers from those who want to share.

Slide 24



SELF-MASTERY AND BECOMING A BLACK BELT IN LIFE

MASTERY

BLACK BELT

SELF-MASTERY

THE DIFFERENCE

SELF

The process of achieving great techniques, skills, and habits that make one a relative master of a chosen subject.

The rating of expertise and competence.

The process of achieving great techniques, skills, and habits that make you a relative master of you.

A white belt at some point knows essentially the same thing as a black belt. The black belt is just further along in the path of mastery.

TO BECOME A BLACK BELT IN LIFE, YOU MUST FOCUS ON THE KEY PRIORITIES THAT YOU HAVE DECIDED MATTER MOST IN YOUR LIFE.

You.

SELF-MASTERY

BLACK BELT

Slides 25-26


NOTES


Instructor:You don’t have to spend a lot of time on the history of the 80/20 Principle. Just make sure attendees understand what it is and what it means for them.Tell: “The question is ‘How do I make the 80/20 Principle work for me?’ Once

you understand what it is, there are certain parts of the 80/20 that can work for you and there are parts that are just truths that don’t necessarily work for you.”

Emphasize that 80 percent of your results may come from just 20 percent of your activities, so focusing on those activities is extremely important.For example: 80 percent of your business can come from just 20 percent of your clients.



THE 80/20 PRINCIPLE: THE PRINCIPLE OF GREATEST LEVERAGE

THE DISCOVERY

THREE ADDITIONAL

FACTS

Vilfredo Pareto (1848-1923), an Italian economist, discovered the pattern underlying the 80/20 Principle in 1897. While studying patterns of wealth and income in nineteenth-century England, Pareto found that most income and wealth went to a minority of people.*

There was a consistent mathematical relationship between the proportion of people as a percentage of the total population and the amount of wealth that this group enjoyed. (80/20, 65/10, 50/5) It was predictably imbalanced.

This imbalance pattern was predictable and consistent at different time periods or in different countries.

In 1949, George K. Zipf, a Harvard professor, discovered the “Principle of Least Effort,” which was a rediscovery and elaboration of Pareto’s principle. Zipf’s principle said that “resources (people, goods, time, skills) tended to arrange themselves so as to minimize work, so that approximately 20%-30% of any resource accounted for 70%-80% of the activity related to that resource.”

When applied to self-mastery, we can restate the “Principle of Least Effort” as the “Principle of Greatest Leverage.”

There is a pattern of predictable imbalance in life. It is called the 80/20 Principle. It is the principle of greatest outcome for time and effort expended.

*The 80/20 Principle by Richard Koch

TRUTH:

1

2

3

Slide 27


NOTES


Instructor:Tell: “The 80/20 Principle is all about identifying those 20 percent tasks that

lead to 80 percent of your results.

Where you want to concentrate your effort on moving from E to P is in your 20 percent. These are your ‘Big Rocks,’ also, usually ‘The Basics.’”



THE 80/20 PRINCIPLE

NOW THINK ABOUT THIS

EXAMPLES

THE BOTTOM

LINE


In 1963, IBM discovered that about 80% of a computer’s time is spent executing about 20% of the operating code. The company immediately rewrote its operating software to make the most-used 20% very accessible and user friendly, thus making IBM computers more efficient and faster than competitors’ machines for the major applications

In the United States from 1973–1995, average real incomes rose by 36%, yet the comparable figure for the nonsupervisory workers fell by 14%. During the 1980s, all the gains went to the top 20% of earners, and a mind-boggling 64% of the total increase went to the top 1%!

5% of U.S. households own about 75% of the household sector’s equity.

A study of 300 films over an 18-month period found that 4 movies—just 1.3% of the total—earned 80% of the box office revenues! The other 98.7% earned only 20%.

The 80/20 Principle will always reassert itself, unless conscious, consistent, and massive efforts are made and sustained to overcome it. The key is to not try to change it, but to acknowledge it and use it. Leverage is power—your power to effect real change in your life.

The reason you first master the basics is that basics are always the 20%. And it is this 20% that always provides you your greatest leverage.

1

2

3

4

Slide 28


NOTES


Instructor:Tell: “Notice the ‘Truth’ on this page. It seems that equal effort would give equal

results—that if two different people work really hard, and give equal effort, that they would get equal results. That’s not the way the world works.

It’s called the 50/50 Fallacy.”



IT IS COUNTER INTUITIVE!

THE 80/20 PRINCIPLE


IT SEEMS

THE TRUTH IS

We tend to expect that all causes will have roughly the same significance. That all customers are equally valuable. That every bit of business, every product or service, every employee or staff member, and every dollar of sales revenue is as good as any other. That each day or week or year we spend has the same significance. That all our friends have equal value. That all phone calls or appointments should be treated the same way. That all problems have a large number of causes, so that it is not worth isolating a few key causes. That all opportunities are of roughly equal value, so that we treat them equally.

There seems to be a natural, almost democratic expectation that causes and results are generally equally balanced.

This is naïve and self-defeating. Time and effort, unless focused on the 20% that matters, do not equal powerful results. In fact, there is a huge price you will pay when you do not acknowledge and apply this principle.

This “50/50 Fallacy” is one of the most inaccurate and harmful, as well as the most deeply rooted, of our mental maps. When fully understood, the imbalance between input and output, the disparity between cause and effect will most likely stun you!

SO WHY DO MOST PEOPLE NOT LIVE BY THE 80/20 PRINCIPLE?

IT IS COUNTERINTUITIVE!

Q

A

Slide 29



EXERCISE: WORK IN YOUR 20 PERCENT

1. What are some tasks you perform on a typical day (either professional or personal)?

2. Now list one of your Big Goals (either professional or personal).

_______________________________________________________________________

3. From the numerous tasks you listed above, go back and circle those that are going to help you accomplish your Big Goal.

4. Are you working in your 20 percent? If not, what are the 20 percent activities you need to be doing?

_______________________________________________________________________

_______________________________________________________________________

_______________________________________________________________________

Time: 10 minutes

_________________________________

_________________________________

_________________________________

_________________________________

_________________________________

_________________________________

_________________________________

_________________________________

_________________________________

_________________________________

_________________________________

_________________________________

Instructor:Exercise: 10 minutesAsk: “Are you working in your 20 percent every day? Let’s find out.”

Tell: “List the tasks you do every day (either professional or personal).”

Tell: “Now write down one of your Big Goals.”

Tell: “Of the five tasks you listed, go back and circle those that are going to help you accomplish the Big Goal you just listed. This is your 20 percent.”

Ask: “Are you working in your 20 percent? If not, what are the 20 percent activities you need to be doing?”

Clear the exercise by taking some answers from attendees.Tell: “Realistically, the other activities (your 80 percent) do have to get done.

But those other items only get done when you’ve finished your most important items (your 20 percent).”

Slide 30



THE 80/20 PRINCIPLE

20% OF PRODUCTS

PRODUCTS

EFFORT

PROFIT

RESULTS

20% OF ACTIVITIES

80% OF PRODUCTS

80% OF ACTIVITIES

20%

20%

80%

80%

80% OF PROFIT

80% OF RESULTS

20% OF PROFIT

20% OF RESULTS

LOOK AT IT THIS WAY…

Slide 31



EXERCISE: BREAK THROUGH YOUR CEILING

Focus

Write one of your goals (personal or professional).

_______________________________________________________________

What are the 20 percent activities you need to do to accomplish these goals?

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

1. Find Strategic Options How are you going to do this? Are there different or better ways to do it? What are they?

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

Look for Models to Follow Is there training you can attend that shows you how to get to where you need to go? Do you have a mentor or know someone who has done it before?

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

2. Install Systems Are there systems you can install to more efficiently accomplish these activities? What are they?

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

3. Bring in Accountability How will you measure and track what you’re doing? Who will hold you accountable?

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

Time: 20 minutes

Instructor: Tell: “Now let’s work on identifying an area where you are hitting a ceiling of achievement. You are going to create an action plan to become purposeful about breaking through to the next level of achievement.”

Instructor: Give attendeess a few minutes to complete the exercise. When attendees are done, have them pair off with another classmate and discuss what they have discovered. Then take a few aha’s from volunteers.

Instructor: Explain that they are going to have to get purposeful to attain the outcomes they want.

Slide 32



MOVE FROM “E” TO “P” ON YOUR 20%

THOUGHT: This is in many ways the difference between doing something and mastering it. It could also be the separating difference between amateur and professional or white belt and black belt.

Higher and Higher Levels of Success

And the cycle plays on and on and on

and on …

DisappointmentResignation

Greener Pastures

• Learning Based • Mastery

• Action Focused Training • Consulting

• Focus• Options• Models• Systems• Accountability• Purposeful Style

• Energy and Drive• Excitement and Everywhere• Enthusiastic and Positive Thinking• Ease and Intuition• Effort and Natural Behavior (Personality)• Emotional and Spontaneous• Entrepreneurial Style

THE FUNDAMENTAL CEILING OF ACHIEVEMENT

P

1

2

3 “DOING WHAT COMES NATURALLY”

“DOING WHAT COMES UNNATURALLY”

Higher and Higher Levels of Success

This process is a moment of truth, a decision, and a step. It is not a natural evolution.

TO BECOME A BLACK BELT IN LIFE YOU MUST FIRST COMMIT TO MOVE FROM “E” TO “P”

TRUTH

E

Slide 33


NOTES


Instructor:Emphasize that being learning based is a foundational part of Keller Williams Realty. It’s vital to be learning based because everyone in the company who is learning based is depending on you to help them remain being learning based. We support each other in that learning-based mindset.In addition, being learning based is one of the most valuable elements of the Keller Williams value proposition. People who don’t participate in the learning opportunities Keller Williams offers are missing their chance to receive that value.



WHICH IS TRIVIAL

PURSUITS

WHO IS A LEARNING-BASED INDIVIDUAL?



BECOMING A LEARNING-BASED INDIVIDUAL

Who is a learning-based individual?

An individual who has made the decision to use effective learning as the foundation piece for their action plans to develop their life.

To be a black belt in life, you must become a learning-based individual.

QUESTION

ANSWER

TRUTH

ENLIGHTENMENT PRODUCTIVITY

KNOW FOR DOING’S SAKE

KNOW FOR KNOWING’S

SAKE

HIGHER SELF-ACTUALIZATION

2 BROAD OPTIONS

LEARNING BASED

LEADS TO “KNOW” WHERE

ACTION

“I know what I know and there is more to know.”

IGNORANCE BASED

“I know what I know and I’ll ignore anything else.”

INSIDE OUTSIDE

Slide 34


NOTES


Instructor:Tell: “There are visual learners, auditory learners, and kinesthetic learners.

The most impactful way to learn is visual. The most effective, however, is kinesthetic—effective being defined as ‘highest retention.’ The highest retention comes in steps 7 through 10.

Learning is experiential.”



BECOMING A LEARNING-BASED INDIVIDUAL

READ

LECTURE

DISCUSSION

PARTICIPATORY

CASE STUDY

ROLE MODEL

ROLE-PLAY

STRUCTURE EXPERIENCE

PERSONAL PRACTICE

TEACH

“Read this and let’s talk.”

“Let me explain.”

“Let’s talk about this.”

“Let’s talk and get others involved.”

“Let’s see what others have done.”

“Let me show you how to do it.”

“You try it with me working with you.”

“You do it while I’m with you.”

“You go practice it.”

“Go do it and teach it.”

1

2

3

4

5

6

7

8

9

10

THE 10-STEP EXPERIENTIAL LEARNING PROCESS

THE PATH OF MASTERYSlide 35


NOTES


Instructor:Tell: “Two common limiting beliefs are ‘I don’t have time’ and ‘I don’t have the

money.’”



LIMITING VS. UNLIMITING BELIEFS

EXAMPLES

EXAMPLES

DEFINE

DEFINE

• Self• Environment• Potential

• Self• Environment• Potential

LIMITING BELIEFS

UNLIMITING BELIEFS

For you to appreciate and truly discover your “incredible you,” you’ll need to remove limiting beliefs and focus on unlimiting beliefs.

It is actually more practical and effective at times to identify and remove limiting beliefs than it is to always attempt unlimiting thinking.

TRUTH

IN TRUTH

Slide 36



EXERCISE: THE ACCOUNTABILITY CYCLE

1. Think of an issue or problem you are struggling with right now.

2. Now turn to the person next to you. You have two minutes to complain (be in

“victim” mode) about your problem to that person.

3. Once you are done, it is your partner’s turn to do the same.

4. Now it’s time to accept and own the reality of your issue and take action to

resolve it. Utilizing the “Be Accountable” steps, work through and write down

the necessary approach and actions you can take to resolve this issue or

problem.

BE ACCOUNTABLE

Step 1: Seek reality—What is the issue? How does awareness of the issue lead to its resolution?

Step 2: Acknowledge reality—How does having clarity about the issue lead to its resolution?

Step 3: Own it—Owning the issue empowers you. How will you use energy and focus to resolve the issue?

Step 4: Find solutions—What are the possible solutions for the issue?

Step 5: Get on with it—What are the action steps you can take to achieve the solutions and solve the issue?

1.

2.

3.

4.

5.

Accountability leads to change!

Instructor: Give the instructions below.1. Think of an issue or problem you

are struggling with right now. 2. Now turn to the person next to

you. You have two minutes to complain (be in “victim” mode) about your problem to that person.

3. Once you are done, it is your partner’s turn to do the same.

4. Now it’s time to accept and own the reality of your issue and take action to resolve it. Utilizing the “Be Accountable” steps, work through and write down the necessary approach and actions you can take to resolve this issue or problem.

Exercise: 10 minutes

Slide 37



THE ACCOUNTABILITY CYCLE

1

5

2

4

3

3

4

2

5

1

GETS ON WITH IT

FINDS SOLUTIONS

OWNS IT

ACKNOWLEDGES REALITY

SEEKS REALITY

AVOIDS REALITY

FIGHTS REALITY

BLAMES

PERSONAL EXCUSES

WAITS AND HOPES

“OK, let’s do it!”

“What can I do?”

“If it’s to be, it’s up to me!”

“This is the way it is!”

“What’s happening?”

“Asks no questions.”

“That’s not how I see it.”

“If everybody would just do their job!”

“It’s not my job!”

“If it was meant to be, it will happen.”

ACCOUNTABLE CHANGE

LIFE HAPPENS

Action Plan

Mother Nature doesn’t care which

posture you take—reality always shows up!

REALITY SHOWS UP …




Ignorance

Possibilities

Denial

Energy & Focus

Projection

Clarity

Deflection

Awareness

Resignation

VICTIM STATUS QUO

If someone is on the “victim” side of this equation, self-mastery and personal growth are almost impossible.

You can only change what you admit you own.

TRUTH

BIGGER TRUTHSlide 38


NOTES


Instructor:Tell: “The Platinum Rule, by Dr. Tony Alessandra, focuses on ‘treat people like

they want to be treated.’

In order to assist in how ‘they want to be treated,’ Dr. Alessandra used a behavioral assessment.”



BEING AWARE

The Platinum Rule by Dr. Tony Alessandra (1998)

O

I D

S

(OPEN)

1

-9

2

-8

3

-7

4

-6

5

-5

6

-4

7

-3

8

-2

9

-1

1-1-2-3-4-5-6-7-8-9 2 3 4 5 6 7 8 9(INDIRECT) (DIRECT)

(SELF-CONTAINED)

RELATIONSHIPS

TASKS

ACTION/SKILLS

KNOWLEDGE/RESEARCH

Slide 39


NOTES


Instructor:Emphasize below the Ceiling of Achievement, the operative word is “current.” Above the Ceiling of Achievement, the operative word is “new.”Read the truth box in the upper right area of the page. Make the point that this means “new.”



PLAN FOR BREAK-THROUGHS

CEILING OF ACHIEVEMENT

TIME

AC

HIE

VE

ME

NT

LE

VE

L

NEW LEVELS OF ACHIEVEMENT

TRUTH:

To get to the next level in your life will require a different perspective and a higher level of thinking than the perspective and level of thinking that got you where you are. —Thomas Edison

NEW OR IMPROVED

RELATIONSHIPS

NEW ORMORE EFFECTIVE

HABITS

NEW PERSPECTIVE & HIGHER LEVEL OF THINKING

CURRENT RELATIONSHIPS

CURRENT HABITS

CURRENT LEVEL OF THINKING

SELF-IMAGE

FINANCIAL SPOUSE

MENTORS ANDROLE MODELS LOVE

THE PERSON YOU DETERMINE

WEALTH FOR

TOP 5 FINANCIAL WEALTH DETERMINERS

TOP 25 PROFESSIONAL ALLIED RESOURCES

YOU

BUSINESS KIDS

CAREER PARENTS

PERSONAL SIBLINGS

PHYSICAL RELATIVES

SPIRITUAL FRIENDS &CO-WORKERS

2

3

4

1

56

21

1

14

7

22 23 24 25

2

15

83

16

9 10 11 12 134

17 2019

5

18

4 51 2 3

PERSONAL MISSION, VISION, VALUES, BELIEFS & PERSPECTIVE

CURRENT LEVELS OF: Self-Mastery, 80/20, E to P, Learning Based, Unlimiting Beliefs, Accountability

Increased effort and time WILL NOT create increased success.TRUTH:

Short-term success can exceed your thinking, habits, and relationships; however, long-term success can never exceed your thinking, habits, and relationships.

TRUTH:

HABITS DISCIPLINESThe Reality Habit

The Mindset Habit The Proactivity & Persistent Action Habit

The Authority Habit The Prayer & Meditation Habit

The Thankfulness & Gratefulness Habit

The Nutrition Habit The Exercise Habit

The Stress Management Habit

The Play Time Habit The Pay Time Habit

The Organization Time Habit

The Gross Income Habit The 70/30 Rule Habit

The Value/Accountability Habit

The Unique Ability Habit The Leverage Habit

The New Capacities & Repairs Habit

SELF

SPIRITUAL

PHYSICAL

TIME

MONEY

GROWTH

123456

REIN

VENT AND GROW

Slide 40


NOTES


Instructor:Point out the habits on the right side of the page. Emphasize that if you do the habits, the disciplines become easier.Pick out your favorite habits to use as illustrations for how creating those habits will support those disciplines.Ask: “If I was more disciplined with time, would my life be better?” [Answer:

Yes] “So how do I get more discipline with time?”

Tell: “I form the Play Time habit, the Pay Time habit, and the Organization Time habit. Those habits create a higher level of discipline in the area of time.”



A WEALTHY PERSON’S SIX LIFE DISCIPLINE AREAS

HABITS DISCIPLINESThe Reality Habit

The Mindset Habit The Proactivity & Persistent Action Habit

The Authority Habit The Prayer & Meditation Habit

The Thankfulness & Gratefulness Habit

The Nutrition Habit The Exercise Habit

The Stress Management Habit

The Play Time Habit The Pay Time Habit

The Organization Time Habit

The Gross Income Habit The 70/30 Rule Habit

The Value/Accountability Habit

The Unique Ability Habit The Leverage Habit

The New Capacities & Repairs Habit

SELF

SPIRITUAL

PHYSICAL

TIME

MONEY

GROWTH

123456YOUR PHYSICAL LIFE IS SIMPLY AUTOBIOGRAPHICAL OSuccess is wanting something and getting it.

Happiness happens on the way to fulfillment.

TRUTH:

DEEPER TRUTH:

PERSONAL MISSION STATEMENT

PERSONAL VISION AND LEGACY STATEMENT

PERSONAL VALUES, BELIEFS AND PERSPECTIVE

Slide 41


NOTES


Instructor:Emphasize the truth at the bottom of the page.Tell: “A lot of people don’t think about these relationships or take them for

granted.”

Tell: “Here is a rhetorical question. If these relationships are important to you, where are your vacancies?”



A WEALTHY PERSON’S FIVE LIFE RELATIONSHIPS

FINANCIAL SPOUSE

MENTORS ANDROLE MODELS LOVE

THE PERSON YOU DETERMINE

WEALTH FOR

TOP 5 FINANCIAL WEALTH DETERMINERS

TOP 25 PROFESSIONAL ALLIED RESOURCES

YOU

BUSINESS KIDS

CAREER PARENTS

PERSONAL SIBLINGS

PHYSICAL RELATIVES

SPIRITUAL FRIENDS &CO-WORKERS

2

3

4

1

56

21

1

14

7

22 23 24 25

2

15

83

16

9 10 11 12 134

17 2019

5

18

4 51 2 3

YOUR PHYSICAL LIFE IS SIMPLY AUTOBIOGRAPHICAL OF YOUR SPIRITUAL LIFE.

You need people more than they need you. No one ever achieves their true maximum potential alone.TRUTH:

Slide 42


NOTES


PRODUCTIVITYPERSONAL2

Slide 43



NOTES


Instructor:Ask: “How many things are there in the world that you could do that would

make your life better?”

[Answer: Lots of things.]

“What’s the best way to approach those things?”

[Answer: Make a list and prioritize them.]

“So that you can what?”

[Answer: Take action.]

“On how many?”

[Answer: One thing—at a time.]

“Isn’t that the epitome of going small?”

Tell: “Seek ‘should do,’ not ‘could do.’”


LIFE PERSONAL BUSINESS FINANCIAL75


GOING SMALL

“Going small” is ignoring all the things you could do and doing

what you should do. It’s recognizing that not all things matter

equally and finding the things that matter most. It’s a tighter way

to connect what you do with what you want. It’s realizing that

extraordinary results are directly determined by how narrow you can

make your focus.

Where I’d had huge success, I had narrowed my concentration to one thing, and where my success varied, my focus had too.

If everyone has the same number of hoursin a day, why do some people seem to get so much more done than others?

MY AHA

Slide 44



NOTES


Instructor:Tell: “These are the six lies between you and success. We’re going to cover each

of these in detail on the following pages.”




THE SIX LIES BETWEEN YOU AND SUCCESS

Everything Matters Equally

Multitasking

A Disciplined Life

Willpower Is Always on Will-Call

A Balanced Life

Big Is Bad

1

2

3

4

5

6

Slide 45



NOTES


Instructor:Tell: “20 percent of your activities produce 80 percent of your results. The key

to leveraging the 80/20 Principle is to figure out what your 20 percent is. It doesn’t stop there though.”

Ask: “Is it enough to take 25 tasks and prioritize them to the top 5?”

[Answer: No, because you can’t take action on 5 tasks at one time.]

The point of the Extreme Pareto concept is that you must apply The ONE Thing concept to your 80 to be able to prioritize one single activity to take action on first.




EVERYTHING MATTERS EQUALLYLIE # 1

Not everything matters equally, and success isn’t a game won by whoever does the most. Yet that is exactly how most play it on a daily basis.

Achievers always work from aCLEAR SENSE OF PRIORITY.

The 80/20 Principle says the minority of your effort leads to the majority of your results.

EFFORT

RESULTS

20%

80%

EXTREME PARETO

2520% 20%

5 1

Slide 46



NOTES


Instructor:Tell: “As stated in The ONE Thing book, when you think you’re multitasking, you

are actually task switching.”

Ask: “Have you ever tried to add up a bunch of numbers and got interrupted? What happened?”

[Answer: You had to start over.]

Ask: “Have you ever read several pages of a book, then put it down for a day or two, then started reading it again days later? What happened?”

[Answer: You had to go back at least several pages to remember what you were reading, depending on the amount of time that went by.]




MULTITASKINGLIE # 2

In the summer of 2009, Clifford Nass set out on a mission to find out how well so-called multitaskers multitasked.

“I was sure they had some secret ability, but it turns out that high multitaskers are suckers for irrelevancy.”

They were outperformed on every measure. Although they’d convinced themselves and the world that they were great at it, there was just one problem.

“Multitaskers were just lousy at everything.”

– Clifford Nass

INTERRUPTED WORKFLOW

PRIMARY WORK PRIMARY WORKDISTRACTION

PRIMARY WORK

FOCUSED WORKFLOW

SWIT

CH

SWIT

CH

REOR

IENT

REOR

IENT

Start

Start

Finish

Finish

TIME

TIME

Slide 47



NOTES


Instructor:Emphasize that habits are formed over time by bringing just enough discipline to establish the habit.Tell: “The number of days to form a habit increases or decreases based on the

difficulty of the habit.”




A DISCIPLINED LIFELIE # 3

We don’t need any more discipline than we already have. We just need to direct and manage it a little better.

The trick to success is to choose the right habit and bring just enough discipline to establish it.

TRUTH:

THE ROLE OF DISCIPLINE IN ACHIEVEMENT

DISC

IPLI

NE

TIME

DAY 66HABIT FORMS

Slide 48



NOTES


Instructor:Tell: “Will call is like battery life. It’s depletable and renewable. Your best

decisions occur when your willpower is at its highest.”




WILLPOWER IS ALWAYS ON WILL-CALLLIE # 4

The WILL to SAY YES to what you need to do.

The POWER to SAY NO to everything else.

Good decisions depend on more than just wisdom and common sense.

WILLPOWER

PROPORTION OF FAVORABLE DECISIONS

60%

30%

0%MORNING

BREAKAFTERNOON

BREAKEND OF

DAY

Slide 49



NOTES


Instructor:Emphasize that there is no such thing as a balanced life. It’s an illusion and is not possible. The goal is actually to never get too far out of balance or to counterbalance, as soon as possible, when you’re significantly out of balance.




A BALANCED LIFELIE # 5

“Imagine life is a game in which you are juggling fi ve balls. The balls are

called work, family, health, friends, and integrity. And you’re keeping

all of them in the air. But one day you fi nally come to understand

that work is a rubber ball. If you drop it, it will bounce back. The other

four balls—family, health, friends, integrity—are made of glass. If you

drop one of these, it will be irrevocably scuffed, nicked, perhaps even

shattered.” – James Patterson, Suzanne’s Diary for Nicholas

WORK-LIFE COUNTERBALANCING

WORK LIFE

“In your professional life, go long and make peace with

the idea that the pursuit of extraordinary results may

require you to be out of balance for long periods.”

– The ONE Thing

“In your personal life, go short and avoid long

periods where you’re out of balance.” –The ONE Thing

Slide 50



NOTES


Instructor:Ask: “What’s bad about Big? What’s good about Big?”

Tell: “It might be a good idea to do the ‘Ben Franklin’ close comparison about this. Because at our company, Big is good.”

Ask: “If your copier breaks, how many copiers are broken?”

[Answer: One copier.]

“What percentage is that?”

[Answer: If you only have one, it’s all of your copiers.]

“If you have five copiers, then it’s only 20 percent.”

Emphasize that “Big Is Bad” is a limiting belief. It’s a myth that Big will be chaotic and confusing and you’ll get lost.In reality, with Big, you have more models and systems to leverage.Have a discussion about whether you’d want to be a big fish in a small pond or a small fish in a big pond. Discuss the pros and cons of each. Being a big fish in a small pond, one of the obvious benefits would be recognition. Being a small fish in a big pond, one of the obvious benefits would be growth.




BIG IS BADLIE # 6

SPAN OF CONTROL

HOW BIG IS YOUR BOX?

TIME & EFFORT

BIG OUTCOME

SMALL OUTCOME

ACTIONS

ACTIONS

WHAT, HOW, & WHO?

WHAT, HOW, & WHO?

TH

INK

ING

Slide 51



NOTES


Instructor:Tell: “Your MVVBP serves as a guide and a filter for the decisions you make, or

for your very life.

On page 23, we talked about how our power to successfully counterbalance is up against three major obstacles. The first one is no clear mission, vision, values, or beliefs to guide our life and serve as a filter for the decisions we face throughout life.

The question is not only ‘How do I develop a goal?’ but really ‘How do I develop a goal that’s meaningful and important to me?’

Then, ‘What tools and systems are available to help make that goal a reality?’

These topics will be covered in more depth on the following pages.”




GOAL SETTING TO THE NOW

How do I develop a goal?

How does all this get done?

How do I stay on track?

How do I develop a plan based upon my goal?

How do I know what to do this month/ week in order to be on target with my plan?

How do I know how to prioritize my actions?

Based upon my MVVBP

Time Blocking

Accountability

1-3-5

4-1-1

Ask the Focusing Question

1

5

6

2

3

4

Slide 52



NOTES


Instructor:Time permitting, consider creating an exercise for attendees for pages 93 through 107 to make those topics experiential for them.Walk the attendees through the process of actually creating one goal, three priorities to achieve it, and five steps to achieve each priority.Ideally, they should use their own goals. If they don’t have one, you can offer a couple of different scenarios to get them started.

• An agent in production who wants to go from $10 million to $20 million in volume.

• An Operating Principal who wants to take their Market Center from 100 associates to 200 associates.

• A 10- to 14-day family vacation abroad.The 1-3-5 is an excellent focusing tool. For an individual it helps create a clear mission. For a group it helps create a common and clear mission.




THE 1-3-5 “G-P-S” BUSINESS PLAN

Goal

Priorities to Achieve It

Steps to Achieve Each Priority

1

3

5

Slide 53



NOTES


Instructor:You may want to have attendees actually complete the 4-1-1 worksheet based on the results of their 1-3-5.Tell: “Remember, the annual goals, the monthly goals, and the weekly goals

could also be divided up among the five or six areas of your life.”

Discuss “results-focused goals” vs. “action-focused goals.” Ask: “Which category do you have control over?”

[See page 97.]




THE 4-1-1 WORKSHEET

Slide 54



NOTES


Instructor:Continue the discussion from the previous page.Tell: “When you think about the 1-3-5, you may want to consider the 1-3-5 in the

different areas of your life as well.

If your 1-3-5 is just about your job, then the areas of your 4-1-1 would reflect that. If your 1-3-5 addresses other areas of your life, your 4-1-1 would reflect those areas as well.

The book is titled The ONE Thing, not The ONE and ONLY Thing. And you should have a ONE Thing in every area of your life. The one that takes priority is the one that is most pressing in your life.”




A CLOSER LOOK

JOBCATEGORY

GOAL

JOB CATEGORY

GOAL/ACTION

BUSINESS

BUSINESS

PERSONAL FINANCE

PERSONAL FINANCE

PERSONAL

PERSONAL

WEE

K 1

WEE

K 2

WEE

K 3

WEE

K 4

ANNUAL GOALS (GAUGE)

MONTHLY GOALS AND/OR ACTIONS (GAUGES AND/OR LEVERS)

WEEKLY ACTIONS (LEVERS)

What are my “Big Rock” Annual Goals – my 20%

What are my “Big Rock” Monthly Goals and/or Action Steps – my 20%

Category – Action to take to hit monthly goal or action to take to achieve the larger action.

What must I do this week to be on track to achieve my monthly goal?



Slide 55



NOTES


Instructor:Tell: “A lot of people have a To-Do list. Not nearly as many prioritize their

To-Do list. Prioritizing your messages, time blocking for appointments, and prioritizing for personal and business things to do is important.”




DAILY TO-DO

Slide 56



NOTES


Instructor:Ask: “Where does this come from?”

[Answer: The ONE Thing.]

Emphasize it’s not your one and only thing, it’s your one thing at a time.If your ONE Thing at a given moment is, as Gary Keller mentioned, “vegging out on the couch,” that’s OK if you’ve gone through the thought process and come to the conclusion that it is your ONE Thing to do at that time. If you “veg out on the couch” when you haven’t thought about what else you should be doing, that’s bad. The magic is the thought process. The magic isn’t what you’re doing, the magic is the thought process you go through to do whatever you decide to do.One is the mindset of an entrepreneur and the other is an intentional mindset.




“What’s the ONE Thing I can do, such that by

doing it everything else will be easier or unnecessary?”

THE FOCUSING QUESTION

Slide 57




EXERCISE: TIME BLOCK YOUR 20 PERCENT

1. Earlier you identified some 20 percent activities. Are they on your calendar? Pick

a day. What does that day look like with a 20 percent activity time blocked on it?

TODAY AND EVERY DAY8:00 AM

8:30 AM

9:00 AM

9:30 AM

10:00 AM

10:30 AM

11:00 AM

11:30 AM

Noon

12:30 PM

1:00 PM

1:30 PM

2:00 PM

2:30 PM

3:00 PM

3:30 PM

4:00 PM

4:30 PM

5:00 PM

Instructor:Exercise: 10 minutesWalk attendees through the exercise. Clear the exercise by taking answers from the class.

Ask: “What are you going to do if someone interrupts you during your time block?”

Slide 58




TIME BLOCKING

7

14

21

28

6

13

20

27

5

12

19

26

4

11

18

25

3

10

17

24

31

2

9

16

23

30

1

8

15

22

29

Play Time

Pay Time

Organization Time

1

2

3

Slide 59

Instructor:Emphasize that the top of the spreadsheet on page 102 says, “Today and Every Day.” You should be time blocking into the future, not just for the next day.The goal is to take you off autopilot with your life.This company’s greatest gift to its people is to teach us how to think at a higher level because that involves everything we do. Just the idea of being more purposeful can apply to everything we do. The question is, do we choose to be more purposeful in everything we do?



NOTES


Instructor:Tell: “Accountability can be provided by many different sources. Some of these

could be your Team Leader, your spouse, your Productivity Coach, your KW MAPS Coach, a mentor, and others.

We’re not wired to hold ourselves accountable very effectively.”




ACCOUNTABILITY

What is it?

How do I find it?

1

2

Slide 60



NOTES


Instructor:This page is a recap of the content on the previous pages.




PUT IT ALL TOGETHER

4-1-1 Goal Worksheet

Calendar

Task List

Daily To-Do Worksheet

20%

80%

Know your key goals and action steps to achieve them.

Make sure you’ve planned enough time to do all the actions necessary to achieve your 20%.

If time permits, work to get as many key tasks done after your 20% is done.

Create a daily game plan that pulls it all together on one sheet of paper to maximize your focus.

Slide 61



NOTES


PRODUCTIVITYBUSINESS3

Slide 62



NOTES


Instructor:Tell: “Notice the overlapping nature of the three tasks. If the circles weren’t

overlapping, then the theory would be, ‘I can recruit without having to train or manage.’ You can’t do that. These are interdependent tasks, and they are three different tasks. So if you recruit the right person, you’re not finished.

‘Manage’ eventually transcends into ‘Lead.’

Each of these tasks will be discussed in more detail on the following pages.”




RECRUIT-TRAIN-MANAGE

RECRUIT

TRAIN MANAGE

Slide 63



NOTES


Instructor:Have attendees go through this exercise, individually at first and then get in groups.Clear the exercise with aha’s.




COST OF ERRORS EXERCISE

1. Think of a real situation—a time when you or someone you worked with made a hiring mistake. Think of an employee who was in place for one year.

2. Use the table below to record what tangible and intangible costs you believe were associated with this bad hire during one year’s time.

3. Be prepared to share your totals with the class.

IT HURTS TO REMEMBER …

TANGIBLE INTANGIBLE

Salary $

Mgmt Time $

Admin Time $

Staff Time $

Facilities/Overhead $

Production $

Clients $

Lawsuits $

Recruiting Cost $

$

Total Annual Costs $

Damaged Reputation $

Loss of Goodwill $

Staff Morale/Turnover $

Manager Morale/Turnover $

Lost/Limited Candidates $

Lost Business $

Lost Productivity $

$

$

$

Total Annual Costs $

Slide 64



NOTES


Instructor:Emphasize to not shortcut the process of looking at a recruit’s past, present, and future. You need to consider all three.Tell: “Beware of falling in love with a recruit’s future. Because what that can do

is become your rationalization for hiring the person. And if their past is in no way similar to how you view their future, then you’ve got a problem. Their past should in some way resemble what you want their future to be.”




RECRUITING

Looking backward (references, past job history and performance)

Looking at the present (behavior, knowledge, skills)

Looking at the future (motivation and drive)

The goal of recruiting is to find someone whose next logical step in their career is to take the job.

1

2

3

RECRUITING:

YOU’LL DO THIS BY:

Slide 65



NOTES


Instructor:Emphasize that all of the different assessments and behavioral profiles about getting to know people—whether it’s getting to know yourself, people you’re getting in business with, your customers—the more you know, and the more purposeful you are about getting to know the people in your world, the better off you’ll be.




WHAT IS “PREFERRED” BEHAVIOR?

Every person has an effortless, natural behavior that we might call their “preferred” behavioral style.

A person will naturally (unconsciously) exhibit this preferred behavior unless they willfully (consciously) alter it.

O

I D

S

(OPEN)

1

-9

2

-8

3

-7

4

-6

5

-5

6

-4

7

-3

8

-2

9

-1

1-1-2-3-4-5-6-7-8-9 2 3 4 5 6 7 8 9(INDIRECT) (DIRECT)

(SELF-CONTAINED)

RELATIONSHIPS

TASKS

ACTION/SKILLS

KNOWLEDGE/RESEARCH

Slide 66



NOTES


PRODUCTIVITYFINANCIAL4

Slide 67



NOTES


Instructor:Point out the three statements at the bottom of the page. Remind the class that “cash is king.”




A FINANCIALLY WEALTHY PERSON

A FINANCIALLY WEALTHY PERSON

Cash flow and wealth are not the same thing! Cash flow is what you are ultimately after! Wealth without cash flow won’t finance anything!

To finance the material foundation necessary for you to achieve your personal mission for your life.

Someone who has accumulated the wealth that delivers the unearned income (passive) necessary to become self-actualized and achieve their personal life mission.

THE TRUE PURPOSE OF FINANCIAL WEALTH

Slide 68



NOTES


Instructor:Remind the class about page 27—The Incredible Magic Formula of Life.Tell: “This is a restatement of that in the category of money or wealth.”

Reinforce this by pointing out the truth at the top of page 123.Point out how the Inside/Outside concept applies in The Bottom Line box at the bottom of the page.




WEALTH IS A STATE OF MIND

The most common mistake we make in life is looking outside of ourselves for what we should find inside.

Success is no exception. Just as the source of true happiness lies within each of us, success also comes from within. Success is the result of a very specific mental attitude.

Call it what you like—the mentality of the rich, an attitude of success, or the prosperity consciousness—financial wealth is the outward manifestation of an inner focus. It is the result of steering thoughts toward a specific financial target.

Genuine wealth is, above all, a state of mind —a mental state that has taken physical form in the lives of the wealthy. You must begin by being rich and wealthy in mind BEFORE you can become financially rich and wealthy in life.

TRUTH:

GREATER TRUTH:

THE TRUTH ABOUT

WEALTH

THE BOTTOM

LINE

Slide 69



NOTES


Instructor:Ask attendees to read this page and make note of how these truths impact them. Ask which truths impacted them the most and have some attendees share what they wrote.You may want to recommend several of your favorite books on money to the class.




THE SIX TRUTHS ABOUT MONEY

1

5

2

6

3

4

TRUTH #

TRUTH #

TRUTH #

TRUTH #

TRUTH #

TRUTH #

The key to happiness is not more money. Happiness is happiness. Money is money.

Money will come to you when you are doing the right thing(s).

Whatever your life is about, more money will amplify it. Money won’t change you— it will expose you.

Money has its own rules and disciplines. If you don’t learn them, you are basically financially illiterate.

Lifestyle is style over amount. And style is an art; your personal art of living. You can’t buy style with money. You can’t buy good taste or good decisions with money. You can only buy more with more money.

The LIFE QUEST is to have the best life in the time available to us. It’s not the amount; it’s the value. Money doesn’t buy value as it pertains to the best life possible.

Slide 70



NOTES


Instructor:Ask attendees to read through each of the Personal Myths and Investing Myths and make notes on which ones resonate with them. Then ask attendees to turn to a neighbor and discuss the myths they each highlighted.Ask attendees to share a few of the great aha’s they heard from their neighbor.




THE 8 MYTHUNDERSTANDINGS BETWEEN YOU AND FINANCIAL WEALTH

1MYTH: I don’t need to be an investor—my job will take care of

my financial wealth.

TRUTH: Yes, you do need to be an investor—your job is not your financial wealth.

2MYTH: I don’t want or need to be financially wealthy—I’m

happy with what I have.

TRUTH: You need to open your eyes—you do need and want to be financially wealthy.

3MYTH: It doesn’t matter if I want or need it—I just can’t do it.

TRUTH: You can’t predict what you can or can’t do until you try.

1MYTH: Investing is complicated.

TRUTH: Investing is only as complicated as you make it.

2MYTH: The best investments require knowledge most people

don’t have.

TRUTH: Your best investments will always be in areas you can or already understand.

3MYTH: Investing is risky—I’ll lose money.

TRUTH: Investing, by definition, is not risky.

4MYTH: Successful investors are able to time the market.

TRUTH: In successful investing, the timing finds you.

5MYTH: All the good investments are taken.

TRUTH: Every market has its share of good investments.

3 Personal Myths

5 Investing

Myths

Slides 71-72



NOTES


Instructor:Emphasize that the principles on this page are the things attendees will learn as they read the books on money you suggested earlier. For example, #1 is about paying with cash and that is a recurrent theme in Dave Ramsey books. Gary Keller states that “at some point you want to build a moat around your money.” This applies directly to principle #2.




THE 8 CONCEPTS OF PERSONAL MONEY MANAGEMENT

As a rule, pay CASH (or cash equivalent) —NO PLASTIC CREDIT!

Purchase protection: – Maximum disability protection – Adequate life insurance – Best health insurance – Adequate home and personal property insurance – Adequate car insurance

Follow a budget—avoid impulse.

Save up, then purchase—don’t let a credit card do your saving for you.

Buy based on “need” first—avoid a “wants” purchasing lifestyle.

Think “repair” first—“replace” second —and “new” last.

Pay yourself first—not last.

Tithe.

1

2

3

4

5

6

7

8

Slides 73-74



NOTES


Instructor:The answer to the question “What is your aha?” is that you can’t save your way to financial success.




REALITY CHECK

QUESTION:

At $100,000 annual income

– $30,000 income taxes

= $70,000

– $30,000 invest

$40,000 to live

$30,000 x 10 years = $300,000

x 20 = $600,000

x 40 = $1.2M

x 80 = $2.4M

$60,000 x 40 years = $2.4M

$120,000 x 20 years = $2.4M

$240,000 x 10 years = $2.4M

GOAL = $100,000/YEAR PASSIVE INCOME AFTER TAXES!

WHAT IS YOUR AHA?

$1,000,000 @ 4.0% (TAX FREE) = $40,000/YEAR

$2,500,000 @ 4.0% (TAX FREE) = $100,000/YEAR

Slide 75



NOTES


Instructor:Tell: “This is similar to Kiyosaki’s Cashflow Quadrant. Always hold your money

accountable.”




THE PATH OF MONEY

FOUR CHOICES FOR CASH FLOW

TWO KINDS OF CAPITAL

TWO BASIC INVESTMENT CHOICES

TWO BASIC POSITIONS

HUMAN CAPITALYou Work for Money

CASH FLOW

SPEND SAVE

ACTIVEPASSIVE

DONATE INVEST

OWN

FINANCIAL RETURNS

LEND

CAPITAL ASSETSYour Money Works for You

LEND• Owner Financing• Private Lending

LEND• Money Markets• CDs• Bonds• T-Bills

OWN• Businesses• Real Estate

OWN• Stocks• REITs• Mutual Funds

YOU CONTROL ITTHEY CONTROL IT

4

5

3

2

1

1

1

1

1

2

2

3

2

2

4

Slide 76



NOTES


Instructor:Tell: “Sometimes compounding is referred to as the eighth wonder of the world.

Sometimes compounding makes a seemingly impossible task doable in terms of money. If you want to save a million dollars, it would be very difficult to do without compounding. It’s one of the keys to moving from the left-hand side of Robert Kiyosaki’s Cashflow Quadrant to the right-hand side.

[You may want to illustrate this concept on a flip chart.]

If you can live on 70 percent of your earned income and save the other 30 percent, as long as the other 30 percent earns a return, and then pretty soon those earnings are earning a return. It’s like a lily pond that only has a few lily pads at first and then fills up more and more rapidly as time passes.”




$100 INVESTED EVERY MONTH

YRS 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% 20%1 1,200 1,213 1,226 1,240 1,253 1,267 1,281 1,295 1,309 1,324 1,338

2 2,400 2,451 2,503 2,556 2,611 2,667 2,724 2,783 2,844 2,906 2,970

3 3,600 3,713 3,831 3,953 4,081 4,213 4,351 4,494 4,643 4,799 4,960

4 4,000 5,001 5,213 5,437 5,673 5,921 6,183 6,460 6,752 7,061 7,387

5 6,000 6,315 6,652 7,012 7,397 7,808 8,249 8,720 9,225 9,766 10,345

6 7,200 7,656 8,149 8,684 9,264 9,893 10,576 11,317 12,123 13,000 13,953

7 8,400 9,023 9,708 10,459 11,286 12,196 13,198 14,303 15,521 16,867 18,353

8 9,600 10,419 11,329 12,344 13,476 14,740 16,153 17,733 19,504 21,490 23,718

9 10,000 11,842 13,017 14,345 15,848 17,550 19,482 21,677 24,174 27,017 30,259

10 12,000 13,294 14,774 16,470 18,417 20,655 23,234 26,209 29,647 33,626 38,236

15 18,000 21,006 24,691 29,227 34,835 41,792 50,458 61,285 74,858 91,921 113,429

20 24,000 29,529 36,800 46,435 59,259 76,570 99,915 131,635 174,946 234,349 316,148

25 30,000 38,947 51,504 69,646 95,734 133,789 189,764 272,728 396,522 582,331 862,671

30 36,000 49,355 69,636 100,954 150,030 227,933 352,991 555,706 887,048 1,432,529 2,336,080

INTEREST RATES COMPOUNDED MONTHLY

Slide 77



NOTES


Instructor:Discuss the pros and cons of the various types of investments.




ATTRIBUTES OF INVESTMENT OPTIONS

This table shows the major attractions and trade-offs generally associated with a wide range of investments. As in golf, you’ve got to reach for the right club if you hope to get the right results. The table assumes you’re going to buy and hold your investments and not seek capital appreciation through trading.

X = generally acceptable

Z = depends on specific choices in this category

Investments

Lending Investments

U.S. Treasury Securities X X X X

Federal Agency Securities X X X Z

Certificates of Deposit X X Z

Money Market Funds X X X Z

Corporate Bonds X X Z X

High Yield Bonds X X X X

Convertible Bonds X X Z X

Municipal Bonds Z X Z X X

Zero Coupon Bonds X X X Z

Mortgage-Backed Securities X X X X

International Bonds Z Z X Z

Owning Investments

Preferred Stocks X X Z X

Common Stock Z Z Z X X X

Real Estate Z Z X X

Gold and Silver X X X

Collectibles X X

Commodity Futures X X

Major AttributesOther Attributes

Income Growth Potential Security of Principal

High Level Security of Income Short-term Long-term Secure At Risk Liquidity Tax

Advantages

Slide 78



NOTES


Instructor:Tell: “This page illustrates long-term trends of various investment options.”




BASIC STOCK MARKET OBSERVATIONS

U.S. small stocks provided the highest return (12.1%) and largest increase in wealth ($16,055) during the time period 1926-2010. Fixed-income investments provided only a fraction of the growth provided by stocks. See chart.(Source: 2011 Index Chart Speaker Notes, Morningstar)

A 2010 end of year article reports that the U.S. stocks have been on a tear since the 2008 stock market crash and as of the end of 2010, were only 4.4 percent behind the record 2007 year-end close, and 10.0 percent below the all-time high of the stock market on October 9, 2007. (Source: 2010 Stock Market Returns – The Numbers, “The Irrational Investor, CBS Money Watch, moneywatch.bnet.com/investing/

blog/irrational-investor/2010-stock-market- returns-the-numbers/2478/?tag=col1;blog-river; Accessed September 23, 2011)

Over the long term stocks have been an outstanding investment for two reasons:

1. Stock prices tend, at the very least, to keep pace with inflation. This is because shares of stock represent shares of real things owned and produced by the issuing corporations, and an increase in the price of things is, after all, what is meant by inflation.

2. American corporations have done an excellent job of mobilizing people, technology, and natural resources to create wealth, and stock issued by those corporations appreciates to reflect that wealth creation. One common measure of corporation wealth creation is the statistic known as “return on equity.” “Equity,” in this case, refers to a corporation’s net worth; “return” is profit. The average annual return on equity of American corporations over the last seventy years or so has been about 10 percent. It is no coincidence that on average the stock of those corporations has appreciated at about the same rate.

There are two broad reasons how people can lose money in the stock market: they can lose if they buy the wrong stock, or if they buy or sell the right stock at the wrong time.

The fundamental reason why people lose money in the stock market is that they tend to forget why they’re there. You should enter the stock market for one reason only—to associate your capital with wealth-creating enterprises.

U.S. Small Stock Return Index 16,055 12.1

S&P 500® Total Return Index 2,982 9.9

Balanced Portfolio 1,256 8.8

World Stock Markets

ex-U.S. Total Return Index 809 8.2

Long-Term Government Bonds 93 5.5

5-Year Fixed-Term Investments 56 4.8

30-Day Treasury Bills 21 3.6

Inflation 12 3.0

Ending Wealth

Value ($)

Compound Annual

Return (%)GROWTH OF $1 (1926-2010)

Slide 79



NOTES


Instructor:This could be an opportunity for a small-group discussion or exercise.




THE 10 WAYS PEOPLE KEEP FROM BEING A MILLIONAIRE

THEY NEED TO VISIT THEIR CAPITAL

They don’t trust that the assets their “wealth” is in will hold its value.1

THE LACK OF TRUST IN “PAPER” WEALTH

They think that paper “asset” wealth feels false. They don’t trust the asset to hold its value so they “sell” when they think the timing is right vs. “buy right” and hold forever.

2

THE LACK OF PROPER BALANCE BETWEEN “PAPER WEALTH AND “CASH FLOW”

They get caught up in building wealth on paper and ignore the need to counterbalance with cash flow.3

THE URGE TO BE LIQUIDThey think “cash” is real and everything else isn’t “as real.” So, they have a constant need to convert all assets to cash at some point.

4

THE OVERUSE OR IMPROPER USE OF DEBT

The weight of debt causes them to want to pay it off, and without sufficient cash flow they see “selling assets” as the only means to pay off the debt.

5

THE NEED/URGE TO LIVE HIGH ON THE HOG BEFORE THEIR CASH FLOW CAN SUPPORT THEM THAT WAY

The high cost of living causes them to need to liquidate regularly to cash in tomorrow’s future earnings potential so they can live high today.

6

THE LACK OF SEEING PEOPLE AS A REAL INVESTMENT

They don’t see people as an opportunity to invest in. They don’t understand that the greatest return on investment is usually when money and time are invested in people.

7

DON’T HAVE A WRITTEN-DOWN WEALTH BUILDING PLAN THEY TRUST

They “got” rich instead of purposely building wealth, so they actually don’t know how to duplicate what caused them to get “rich.”

8

THEY SPEND MORE THAN THEY MAKE OR THEY SPEND ALL THEY MAKE

This is a no-win situation. Either way, no money is available to invest since they must spend all of their money trying to play catch-up.

9

THEY DON’T STUDY MONEY OR THE RULES OF INVESTING

They don’t realize that, just like anything else, money has its own rules. Understanding the rules isn’t complicated, but it does take a committed effort to learn.

10Slide 80



NOTES


Instructor:Tell: “These represent eight positive characteristics of a real estate investment.”




REAL ESTATE: A MOST “ABLE” INVESTMENT

ACCESSIBLE

APPRECIABLE

LEVERAGEABLE

RENTABLE

IMPROVABLE

DEDUCTIBLE/ DEPRECIABLE/ DEFERRABLE

STABLE

LIVEABLE

Anyone can buy it

Increases in value over time

Buy on margin and borrow against equity

Cash flow! Cash flow! Cash flow!

Sweat equity

Great tax benefits

Slow to rise and slow to fall

Shelter in more ways than one ...

1

2

3

4

5

6

7

8From The Millionaire Real Estate Investor

Slide 81



NOTES


Instructor:Tell: “This represents a prioritized summary of your desired financial plan.”




A FINANCIAL TRACK TO RUN ON

1. Do entity planning for creditor protection (if necessary).• Form family partnership.• Partition income between husband and wife (and possibly, children).

2. Put cash needed to live in checking account.• Put remaining cash, real estate, mutual funds, stocks, etc., in family

partnership and push down into LLCs, etc.3. Create appropriate trusts and wills that fit your age, goals, etc.

STEP ONE: ESTABLISH A BASE CAMP

STEP THREE: PROTECT THE FUTURE

STEP TWO: FUND THE FUTURE

STEP FOUR: THE FUTURE IS NOW!

1. Create a personal budget.2. Try to avoid debt. Don’t finance personal lifestyle.3. Save 3–6 months of living expenses as an emergency fund in staggered CDs.4. Purchase protection:

• Maximum disability protection• Adequate life insurance• Best health insurance

5. Purchase home and work to own free and clear.

1. Create an asset allocation philosophy that fits your age and risk aversion.2. Set up a qualified 401(k) plan, IRA…and invest in mutual funds/ REITS.3. Invest in mutual funds/REITS.4. Invest in privately held: (1) businesses, (2) real estate.5. Invest for children’s college fund.

1. Continue investing in your portfolio.2. Purchase your dream home and/or a vacation home.3. Begin gifting to your children.4. Begin donating to charities, etc.

Slide 82

NOTES



By Gary Keller


I am of this world—I am beyond this world.

I listen, but sometimes I can’t hear.

I talk, but sometimes no one listens.

I then realize that the secret of life is not in holding on, but in letting go.

I know to be up—I must be down.

To come out—I must go in.

To know life—I must know death.

To know happiness—I must know sadness.

To know joy—I must know sorrow.

I can walk or I can run.

I can sing or I can shout.

THIS IS MY LIFE.

In the constance I can hear the stillness and I now see life for the first time.

I see no beginning—I sense no end.

I know to finish—I must start.

To have yes—I must hear no.

To have wind—I must accept rain.

To live in light—I must also live in darkness.

I surrender my life to life.

I see the contradictions and accept them as wisdom.

THIS IS MY LIFE.

I understand with wisdom comes ignorance.

I understand that with left comes right.

I understand that with above comes below.

I understand that with hills comes dust.

I understand that with knowing just comes more longing.

I see each day as a new beginning while I know it is truly giving way to another old end.

I finally realize that I do not need to bring GOD into my life—but to truly acknowledge GOD is already there.

THIS IS MY LIFE.

It feels like a dream—but I know that it is real.

Time moves fast—but it feels so slow.

At times I think I know everything—then I awaken and realize that I know nothing.

I feel I am—I feel I am becoming.

I don’t know what—I don’t need to know.

I can laugh—I can cry.

I can whisper—I can say nothing.

I can breathe—I can stop.

I have a choice—I have no choice.

THIS IS MY LIFE.

Life holds such promise—life holds no promise.

Life is and I am alive.

I shall be forever alive. In life I live—in death I live, for at a higher place they are the same.

I am not my body—my body is not me.

I am a human being—not a human doing.

I need to be still and be—not be so active and do.

My life becomes more precious as I become—it possibly becomes less meaningful the more I do.

Less is more—more is less.

I have a name—I am a spirit—I have a soul.

THIS IS MY LIFE.

Now my spirit is set free—flying over the life given to me.

All my past is below—all my future is above.

It is nothing—it is everything.

I hear a million voices become one.

I sense a million souls yearning just to become.

Life has lifted me up and GOD has brought me to my knees.

I seek hope—I am hope.

I seek faith—I am faith.

I seek love—I am love.

I seek life—I am life.


From dust I came—to dust I will go.

THIS IS MY LIFE.

THIS IS MY LIFE

Slide 83

NOTES



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Slide 85

Documents

Quantum Leap 5-23-16 0911 - Amazon S3s3.amazonaws.com/kwu-userfiles/2016/06/06/5755e03a9d23d.pdf · Bob P. Buford quote regarding life from Halftime: Moving from Success to Significance: