Wealth Equation – Wealth = job + market investments.Wealth – Work, save, and invest repeated until retirement age can create wealth for them.Primary Wealth Accelerator – Compound interest.Primary Income Source – Job is sole source of income.Money – Money is very limited and every penny should be accounted for.Education – They consider education important as it helps them to earn a big salary.Time – They trade time for dollars as time is abundant for them.Debt – They consider debt as evil and do anything possible to get rid of it.Perceptions of Slowlane travelers about the following – They save as much money as they can by cutting their expenses and killing their dreams. They believe in delayed gratification until 60-65 years of age. Slowlane travelers trade 5 days of office hard work for 2 days of freedom (negative 60% return). to a promotion we might get or an increment which may be possible or a stock rise of 10%.Ī Sidewalker believes in the following three things. The point is, we check the affordability of something w.r.t. The author very aptly says that if you have to think about anything that whether you can afford that thing or not, then you can’t actually afford it. Work creates income Income creates lifestyle/debt Lifestyle/debt forces work Repeat Lifestyle Servitude traps people in the following loop – Responsibility & Control – No responsibility and always play the victim.Wealth Equation – Wealth = Income + Debt.Wealth – Purchases so many materialistic things considering them as wealth indicators.Primary Wealth Accelerator – Lottery tickets, gambling, etc.Primary Income Source – They will do anything that pays more.Education – For them, education ends at graduation.Time – They spend like there is no tomorrow but also think that time is abundant.Debt – They consider debt as another income that helps them enjoy their life.Perceptions of sidewalkers about the following – Sidewalker can earn great money but it is their poor money management that makes them poor because poor money management can’t be cured with more money.
This enslaves sidewalker to their business or job. Sidewalkers as described by the author, are trapped in a “Lifestyle Servitude” fed by an urgent need for pleasure and instant gratification. Surplus money is spent immediately on trips, cars, etc. The plan of a sidewalker is to have no plan. The following are the three roadmaps with the end result they lead to Everyone who follows a specific roadmap has a certain set of beliefs on which they work. The author says that there are three road maps that people follow towards wealth. An athlete trains for years to attain a 100 million deal. So creating wealth is a process and not an event. The author compares wealth to cooking food as both require certain separate ingredients to be perfectly combined to get something valuable.
The pace at which he gained success proved that wealth is created exponentially and not linearly. But the author proved everyone wrong by becoming a millionaire. It is often believed that fame or physical talent is required to get wealthy. Getting rich slow costs us an important and non-renewable resource i.e. He wants us to include youth in retirement and wants us to believe that it is actually possible. The author wants us to reinvent the idea of retirement. The idea of retirement is an old man sitting in a wheelchair in his garden. And if at all it happens, then also one can’t enjoy millionaire life while sitting in a wheelchair. This method even after 35-40 yrs of hard work, does not guarantee rich retirement. Going to school, getting good grades, graduating, getting a good job, investing in the stock market, and other government schemes, and one day when you are 65 years old you may get rich. It tells us how we can follow the same path to success and what all are the requirements if we want to retire young and rich like the author by moving on the Millionaire Fastlane. The last 4 parts are all about the road which the author took for retirement.
The first four parts describe how people in today’s world live their life, how they plan their finances, and what the idea of retirement for them is. by saving and investing, and how one can actually retire young and rich. In this book he has basically summed up, how flawed is our current method of retiring rich is i.e. The author MJ DeMarco was able to retire when he was 37.
The book “The Millionaire Fastlane: Crack the Code to Wealth and Live Rich for a Lifetime” revolves around the idea of getting retired at a young age by stepping on a path which the author refers to as The Fastlane. Want to retire young and rich? Read the whole article and thank us later.