EXCLUSIVE: Building Your Money Machine For Financial Freedom - PART 1

Hey there, real quick, before we jump into the episode, listen, if your earnings treadmill hasn't set you free yet, running faster won't either.

Listen, hustle without principles just going to burn you out.

So here's what I want for you. I want you to join me for my money machine experience live. It is three free trainings. Deep dive into how to escape the.

Treadmill and build a money machine that actually works for you.

All right, Grab your spot here by going to moneymachinelive.com and I'll see you.

In the free training.

Hey there, and welcome to this episode.

Of the Affluent Entrepreneur Show. This one, it's a different one. It's a unique one. It's something that I haven't done before. So if you hadn't noticed, I have been in a special training series. I do this once a year. It's called the Affluent Entrepreneur Experience. This is my live three part series that I do where I'm helping people just like you get the priorities, the principles and the processes it takes to build a money machine. And we know that the money machine is the key to your freedom. It's a key to life of choice. It is a key to getting your time back.

Okay?

And so in this episode, what I've done is I've taken the training and I've condensed the training down into the highlights, the juicy stuff that you need to know to start to move yourself forward on the road to financial freedom. So take it all in, take some notes. Let me know if there's anything I can do to bring it further for you. Enjoy this episode of the Affluent Entrepreneurship.

All right, so let's just talk about something. Some of you may, may or may not be.

Entrepreneurs, and that's okay. But one of the things that, that we've had happen in over and over again is that every time I talk to an entrepreneur, I. This happened to me, okay? I decided to leave my job. I was at a CPA office of one of the largest consulting firms in downtown Los Angeles and I literally just said, yeah, I'm out of here. I'm going to do this on my own. Because why did I want to do it on my own? Because I wanted control. Because I wanted freedom. I wanted. I wanted freedom. I wanted to do the things that I wanted to do the way I wanted to do them. And for those of you that have ever started a business or are in business right now, you probably know that that doesn't happen.

Okay?

It doesn't happen in the sense that, that I didn't get the freedom. And here's where the mistake is made. It's because what happens is that we don't realize that our business was never meant to give us control. Our business was never meant to give us freedom. And, and so we got to look at and say, well, what did our business need to do? Because here's what I know for, for all of you, no matter whether you're in business or not in business, you need to have.

You need to have.

Two parallel journeys. Two parallel journeys, okay?

And the mistake is we often see only one parallel journey. So let's just walk through the first framework that I want that, that's really drives everything that we do.

And so, so if we start to understand this, you're on two financial journeys. The first financial journey, and this is, this is in, in the workbook, I think on page four. Okay.

And, and so what we want to do is, is to understand that, look, we start with this earnings machine.

You're building the earnings machine now, this could be your wages, this could be your business.

It doesn't matter. But the point is, is that what we need to understand is as we go through this, what's going to happen is you're going to have inputs in. This is your effort.

You know, your intellectual property, whatever it is, you're going to put stuff in with the expectation that maybe you're going to get stuff out. But the problem is that we thought that this was going to be the place where we find freedom and control, but that's not what our business is for. That's not what our earnings are for. Our, our job on the earnings machine side is, is to truly look at it from the perspective of, of optimizing how much we can make. And the way you do that is optimizing the value we bring.

Okay?

So when it comes to a business, what you want to look at is I got to optimize my earnings and I got to optimize my value because that helps optimize earnings. The purpose of your business, the purpose of your earnings is to create cash flow. It's to create cash flow here. It's about impact, it's about solutions, and it's about cash flow.

There's nothing about freedom in there. There's nothing about control in there.

And the, and the challenge is, as we went to school or as we listen, most people, most people.

Will look at it and say, gosh, they tell you to go get a good job, they tell you to go get a, get, get and build cash flow. They tell you that you need to make money. But they think that's the solution. But there's a whole nother half of this that's being missed. And this is when you cross the line by having what I call.

An affluence mindset.

See, the second machine and the second journey you're on is a money journey.

Okay?

Is a money journey.

What that means is this is you're going to build another machine. So you're going to have a machine that earns money, that creates cash.

Your job, your business primarily, but then you're going to build a second machine. That's the money machine. This is where you now, instead of optimizing earnings and value, you optimize your time. You get your time back.

And you optimize assets.

And what happens is the money gets multiplied. The money gets multiplied. What happens is that if your efforts going in at one time, the money comes out at 10 nicks.

That's, that's what, what ends up happening. Because we need both of them. The reality is, is that this is where you find your freedom. This is where you find your legacy, and this is where you build affluence.

This is the way that you got to play it.

This is the way you got to play it.

I will make sure that you have, those of you that attend, I'll make sure that you, because I see the notes, I'll make sure that you have.

The completed versions of these two, but I want you to take the notes, I want you to fill in as best you can. Okay?

So, so the reality is that this is how we, how we do this, okay? It's not just, it's not just about earning money. It's about what we do with the money we earn. And the, and the, the missing link for most people is they build an earnings machine. I make money. I make money. I make money.

I make money. They never build on my machine.

They never use the money to get what I call money momentum. That allows them the opportunity to get their time back. And when you get your time back.

You get choice back in your life. That's what freedom is.

That's what I want. The idea here isn't about money.

Truly, truly, it is not about money.

Money's the tool. This really becomes part about your life.

What do you want? What does it look like? What's the vision?

And no matter how lofty the vision.

Is, I'm here to tell you it's possible. I'm here to tell you that no matter your age or stage, it's possible.

Doesn't mean that it's easy and with some simple principles, you can make it happen. And that's, that's how, how this plays. Now, a lot of people will hear me talk about this idea of affluence. And, and the, the question, the question that people will come up with is, am I talking about stuff, planes, airplanes, boats, trains, automobiles, all that stuff? And, and I said, no, no, no, that's opulence. Affluence and opulence are two different things. And in fact, I want all of.

Us to live an affluent life.

And I want to walk you through the four things that create affluence in my estimation, in my. In my kind of perspective, okay? Because when I understood.

The money machine principle, then I had to look at.

This and say, how do I want to live life?

You'll hear a little bit more about.

My journey in a little bit.

Let's just look at affluence. Let's just look at, at what it.

Takes to live an affluent life, okay?

And, and so this is what I call the affluent life paradigm.

The first aspect of living an affluent life, the first element of it, is that you are living a life that's meaningful, that is a life that you love, that is a life that has meaning to it, that brings you joy from the inside out. The second piece of that is that you live a life that is impactful. It's impactful. If meaningful, is from the inside out, impactful is from the outside in that we actually made a difference, that we.

Are truly, truly living a life that's meaningful.

That people's lives are better because of that.

The third aspect, and this is the only piece of this that has anything to do with money, is that it's.

A fruitful life, is that it's a.

Fruitful life, that we actually are making the money that gives us the choices.

That we want to have in our life. And then the fourth aspect is that it's a peaceful, that we can be.

At peace, that we are living true to our calling, that we're living into.

The gifts that we've been given, that.

We are living the purpose that we're driven by. And to me, this is the definition of affluence, because if I just have that one aspect of fruitful. If all we did was talk about, how do you make money, how do you make money? That's just one peg of this. But if I don't live a joyous, meaningful life or I don't live a peaceful life where I don't matter, then. Then what's it worth. It's a bank account. It's a statistic. It doesn't really matter. So when we get this right, let's just look at what happens at this level. Because when we end up in a situation where we have the four aspects of affluence, now, all of a sudden, you are living intentionally. When it's meaningful and impactful, you are living by choice.

By choice.

Second is that when you have an impactful life, you're affecting people out there, and it's fruitful, so you can give more.

You're creating legacy.

And let me talk about legacy for a moment. Let me talk about legacy, because I think a lot of people get it wrong when you talk about legacy. So often people are looking at it and saying, well, it's what I want to leave for someone. So when I die, I want to.

I want to leave a legacy. I want to leave a legacy. Here's what I invite you to do. Don't leave a legacy. Live a legacy. Live it each and every day. Because here's what I think.

The legacy is created in the moment. It's not created after you pass.

The legacy is created in the moment you interact. The moment that I have a conversation or I interact with April or Liddy or Liz or Shanin, the moment that happens, I have the possibility to affect their lives, to put a smile on their face, to turn around and say, I'm proud of you, to change and shift a direction, that's legacy. And when we understand that legacy is created in the moment, we understand the power of the moment.

And when we stack those moments, it's legacy. And if we realize that, we would give each moment the reverence it deserves. Because truly, legacy is not something you leave for someone. Legacy is something you leave in someone. And that's the way.

And so when I think about creating legacy, it's coming. Coming at it from that.

That. That perspective.

It's coming at it from that perspective. So then if we have the fruitful life and a peaceful life, that actually.

Gives us liberation, because I got the.

Cash to do the things that I want to do and do that.

And if I have the meaningful life.

And the peaceful life, it's because I have a nest egg. I have a money machine. That's what affluence is for me. Okay? And this is the way I look at it.

And I'm hoping that you'll take this on at least for the time that.

We are together and hopefully for the rest of your life.

All right? And. And this is where I focus so when I'm working with clients, when I'm working with my elite one on ones or an affluence blueprint or anything like that, the idea is to build something that builds a life. This is why some of the, you might even recognize this one. Some of you might even see him coming up. But this is my dear, dear friend, Brendan Burchard. I've been him and I have known each other for 17 years now, going on 17 years. And one of the things that we were able to do is as I've guided him as to how do you build that life? How do you build that life that's meaningful, not just chasing the launch, chasing the other things that might be going on? And so this is the thing that.

That I would, I would like to, to, to give perspective on now. I want to shift your relationship with money. I didn't get this right.

In fact, I completely botched it, you know, But I learned some lessons along the road. For instance, you know, I started out as a cpa. I got, I had partners. I was building my business, I was doing my thing. And the reality is that, that they pushed me out. I had no clients at the time. When they pushed me out, they said.

We don't want to be partners with you anymore. They, they.

I had no cash flow. I was $300,000 in debt. I didn't have what I needed to do, but here I was in debt.

But I had a purpose. I had a purpose. That purpose was this little boy. That's my son, Jeremy.

And at that time, he was five and a half years old. This is when he came to live.

With me full time. I became a single full time dad. So here I was trying to start a new business and be a dad.

To take care of the very gift. That is what I think the greatest.

Gift that was given to me at the time is fatherhood.

So I did what most entrepreneurs do now. This will go back to the money machine in that first framework because I did what, what people do. I gotta, I gotta make money. Okay, I gotta make money. So what do I do? I literally got on the treadmill and started running. Started running. I started getting clients, I started to get cash and I started to get money. And all of that, all of that started to come in and I'm thinking, we're doing good, we're doing okay. I'm looking at Jeremy going, hey, we can keep the roof overhead, we can do those things. And then he comes running in one.

Day at six years old and he says, daddy, daddy, daddy. I drew a picture of your school today. He was so excited. It was like him on his birthday morning.

And so I knelt down and he hands me this picture in blue.

Felt dependent. It looked something like this.

At the hands of a six year old boy.

I got handed one of the greatest money and business lessons of my life.

Yeah, it's rough because I was looking at this and so many people were sitting back saying, oh, well, you need.

To get work life balance, Mel. You need work life balance. I said, no, no, no, no. Balance is a myth.

Balance insinuates that. I got, I've got a weight on one side, another weight on the other side. And they're playing tug of war to kind of balance this. You can't live life that way. That's a conflict that stresses you. It's not about balance that matters.

It's about harmony. Harmony comes from being intentional.

And that's when I started to realize.

Oh, I got to do things differently.

That's when the idea of a money machine was born. Where I had to live a life of choice, where I had to start to figure out how do I use the money that I earned from the earnings machine to build something that gives me the freedom and control I need so I can care for the greatest.

Gift that was given to me. And that's where I started to look at this.

So at the hands of a six year old boy, I learned the lesson.

Of the money machine. But I didn't realize how important it was.

I didn't realize what it really meant.

To have a money machine until recently, Relatively recently.

Because on 2019, in 2019, I was doing well, doing launches. I'm speaking on the biggest stages around the world.

Masterminding with some, some of the biggest entrepreneurs, millionaires, 100 millionaires, billionaires, things are great. I literally are stepping off of a plane like this. This is a G5, all right? If you've never been on a G5, it. You got to do it once in.

Your life and hope someone else pays for it like they did for me. All right?

Because here's the deal, okay, Is that. It was a, it was a wonderful time. Life was good. I've got a beautiful wife, we're living in a beautiful house, we're living at the beach. I mean, I got, you know, kids are coming, you know, all that stuff. Not kids, grandkids, sorry.

Oops.

Okay.

And, and everything was good until two weeks later, two weeks after I stepped.

Off that plane, I found myself here.

Laying in a bed with surgeons looking.

At me, saying, we found this 5 centimeter tumor in your bladder.

Where it's at is on top of the prostate. When we go in, we need, we.

May have to remove the prostate.

When we go in, we can't see the ureter on the right side. We might have to put a tube.

In a bag in.

If it's really bad, there's a possibility.

You completely lose your bladder. Like my whole life got turned upside down. Everything changed. A moment I'm looking at, at Jeremy, my son and my wife sitting there standing there, we're in tears. We're looking at it. And I said, things change. We're shutting everything down. I gotta beat this. I gotta fight. I gotta beat this. I love life too much and I'm not ready to leave.

And the only thing that happened is.

That the lesson I learned at the.

Hands of Jeremy at 6 years old.

To build the money machine was the gift that allowed me to say I'm okay. Financially.

I had to fight the cancer. Physically, mentally, spiritually, energetically, medically, psychologically, all of it.

I had to fight it. I didn't have to fight it financially.

Because we had a money machine. And that's what I want for you. I don't want you to fight. Whether it's health situation, relationship, work, I.

Want you to make sure.

That you have the comfort.

Remember, part of the affluent life is.

It'S a peaceful life.

And so this is how, how it.

Starts to come together.

Because it truly isn't about the money. It's truly about life and how we do life and what it means to be in life. Because like I said earlier, the moment's better. And, and here's the thing that I know is that.

Building a money machine.

Is the most effective way to create wealth and have lasting financial freedom. It truly is.

Now I'm gonna, I'm gonna brag a little bit about my son. So I raised, I was a single full time dad. Raised him from 6 years old. We.

They.

He is now 33.

Okay, so it's, it's been a while now.

We are closer than, than close could be.

And, and here, here they are, him and his, his beautiful wife.

And that's, that's my first granddaughter. The second granddaughter's not there. We have two granddaughters, Emily and, and Aria. Right now one's two years old and she's two years old and, and the six month old. But, but I started, I started indoctrinating or educating, I shouldn't use that. I started educating him at 10 years old, giving him the same principles that.

You'Re going to get.

And at. And at 16 years old, he started his first business.

And today, at 33, him and his wife have three homes and a multimillion dollar net worth.

They take off.

They take off.

For a month, a year to live in another country and work from there. But let's just talk about the story thing. This is big because I thought it wasn't a big deal until I started teaching this. And I realized, wait a second, people.

Really struggle with this.

And I struggled with, in fact, the very first story in my book, the upcoming book is a story about the first time I saw my dad cry. And the reason he was crying had.

To do with money. And I didn't realize how it impacted me till I started to look at it.

So what I want to do is I want to give you a framework and there's some pages in the guide that will help you go through this process after we're done with the session. And the reality is this is that when you start to look at your money story dynamic, the first thing is there's an observation. Something happens that we see, we feel, we hear. You might hear your parents arguing, you might have seen someone you might have heard about. You might have lived through the Great Depression. My mom, she didn't live through the Great Depression, but Lord knows she, she got, she got had to get taken out of a country that she was being persecuted at 13 years old and all that. Stu. She's in, she's in a assisted living. She's 89 years old. She's been on dialysis for five years. It's, you know, and, and my wife, who's been in the medical profession for a lot all her life, she checks her, she wants to make sure that her ankles aren't swollen. So my mom's got these sweats on and she goes to feel the ankle and she goes, what is that?

And she goes, oh, it's, it's, it's.

It'S a, a money belt that she has on her ankle. Because why do you, why do you have a money belt on your ankle? And she goes before that, how much money is in the air? And she says, like $2,000. And like, but you're living in an assisted living facility. Why do you have $2,000 strapped to your ankle? It's all from the stories. The problem is the observation leads to an interpretation. It leads to the interpretation. Yes. Money doesn't grow on trees. We hear it. You know, it's for the greedy. Money isn't, doesn't lead to Happiness, all those things that start to impact us. So the observation leads to interpretation. The interpretation leads to an identity, who you become.

And that identity will set behaviors.

It becomes how you show up with your money. It becomes how you'll do things with your money. And I would tell you this. The problem with most is that most people do not have. And this is challenging for people. Most people have no money issues. Some of you might be going, you ain't seen my checking account.

Okay?

Most people have no money issues.

They all have money symptoms. And their symptoms are of decisions, behaviors, and habits from the past.

That can.

Be confronting for folks because they say, wait a second, you're make. You're blaming me? I said, no, I'm just making you responsible. Responsible in the ability to respond to it.

Because if I know that it's behaviors.

Choices, and decisions I made in the past, if I just make different behaviors, if I make different choices, I get different results. And that's the thing that we look at, because the behaviors start to drive things. And our behavior set what I call a money set.

So our job. And you have journal pages in the guide. If you look at this, you have journal pages in the guide where you can start to journal after we're done to start to dismantle your.

Your money stories. Because here's the thing to look at is that. That I want you to journal the.

Story.

But I want you to separate the. The interpretation from the facts. The interpretation from the facts. Here's. Here's what I mean by this. How do you know what's fact and how do you know what's interpretation? Here's how you know what fact is. Assume that you have a camera. Assume that you have no sound. Assume that the camera is watching the situation that you observed. What does the camera see? Everything else is an interpretation. When I lost one third of. Of of my net worth in a.

Ponzi scheme, now, mind you, I went into a like, oh, my God, I need to.

I can't do this anymore. How am I. I'm a cpa. Turn in my license. How did I get taken? I should have. I should have known better. I started beating myself up. I thought that, you know, I said, I shouldn't be teaching this. I shouldn't be doing any of this stuff. I need to get into a different business. I should go wait on table. I was calling myself names. I'm an idiot, you know, I'm a loser. All those things. How is that going to serve me? Because all of that was an interpretation. The facts were the Camera would have seen me giving him money. The camera would have seen giving him.

More money, and the camera would have seen that no money came back. That's the facts. That's it.

Now I get it. He was culpable. He went to jail. You know, I testified, the grand jury, all that stuff. So I'm not. I'm not trying to relieve him of it, but I had to separate the two because then I could then look at the second step. So, first step, journal the stories. Second step is to separate the facts from the interpretation. The third step is to look at and say, what is, what are the lessons that I can take from this? Most of my investing rules came from the Ponzi scheme. Most of the mistakes I made led to me being a smarter investor, a smarter with money, a smarter with person that allows me to do the things that I get to do today. So if I'm going to lose over a million dollars in a Ponzi scheme, I certainly better extract some lessons out of it. And so the. So first step, journal it. Second step, separate facts from interpretation. Third step.

Is to figure out the lessons. Because in the lessons, you'll find a.

New meaning, you'll find a new interpretation.

Then you'll sit back and start saying that this was done for you, not to you.

When you do that, they don't hold the power over you that they once did.

This is the piece that we all.

Need to go through.

So that's how I break down my stories. And it's a deeper work that we take a little longer to do that we don't have time here. But I wanted to give you this. This as a tool where you can start to do that work.

It's not going to happen overnight, you.

Know, but it isn't about blame. It is about understanding, awareness and being intentional. When you start to extract lessons, it.

Starts to allow you to grow.

So that leads me to these last little pieces that I want to go through. And the first is this.

What are the things that affluent entrepreneurs do differently?

I'm going to walk you through a framework that we're going to work through.

In the next two sessions.

All right?

But this is the foundation of everything I do. And that is, this is that I want you to live an affluent life as an entrepreneur or as an individual. I want you to live an affluent life. We've talked about that. But there's three critical outcomes that I see that that drive this. The first is, first is that you are living a richer lifestyle. Richer lifestyle is not about the money in the bank account richer lifestyle is, is about how you experience life. It's about the feelings. I use richer intentionally versus wealth. Richer is how you are living it. Hey, the, the second critical outcome is not just a richer lifestyle, but a deeper impact. Now it's great you're sitting back and saying I can have an impact on, on, on folks. You know, as an entrepreneur, I'm impacting the people that I serve. I get that. But that's, that's a singular impact. The deeper impact comes through to two other levels. The second level of impact is to.

Your right and left. Who are the people you share life with? The people that love you? My wife, my brother, sister, my son, all of that. How do I impact them in a positive way? My granddaughters.

The third impact, the third impact.

Is the person in the mirror. Where are you becoming on this financial journey?

When we start to impact at those.

Three levels, things shift.

Now the third critical outcome.

The third critical outcome is complete freedom, y'.

All.

I keep talking about financial freedom. I hate to tell you this, but it is the most rudimentary freedom you could ask for. We don't want financial freedom, but we.

Want what it gives us. And it's the two freedoms about above it, the freedom. Above that, financial freedom is time freedom.

The ability to decide what you're going to do with your time, when you're going to do it, how you're going to do it. Choice, choice. I had the choice to shut down my business. And the third?

Freedom, mind, freedom, peace of mind to.

Know that I lived my life fully, fully expressed in alignment with my values.

In alignment with my calling, in alignment with my gifts and that it mattered.

Those are the three critical outcomes that I, to me, start to drive the affluence. And to do that, you need three systems in place. And we'll break these down in, in the coming trainings. But the first system is a system to generate income. Okay, this is your earnings machine. Okay, this is what moves you from a drip to a flood of cash flow. Okay, this is the first machine, the earnings machine. Now, if you're an entrepreneur, this is where most of most people park themselves. They say, I'm going to earn. And that's what they focus on, is make money, make money, make money, make money. And they're on a treadmill and they just, they just keep going because they forget about the second piece of this. The second piece of this is that we need a second drip to what? A drip to flood. So it's a drip of cash flow to a flood of cash flow, okay, Is that you need a system to accumulate it. How do you take the income you have and turn it into a money machine? Because this is your money machine.

This is how you take the income and convert it to assets. We'll talk about the five incomes in the next session. The third element, this would also apply to wages. Your earnings machine is your wages. Also.

Because remember the truth about millionaires, none of them made more than a averaged over a hundred thousand dollars. Not none of them. The majority of them averaged less than a hundred thousand dollars. That meant they were using their wages to build the assets to make that happen. So it doesn't matter entrepreneur or wage earner, it still works. Now, there's a third system you need.

To have in place.

But the third system, you know, is a system that unfortunately, we need to do it because of.

The kind of.

Environment we live in.

And that's a system to insulate it. We have to shield what we create. The assets we build, the income we build, and how we build it. This guts you from being exposed to, protected.

We want to be able to eliminate the possibility of.

The possibility of losing what we've created. So we need three systems. The, the earning machine, the money machine, and our ability to shield it. Here's how I break this down. Is the first system.

When you talk about generate, this is about how we make it.

This is about how we make it, okay? If we don't do this right, we have no money and we're done.

The second, accumulate, is how we multiply it.

Okay?

So generate is make it, Accumulate is multiply it. How do I make it do more for me than I did for it?

And this third, because the third is if we don't have an ability to multiply it, we have no freedom. And the third is this insulate is.

How do you shield it?

If we have no way to shield.

It, then we have no safety.

And so the reason we do this is we make it, we multiply it.

And we shield it.

So we have income, we have freedom.

And we have safety.

All right. I hope you found this special unique.

Episode of the Affluent Entrepreneur show really enlightening and helpful to start to understand what it takes to build your money machine, what it takes to create the path to financial freedom. Listen, if you want to get access to the full training, all of the training and all of the goodness that's coming that comes with the training, the workbook, and all that stuff, just go to affluencelive.com, grab the spot, you can get access to either the replays or the lives, and I'll see you on the journey to financial freedom. Cheers.

And that's it for this episode of Building youg Money Machine, where we help you learn how to master your money.

Eliminate financial stress, and live a life of choice.

If you found this valuable or helpful to you, here's what I'd love for you to do. If you do me a favor, go to Apple, Apple Podcasts, or wherever you're listening to this podcast and rate and review the show.

It helps us tremendously to keep us.

At the top of the list so we can continue to get this information and this message out to people. Because I truly believe that financial freedom.

Is your birthright, and I want to help each and every one of you claim it. Thanks so much.