Giving Is Important As Saving

Welcome back! Here a some questions that we will ask ourselves today.

What small but steady activities can you do today that will lead to big, long-term results over a long period of time?

Conversely, are you neglecting any of the easy, very doable basic activities that will make a major difference in your future?

These are two great questions to ask every day.

Also, we encourage you to celebrate the fact that you are part of a small group of people, percentage-wise, who have actually made a plan, a process, a blueprint and a commitment to inspect and improve their lives. Great health, wealth, relationships and overall success and abundance are upstream. But where else would we want to be or go? Pat yourself on the back for making that decision.

Also, continue to be thankful that you are in the place to make such a decision. Look into the future at the person you desire to become. Keep putting one foot in front of the other, making Smart decisions that will create compounding results on a daily basis.

You are doing great!

-N.J.W Blog

Finances, Part Four—Giving

The four pivotal topics we cover this month are:

Getting Out of Debt {click to read}
Debt is a killer. It is a killer of dreams and hopes. It is a killer of businesses. It is a killer of financial futures. And, according to statistics, debt plays a prominent role in many failed marriages. So what should we conclude from this? If we are to be successful, we must have a commitment to stay out of debt! You can make $2 million a year, but if you spend $2.5 million, it doesn’t matter how much money you made, does it? You will be saddled with debt. We addressed this three weeks ago.

Saving {click to read}
One of the key components to long-term wealth building is the discipline of saving money on a regular basis. Two weeks ago, we went through the basics and showed how a commitment to saving money can revolutionize your financial life and provide the kind of security you desire. One simple difference between the philosophy of the rich and the poor is that the rich save/invest their money and spend what is left, while the poor spend their money and save/invest what is left. What a simple shift in our thinking for such a revolutionary result.

Investing {click to read}
Investing is very different from saving. Investing involves risk—calculated risk—and the possibility for much more reward. Saving and investing are done for different reasons and with different desired goals and outcomes. By taking a portion of our income and turning it into capital to be invested, we will be actively working toward our goal of financial independence. Last week we covered both the importance and basics of investing.

Giving
Giving a portion of your resources away is one of the most powerful principles you will ever embrace. It seems counterintuitive, but the truth is that giving will help you achieve the financial freedom you desire. Amazingly, giving makes you bigger than you are. The more you pour out, the more life will be able to pour back in. So giving a percentage of your resources away will help you not only have more money, but enjoy it more as well, and that is the best benefit.

The act of giving is very powerful, because sharing makes you bigger than you are. What you give becomes an investment that will return to you multiplied at some point in the future. Becoming a giving person will bring you so much more in your life. You will become the kind of person others look to, respect and appreciate.

Giving is about being fully human. It is about making something of ourselves that goes beyond what we merely do for ourselves. It is very important to work for ourselves, to determine our own futures, but a person could do that and still not reach the peak of their human potential. They could be entirely selfish, and while they build an empire or financial independence, they would also be missing something. They would miss the altruistic part of themselves, the generous, human element that wants to help others, to make a difference. When we choose to give, everybody wins.

Giving of ourselves, especially financially, can make a big difference for us and in us. Plus, it is relatively easy to do, if we discipline ourselves to do it. My recommendation would be to start this discipline when the amounts are small. It’s easy to give 10 cents out of every dollar, but it’s much harder to give $100,000 out of a million if you haven’t developed the discipline of giving. So let me give you four ways that giving financially changes you and five steps to becoming a generous giver.

Four Ways Giving Financially Changes You

Giving keeps money in its proper perspective. Money is a great tool. Money enables you to experience so many different aspects of life that you would be denied if you were without it. But, in the end, money isn’t the end! Money for money’s sake is a hopeless goal. Money is a tool that helps us do better things, enjoy life and help others. When we give money away, we tell ourselves that money isn’t the end all, and it reminds us that money is simply a tool. We gain proper perspective when we give to organizations and people who need it.

Giving makes you more aware of others and their needs. If you are going to give away money on a regular basis, then you will most certainly be looking for where to give. Your vision opens up to many new worlds. When the option is open for giving money away, you will soon begin to see the wide spectrum of people and organizations that can really use your help. Your heart will experience a unique transformation as you see all of the good accomplished through these organizations, because there really are many good groups out there doing fantastic things for people who need it.

Giving enables you to be a difference maker. At the end of our lives, we want to be able to look back and say that the world is a better place because we were here. We made a difference. People are better off because they met us. Organizations made a bigger impact because we gave generously to help support their purposes. Our businesses had an impact on the lives of our customers. When we generously give of our finances, we become difference makers, either through a donation or through the efforts of the organizations we support. And at the end of our lives, we will have stored up for ourselves many intangible treasures.

Giving ignites the principle of sowing and reaping. Ancient scripture says you “reap what you sow.” When we give financially to others, we are sowing—sowing goodness, sowing financially, sowing generosity, sowing a higher purpose. That means we will reap those things, too. We become people with a bigger vision than those who simply work only for themselves. I call this enlightened self-interest. We accomplish many more goals and objectives, and in a way, that makes our world a better place. What an incredible gift we have to offer others, yet, amazingly, it is the giving process that starts the receiving process in our lives. The more we give, the more we open ourselves up to receive—to receive the benefits of generosity, the gifts galore of both tangible and intangible things. So start the process today—if you haven’t already—and watch your life take on an exciting new aspect and for the miracles to occur!

Five Steps to Becoming a Generous Giver

If you have “becoming a generous giver” as a goal, I would encourage you to work to accomplish it in the same way you would do anything: Think it through, plan it out and execute the plan. Here is a process you can implement immediately to move you toward your goal of becoming a generous giver who makes a difference!

Think it through. Who do you want to give to? What causes move you? What groups are doing the work you want to support? Who needs your help? There are many, many groups who need assistance—in fact, too many for any one person. This is why it is important to be very clear in your own mind as to what you want your giving dollars to do when you give them. What organizations would be “good ground” to sow into? There are religious causes, political causes, humanitarian causes and more. Think through and prioritize who and what you want to give to.

Budget your giving. If you aren’t currently giving, take a look at how to come up with the money and then adjust accordingly. Will it come from your discretionary income or from cutting back on a current expenditure? Budgeting will help you decide. Will it be a fixed amount or a percentage? Historically, millions of people use the concept of tithing. Tithe means tenth. So many people give a tenth of their income to charities of their choice. The important idea is that you budget so that it gets done on a regular basis.

Give on a schedule. The easiest thing to do is to give when you get a paycheck. Just as you pay the taxman or the electric bill, give to those organizations you want to support. If you have it in your budget and in your schedule, then it will get done. So when some money comes in, make sure a little goes back out in your giving budget.

Be generous. In the end, most people will wish they had given more. They will get to the end of their lives and realize that they were cutting corners on their giving when they could have given more. Be generous. If you can, make the check a little bit bigger. Review from year to year what you are giving, and if your income has gone up, then increase your giving. Will a little extra hurt you? Most likely not, but it will help the groups you give to and give you a mental boost knowing you’re doing good things with your resources. Ultimately, the amount you give isn’t important; what really matters is what that amount represents in your life.

Be spontaneous—sometimes. We can’t give to everyone who holds out their hand, but it isn’t wise to be so rigid that we aren’t open to helping people who may cross our paths. Use your intuition and err on the side of being generous. If you have an opportunity to give to someone who crosses your path, weigh it carefully and be open to helping. In the end, you may have made a few mistakes, but you will have helped many more people, too.

Giving is a very important skill. It’s so important, in fact, I made it one of four main areas of discussion for this Pillar of Success. We should be people who live by John Wesley’s statement: “Earn all you can, save all you can and give all you can.” And in doing so, we bring our lives into a perfect tension that keeps us with a proper perspective on financial matters.

This week—and in the weeks to come—give!

Until next week, let’s do something remarkable!

-Nick James

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