The Money Jars Edition 3

The Money Jars by T Harv Eker

Rona Bartolini | 3rd Edition: October 21, 2014 Page 1


Charity (GIVE Jar)

Tithe (or a tenth according to Jewish history)

Here's a quote from Robert Kiyosaki's book, "Increase Your

Financial IQ: Get Smarter with Your Money":

As far as tithing goes, we continue to donate a large percentage

to charitable organizations. It's important to give. As my very

religious friend says, "God does not need to receive, but

humans need to give." Also, the reason we give is because

tithing is our way of paying our partner -- God. God is the best

business partner that I've ever had. He asks for 10 percent and

lets me keep the other 90 percent. You know what happens if

you stop paying your partners? They stop working with you.

Recommendation: 10% of income and more (for offering)


Financial Freedom Account (FFA Jar)

Money used for putting in vehicles that will produce

passive income passive income versus active income:

your salary is your active income.

Passive Income is income received on a regular basis,

with little effort required to maintain it.

Examples of passive income: earnings from stock

market, real estate (rentals), profit from businesses

after ROI

Recommendation: 10% - 20% of income


Emergency Jar (EMER Jar)

Value: 3 to 6 months worth of monthly expenses

Define what emergencies are to you (buying an item

because it is on sale is not an emergency--that

belongs to another jar)



Long Term Savings for Spending (LTSS Jar)

Fund used to buy items that are expensive like a car,

a piano, a trip overseas

Another variation of this jar is for paying (annual)

insurance premiums or paying off loans

Payment that will take 6 months, 1 year or more,

may be considered a long-term expense



Education Jar (EDUC Jar)

Fund used to further one's education on financial

literacy or self- improvement

Books, seminars, audio books



PLAY Jar

You burn this jar, that means, you get to consume it

on anything that is fun and gives you happiness like

retail therapy (shopping).



Suppose the allocation of all the jars above is fixed at

10% each.

Then,


What's left is:


Necessities Jar (NEC Jar)

Bills

Food

Fare

Other Needs

Living Expenses

What's left after paying yourself first is 40%.


Kulang ba?!

What can you do?

Spend below your means: do not spend more than

what you can afford

OR increase your income. Get a sideline job on top of

your full-time job

When you receive extra income, apply the Jars

method pa rin


P.S. 1. I'd like to invite you to do the 5K Stock Market Investment

Challenge. Go to

https://www.facebook.com/ronajoan.s.bartolini/posts/10152716776028419

P.S. 2. If you want to be a member of the Truly Rich Club, then go here:

http://bit.ly/bartstocks

P.S. 3. If first you want to know about the Truly Rich Club before joining,

we have a once-a-month orientation called Truly Rich Club Quickstart.

It happens every 1st Sunday of the month and it just started last April

2014.

To know more, go here:

http://www.trulyrichclub.com/quickstart/

If you wish to sign up for TRC Quickstart, just message me on Facebook:

https://www.facebook.com/ronajoan.s.bartolini

The Money Jars Edition 3

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