By Bill Conde for The Q Wealth Report
Conventional wisdom has it that if you want to become very wealthy (in monetary terms) you need to save money and not buy things that will decline in value, like cars and consumer goods, on credit. I agree. But here is one technique I learned from my father that has helped me many times to get those consumer goods I wanted – quickly and without building up debt.
Most people will wander around shops looking at things, starting with the base of what their budget is. I work the other way around. I start out deciding what I want, then I figure out the budget I need and how to get it. (I even do this with real estate, which drives realtors crazy because I will never tell them the price range I am looking at.)
Anyway, this technique is deceptively simple. Go out to the shops, decide on the high ticket item you want to buy, and preferably place an order for it. I once read in a book that successful people always treat themselves to just a little more than they can really afford, and that stuck with me as a form of mental justification because I do enjoy my little luxuries. Buy quality, not the cheapest product. Over the long term you will come out ahead by buying quality goods.
Once you’ve placed the order, the store will give you a delivery date. Then you go and figure out how you are going to pay for it.
Sounds crazy? You bet. It takes a lot of discipline and a good dose of self-confidence.
But I’ve done this many times for something I really want. And always, somehow, I managed to make the deadline. Sometimes it means cutting back on something else that is non essential. But often I find some deal reaches fruition that pays for it. Usually it’s not just one deal, but a combination of little things that come together so I don’t end up in the bind of losing my deposit or being unable to pay for my purchase. In the worst case you can usually talk people in to waiting a few extra days, but you don’t want to.
You would be amazed that this technique works, because on the surface it sounds crazy. But analyzing it carefully, it is just a form of goal setting. How many times have you read that it’s important to set specific goals and deadlines? And how many times have you not done so, and then complained that you can’t afford things you want?
Having something you really want already on order, and a fixed deadline by which you have to pay for it, is about as specific as you can get. It really focuses the mind. On the other hand, the potential downside is minimal. You literally have nothing to lose and everything to gain!
Try it – it will work for you!