How to Reach Financial Nirvana

What is Wealth?
What brings well being. Health Spiritual/Mental wealth Social wealth Material wealth

What is Money?
- Money is not real - Rich Dad, Poor Dad. Because it is not real, it can be created. e.g. Intel . Myth: things have inherent monetary value. Myth: Money is a zero-sum game. Money is a medium of exchange.

Money in a Market Economy

Supply/demand determines price; i.e. whatever people want most with low supply will have higher price. Pitfalls:
Everything has a price. Money is everything. Money puts people in adversarial relationship in transactions and in ownership.

Right Livelihood
There are ethical and unethical ways to create wealth. Ethical wealth creation is called Right Livelihood. It is beneficial to self and others, in this life and future lives. Myth: the customer is always right.

Ethical Wealth Creation

- , ; , - - The mind creates wealth ethically by realizing a way to benefit people. You can benefit only when others benefit.

Common Attitudes toward Money

I don't care (Really ?!) I want lots of money to spend (consumption oriented) I want to accumulate as much money as possible (accumulation oriented) Money is an indicator of my success, and I want to be very successful (creation oriented)

Buddhist Attitude toward Money

() - (and wealth () will follow) , , , , , - , (and money will never be a problem when you give people what they truly want.)

Challenges in Materialistic World

Q: My work is about making products. I dont know if it benefits people. A: Value comes from people, not stuff. If a products main usage hurts people, making it is wrong livelihood. e.g. weapons, cheating, porn, narcotics. Social responsibility to promote beneficial usage of technology. E.g atomic energy.

Buddhist Ideal - Nirvana

Nirvana is the cessation of all defilement and worries. Nirvana is the ultimate bliss. - The Buddha also developed perfect ability to benefit others.

Financial Nirvana
Free from money worries, and use the power of money (among other powers) to improve the well being of all. Life is not about what happens to you (), but how you perceive, think, and act (). Your relationship with money affects your well being. More money will not make you less worried about money.

The 5 Powers () for Financial Nirvana

Faith ()
Faith is conductive to energy, focus, and inner peace. Buddhist faith comes from wisdom validated by experience. Living the Truth () will set you free

Faith ()
Buddhists believe in cause and effect () Law of money: if I create great benefits for people, it will result in enough for me to live on - no more fear of poverty. e.g. ;

Effort, Energy, Perseverance ()

Dont procrastinate on doing whats beneficial; do more, better on stopping whats harmful; at least do less Be decisive when making decisions. No buyer/seller's remorse. Don't rehash history - learn your lessons and move on.


When you enjoy what you do, you are energized and can persevere. Successful people enjoy what they do; they enjoy it so much they would pay to do their job instead of getting paid.

Awareness ()
- ; , () / business opportunity Be aware of defilement such as greed, fear and laziness etc. that colors your judgment. Greed is bad for wealth. Bulls make money, and bears make money, but hogs get killed.

Concentration/focus ()
- Plan time and workplace to improve clarity and focus. Prioritize and focus on major causes that influence the benefit. Focus on activities that create long term value.

Wisdom ()
, , , , () , , Focus to know what matters very well. Knowledge of how money works give you power over money.

Wisdom ()
You can make better (financial and otherwise) decisions by Get all relevant facts as much as possible. Avoid distractions. Concentrate to let your awareness find a clear answer.

 (1)
Operating expense

 (2)
Emergency reserve ,

 (3)
Investment Cf: Rich people buy assets (positive cash flow, capital appreciation) which benefits people day in, day out.

 (4)
Charity

Additional Considerations
Insurance: health, term life, disability, car, home, liability, etc. Estate planning: revocable living trust, charitable remainder trust. Tax planning: tax-advantaged retire plan

Investment Considerations
Will you lose sleep over it? How long can you invest the money? How much time do you want to spend on it? What's your area of interest? Can you create unique advantage? Right livelihood.

Is That All?
Cessation of all suffering (nirvana) is the ultimate bliss. Money is not the cause for ultimate bliss. Developing the 5 powers(, , , , ) leads to bliss.

References
The 9 Steps to Financial Freedom, by Suze Orman Think and Grow Rich, by Napoleon Hill Rich Dad, Poor Dad: What the Rich Teach Their Kids About Money!, by Robert T. Kiyosaki, Sharon L. Lechter The Millionaire Next Door: The Surprising Secrets of America's Wealthy by Thomas J. Stanley, William D., Danko