Category Archives: Wealth

Dwayne Johnson: The Rock Solid and The Fast and The Furious Way To Make Millions

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“Success isn’t always about ‘Greatness’, it’s about consistency. Consistent, hard work gains success. Greatness will come.” – Dwayne Johnson

Well unless you have been living under a Rock, then you have heard of the name Dwayne “The Rock” Johnson.

One of the most successful wrestlers to come out of the WWE of all time.

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The Rock is an inspiration to millions with his good attitude, humility, and great sense of humor. One of the hardest working men in show business today.

If there is a movies coming out, then The Rock either auditioned for, saw the script, produced, or is starring in it. I mean the guy has a movie coming out like every two weeks!

He recently made headlines in January 2019 for not getting cast in Crazy Rich Asians?!!

As he worked with the film’s director, Jon M. Chu, in the 2013 sci-fi action film “G.I. Joe: Retaliation,” with Bruce Willis.

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Regardless, The Rock isn’t low on cash by any means.

He has an estimated net worth of over $150 Million.

On my continued journey toward studying the self-made, the man du jour is Dwayne Johnson.

Full Disclosure: I located numerous interviews, read magazine articles, and reporting on The Rock. One of the best came from Wonderwall.

So here we go.

Get your popcorn ready cause this is a long one.

I’m about to open up The Rock’s wallet and give you a peek inside.  

Let’s smell what The Rock is cookin’ in his bank books shall we?

THE ROCK BEGINS: CAUGHT BETWEEN A ROCK AND A HARD PLACE

Dwayne Johnson, was born in California on May 2, 1972. Although he grew up poor in Hawaii, he is now one of the richest men in Hollywood, but the poverty he faced during his childhood is never far from his mind.

Case in point, On Thanksgiving 2017, The Rock revealed in a lengthy Instagram post that “there was a time back in ’87 when we couldn’t even afford Thanksgiving dinner and [were] praying someone would invite us over their house to eat.”

Due to his father’s work as a professional wrestler, the family was constantly in flux and bouncing around from place to place.

Wrestling is in The Rock’s blood.

Wrestling is actually the Johnson family business — his father Rocky Johnson was a star in the 1970s and ’80s, while his Samoan grandfather Peter Maivia was famous in the 1960s.

As his mother was unable to keep a steady job because of this, they went through hard times.

HARD KNOCK LIFE

In another IG post, in May 2015, the wrestler-actor revealed on Instagram that “when I was 14yrs old we were evicted out of our apartment in Hawaii ’cause we couldn’t afford the $180 per week rent.”

In 2014, he told The Hollywood Reporter that a week before they were evicted, he watched his mother’s car get repossessed. He reportedly added to her troubles by joining a theft ring that targeted affluent stores in Waikiki.

In addition, he stated in another interview that they were so broke that his mother doesn’t remember walking out into incoming traffic before he pushed her out of the way.

It was at that moment he decided to make changes in his life. He said to himself, “What can I do with these two hands?” That is when he decided to start working out.

“The successful men I knew were men who built their bodies.” – The Rock

He also stated while growing up people thought he was a girl and that they referred to him as one “all the time.”

KICK ROCKS

“I’ll never, ever be full. I’ll always be hungry. Obviously, I’m not talking about food.

Growing up, I had nothing for such a long time.” – The Rock

The Rock is now one the biggest movie stars in the world. But before the A-list super-stardom and even before his WWE debut, Dwayne Johnson was just a guy that was down on his luck.

He decided that he wanted to play football. He worked tirelessly and gave everything he had to the sport. His hard work paid off.

Johnson was a promising football prospect and received offers from many Division I collegiate programs. After finishing high school in Pennsylvania, he went on to play college football. He decided on a full scholarship from the University of Miami, playing defensive tackle. In 1991, he was on the Miami Hurricanes’ national championship team.

The 6-foot-5, 290-pound Johnson started only once, appearing in 39 games with a total of 77 tackles and 4.25 sacks. With muscles on top of muscles, he was a sight to behold. He was a physical specimen from Day 1.

It was once quoted about The Rock, “He was a jack-of-all-trades, but only a master at wrasslin’.

Ed Orgeron, University of Miami defensive line coach (1989-1992), once had this to say about The Rock.

“His uncle was Jimmy Snuka, he came from a wrestling family. So we knew about that.

“I remember one-day walking off the field, he hadn’t had a good day and I said something like, ‘You know, Dwayne, you should just become a wrestler.'”

Warren Sapp, NFL pro football 2013 Hall of Famer, said this of playing football with The Rock.

“So we used to joke with him by saying, ‘When you get done with football, you’re going to go into wrestling, right?’

“And he’d say: ‘Damn right, bitch.’

Everyone always had the same thing to say about Johnson, he was charismatic, humble, and down-to-earth.

The Rock would go on to complete a bachelor of general studies degree. But his football career was coming to an end around the same time his academic career did.

WRESTLING WITH $7 BUCKS

“1995. $7 Bucks In My Pocket. I Knew Two Things: I’m Broke As Hell and One Day I Won’t Be” – The Rock

In 1995, Dwayne Johnson signed with the Canadian Football League’s Calgary Stampeders at a yearly salary of $35,000. According to The Hollywood Reporter, after just two months, he got knocked down to the practice team, which paid just $250 a week.

That had to hurt!

During that time, he reportedly shared a two-bedroom apartment with three other players, “eating ramen noodles and spaghetti and sleeping on a filthy mattress he had found ditched outside a pay-by-the-hour sex motel,” wrote THR. When he was cut from the team not long after that, he had just $7 to his name.

This is when he decided to become a wrestler. He begged his father to show him the ropes. Get it 😉

Dwayne Johnson made his WWE debut in 1996, becoming the first third-generation wrestler in the league. (His father, Rocky Johnson, and his maternal grandfather, Peter Maivia, were both professional wrestlers.) He quickly became one of the sport’s biggest stars. According to Fortune, during his second year in the WWE, The Rock made enough money to accomplish a childhood dream: He bought his first Rolex. (He smashed the $35,000 timepiece in the ring just a week later.)

I mean, wow!

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“When You Walk Up To Opportunity’s Door: Don’t Knock It. Kick That Bitch In, Smile and Introduce Yourself” – The Rock

Dwayne Johnson officially transitioned to Hollywood in 1999, the year he played a version of his father, wrestler Rocky Johnson, on “That ’70s Show,” where he got to act out with Topher Grace as Eric Forman.

The following year, he channeled his wrestling alter ego (complete with cocked eyebrow) to portray an alien gladiator on an episode of “Star Trek: Voyager.” A month later, he hosted “Saturday Night Live” for the first time. Each of these television appearances — as well as a few others — helped him prove his acting chops and win fans outside of the wrestling world.

The people’s champ was becoming the acting champ.

Things started really moving steadily from there for The Rock.

In 2000, Dwayne Johnson released his memoir “The Rock Says…,” which debuted at No. 1 on The New York Times bestseller list.

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Keep in mind, Writing isn’t generally a high-paying gig—unless you happen to be the top-selling author.

Fun Fact: While this gains the coveted “NYT BESTSELLER” status for the authors, it doesn’t net a lot of money. There are weeks in the year where you can make the NYT list with as few as a couple of thousand sales.

According to Career Trend, Given the royalties of a standard contract, an author selling 20,000 books priced at $25 would earn $65,625 the first week on the “New York Times” best-seller list. This is not quite the millions superstar authors bank, but if the book continues to sell, these earnings add up to an impressive income.

Then The Rock hit pay dirt. He booked a starring role in a major Hollywood film.

 In 2001, Dwayne Johnson made his feature-film debut as The Scorpion King in “The Mummy Returns.” He reportedly banked $500K for his brief appearance in the action-adventure sequel to 1999’s “The Mummy.” His work in the film was so popular, he scored his own spinoff.

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THE BUSINESS OF BEING THE ROCK

The Road To Success and Greatness Is Always Paved With Consistent Hard Work. Outwork Your Competitors, Be Authentic And Above All Else. Chase Your Greatness” – The Rock

Dwayne “The Rock” Johnson rose to fame thanks to his exploits in the pro wrestling ring and got his first big break in the movie business as the Scorpion King in 2001’s “The Mummy Returns.”

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He holds the Guinness World Record for highest paid for a movie debut, as he received a $5 million-dollar paycheck for his role.

In 2004, Dwayne Johnson left the WWE to focus on his Hollywood acting career. The following year, he earned raves for his performance as a gay cowboy bodyguard and aspiring actor in “Be Cool.” Further signaling his transition from professional wrestler to serious actor, he was credited as Dwayne “The Rock” Johnson instead of just “The Rock” for his work in 2006’s “Gridiron Gang.” With 2008’s “Get Smart” — at the urging of his agents at CAA — he officially changed his stage name to Dwayne Johnson.

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CAA, short for Creative Artists Agency, is also one of the biggest entertainment agencies in the world.

GIVING BACK

“I Like To Use The Hard Times in The Past, To Motivate Me Today” – The Rock

In 2006, Dwayne Johnson and then-wife Dany Garcia, who fell in love while they were students at the University of Miami, donated $2 million to their alma mater to help fund a renovation to the school’s alumni center. In 2007, they donated $1 million to the college’s Football Facilities Renovation Fund, which was reportedly the largest donation ever from a former student to the university’s athletic department. The University of Miami renamed their football locker room in his honor: It’s now the Dwayne “The Rock” Johnson Football Locker Room.

If that is not karma coming full circle, then I do not know what is! From getting cut from a football team to having a university athletic department named after you. Totally badass!!!

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PERSONAL DIFFERENCES

In 2008, Dwayne Johnson and college sweetheart Dany Garcia divorced after 10 years of marriage and one daughter, Simone. The same year they split romantically, Dany became her ex’s manager. “I was already deeply involved with his agents, I was already commenting on scripts. It was a very natural conversation, where he just said to me, ‘I would love for you to do this full-time,'” she told Marie Claire in 2017.

PERSONAL DIFFERENCES ASIDE, KEEP ON TRUCKING…ALL THE WAY TO THE BANK

In 2010, Dwyane Johnson portrayed star police officer Christopher Danson in “The Other Guys.” He reportedly earned $9 million for his role in the action-comedy…. even though (spoiler alert!) his character gets killed off just 15 minutes into the movie.

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Dwayne Johnson executive produced the 2010 documentary “Racing Dreams.” The film, which centers around young drivers chasing the kart racing championship title, marked The Rock’s debut as a producer.

I mean, does this guy ever stop working?!!! Now he’s a producer.

In 2011, Dwayne Johnson parted ways with CAA, whose agents had urged him to distance himself from the wrestling world. He signed with WME and legendary agent Ari Emanuel (on whom Jeremy Piven’s “Entourage” alter ego, Ari Gold, is based), and officially returned to the WWE that February.

You see that. He trusted his instincts and listed to himself, not just the advice of his management team. Others may help you along your journey, but ultimately you make the final decision. ALWAYS!!!

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He appeared in a number of big WWE events over the course of the next few years and, according to some reports, banked $3.5 million per year for his efforts. Apparently, he was worth every penny: “We set pay-per-view buy-rate records and attendance records each time,” he gushed to Fortune of his big return to the WWE. In April 2016, the league confirmed that WrestleMania 32 set a new attendance record for the WWE with 101,763 fans in the crowd at AT&T Stadium in Arlington, Texas.

Would you look at that?

Setting records. Smacking down candy asses. Being eye candy. Raising eyebrows and rising paychecks.

That is my description of The Rock!!

FAST AND FURIOUS MONEY

“Let Actions Do Your Talkin For You, (Unless You’re Telling A Good Dirty Joke)”

In an Essence magazine article, he was asked what he was wearing while talking over the phone. His answer: A thong. Backwards. 🤣Your boy has got jokes!!!

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The Rock is now taking life a quarter mile at a time.

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In April 2011, Dwayne Johnson made his film-franchise debut as Luke Hobbs in “Fast Five.” At the time, the fifth installment in the “Fast & Furious” franchise had the top opening weekend of any film ever to open in the month of April, though that record has since been beat. He went on to appear in the next three films in the series and has become such a fan favorite that he and Jason Statham scored their very own spin-off movie, “Hobbs and Shaw,” which is scheduled for release in the summer of 2019.

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SEVEN BUCKS PRODUCTIONS

In 2012, Dwayne Johnson and ex-wife Dany Garcia co-founded their own production company, Seven Bucks Productions — a nod to that time the wrestler-actor found himself with just $7 to his name after getting the boot from the Canadian Football League. The company has produced several of The Rock’s recent films including “Jumanji: Welcome to the Jungle,” “Baywatch,” “Rampage” and “Skyscraper” as well as the TV shows “Ballers,” “The Hero” and “Wake Up Call.”

One of my personal favorite television shows I have ever seen The Rock do was the show “Wake Up Call.”

Dwayne ‘The Rock’ Johnson: At 23, I Had Only $7 In My Pocket — Then I Turned My Life Around

According to Business Insider, “In TNT’s new show “Wake Up Call,” Dwayne “The Rock” Johnson lends a helping hand to everyday people who are facing enormous challenges in their lives. From dysfunctional homes and dead-beat dads to sports teams that don’t gel and businesses struggling to survive.”

MILK DOES A BODY GOOD

Dwayne Johnson starred in a commercial for the “Got Milk?” campaign that debuted during the Super Bowl on Feb. 3, 2013. He appeared in more advertisements for the campaign later that year.

He’s steady cashing them checks!!!💰 Cha ching! 😂

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Dwayne Johnson made his reality TV debut on the TNT competition series “The Hero” in June 2013. He hosted all eight episodes of the short-lived show. The following year, The Rock returned to the network with the eight-episode series “Wake Up Call,” which tracked his efforts to help average Americans transform their lives. His third stab at reality TV, “The Titan Games,” is scheduled to debut on NBC in January 2019. According to an official synopsis, the competition series (which is in the vein of “American Gladiatiors”) is inspired by the wrestler-actor’s “desire to motivate global audiences to reach their potential both mentally and physically.” Hopefully it fares better than its predecessors!

You can say that again. He’s been cancelled more times than checks!

BLOOD, SWEAT, AND RESPECT

“Blood, Sweat and Respect. First Two You Give, Last One You Earn” – The Rock

According to Fortune, movies in which Dwayne Johnson appeared made $1.3 billion at the worldwide box office in 2013 — more than any other actor that year. To be fair, he starred in four movies that debuted in 2013: “Snitch,” “G.I. Joe: Retaliation,” “Pain & Gain” and “Fast & Furious 6” (pictured).

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My absolute favorite film in The Fast and The Furious franchise is Fast Five. It earned over $500 million in box office receipts. It set the stage for the billion-dollar franchise. This was a huge record at the time in 2011 for the film and The Rock most certainly helped put butts in those theater seats!

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In 2014, The Rock starred in Hercules. It was a big budget film that cost $100 million USD to make. It grossed over $244 million at the box office, but was not the money maker studios would have liked.

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To be fair, I saw the film. I thought it was excellent. Solid performances by The Rock and the whole cast. My absolute favorite was Ingrid Bolsø Berdal. She was outstanding in the film. She was the Legolas of the film. You know the role that made Orlando Bloom famous in The Lord of the Rings franchise.

You know how it goes: “One Ring to rule them all, One Ring to find them, One Ring to bring them all and in the Darkness bind them.”

Or DC Comic Universe’s The Arrow.

Like Jennifer Lawrence in The Hunger Games, she too uses a bow and arrow. You know it is always the coolest party people that use the infamous bow and arrow and that is because it takes REAL skill.

“With Drive And A Bit Of Talent, You Can Move Mountains” – The Rock

In May 2015, Dwayne Johnson starred as a rescue helicopter pilot in “San Andreas.” He reportedly banked $25 million — the biggest paycheck of his career so far — for his role in the disaster flick. There are reports that the box office hit will get a sequel, though no moves have been made yet on the project.

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Alas, as of this writing, it doesn’t look like the movie pulled in enough dough to make that happen.

“Ballers” debuted on HBO in June 2015. According to Variety, Dwayne Johnson makes $650K per episode of the series — more than any other actor makes on TV aside from the five main stars of “The Big Bang Theory,” who each bank $900K per episode of the CBS sitcom.

As of this writing, The Big Bang Theory (TBBT), will be ending and going off the air in Spring 2019. This stems from Jim Parsons’ decision to leave the series at the end of the season if the show were to be renewed for a thirteenth season. The series will conclude with an hour long finale consisting of two back-to-back episodes on May 16, 2019.

In October 2015, Dwayne Johnson announced that he’d signed on to promote Ford’s service departments. Since then, he’s appeared in several ad campaigns for the motor company.

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In November 2015, Dwayne Johnson reportedly donated $1,500 to a shelter puppy who’d been named after him. The 4-month-old pooch required expensive medical treatment for a heart murmur.

THE BRAHMA BULL GETS INK AND INKS A DEAL WITH UNDER ARMOUR

“Success at anything will always come down to this: Focus & Effort, and we control both.” – The Rock

The Rock’s iconic tattoo.

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The tattoos are beliefs of his ancestors from his father’s side and mothers sides. His black culture, his Samoan culture, all cumulates in a belief that the spirit of his ancestors is protecting his family. These tattoos represent great struggle and about overcoming them.

The tattoo on his body comes down to 3 things; his family, protection of his family, and about having a true warrior spirit forever.

Dwayne Johnson launched his partnership with Under Armour in January 2016. The first item from his collaboration with the athletic brand, a duffle bag, sold out within 24 hours. Since then, he’s released everything from clothes and wireless headphones to sneakers through his Project Rock collection for Under Armour. On May 28, 2018, The Rock’s Project Rock 1 shoes for Under Armour sold out in 30 minutes.

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NO FREE APPLE iPHONES OR APPS

Remember in my last post, when I talked about Taylor Swift putting Apple iTunes on blast about free music? No? That’s ok. Here’s the link 😉

Well, now The Rock is working with Apple.

In May 2016, Dwayne Johnson launched an iPhone app, The Rock Clock, that’s essentially an alarm clock that wakes up users with exclusive inspirational video messages from the actor-wrestler. Users can also sync their alarms with The Rock’s so that they too can rise and shine at 4 a.m. every day to start their daily fitness routines. “Our goal was create a free, direct, uncomplicated, cool, motivating app to help us all get after our goals every morning,” the superstar explained on Instagram.

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And remember this? iPhone 7 | The Rock x Siri Dominate the Day | Apple. If you look closely, you will see that fannie pack pic of him while he ‘s driving the Lyft car!!! 😂And in the video his manager calls him DJ. I would love an uncle DJ that can treat me to an ice cream anytime!

AND YOUTUBE

In July 2016, Dwayne Johnson launched his own YouTube channel. Original series on the channel include the cooking show “What The Rock Is Cooking” and “Millennials: The Musical,” a collaboration with “Moana” co-star Lin-Manuel Miranda.

In January 2017, Dwayne Johnson launched Seven Bucks Digital Studios, a branch of his Seven Bucks Productions focusing on developing new original online content.

In April 2017, Dwayne Johnson returned to the role of Luke Hobbs in “The Fate of the Furious.” The eighth installment in the beloved “Fast & Furious” franchise opened worldwide to more than $541 million. At the time, it was the largest global opening of any film ever. (“Avengers: Infinity War” broke the record the following year.)

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In July 2017, Dwayne Johnson starred in an ad campaign for Apple’s iPhone 7 and Siri titled “The Rock x Siri Dominate The Day.”

In September 2017, Dwayne Johnson and ex-wife Dany Garcia launched Seven Bucks Creative, a creative ad agency within their production company, Seven Bucks Productions. In March 2018, the company released its first campaign: two videos promoting The Rock’s Project Rock collection for Under Armour, naturally!

In December 2017, Dwayne Johnson headlined “Jumanji: Welcome to the Jungle.” The reboot of the original 1995 family action flick “Jumanji” was a surprise sleeper hit, becoming Sony’s highest grossing film of all time domestically. It trucked along at the box office for months, becoming the first movie since 1998’s “Titanic” to open in December and top the box office in February. All in all, the film was so successful, Sony ordered another installment in the series for late 2019.

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RAKING IN THE DOUGH BY THE TRUCKLOADS

In February 2018, before writer-director Rawson Marshall Thurber had even penned a script, Universal and Legendary teamed up to win a bidding war for “Red Notice,” which Rawson describes as “a big international heist picture, that is tonally in the vein of ‘Ocean’s 11’ meets ‘True Lies’ by the way of ‘Thomas Crown Affair.'” The two studios agreed to finance the film at $160 million based on a pitch meeting and the fact that Dwayne Johnson is attached to star. (According to Deadline, the deal is the largest for a studio movie in Hollywood so far this year.) The Rock will reportedly bank $22 million plus backend to play “an Interpol agent who is tasked with catching the most wanted art thief in the world.”

In mid-July 2018, Forbes released its list of the world’s 100 highest paid entertainers. Dwayne Johnson came in at No. 5 behind Floyd Mayweather, George Clooney, Kylie Jenner and Judge Judy. “The former wrestler tallied the highest ever acting take-home in Celebrity 100 history, thanks to giant upfront paychecks and a cut of profits on blockbusters including ‘Jumanji: Welcome to the Jungle.’ A huge social following allows him to negotiate an extra seven figures atop his standard contract for promotion, helping nearly double his 2017 earnings,” wrote Forbes. So how much exactly he is taking home in 2018? A whopping $124 million.

At this point, he is making money hand over fist. Just genius right there with his negotiations. I have no words.

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Dwayne Johnson’s generosity is practically legendary. In late July 2018, he took to Instagram to share a video of himself surprising his longtime stunt double (and cousin) Tanoai Reed with a new truck. “Not only does Tanoai represent our family and my career with relentless commitment and passion. He also represents an entire Hollywood stunt community that is truly the backbone of our business,” The Rock wrote in the caption. Giving thanks where it’s due? That’s good business! Over the years, the wrestler-actor also bought a Lamborghini Gallardo for one of his cousins, a Cadillac Escalade for his dad, a Cadillac truck for his mom, a Honda Civic for another cousin, a Lexus SUV for yet another cousin, a Ford F-150 for an uncle and another Ford pickup truck for his longtime housekeeper.

As of August 2018, Dwayne Johnson is the most followed male entertainer on Instagram with 112 million followers.

As of this writing, he now has over 136 million followers on Instagram. He is the king of Insta!!!! He is the undisputed, follower for follower, heavyweight champ of IG!

Two snaps for you Dwayne!!! You Rock!!

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 He’s the seventh-most followed celebrity behind Selena Gomez, soccer star Cristiano Ronaldo, Ariana Grande, Beyonce, Kim Kardashian West and Kylie Jenner. According to Forbes, The Rock “insists on a separate seven-figure social media fee” for every movie in which he appears.” Basically, his social media accounts are worth millions in marketing and advertising dollars.

And that ladies and gentleman is how The Rock built his empire.

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Here is his formula: Blood, Sweat, and Respect + Hard work and Consistency = Success.   

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And that’s how it’s done.

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Money and Chocolate: Life Lessons from the film The Witches

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The most sophisticated people I know – inside they are all children. – Jim Henson

If you ever saw the film Willy Wonka and the Chocolate Factory, then you know how much people love chocolate. And it can be a goldmine business or chocolate mine depending on how you look at it. 😉 People were losing their minds to get that golden ticket.

Chocolate Mania had swept the nation! 😂

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It was pure marketing genius. They even commented on that in the film. Wonka was making a mint selling those chocolate bars. It’s all about marketing folks!

It’s sort of like Patron. They don’t have the best tequila; they just have the best marketing. Get that money.

Just look at all the money the candy business makes! Billions!

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Here are some of the top chocolate companies in the world.

1. Mars Inc., McLean, VA., USA.

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2. Mondeléz International Inc., Deerfield, Ill.

Largest Chocolate Manufacturers

3. Nestlé SA, Vevey, Switzerland.

Largest Chocolate Manufacturers

4. Ferrero Group, Alba, Italy.

Largest Chocolate Manufacturers

5. Hershey Foods Corp., Hershey, Pa., USA.

Largest Chocolate Manufacturers 2019

6. Meiji Co. Ltd., Tokyo, Japan.

Largest Chocolate Manufacturers

7. Chocoladenfabriken Lindt & Sprüngli AG, Kilchberg, Switzerland.

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The confectionery business is big money. These companies are raking in billions of dollars.

Did you know Snickers earns more than $2 billion by itself annually?

The Маrѕ fаmіlіеѕ аrе thе оwnеrs оf thіѕ соmраnу thаt ореrаtеѕ wоrldwіdе. Тhеу hаvе wіdе vаrіеtіеѕ оf brаndѕ іnсludіng Gаlаху, Воuntу, М&М, Тwіх, Міlkу Wау, аnd Ѕnісkеrѕ. Globally they are making bank!

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They may have even helped spread the let’s have candy at every event or holiday cheer. If not, I am sure they somehow found a way to cultivate and capitalize on Halloween and even Christmas.

Who says you need a box of chocolate on Valentines?!!! Most people don’t even eat most of it. That box of chocolates is still bought and paid for!

If you ever saw the film Legally Blond, you actually saw her do what most do with a box of variously filled chocolates. That’s right. She took a bite and put it BACK in the box!

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Reese Witherspoon in Legally Blond

Mondelez International Inc. even tried to cash in on this love of chocolate. However, they have officially abandoned its pursuit of Hershey Co., which would have created the biggest confectionery conglomerate in the world.

Now that you have some background on the business of chocolate, let’s get down to money affairs.

Back in 1990, the movie, The Witches, based on the 1983 children’s novel of the same title by Roald Dahl, was released in theaters. The movie premiered on 25 May 1990, in London and was scheduled to open the same day in the United States, but was delayed until August.

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Sadly, it would be Muppet and Fraggle Rock creator, Jim Henson’s last film.

As in the original novel, the story features evil witches who masquerade as ordinary women and hurt children. However, a boy and his grandmother need to find a way to foil and destroy them.

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The witches decide they will open up, get this, chocolate shops to lure poor unsuspecting children.

This is where the story begins.

GUARDIANS OF THE MILKY WAY GALAXY

While on vacation in Norway, eight-year-old American boy Luke Eveshim is warned about the witches, female demons with a boundless hatred for children and various methods of destroying or transforming them.

Helga, Luke’s Grandmother, becomes his legal guardian after the passing of his parents. They move to England. His grandmother is advised to take a vacation for a summer by the sea for fresh air after discovering she has diabetes.

Also staying at the hotel are a convention of witches, masquerading as the Royal Society for the Prevention of Cruelty to Children, with the Grand High Witch, the all-powerful leader of the world’s witches, attending their annual meeting under the name Eva Ernst (played by Academy Award Winner Angelica Houston).

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Really? They have some nerve naming their coven the Prevention of Cruelty to children. Hiding in plain sight like that, but open to interpretation. Yes, indeed.

Let us examine the fact that Luke had a grandmother that not only decided to raise him, but has the financial means to take a vacation by the sea.

I have it on good authority that if you try to rent a house on Virginia Beach for a week it can set you back $5,000!

I wouldn’t mind paying that if I had investments like interest earned from stocks or royalties to pay for it.

If you have $25,000, you could earn over 2 percent in a high yield savings account. That’s the ish I’m talking about right there. Making money for breathing. That is the equivalent of doing a part-time gig and earning $500 a year.

I find the idea of earning money just for having a pulse so sexy.  I find that It’s like Beyoncé says in her song Rocket. Shhh. Just listen.  To the words. Hell yeah, you the sh*t That’s why you’re my equivalent So sexy! Haha

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See my posts

How Beyonce and Jay-Z became a $1 billion couple

Earn Money with High Yield Savings Accounts

FOR THE LOVE OF CHOCOLATE

The witches are going to open up chocolate shops!

Inside a ballroom where the witches hold their meeting, Luke spies upon them as the Grand High Witch unveils her latest creation: a magic potion to turn children into mice, which they will use on confectionery products in sweet shops and candy stores to be opened using money provided by her.

They know how to make their vision a reality.

You have to chart a course and follow that path to where you want to go. What path? You just point to the top and go! That’s what I learned from Dwayne “The Rock” Johnson 😉

I have also learned that when you own something to hold onto it.

It doesn’t matter of it is a taco stand, food truck, or blog. If you own 100%, then it’s yours to do with as you wish. Hold on to as much equity and ownership in your company as possible. I learned that from Shark Tank’s Daymond John. Like McDonald’s does to its hamburgers, keep grinding.

And try to be cash heavy. Meaning stay away from debt. I learned that from Warren Buffet. 😉 They say his company Berkshire Hathaway aims to keep $1 billion or more in cash to snap up businesses and be able to make quick decisions when buying stocks.

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In addition, they say Apple does the same. The world’s first EVER $1 trillion-dollar company keeps billions in cash.  

Therefore, you should do the same and follow in their example. ALWAYS have cash reserves. NO EXCUSES!!!

Like Mr. Money Mustache once said, “Salads and barbells every day, no goddamned excuses!!!”

WE ALL WANT TO BE ROYALS

And I don’t mean Prince William and Kate Middleton.

I mean getting royalty checks in the mail.

I saw an article in which Don McLean owns only 2 stocks: Google and Amazon.

I also recently read that Don McLean continues to receive royalties off his music he wrote almost 50 years ago. Yes, this artist still makes $300,000 per year from something he created in 1971.

In the article by Sovereign Man, it retells McLean’s story.

Early spring in 1971 when an obscure American folk singer wrote a song that would change his life forever.

Sitting at a café in Saratoga Springs, New York, Don McLean scribbled the lyrics to a long ballad about an experience he had as a 13-year-old boy.

It began with a radio bulletin that said that Buddy Holly had died in a plane crash. In 1959, when this happened they called it the day the music died. The boy was crushed. But the man used this emotion to write a song that would take the world by storm.

Of course, that song was “American Pie.”

It stayed atop the Billboard music charts for more than a year. And it turned this once obscure folk singer into a global sensation.

Ah yes, the power of the pen.

More than that – McLean was immediately set for life: he still makes more than $300,000 a year from that song.

Imagine getting paid hundreds of thousands of dollars a year for something you did in 1971!

That is what stocks can do for you! That is why we must invest. Unless you can write the next hit song for Beyoncé, you must invest in the stock market to make money on your money. You already earned it and now your money works for you and this is your equivalent to getting royalties.

This story holds the key to one of the greatest business models ever invented: the idea that you can create something once and get paid on it for life.

“The idea is not to live forever, it is to create something that will.” – Andy Warhol

For more information on the price of genius and Andy Warhol, see my post The Man Behind the Mohawk: An Interview with Budgets are Sexy.

It’s the royalty business. That’s right. I did the work like 20 years ago. Now cut the check!

In case you’re not familiar with the term, a royalty is a cash payment that you receive over and over again from an asset that you created, developed, or own.

For example, songwriters collect a royalty every time a song they write is played, purchased, downloaded or streamed. Some more than others.

That is why Taylor Swift was mad at Apple iTunes for giving away artists music, such as herself, for free for three months!

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That’s why McLean still makes money from American Pie. You have to pay to play. Music that is. In this case anyway.

Royalties are also common in natural resources. Royalty companies often provide financing to oil and mining companies… and those borrowers pay a royalty on every ounce of gold or gallon of oil that the land produces.

Authors earn a royalty every time somebody buys their book. Inventors receive royalties from their patents. Why do you think Beyoncé trademarked Blue Ivy, Taylor Swift trademarked Swiftmas, and Cardi B is trying to trademark OKrrrrrrr?!!!

Patents equals paychecks.  

And people who own royalties don’t have to do anything else to make money… except cash the checks.

The powerful cashflow of this model can be incredibly appealing to investors, and there are even some companies that specialize in acquiring assets that produce royalty income.

Therefore, if you are good at something, don’t give it away for free.

Even though I am a HUGE Marvel comics fan, I actually got the last comment mentioned above from DC Comics The Joker. 😉

It’s still true though. You have to admit.

If I could, I would tap dance on Twitter, if they paid me.

Me and my lipstick confessions charge a premium for the really good stuff.

I would hand draw or smack lipstick stickers 💋on Kylie Jenner’s lip kits if she paid me $400.

Joan Rivers wrote jokes for days. She once said jokingly, that she would, “write for Hitler for $500.”

See my post on Money gems from Joan Rivers

Whatever you do that is great, DON’T DO IT FOR FREE.

That’s just my 2 cents. And I take cash, check, or charge.

I’m like the girl scouts. Out there selling those cookies. You don’t see them giving it away for FREE.

I’m just saying. Have a plan for your life and your money, then make it happen.

Don’t let anyone tell you what you can’t accomplish or do. No matter how small you are. Even if you are just a kid.

The Witches always remind of that.

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Millionaire Pets: Pets With Their Own Line Of Credit

Cat, Kitten, House, Animal, Pet, Red

After 12 years of reading about personal finance, it never ceases to amaze me all the things you can learn. I not only learn about money, but I also get a history lesson in the process.

Did you know that credit cards have only been in widespread use since the 1950’s?

Before 1950, credit was rare.

Most places did not offer much in the way of credit. They wanted cold, hard cash.

Stores may have provided familiar faces and those in the community with a store credit, but you better believe it was not a $25,000 limit!

I decided to have some fun last summer and see if I could get approved for $5,000 on some random credit card. Well, guess what? I got approved for over $20,000 in credit limits!

However, that pales in comparison to some offers that some people have claimed their pets have received in the mail. You read that right, pets!

I have read numerous books and articles where people have received credit card offers for their pets.

Come on, America! 

If the pet’s owner cannot afford a $400 emergency, as the media claims, then how is an unemployed Yorkie going to payback over $50,000. And yes, that is a limit I read one couple stated their dog received. And that was only one offer. They also received others with one being $100,000!

However, there are some pets who earn their keep and make millions for their owners.

This post, for now, will focus on how Fido is able to write checks for his own bone and chew toys that his puppy paws can cash.

MILLIONAIRE PETS

If you read my post 4 Financial Futuristic Nuggets: The Economics of the Jetsons, I discussed Millionaire Pets in that article.

Let’s take this a step further shall we and discuss real life ones!

It was recently reported that celebrity designer to the stars Karl Lagerfeld has passed away last month. He leaves behind an estimated $100 million-dollar fortune. The media was speculating that his cat may inherit a chunk of that money. Holy cow! Or should I say, MEOW!!!

In addition, Real Estate heiress Leona Helmsley left her pet dog $12 Million in 2007. The will was contested and the pet received death threats, which caused money to be diverted for security! Unbelievable! Any who, the pet ended up receiving a mere $2 million after the case was settled. That sure buys a heck of a lot of Puppy Chow!

Can you believe that?! A pet that literally has their own access to a line of credit to pay bills including for their own security guards!

See my post on The Jetsons

CREDIT CARDS: EASY MONEY THE HARD WAY 

Once credit cards started being more the norm, it exploded!

Once you turn 18, it used to be time to go down to the MVA and sign up to vote. Now, it’s when credit card offers come in the mail.

I remember when I got my very first credit card for $250! I even had a secure credit card for $500. That’s a far cry from the $20k, I was approved for last year.

After the 2008-2009 financial crisis, credit dried up faster than nail polish. They were slashing limits faster than prices at Wal-Mart! Then it slowly started creeping back up. As it stands, credit card debt is now higher than it was in 2009!  It stands now at over $1 trillion! The current outstanding revolving debt in the U.S. is $1.05 trillion.

The average debt in America has increased 18.5 percent since 2013! In 2015, the average American was in $5,700 dollars of credit card debt. As of the end of 2017, it is up to $6,354.

The laissez faire capitalism in America allows you to actually have access to $100,000 of credit while only making less than half of that.

See my post How to get access to $250,000 in credit with $0 of your own money

 Debt is crippling. It can have long lasting consequences if not handled quickly. You have to pay off debt ASAP.

A guideline I use is anything you have that is under 7%, you do not have to pay off right away if you have other higher interest debt to take care of. However, if that debt is higher than 7%, you need to attack that debt like your financial house is on fire. Your financial destiny is depending on you to get your financial house in order.

Once you have the debt paid off, then you can build your financial foundation on solid financial footing. All the money going to creditors will now stay in your bank account and can be invested.

That is how wealth is built.

Money gems from Joan Rivers: How she paid off $37 Million of Debt and became a $100 Million-Dollar Funny Lady

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“People say that money is not the key to happiness, but I always figured if you have enough money, you can have a key made.”― Joan Rivers

Joan Rivers was a comedic force to be reckoned with, but it didn’t start out that way. She was born in 1933. Her parents were immigrants and even though her father was a medical doctor, he was more frugal than her upwardly mobile mother wanted.

Joan’s attitude toward money was shaped early. She saw that men managed the finances and women were financially dependent on their husbands. It would be many years later before Joan would learn that is a grave financial mistake.

On my quest to study the self-made, I decided to look into the life of Joan Rivers. I was not disappointed. You can also read some of my other posts on celebrities and money.

Gene Simmons: On Power

Rihanna from music maven to mogul

How Dave Grohl turned passion into profits

Joan wound up in $37 Million dollars of debt at the age of 54. Her grueling and formidable work ethic is the only thing that saved her from poverty. At the time of her passing, at the age of 81, Joan Rivers was estimated to be worth $150 Million.  

Here is her story.

EVERYONE LOVES A CLOWN

I succeeded by saying what everyone else is thinking. –Joan Rivers

Joan was the vice president of her high school drama club. She graduated from Barnard College in 1954 in Literature. She worked numerous jobs to support herself. Joan was a writer, tour guide, and fashion consultant.

Joan was quick-witted, very sharp, and had a penetrating and original intelligence that was like none other. A female comic was a hard living, but that is the life she chose. Her gift of gab became her meal ticket.

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Joan Rivers once said that she liked the comedy business and being a comedienne. This job had nothing to do with race, wealth, privilege, your background, religion, or gender. Either you have talent or you don’t.  

For a decade, Joan couldn’t really catch much of a break. She did learn that comedy was her gift. Even without the support of her parents, she continued her grind and gift of gags. This work ethic finally paid off in 1965. After 3 years and 7 auditions, she booked the Johnny Carson show.

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There was no stopping her now.

WORK, WORK, WORK, WORK, WORK

I hate housework! You make the beds, you do the dishes and six months later you have to start all over again.

I wish I had a twin, so I could know what I’d look like without plastic surgery.

Women should look good. Work on yourselves. Education? I spit on education. No man is ever going to put his hand up your dress looking for a library card.

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From 1965-1986, all Joan did was WORK! She wrote jokes, movie and television scripts, made guest appearances on television shows, did stand-up comedy gigs, and directed film.

If the job came with a paycheck, Joan did it. She was fearless and took on every paying gig that came her way. She even won a Grammy Award for Best Comedy Album in in 1983.

She hit the big time when, in 1986, Fox Television Network gave her a late night talk show, The Late Show Starring Joan Rivers, making Rivers the first woman to have her own late-night talk show on a major network.

However, unbelievable tragedy struck. She and her husband were fired from the show and following his death that same year, she learned she was in debt to the tune of $37 Million!

Broke, alone, and jobless for once in her life, Joan was without words. However, she did what she knows best; she went back to work.

THE FASHIONABLY BROKE POLICE

Yesterday is history, tomorrow is a mystery, today is God’s gift, that’s why we call it the present.

I was a financial idiot.

Others may be smarter than you and know how to manage your money better, but you care more.

It was in 1989, The Joan Rivers Show, which ran for five seasons, put Joan back on the map and in the driver’s seat of her financial life.

Joan designed a jewelry line, clothing and beauty products and sold them on QVC. She said that she had bills to pay as to the reason to become a celebrity entrepreneur selling products on QVC. By the time of her death, sales of her products exceeded $1 billion!

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During this time in the 1990’s, Joan wrote best-selling books, hosted television shows and won an Emmy!

Joan had charted her own path to success and financial security.

Don’t follow any advice, no matter how good, until you feel as deeply in your spirit as you think in your mind that the counsel is wise.

One of my favorite stand-up comedians is Chris Rock. I once saw an interview where he said Joan was an underrated comic.

On another interview, this is what Chris Rock said:

 You think she’s better than Robin Williams?

Yeah, well, put it this way, she could definitely follow him. That’s it. You as a reporter might go one way or the other. But put a bunch of comedians in a room and go, “Okay, who’s going to have a good set?” Who could Joan Rivers NOT follow? You’re not going to come up with anybody’s name. There’s literally no one in the world Joan Rivers couldn’t follow and blow off the stage.

It’s problematic to label her a female comedian?

You know, she did do a lot for women, but she did a lot for comedy. Please! A lot of my style is Joan Rivers. A lot! But, you know, nobody would ever say that because we don’t look alike. She’s one of the greatest to ever live!

What do you mean a lot of your style is Joan Rivers?

I mean, just watch me on any awards show telling jokes about celebrities. Who started that shit? Joan Rivers! [Laughs.]

Joan continued her grueling work schedule in the 2000’s.

The comedian hosted E!’s “Live from the Red Carpet” from 1996 to 2004 and later became a co-host on E!’s “Fashion Police,” which premiered in 2002. She did this with her daughter Melissa Rivers.

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Joan was hilarious on this show. Remember that one time she tried to give Kelly Osbourne dating advice. You don’t? No problem. I found someone on Twitter who stays well-informed on all things fashion.

Joan insisted she date an older man.

Kelly Osbourne: “I don’t want old balls, Joan.”

Joan: “Old balls roll to Tiffany’s.” 😂

In 2009, she won “The Celebrity Apprentice.” Then starred in “Joan & Melissa: Joan Knows Best?” and constantly toured doing comedy gigs and guest starring on television shows.

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THE LAST LAUGH ALL THE WAY TO THE BANK

And JOAN GOT PAID!!!!

Some of Joan’s best jokes were about money. She made a mint off of telling jokes about wealth. Smart lady!

I don’t exercise. If God had wanted me to bend over, he would have put diamonds on the floor.

The first time I see a jogger smiling, I’ll consider it.

Every woman in this room tonight: Think like a second wife. You grab and you take. You grab and you take. And when you die, whatever you got out of him you have buried on you. If the next bitch wants it, make her dig for it. 😂

I’ll write for Hitler for $500

“Elle says she and Dakota are ‘normal sisters’ who just go to school and play together…In their six-hundred-room mansion on the island they own.”

Joan even joked about marriage and divorce. Nothing was off limits!

“Half of all marriages end in divorce—and then there are the really unhappy ones.”

“I would never get married again. Never, absolutely not – but for 10 carats, maybe.” 😁😂

That reminds me of a hilarious joke I remember from the late Robin Williams.

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He said:  Divorce is expensive. I used to joke they were going to call it “all the money”, but they changed it to “alimony”. It’s ripping your heart out through your wallet.

She wrote 13 best-selling books. Her work calendar was FULL! She had gigs lined up for months.

Joan said that for her a calendar full of gigs equals happiness.

I saw in one television documentary about her that she would write all her jokes down and put them in a large file cabinet with toms of tiny draws to house her wit. She said at her age, people forget things, and that includes jokes so she writes them down.

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Joan Rivers: A Piece of Work

Her biggest money-maker was her QVC royalties. At the time of her passing, it was reported that she was earning as much as $50 million per year!

She enjoyed a lavish lifestyle. She has a Penthouse in Manhattan reportedly worth $35 million, antique furniture, rare books and other assets of valuable such as diamond jewelry and artwork.

When asked why she works so much as she can retire rich, she replied that she wanted to live lavish and opulently. She did not want to cut back. She wanted to enjoy creature comforts, spend her wealth, and help and support others with it. Working allowed her to do that.

Not bad for a woman who nobody though would make it. Underestimated, underrated, undervalued, and unappreciated in every way. But in the end, the duckling turned into a beautiful swan.

A very rich one.

So, cheers to you Ms. Joan Rivers. Joan may be gone but she’s still getting applause.

And when it comes to finances, from me she is getting a standing ovation.

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Why I think college should only be 8 months

University, Boston, College

“No. I can survive well enough on my own— if given the proper reading material.” ― Sarah J. Maas, Throne of Glass

Where do I begin?

Let’s start here. The cost of college.

College is expensive. According to the College Board, the average cost of a 4-year in-state public university hovers around $9,970, at private colleges $34,740, and $25,620 for out-of-state residents attending public universities.

Many folks don’t just have $10,000-$30,000 sitting around in their bank accounts.

According to numerous reports, many Americans do not even have $400 for an emergency. How the heck are they going to come up with 10 times that amount or more for college?

I, myself, had to become an extremely massive saver in order to stop living paycheck-to-paycheck.

This required me to become very frugal and find ways to earn more, cut spending, or both from my household budget.

Most of my problem was the revolving credit card debt I had. So, I had to come up with a plan to get it paid off. Every time I paid off one debt, I started saving that money.

I went from saving $1 a day to $13,000 a year.

Want to know how I did it?

See my post How Millennial Money inspired me to start saving $13,333.06 a year

What I really noticed about college besides just the price was that many of the things we’re learning came from equally expensive textbooks. Couldn’t I have saved tons of money by just skipping college and reading the textbook instead? Literally, all I would have needed is the syllabus of the course.

I went on Amazon to see books about the cost of college being worth it. It is right? Well, maybe.

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The point I am trying to make with this article is to examine the following:

  1. Challenge the conventional wisdom that college will solve all your problems
  2. Going to college will make you rich
  3. Prestige is to be pursued at all and any cost

THE COST OF COLLEGE

It has been well-documented that college is coasting more and more every year.

The amount of student loan debt in the United States alone stands a $1.5 trillion.

I cannot even wrap my head around that number. Basically, it means that many people are either going to be paying back their loans for a long time or will not ever be able to repay them. That is a sad fact indeed.

We are mortgaging our young people’s future.

Many are unable to buy homes, start families, get married, and put down roots.

The cost of college is especially hard to manage for those that are of low-income. The issues of poverty do not stop with a college acceptance letter.

We are starting to create a reality in where the poor inherit their parents’ poverty while the rich hoard opportunities for their kids.

That glass floor is real. When poor kids are getting 1200 to 1600 SAT scores and pulling hard A’s but still unable to graduate, while trust fund babies are barely pulling soft C’s is just ridiculous. That means, a rich kid can get a college degree simply because their parents have wealth, income, and resources.

I have heard stories of low-income college students dropping out for owing less than $1,000 to get their degree. Frankly, this saddens and alarms me.

And I am not buying avocado toast at $10, according to one politician, who will remain nameless.

The cost of a Bachelor’s (BA/BS) degree is just too darn expensive. The worst part is that an education is not an equalizer. Just because you went to Harvard doesn’t mean you are going to get the corner office. That fancy C-Suite is the carrot being dangled in front of all those Ivy League hopefuls.

Many do not make it there.

Don’t believe me.

Check this out.

When I looked up books on colleges, admissions, and the Ivy League online, I found the following titles:

  • Excellent Sheep
  • Nudge
  • No Sucker Left Behind
  • Where you go is not who’ll you be
  • The Chosen: The Hidden History of Admission at Harvard, Yale, and Princeton
  • The Price of Privilege
  • Paying for the party
  • Pedigree Elite: How Elite Students Get Elite Jobs
  • The Blessing of the B Minus
  • Academically Adrift
  • Winners Take All
  • Generation Debt: How Our Future Was Sold Out for Student Loans, Bad Jobs, No Benefits, and Tax Cuts for Rich Geezers–And How to Fight Back
  • Equity and Excellence in American Higher Education
  • How to Raise an Adult
  • iGen: Today’s super connected kids are growing up Less Rebellious, More Tolerant, Less Happy – And completely unprepared for Adulthood

I have read a few of the books listed above. Many are eye-opening recounts of their experiences with elitism, the Ivy League, college admissions, debt, student loans, finances, etc. Paying high prices, as much as $100 an hour for instruction, for college, taking on tons of debt and then receiving low starting salaries.

Stagnant wages and student loans are a dangerous cocktail.

The one book that still haunts me is No Sucker Left Behind. In this book, he describes college as a rip-off as he feels that colleges are involved in price-gauging schemes. Colleges, in his opinion, have become profit-obsessed businesses with an approach that is more reserved for used car salesman.

There are some Ivy Leaguer’s that become Corporate America rock stars. However, the majority go on to careers in the same type of jobs that those that do not go to top tier colleges.

COLLEGE EARNINGS

You think the Ivy League is the only way to go. Well, think again.

You hear all the time that a college degree means higher earnings, like $1 million more in income over a working lifetime. What you do not hear are the tales of people paying $100,000 for that sheepskin and then getting a $35,000 starting salary right out of college.

A blogger by the name of Sam has a website called Financial Samurai. He wrote a very eye-opening article called What If You Go To Harvard And End Up A Nobody?

He looked up profiles of people that went to Elite Schools.

Mostly more of the same from elites: people chasing money.

Surprise, surprise many end up in investment banking and consulting. If places like Harvard are the playgrounds of the rich, then places like investment banks are close behind. The Elite School graduate sandlots.

I have come to believe that you should pursue what is in your heart and your God given talent. Whatever that may be. God does not give anyone anything he doesn’t want them to use. Sacrificing doing any less than your best is to sacrifice the gift. Figure out what you are good at and then pursue that! The money tends to follow.

Some studies have followed, like the one above, people who attended Ivy League schools and others accepted to those schools but who chose lower ranked schools instead.  The result: There wasn’t a difference in lifetime earnings.  In other words, Ivy League caliber people don’t need an Ivy League education to have high earnings.

WHY FOUR YEARS OF COLLEGE?

Remember that $100 an hour for instruction that I previously stated? Due to that, the real cost of college is costing some students $100,000 a year, according to the book No Sucker Left Behind. So, that is what part of the reasoning behind four years is. Collecting the tuition and fees.

The BA/BS degree takes no less than 120 credits to complete.

Why is this?

Should we not question this? I get it. You do not want a doctor that is immature performing surgery on you. However, I value work ethic and experience over age.

Why not have a degree take 48 credits to complete?

How we would do this is to cut out all the unnecessary courses one needs to graduate. Forget the gen eds and endless electives. Stick to what we need to graduate.

A college degree should be done as quickly as possible so that people can get out there and work. Most families do not have 4 years to let junior go off and explore. They need him out there working and bringing home the bacon today!

I read an online forum called college confidential where it asked why is college in America so long. Great question. Here are some of the responses. This is how it went down.

Why is it that it takes so long to get a professional degree in the US?

In order to study Optometry or Medicine or Dentistry etc you need to do 4 years in college first, not even 1 or 2 years but 4 years whereas in the UK the 16-18 education is enough to prepare you for it.

People may want to start/support a family and at the same time pursue their passion but the length of study is off putting.

Answers were the following:

Gen eds.

The US is looking for mature people to be their doctors and lawyers, not a 21 year old whose frontal lobe is not yet fully developed.

If you have many AP/IB credits, you can get your degree in 3 years, too.

I would not want my doctor/dentist to have had only 1 year of formal education.

It’s a business. The more classes one is required to take, the more money the school makes.

What I suggest is that colleges get straight to teaching you all you need to know in your field. This would cut down on the time and expense of school.

And as for those who say people need to mature. Sure, I’m all for that, but how many people know 30 year-olds that are still wet behind the ears? Lots.

If you want people to mature, put them to work. Nothing makes people grow up faster than responsibility and accountability.

If maturity is really an issue, then have people start in at the bottom.

Nothing beats entitlement out of you like taking orders, scrubbing toilets, and fetching coffee.

Make people work their way up. After college, they could apprentice and work while learning their jobs. Get paid to train and work instead of paying for more training. It is just that simple.

I think college should allow student s to do an intensive 8 months and 48 credits

You would take 4 three-credit classes every 8 weeks. This would mean doing 4 eight-week semesters instead of 8 three-month ones. You would earn 12 credits every 2 months.

A college schedule could be like this:

Year One. English, Economics, major, major.

Year Two. Economics, Science, major, major.

Year Three. History, Math, major, major.

Year Four. Economics, major, major, major.

You see what I did there. I focused on the major and getting people out of college. That should be the point of college, right?

Why the focus on finance? Other than the fact Greenbacks Magnet is a financial blog, it just makes sense to teach people about money as they have to manage it for their whole lives.  

After 8 months, you earn 48 credits and graduate. That took less than one year. It also saves you heaps of money. If four years costs you $40,000, then 8 months should run you $6,667. That is huge savings!

I was gobsmacked to hear of doctors owing $300,000 to $1 million in student loan debt. Do you know what type of interest you pay on that kind of debt? It’s immoral.

Interest of 5% on $1,000,000 is $50k a year. That means after income taxes you have to pay $50,000 just to pay the interest on this debt. To service this type of debt, you would have to pay more than $50,000 a year just to touch the principal.  

I remember reading one lawyer say that he expected to have that student loan bill tacked to his coffin.

Just utterly insane!

 PRESTIGE AND CLASS

I read a book called Class Matters by the New York Times and Bill Keller. The book discusses how people chase money and prestige. Class determines everything about you: where you live, who you marry, what you do to earn a living, where you shop, and who your friends are.

The zip code you grow up in can ultimately make or break you.

In the book, it discusses how Americans have long thought of themselves as unburdened by class distinctions. There is no hereditary aristocracy or landed gentry, and even the poorest among us feel that they can become rich through education, hard work, or sheer gumption. And yet social class remains a powerful force in American life.

Class―defined as a combination of income, education, wealth, and occupation―influences destiny in a society that likes to think of itself as a land of opportunity.

What was jaw-dropping was this part of the book: And we see how class disparities manifest themselves at the doctor’s office and at the marriage altar.

For anyone concerned about the future of the American dream, Class Matters is truly essential reading. I agree with that assessment given to the book.

THE CREDENTIAL RACE

Grades are important. Sort of. Those getting straight A’s have to conform. Visionaries are not conformists. A New York Times (NYT) article quoted Dr. Karen Arnold as saying, “Valedictorians aren’t likely to be the future’s visionaries.”

The NYT article also noted the following:

This might explain why Steve Jobs finished high school with a 2.65 G.P.A., J.K. Rowling graduated from the University of Exeter with roughly a C average, and the Rev. Dr. Martin Luther King Jr. got only one A in his four years at Morehouse.

THE REAL GRADUATION RATE

Did you know that the average graduation rate is 6 years?

Roughly 57% of students graduate in 6 years. Only 20% of American students graduate in 4 years.

Most students are not even graduating in the already exceedingly long period of 4 years’ time.

According to Complete College America, for a non-flagship public university, only 19% of students graduate on time and even at flagship research public universities, the on-time graduation rate is only 36%. Only 50 of the more than 580 public four-year institutions have graduation rates above 50%.

According to 2013 data from the University of Texas at Austin, students who graduate on time will spend 40% less than those who graduate in six years.

That means more time out of the work force and more debt.

According to Forbes, staying out of debt and saving are the best ways to build wealth.

WHY SHOULD COLLEGE BE 8 MONTHS?

Why can’t you do your 10-year plan in 6 months? – Peter Thiel, angel investor of Facebook

I whittle it down to this one reason: No student loans or a lesser amount of them.

Building wealth requires you staying away from and out of debt.

They say student loans are good debt.

I say that all debt is debt. You must repay it. Not having to pay back $20,000 or more of debt with interest is life changing.

If you want to be wealthy, stay away from debt. Save every penny. Learn to turn every dollar into two.

Good Luck!

Finance Lessons from Flipping Vegas

“There are only the pursued, the pursuing, the busy and the tired.” ― F. Scott Fitzgerald, The Great Gatsby

For many people out there I am sure you have heard of shows like Flip this or Sell that house.  Many of them are broadcast on A&E. One of these gems was a show called Flipping Vegas.

The show starred real estate investor Scott Yancey and his interior designer wife, Amie Yancey. What made this show stand out was the outrageous personality of its star, Scott Yancey. He could regularly be seen losing his mind over the tiniest of overages to his immensely short time table he gave to flip any house. It made for great television. I felt it was the funniest of all the house flipping shows out there.

Scott would regularly drive around in his Porsche (he loves cars) and go from house to house that he had invested in to inspect properties. His wife, Amie, could usually be found at places like Walker Zanger to purchase materials for all of the homes they were flipping. The couple were constantly bickering about house design, location, and finances. They were a riot.

What I remember most is that Scott was always very concerned about the budget as where Aime was not. She believed that a well-designed home sold itself. However, Scott did not always agree. He would regularly have a fit if she spent extra money or over-improved a house. It was hilarious.

“When you have a foreclosure sign on the house, it’s saying, ‘Vandals, homeless: Welcome. Please strip it,’ ” Scott told The Las Vegas Review-Journal of the properties he purchases. “We’re in a race to get it done and get it sold.”

So, without further ado, I give you what it’s like to flip Vegas.

WHAT IS FLIPPING VEGAS?

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“The houses that are the worst to buy are the ones we save for TV because we know there’s a great storyline with it.” – Scott Yancey

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Flipping Vegas was an American reality television series that aired in the United States on the A&E network for 5 seasons from June 18, 2011 – September 27, 2014. Featuring the husband and wife team, Scott and Aime Yancey. The couple would fix and flip homes in Las Vegas, Nevada. It aired on Saturdays. And ran for 41 episodes.

Meet the real estate players

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Scott and Aime

Vegas was hit hard by the housing crash of 2007-2009. Where most saw disaster, Scott saw opportunity. He would buy low-priced and dilapidated homes in Vegas, fix and flip them quick for a profit.

Setting a quick timetable of about 4 weeks and even shorter budgets of approximately $10,000. A quick fix schedule and low budget is called flipping. Spend less money equals more or maximum profit. His opposite is Aime, who buys high-end finishes that are not in the budget, without telling Scott. Let the fights over the checkbook begin.

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Here is some of the banter on this show.

Real estate agent: Can you all this done in a week? It’s a lot to do?

Scott: I turn and burn these suckers!

Aime: Scott, you’re so cheap.

Scott: Once again you are unconcerned with deadlines and bottom lines.

Aime: Give the house a great design.

Scott: This house is an ugly girl. Put lipstick on her, we’re not giving it plastic surgery.

That’s Scott, always keeping it classy. He works hard and lives his life fast. He likes quick wins and flips. I’ll give him this, at least he always kept it real.

In an interview with the Vegas Sun, Aime said, “I mean, I feel like I’m giving birth to each of them. I know Scott has timelines to turn them around fast, and we butt heads. He sees the bottom line, and I fall in love with the transformation. I can’t stop myself; I really need rehab for designers.”

 They generally work with the same contractors and real estate agents to sell their houses. In addition, will also have multiple trades working on one house at the same time to keep up with Scott’s insane open house schedule (think buying a home, renovating it, and putting it on the market in 7 days). And yes, there was an episode that he tried to do this.

The show got is start from a conversation Scott had with some show business friends where he recounted how he had to pull out his Glock (he’s licensed to carry) on some homeless people that came at him with needles in a boarded up house.  They recorded some footage of him (Scott paid for their expenses) at work and it got into the hands of someone at Lionsgate. That is how his reality show career got started.

Finance Lesson 101: You have to spend money to make money.

ALWAYS EXPAND

Expand. Never contract. – Grant Cardone

One of the best times to start a business is during a downturn. Scott is a businessman who owns a real estate brokerage called Goliath Company. He invests sells, and flips houses. In addition, Scott also was an executive producer of the show and an author. Reality television star is also one of his many titles.

When asked what it was like doing the show Scott stated, “It’s reality TV for a reason, but try working with your wife for 12-14 hours a day. [The producers] know our fans. They love it when I break shit, and that’s my favorite part. If I could take a bulldozer and knock out a shed, that’s great. Take a chainsaw to a wall, that’s great. Demolition is No. 1; drama is No. 2. And then education.”

The best episode I saw and my favorite was the Season 2 Episode 10 show entitled, “Yancey’s Eleven” which aired on February 16, 2013. Scott purchases 11 unfinished villas at Lake Las Vegas for a total of $380,000 and takes on the gargantuan task of getting them all fixed up at the same time.

A&E episode description(www.aetv.com): Scott takes on the biggest flip of his life having purchased 11 unfinished villas in upscale Lake Las Vegas with hopes of flipping all 11 in less than 45 days! It’s a risky gamble that could have a huge payoff…if Scott can manage to bulldoze through some unexpected and high-priced construction roadblocks.

Show me the money honey.

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The couple then began doing seminars. A no-strings attached sort of deal. It started out for free with a preview, but then morphs into a sales pitch. Over three-hours attendees are enticed to pay a $2,000 fee for a second, more intensive three-day seminar. Those who paid and made the investment in the three-day event received yet another pitch to invest in the next level that costs a whopping $30,000.

I, personally, can confirm the first part. I was invited to a Yancey seminar. I went and it was basically someone coaxing and goading you to spend money (not the Yancey’s as they were not there). Basically, it was a high-pressure sales pitch. The free part was just to get butts in the seats. The free meal was a cold sandwich, chips, and a stale cookie. Although, it sounded good, and everyone acted professional. I refused to spend money going to yet-another seminar. After that experience, I swore off all seminars for good.

They said most people did not complete the problem because there was work involved. So, they quit. Customers cry foul. That they were not properly trained. Scam???

Finance Lesson 102: If you are going to expand and ask people for money, then you better bring you’re A-game and deliver.  Better to write a book and sell it for a reasonable price, that provide the details of how you became successful then give people false hope and empty promises. A book is at least tangible.

A GOLIATH OF A TASK

‘Flipping Vegas’

“The main thing is that in TV land, they speed everything up. They [the viewers] think, ‘Oh, wow, it’s a breeze. They come in, and it’s done.’ It takes a long time to put them together, to pick out the fit and finish and work on the quality. They only see a glimpse of it.” – Amie Yancey

Scott started in real estate at a young age. He got advice from a friend to invest his $30,000 settlement from a car crash into real estate as his family was doing. Scott took the advice.

Forgoing finishing college he still found a way to make a million dollars. Even though he almost quit real estate after the downturn, overhearing a conversation between patrons made him change his mind. When he heard how little people were paying for properties in Las Vegas only to start renting them out to tenants, Scott saw a golden opportunity to profit. Why not buy at the bottom?

“At the next table, the discussion revolved around the Las Vegas real estate market and the fact that there were homes available to buy for as little as $36,000 that would rent out for $900/month. Just hearing those two numbers put Scott’s real estate brain into gear. Two things came to mind immediately, ‘You make your money on the buy in Real Estate’ and ‘fortunes are made in bad economies.'” – Scott Yancey

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His task was to buy real estate at the bottom. Things have to hit rock bottom become they come back up. You can capitalize on that. It was risky and things were rough. Like me, quotes were in Scott’s mind: “Nothing great is easy” and “Debt equals drive.” Those helped him. He had this epiphany and ran with it.

Similar to the money epiphany I had in 2017. Once I figured out a way to save more, I began to do so massively. Start where I was at and work my way up. I started by saving $50 a month and then slowing increased my savings every day or month. Now, I save over $13,000 a year and increase that number every year.

Finance Lesson 103: Best time to start a business is in an economic downturn as fortunes are made in bad economies. For instance, when the stock market crashes, that is the time to buy.

COLLEGE DROPOUT TURNED MULTI-MILLIONAIRE REAL ESTATE INVESTOR

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“I’m not a college graduate.” Scott told Vegas Seven. “I went to probably five colleges, and I dropped out of them all. I have ADD. I didn’t come from money. But you don’t need money to be a real estate investor, and that’s what I teach people. I did my first land deal on my own without any of my own money, and I netted $2.3 million. I can relate to most of the people who write to me and say, ‘I’d love to do what you’re doing. I don’t like my job, but I don’t have any money.’ Great, you don’t have to. You’re right where I started.”

Scott was hired as a real estate runner for a real estate attorney named Walther (Walt) J. Plumb III. His salary at that time was $5/hour. Walt ultimately became Scott’s mentor. He also convinced Scott to get his real estate license as his last 3 runners had all become millionaires. He ended taking his advice and making so much money in real estate, that he left college. He was making hundreds of thousands of dollars, which is a lot of money for a guy in his 20s.

He was making so much money for Walt that he decided to strike out on his own.

The $2.3-million-dollar deal allowed him to pay off all his credit cards and buy the care of his dreams, the Porsche. And put a million in the bank. He used his big payday to pay off debt. This is similar to what John Legend did.

See my post Money advice I got from John Legend

You can also regularly hear Scott complain about amateurs on his show.

In an interview with the Vegas Sun, Scott said, “but I think there are a lot of amateur-type flippers who have gotten in in the last little while, and they have short fuses because they’ve borrowed money to their properties. Scott usually pays all cash.

This is what Warren Buffet says about borrowing: “I’ve seen more people fail because of liquor and leverage – leverage being borrowed money.”

This is what I said about borrowing.

See my post Don’t take money too personal

He says, “if you don’t know what you’re doing, leave it to the professionals.”  He stills relies on him and asks his mentor for advice. Looking up the couple net worth online yields results of $5 million each.

Finance Lesson 104: You can be successful without college. However, you need to decide early and when you are young what vocation you are going to do to try and make a living.  

THINGS WILL AND ALWAYS DO CHANGE SO PREPARE

“Flipping is great at first to generate capital, but as an investor, the goal is to take your capital and invest it in rental properties. The rental properties pay you every month. Flipping, you make one payday; you’ll make $100,000 on a good flip. [Investing] that in a rental property [can} make you $5,000 a month. … It’s a lot less work to collect a rent check than to renovate a house.” – Scott Yancey

At one point, in an interview with Vegas Seven, Scott thought that the real estate market would change as it always did. In addition, that there is a false send of high-fiving.

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Most purchases are all cash deals being done by investors. Lots of flippers have left and are out of the flipping market. People are buying and holding, which should be the real estate investor’s endgame. As far as renters for his homes go, he wants good tenants that resign every year and he only takes cash as payment. He also buys near hospitals so many of his renters are ER doctors and nurses. Basically, those with steady reliable incomes and paychecks.

I hear that.

I also read a real estate investing book that said a great place to buy was near college campuses. Get those college rentals going. Not bad advice. Pretty similar to what Scott has done.  

I recently read that the government shutdown has closed up shop 4 times within the last 10 years. That is a huge problem for RE owners. Especially, if this trend keeps up and considering that furloughed contractors don’t get back pay when the government reopens.  

See my post America is the land of loans

Not surprising. A home is only an asset if it can or does feed you. You can only get access to the equity when it’s sold. The only other way to make money is to rent it out. Either by the unit, home, or room. If you want to start a profitable real estate business and become a landlord, then you better have the funds to handle downturns, bad tenants, vacancies, and repairs.

Finance Lesson 105: All businesses need capital.

You can take that piece of advice all the way to the bank.  

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