Hi Jaffasoft,

Just a quick note to thank you for designing the calculator. It is really good.

I put in my PPOR that I am thinking of renting and it helped me work out what to do to make it cashflow positive. [cigar]

Very handy indeed.

Well done and thanks.[biggrin]

Bernie

I once new a bloke who thought he was Jesus. [blink]

I said, “Cool, walk on water then” [cap]

He said “OK, I will. He tried. He sank. His face went [angry2] too.”

But my face went. [biggrin]

(Only joking, I never met anybody called jesus) [baaa]

Well done Brenda,

I watched the show and admired your achievement. [biggrin]

Bernie

Hi Hobnob,

For what it’s worth I am in a similar position. [blink]

I read the John Burley book a while ago and can thoroughly recommend it. It has a lot of great advise. I followed the steps in the book (prior to divorce) and it turned my financial situation around at the time.

Although I’m no mentor and don’t know your finanical situation, I can at least let you know what I’m doing:

1. I pay myself first (10% minimum) and put it into a bank account that returns 5.25% pa with interest paid monthly. Once there is enough this then goes into investments that yield a higher return pa.

2. If things get tight, which they often do, I be my own loan shark. That is I loan myself money from the investment account and pay it back next pay with 10% interest. I even write up a simple contract with an expiration date. (This ensures that my sub conscious knows that it is a business transaction and it must pay it back.) It also deters me from wittering away my hard earned savings. Because believe me, you can spend the money a heck of a lot faster than you can save it!

3. I extended my investment loan and invested it ( as I can bring in a higher return than the interest beng charged).

3. I am currently settling on our property, and will rent it out. (The property will be positive cashflow and will pay for itself). This also converts my bad debt to good debt and gets me into the property investment market.

4. I am also looking into asset protection and will put in place a structure that will ensure that I don’t end up in a similar position later in life.

5. Once the divorce is finalised I will draw up another will.(Because wills become null and void on marriage and divorce)

6. I pay the minimum repayments on my investment loan until I am in a better position.

7. I will continue renting, and servicing my debt. When I get more cash from my 10% and investments I will then start to buy more property.

I am not interested in purchasing another property to live in for the time being as I feel I don’t want anymore bad debt and it will slow me down.

However, this is just what I’m doing and it suits my situation, but you will need to work out what is best for you.

Hope it helps in some way.

Bernie [biggrin]

I buy/read/action a lot of books/tape sets based on my various investment strategies. To the point that people think I’m nuts! [blush2]

I’ve also attended a few seminars (both good and bad) and have purchased a number of homestudy kits.

Why do I do this? To further my education and to get to where I need to go.

I drive long distances to work each day and I use the tape sets to further my education while driving instead of listening to the radio.

I read investment books instead of reading fiction.

I study home study packs instead of watching a lot of TV.

I work on my business instead of going out.

I’ve been doing this for about 2 years and putting into action what I have learnt when it is applicable.

Now that I know what styles of investments I want to focus on I concentrate on products from individuals that I am compatible with. ie. cashflow positive property.

But, before I part with any money I always do my due diligence and do my own background checks on the internet by looking up forums, using ASIC Fido and other great resources to work out if they are worth the money they are asking for.

I always use the saying “To play the game, you first must know the rules” and these products assist me learning those rules from people who have done it.

So where has this monasitc lifestyle gotten me?

Well, I have had a tremendous journey that continues, I’ve met some great people, I’ve found a new interest that I love, and I am now starting to reap the rewards of my hard work (not that it is work to me as I enjoy it) by creating passive income streams.

My journey now continues into property… [biggrin]

Bernie