Soldier of Finance (2 page)

My dad used to tell me that if I continued to dream big, big things would come. Several years ago I dreamed about writing and publishing a book. What you are holding in your hands is the product of never letting others squash that dream.

First and foremost, I want thank Jesus Christ my lord and savior. Your ability to constantly provide, forgive, and always be present in my life helps me to be a better man every day.

If you Google “super awesome wife,” the number-one result should be my wife Mandy. She listens to every single “Big Idea” that I have, which is basically an everyday occurrence. She calmly takes them in stride, making her an easy candidate for wife of the year.

Her ability to run a household with three rambunctious boys—love you Parker, Bentley, and Sloane!—while I worked on getting this book done many a late night is just one of the many reasons why I know that I found my soul mate.

The U.S. Army National Guard took a nineteen-year-old lost soul and turned him into a man with a purpose. The discipline and drive that I gained through my training is immeasurable. For that, I offer an exultant “Hoooah!”

When I was a child, my father spoiled me with every G.I. Joe and Transformer I could ever hope for. Despite all the toys, it was fatherly love and willingness to just listen that will always mean the world to me. He never doubted my success as I never doubted how much he loved me. Miss you, Pops!

My mother sports the same stubbornness as I, but even though she was just 4'11″, I knew better than to mess with a stern Filipino woman. In fact, I feared her more than some of my drill sergeants in basic training! She might not get all the big plans that her son is up to, but she's constantly proud to talk me up to her friends and family. That's all that a son could ask for.

Over a dozen publishing houses told me “no” before AMACOM said “yes.” Thank you for taking a chance on a first-time author.

So many others had a dramatic impact in my life and making this book possible. I owe you all my sincerest love and gratitude: Rick and Jeanie Wilson (the best in-laws a son could have), Ben Newman, Matt Sapaula, Steve Ross, Don Enevoldsen, Les O'Dell, Mike Stephens, Phil Tirone, The Strategic Coaching Program, Adrienne Duffy, Ryan Guina, Phil Taylor, Monte Kuhnert (for hiring a kid straight out of college to be your junior broker), Common Grounds Coffee House, Adam Baker, and the Financial Blogging Community.

“What the hell am I doing here?”

Those were not the words I wanted on my mind. But they forced themselves on me anyway. A drill sergeant boomed over my head, “Seven, six, five…” counting down from ten for the third time. Each time he reached zero, I did more push-ups. My hands were already shaking, without the extra work.

Ten more push-ups and he gave up on me. “Get the f--- out of my face and get to formation.”

Anyone who has ever tried something new has experienced those moments of wondering whether it was all a serious mistake. That was my moment. I had just joined the U.S. Army. We weren't even to Basic Training yet, and already I felt like I was in over my head. This was Reception, where we waited for our call-up to Basic, or as we called it, “Down Range.”

About all we did to fill our days was one formation after another. It seemed like every hour, with little warning, an order would come to fall in and to wear a particular uniform. It might be, “Formation's gonna be in BDUs,” which is military for battle dress uniform. Or the order specified that we wear gloves, or make sure we had our hats. Everyone had to look exactly the same.

That particular hour, the order was for winter PTs. That's military for cold weather physical training outfits. I was ready to go except for my jacket, which was stuffed safely in my duffel bag, securely padlocked underneath my bunk.

The problem was, the dial on the combination lock faced away from me. To see it, I had to get on my back on the floor, peering under the bunk. Making matters worse, I hadn't memorized the combination yet. It was on a sticker in my neck wallet, which my shaking hands could not pull out fast enough.

The drill sergeant decided to help motivate me. “Private, you've got ten seconds before I put my foot…” I won't finish the sentence. You can probably guess.

I never had any hope of getting that bag open. After three attempts, and three sets of push-ups, I headed to formation without my jacket. Although I was afraid that I would get special attention in the formation since I was the only one who looked different, I somehow escaped without further harassment.

And I got through the training. Each stressful situation increased my understanding and ability to deal with a wide variety of situations. I discovered one step at a time that I could do it, that I could do almost anything if I wanted to and if I prepared properly. As uncomfortable as some of those situations were, the training was invaluable.

At Reception, we began our military training and took on the appearance of soldiers. Substance would come later.

Here we filled out the final paperwork, lined up for the painful indignity of a series of shots, and received our first military haircut, the stylish bald look.

Moving on to collect our gear, we were supplied two duffel bags and a rucksack filled to the brim with every essential item necessary for the following three months and beyond. Among the collection of standard-issue items were glasses—aptly called BCGs, or “Birth Control Glasses,” a perfect complement to the bald look—a canteen, boots, uniform, and a flashlight.

Buried there in the carefully organized muddle was a small paperback book: the
IET Soldier's Handbook.
IET is military for Initial Entry Training.

The most important things in life are often the most mundane in appearance. This book, about the size of a brick, was intended, like the masonry product, to give us a firm foundation upon which to build careers of service to the United States.

The
Soldier's Handbook
didn't look like much, but we soon discovered it was the single most important piece of equipment issued that day. Every new recruit was required to carry it at all times. If one of our drill sergeants caught us without it, the consequences were not pretty or pleasant. The handbook was our survival guide, our operation manual, our answer book. And our training blueprint. Everything we needed to learn to function in military life was laid out in its 258 pages.

The purpose of the
IET Soldier's Handbook
was to navigate us through obstacles and provide the basic knowledge necessary to become efficient soldiers. Its single purpose was to prepare us to conquer the enemy.

That book, now tattered and looking as though it went through a war (perhaps because it did), sits on my desk, a constant reminder that I survived a tour of duty in a war zone and not only survived, but functioned at a high level of effectiveness, in large part because I was prepared. You can't predict everything that will happen, but I knew what resources and weapons were available to me and how to use them. I knew what to expect from the enemy and how to turn every attack to advantage. It inspired me to always be ready, and to take advantage of every opportunity. In short, it trained me to win.

This book still serves me today, many years after the conclusion of my military career. It continues to inspire and motivate me. It also became the initial seed for the book you are holding in your hands.

You don't have to be a soldier to benefit from
Soldier of Finance.
I share my military experience primarily because the principles I learned for surviving combat and winning against an enemy on the battlefield are the same principles I needed to survive financial problems, enabling me to engineer a winning strategy for building stable and enduring wealth.

Most people I meet, especially those who come to me for financial counsel, struggle with finances. They exist in a kind of war zone where debt is the enemy and wealth is the goal. But they have a tough time getting a handle on their own money and they worry over their future security. Most are losing a battle they don't even consciously realize they are in. I have found that there are two basic problems common to the majority of those I talk with:

1.  Lack of information

2.  Lack of initiative

By approaching my own finances with the mindset I learned in the military, I found the resources and the attitude that I needed to get myself out of debt and begin a successful program of investment. Even if you've never been in the military, you will find within the pages of this book the information needed to build financial security and growth.

If you find yourself asking, as I did my first day at Reception, “What the hell am I doing here?” the answer is simple. You are training yourself to win. You are gaining the essential knowledge and discipline to be a Soldier of Finance.

This manual is organized in modular format so that you can easily identify the areas of greatest benefit to you. I recommend that you read the entire book first, in order to find the areas where you need the most help. Then use it as a reference guide for future planning. You'll find that each section deals with an essential part of your financial success.

The two chapters of
Part One
tell something of my own story, providing encouragement to those who believe they have no hope because they've made mistakes. I made plenty too, and I've done pretty well.

Part Two
addresses the Initial Training Phase of becoming a Soldier of Finance, covering the basics of getting your financial life under control. If you are already in a mess, the goal is to stop the bleeding. You can achieve this by exploring the basics of credit: how to find your credit score, check your credit record, and learn what can be done to fix bad credit. Demonstrating how to set realistic goals and prioritize objectives,
Part Two
explores methods to keep yourself on track and discover ways to convert your debt into a positive cash flow.

Part Three
is the Campaign Phase, designed to familiarize you with the tools available for turning your resources into long-term wealth. It covers the basics of budgeting and explains a variety of investment vehicles.

Part Four
, the Consolidation Phase, discusses the last stages of accomplishing your mission, including real estate investing and the types of insurance you need to protect yourself from the unexpected.

Each chapter contains a Go/No Go test. These evaluations are designed to help you gauge your progress. Take the time to fill out each one as you come to it. It will help you identify areas that need work and give you the information you need to prepare your strategy.

The battle is not as difficult as you might think, provided you have the right information and training. In spite of recent economic troubles, opportunity is everywhere. The problem is fear of the unknown. Few people know what to expect from the enemy or what weapons are at their disposal; for lack of knowledge, they struggle and suffer. Unsure of what to do, they either do nothing or make decisions that create more problems than they solve.

As I write this, the U.S. Census Bureau reports that Americans are battling more than $2.9 trillion in consumer debt, unemployment is at record highs, millions of dollars have been lost from 401(k) accounts, and more than half of all Americans have no money saved for retirement. Absolutely none.

The solution? Prepare for the battle. Basic was not easy and there were times I questioned whether or not I could make it, but when I found myself in combat, I knew what to do and how to do it because I was well prepared. The key to success is action based on knowledge.

This is your
Soldier of Finance Handbook.
It covers the basics you must understand in order to evaluate the enemy, set up your plan of attack, and not only survive financial difficulties, but
conquer
them efficiently and effectively. No matter where you are now or how hopeless your finances might seem, you are about to turn things around. Welcome to Basic.