Once you’ve plugged the leaks in your financial bucket, you’re prepared to start building a foundation of wealth. We incorporate a strategy created by my 5 Day Weekend collaborator Garrett Gunderson and his team, which we call the “Rockefeller Formula,” which builds wealth consistently and automatically.
The Rockefeller Formula is not an investment in and of itself, but rather a system that includes a safe, secure, and liquid way to save your money for your business or investments.
The Rockefeller Formula allows you to live a wealthy life now without any fear of running out of money. You create a perpetual family bank as a way to keep the money together and growing. This is how the Rockefeller family protected and grew its family fortune while other wealthy families squandered their fortunes.
The key to capturing and creating wealth is to make it automatic. Ideally, you should set up automatic transfers to sweep a percentage of your income into a savings account before you get a chance to spend it. This way you’ll grow wealthier, even if you drain your spending account to the bottom every month. (We actually recommend saving in two accounts, which we’ll explain in a coming post.)
This is even more important when times are tight, because it forces you to be resourceful and your wealth still continues to grow. Also, by automatically transferring a percentage of your income, rather than a set amount, the amount that goes into your accounts grows with your income. You grow wealth faster and faster as time goes on.
In my next post, I’ll discuss these accounts further.
In the meantime, I’d love to hear from you. Are you familiar with the concept of family trust? Do you know anyone who has established one? What do you think? Thank you for sharing.
Secure your copy of the “5 Day Weekend” book. 5 Day Weekend: Freedom to Make Your Life and Work Rich with Purpose [Nik Halik & Garrett Gunderson]