Jul 24

Ever wondered why your money amount doesn’t increase no matter how much you earn?

Several years ago, I did wonder about this question. As a design engineer, I had a nice salary. And I got double salary amount when I was temporarily transferred to China to work. However, I realized my year end bank account total was still the same as the beginning of that year. In another word, I spent whatever I earned in that year.

Of course buying what I liked was nice. But financially, I stayed stagnant for a year. And this didn’t sound good. Having the same experience? What can you do about it?

About 4 years ago, my friend handed me an audio CD collection titled “Prosperity consciousness” by Fredric Lehrman. It stressed on how your thought and subconscious affect your prosperity. What happen in your past may also prevent you from attracting more money. This is also the basic principle of DLC which helps to resolve past issue to improve current condition.

Fredric suggests having 4 saving accounts to train your mind to attract more money. I follow his system and like it very much. Here’s how it works.

Account 1: To keep your money for long term. You cannot withdraw it for any reason. This trains your mind you have the money and you don’t need it (you’re prosperous).

Account 2: To keep your money for investment use. If you have difficulty finding money to invest, it is from this account. This account lets you cultivate the habit of investing.

Account 3: To keep your money for earning interest. This trains your mind you can create passive income from your money. Later, withdraw the interest you earn and spend it on your tea break or meal. Relax and enjoy that moment. Remind yourself that you created that money automatically.

You may earn a few dollars from interest in the beginning. Don’t worry about that. Just use it to buy sweet, bread or anything within budget. The most important thing is the process of training your mind. As time pass by, your interest will get higher. By then, you can enjoy a fancier meal and even treat your friends too. I’m sure you will look forward that moment.

Account 4: To keep your money where you must spend it on anything you like. This is the account I like most :) You don’t have to spend it every month. You can accumulate the amount for a few months and spend it all at one shot. And when you happen to see something you like in a shopping mall, just buy it using the money in this account. But don’t use it to pay for your monthly bill. Use it to buy something special where you will enjoy owning it.

Before this, you may find something you like and think “I cannot afford it”, “It’s better not to spend money on this” or “If I buy this, I’m afraid I don’t have enough money to cover this month expenses.” This creates negative impact on your prosperity since you’re telling yourself you don’t deserve it or you cannot afford it.

Therefore, this account trains your mind to enjoy buying what you like. It lets you truly enjoy the fruit of your labor.

How to fill in these 4 accounts?

Actually, the process is pretty simple. When you receive your monthly salary or income, here is the first thing you must do. Take out 10% of it and distribute it evenly among these 4 accounts. For most people, living off with 90% of their monthly income shouldn’t be a big problem.

Of course, you can also allocate more than 10% of your income to these 4 accounts to fill them up faster. You can choose 20% and even 50% if you want. Just be discipline and do it every month. This is what we call “pay yourself first”.

My experience 

I actually don’t have a high salary. And my other income sources are inconsistent. So I started my 4 accounts with $50 per account monthly. Later, I increased it to $100 per account, saving $400 monthly.

And now, 4 years later, I’m happy to say I have $3000 in each of my 4 account. But the Account 4 for spending has only $1000 since I’ve spent some. Have I not started these 4 accounts, I might not see this amount of money in my account today. With this system, I have the confidence my money can continue to grow every year. And I get to invest it, spend it, keep it and enjoy its passive income.

Isn’t it time to start your own 4 accounts?

Random Posts


Leave a Reply