[Think As Inc.] June 30, 2008 Newsletter/ YOUR MAGIC NUMBER http://ezezine.com Something to Think About: YOUR MAGIC NUMBER Inspirational Quote: ALBERT EINSTEIN News and Upcoming Events: 3 ANNOUNCEMENTS Your life is a business. You have a: MISSION: the reasons you live your life; BRAND: the message you project to the world; PRODUCT LINE: the skills and qualities that are your unique assets; BOTTOM LINE: your financial picture; CLIENT BASE: professional, personal, and don’t forget, yourself. Your life is YOUR business, and you are its CEO. YOUR MAGIC NUMBER How much money would you need to be financially free? A simple rule of thumb is that you can withdraw 4% each year out of your portfolio without running out of money. Therefore, find out how much you spend each year and multiply by 25. If you spend $60,000 each year (or $5,000 per month), then you need $1.5 MM to be financially free (because 25 x $60,000 is $1.5 MM, and 4% of $1.5 MM is $60,000). In this example, $1.5 MM is your magic number. Knowing your magic number is important to career and life planning because it gives you a quantifiable perspective. If you have a low paying profession with low salary growth but have a high magic number, then you need additional money coming in or a drop in what you spend. Either way, knowing your magic number forces you to make conscious choices. Do you still love that job, now that you know it is incompatible with your financial priorities? How can you keep that job and reach your financial goals another way (e.g., by saving more or spending less)? Is the type of job you have always low-paying, or are you not where you should be in your career right now? Your magic number may change over time. You may find that your expenses go up (e.g., when you have kids) or go down (e.g., when you pay off your house). You may find that your lifestyle tastes change and you require more money (e.g., you discover a love for travel) or less (e.g., you simplify your life). There is no right or wrong magic number. It is a subjective goal, but it helps put your choices in an objective context. Your magic number is a starting point to measure where you are and where you want to be. Use your magic number to question your career path, your financial habits, your lifestyle, and your future goals. There is nothing magic about the number itself, but if it prompts you to take an inventory of your current life prospects, then there may be something magical in the result. INSPIRATIONAL QUOTE We can’t solve problems by using the same kind of thinking we used when we created them. -- Albert Einstein NEWS AND UPCOMING EVENTS I will be interviewed for the Institute of Success and Goal Achievement (www.i-saga.net) on Friday, July 11, 11am. I will be discussing my Think As Inc life coaching approach. To register to hear the live interview or get a wave file of the interview if you miss the live event, go to http://instantteleseminar.com/?eventid=2897904. My career coaching firm SixFigureStart has become the featured Career Experts for the recently revamped Wetfeet website, the premier career information provider for students and young professionals. Check out www.wetfeet.com and see my Q&A in the Experienced Hire section and my partner Connie’s Q&A in the Undergrad and MBA sections. Feel free to ask your questions there too! FINAL REMINDER: FREE* TELECLASS TOMORROW, July 1, 6p EST How to Find A Job In A Difficult Market Should your job search strategy be different in a tough economy? Is a career change unthinkable right now? Should you focus on hanging on at your current company or start looking just in case? Join this free* 45-minute teleclass to explore your job search options in a difficult market. I am leading tomorrow’s class as part of the regular SixFigureStart teleclass series. Email info@sixfigurestart.com to register and get the call-in details. *For free teleclasses there is no charge for the class, but you are responsible for any long-distance phone charges incurred to access the conference phone line. If you have friends who may want to join the distribution list, please have them visit http://home.ezezine.com/2034/ to sign up. You can also see previous newsletters at that link. All information is copyright © Caroline Ceniza-Levine 2008 www.thinkasinc.com