Why you should get your advice from someone better

I was at the grocery store looking for a particular brand of highly rated coffee by Consumer Reports magazine and I was having no luck finding it.

One of the guys stocking the coffee shelf was eager to help me out. He looked at the page I had torn from the magazine and informed me, "We don't have that one, but this one here is pretty good." he said as he pointed to a different brand.

Against my better judgement, I took his suggestion.  Sure enough, upon trying it for the first time, I was less than happy with the decision, but I knew I would be. Why?   Because I violated my cardinal rule for listening to people - only listen to those who have more experience, knowledge, wealth, or whatever, than you do.

This kid looked like he was just out (if even) of high school, and I doubt he was much of a coffee drinker. If I may stereotype for just a second here, he was probably more likely to drink those 'energy' drinks from the cans, and if he drank coffee at all, it probably doesn't even taste like coffee after all the other ingredients are added.

I've been told more than once by a bank teller that she's 'noticed I have some money in my account I'm not using' (like she would know). Then she goes on to try to sell me into why I should put it in some of their CDs.

I always respond the same - by asking, "How much do you make per year?" Of course they don't know how to answer this and they rarely do. But I go on to explain that I only take financial advice from someone who makes at least ten times as much as I do, and if she can't show me that she does, there is no point in talking about it. That quickly ends those conversations.

I had a friend who was getting his real estate advice from someone who had never invested in any. Ten years ago my friend picked up four properties based on what this guy told him. Today he has no properties because he couldn't afford them the way he bought them.

It really goes for anything else too. If you are looking for a personal trainer, would you rather have someone with 20 years of real-world experience, or a kid in college with a piece of paper saying he is 'certified' (whatever that means) and just trying to make a living during his school year?

If you want relationship advice do you want to get it from someone who is happily married, or someone who never has been?

Next time you get advice, remember to ask yourself who the source is, and if you should even waste your time.

Best of Success!

Why 'hope' is not what you want

I saw a sign yesterday in a window of a store as I drove by. It was an older campaign poster of President Obama, and the word 'HOPE' under it.

We've all seen those, and I think the same thing now as I did then. Hope is a whimsical, non-element that does very little practical good. This isn't a rant against our President, but I did have to think for a second, 'What has 'hope' gotten us?'

I've always spoke against 'hope', and what it is that you really need for succeeding in life. You need 'belief' or you need 'faith'.

If we compare the differences, 'belief and faith' are a strong foundation for achievement. 'Hope' is an airy, touchy-feely, heart-massagy, thing that might keep you warm at night, but it is not a basis for succeeding at anything.

What sounds more reassuring to you; 'I hope someone finds us', or 'I believe they will be coming'; 'I hope I make it to the other side of the desert', or 'I have faith I'll make it to the other side'; 'I hope you succeed' or 'I believe you will succeed'? Christians don't 'hope' the Lord will come, they 'believe'.

Hoping for something is, well, hoping. Having faith is having an inner conviction that it will happen.

You don't base a financial plan, sports strategy, or survival on 'hope'. You plan, you prepare, and you believe you will succeed. Believing gives you an inner confidence to build on. Believing in yourself allows you to win.

I have faith that you will!

Best of Success!

How to choose your charity

With the Holiday season fast approaching, I thought the following is a fitting topic for this post.

The man in this picture (who must be the worlds richest homeless man) was resting near a vacant Burger King on Rice Street in St. Paul, MN. I stopped by to ask if he had a few minutes to chat. He got out from under his blankets and we had a decent conversation.

I see this guy pretty much every day when I drive up and down Rice Street. You'll notice he has brooms laying across the top of the wheelbarrow, and any time he is on the sidewalks he's putting them to use. He spends every day sweeping the public street from one end to the other - a couple of miles in distance.

I asked what he does in the winter, as I pointed to his blankets. He told me he shovels, because his job is 24/7, 365 days per year. I actually meant I wanted to know where he stays, but the answer was still sufficient for the moment.

I told him I appreciated the job he was doing - keeping the streets looking so nice - and I handed him a $10 bill as we parted. He thanked me profusely as I walked across the parking lot to my car, and I think he was still thanking me as I drove off. I didn't know what to expect before I started talking to him, but I didn't expect the overwhelming gratitude. Had I known this was coming, he may have gotten a $20 instead.

There are two points I'm trying to make. The first is, as the title implies, is how to pick where you donate your money this Holiday Season. The answer lies in that exact statement - you pick where to donate your money. I chose this guy because I wanted to. He didn't pick me. And, I do think it's pretty cool that a guy who could do nothing all day chooses to work instead, even though he doesn't have to. It's ironic that so many people who have work, choose to not work all day. By choosing my own charity and directly donating the money, I know 100% of it is going to the charity. It's very common for charities that are contacting you are allocating only 10% to the charity. The other 90%? It goes to 'administrative fees' and 'advertising'.

When  you pick the charity yourself, two things happen - you feel good about it because you took the initiative to help someone, and the charity is probably going to be more appreciative because they are not expecting it. IT'S O.K. TO SAY 'NO' to charities that come knocking on your door. You can't possibly donate meaningful amounts to every charity that confronts you. Trying to please everyone is the surest way to please no one. Do you think ten gifts of ten dollars are going to be remembered by the ten charities you give them to? Or, will one charity remember the $100 you gave them when they really needed it most? Don't feel guilty about not giving to everyone.

The second point is about who get's my money again - and again....

The homeless man was more grateful than those who have asked me for my money in the past.  Most of the time the 'baristas' at the coffee shops never even say 'thanks' as you dump your tip into their jar. It's as if they feel they are automatically entitled to it. Why do you think I don't put my tip in those stupid jars. And if you do, why do you?

Who do you think should get my money? The homeless guy who can't stop saying 'thank you', or someone who shows no appreciation?

I've got a $100 tip waiting for someone for right around Christmas. My money is currently on the homeless guy.