Steve the Owl's Blog

The Connecting Link: The Eleventh Step toward Riches- Napoleon Hill

Welcome back to my weekly series on Think and Grow Rich by Napoleon Hill. This week, we will touch on something that has been alluded to in previous posts: the subconscious mind. One of the keys to remember in order to fully grasp the power of the subconscious mind is the idea of the subconscious mind as something like a tectonic plate. You can’t see the actual plate, but it affects everything that happens on the surface. In this way, your subconscious acts to control and regulate the conscious mind.

Steps to Access

Earlier, we examined the principle of autosuggestion. What this does is gives you the opportunity to communicate with your subconscious mind. By finding something that you can repeat over and over again, this gives your conscious mind a chance to communicate with your subconscious mind. How important is this? Napoleon Hill reminds us that our subconscious ultimately controls the conscious mind, and it can either be dominated by positive thoughts or negative thoughts. Only one will win, but it’s up to you to control it. Here are some suggestions for getting in touch with your subconscious mind.

1) Don’t lie. There are a lot of people who have a tendency of saying “I am” when they say affirmation statements. As Jim Rohn reminds us, “Affirmations are okay, as long as you are affirming the truth. If you’re broke, the best thing to say is, ‘I’m broke!’ If you’re 40 and broke, you can say, ‘I’m 40 and broke!’ If you live in America and you are 40 and broke, say, ‘I’m 40 and I live in America and I’m broke!’ If that doesn’t get you moving, you need to examine yourself, because that should put your feet to the fire.” This is because the subconscious knows when you are lying to yourself, and trying to do so will only lead your subconscious to sabotage you. Instead, say “I choose.” This doesn’t put a timeframe, so you can always choose any path, which means that you are telling the truth. “I will” leads to procrastination, unless your goal is accompanied by a specific timeframe.

2) Be open to a bigger vision. Earlier this year, I made a financial goal/affirmation statement for my income and net worth. I had income goals until the year I turn 40 for my business, as well as net worth goals for the ages of 40, 50, and 65. However, as I realized that my vision got bigger, I realized that I believed that I can be at 50 where my original vision had me at 65, so I changed it. (I’m still trying to figure out the 40 and 65 goals, though.) One way to be open to this is by saying “or something better” if it is not a goal with concrete numbers, or saying “or more” when it refers to something that is quantifiable. (The former is probably better for “how” questions, and the latter is better for “how much” questions.)

3) Say it until you mean it. If you don’t believe yourself when you say it, your statement will be doomed from the start. If it seems silly at first, or doubts start to cross your mind, keep saying it, and you will begin to believe. However, the corollary that ties all three points together is that it has to be something that you see as feasible. If your goal is to make $1000 for the year in your business, and that’s all you see right now, that’s fine. If you believe it, that will get you started. If you add for the possibility of a bigger vision, your vision just might grow. If you believe it partly but don’t have confidence, saying it out loud again and again will give you that confidence.

How have you developed your subconscious mind to your advantage?

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A lot of people have read the Rich Dad series of books written or co-written by Robert Kiyosaki. One of his arguments about cash flow is that one must be able to tell the difference between an asset and a liability, and he argues that personal houses, despite being the largest investment most people ever make, is actually a liability. I have seen a lot of other people make this assertion, so I decided to examine what makes something an asset or a liability. (NOTE: I do not currently own a home because, as a graduate student, my personal situation is too temporary to buy a house, but I do plan on buying one after I graduate.)

What Makes an Asset

It has been argued that the simple definition of an asset is something that adds value, while a liability is something that diminishes in value, and costs money. Most people tend to think of a house that is something that adds value when the price of a house goes up, while those who argue otherwise insist that the fact that you make payments for as long as 3o years and have to pay property taxes makes buying a house a liability.

So, let’s think about what happens when you buy a house. If someone rents an apartment or house, he/she pays money for the use of the house, and has to continue to do so in order to stay in the house. If someone buys a house, he/she eventually stops making payments for the house and has a property that he/she owns and can pass on to leave a legacy. It is true that there are property taxes, but other than that and upkeep of the house, it is eventually owned free and clear.

Paying More for Nothing?

Last year, I talked to a friend from my undergraduate days, and she told me that she was getting ready to own her first house. She and her husband bought a house and have mortgage payments of $900 per month. Interestingly, the house they bought was bigger than the house they rented, and they were paying $1200 per month to live there. So, let’s think about the question of whether a house is a liability or an asset using this as an example. Over the course of a year, their mortgage is $10,800, and they are allowed to deduct any interest paid on the mortgage from their income taxes, and there comes a point when they will no longer have to pay the mortgage. (I didn’t ask whether the mortgage was 15 or 30 years, but either way, there comes a point where the mortgage ends.) When they rented, they paid $14,400 for a smaller house that they would never own. Granted, there is the question of property taxes and upkeep, but I don’t think that it would lead to $3600, much less $14,400. In this case, I would say this is an asset, not a liability.

What process do you use to determine the difference between an asset and a liability?

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I must admit that I usually don’t watch singing contests on TV. I love playing Karaoke Revolution on my PS2, and I listen to a lot of music, but there was just something about a lot of the singing contests that didn’t have an appeal to me at all. While I’m familiar with American Idol from its place in pop culture, I’ve only ever seen two episodes in their entirety: one when my brother’s then-girlfriend won the battle for the remote, and another while in a hospital waiting room, and enough bits and pieces of episodes from clip shows like The Soup for another episode or two. However, my wife is a huge Kelly Clarkson fan, and I found a lot to like in her third album, My December, which I reviewed here last year.

Then, while watching one of my favorite shows, Community, I saw an advertisement for a singing competition that was very different from the standard fare on TV. This one was called The Voice. What is different about this show is that the judges only get to rely on listening to the singer when he/she auditions. It turns out that the judges aren’t even judges at all, but they are instead coaching the singers, in essence performing as A&R people for the contestants. They sit in chairs with their backs to the stage, and if they like what they hear, they press a button to try to recruit the singer to their team. If no one pushes the button before the song ends, the singer is eliminated. If more than one pushes the button, the coaches lobby the singer to join his/her team.

Lessons for Business

What I think is so interesting about The Voice is the fact that it is, on the surface, similar to shows that look for the next great singer, and with the king of the hill in decline, there is a question about whether or not the market is saturated. However, they changed the idea just a little bit, and turned it into a very inspiring and amazing reworking of a tired format.

How many times in the world of blogging and online marketing do you know of people who try to be like everyone else? The problem with that is that the people who started already know what they’re doing pretty well, and you’ll just be a pale imitation. This is why it is so much better to look for foundations, but look for ways to innovate and build upon the foundation to make something even better.

If you would like to see the potential of this show and how the format works, here is one of the contestants completely reworking a song by my favorite, favorite band, Nirvana. The fact that I m a Nirvana fan and say that she did a great job with this song says a lot about potential, but I think that the interplay with the format of the show, and watching two music superstars compete for this new talent is inspiring to watch:

How have you found reworking a format helping you to great things?

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Hi, everyone. Welcome back to my blog. It has been an interesting long weekend for me. Easter is always a big time for me, but one of the things that made this weekend a bigger weekend was the fact that this was the week where I would have my next big mile time trial for the season. Based on times I’d done in some workouts, my oxygen capacity (VDOT) was either a 45 or a 46. This meant a mile time between 6:17 and 6:25. So, with this in mind, I went to the track to run for the big day on Good Friday.

The Science of Peaking

One of the key concepts in the world of distance running is that of peaking. Some who are very good at it can be at their absolute best on the exact day that they need it for their key event. I must admit that this is something that has always been more of a trial and error for me. One of the things that makes it harder is that the human body can only handle peak performance for so long. This is why it is not uncommon to hear runners talk about getting a cold right after their biggest race of the season. So, it was with some concern that I noticed that my sinuses were draining on Tuesday morning. By Friday, I had a full-on cold, but I had run some great times despite having a cold before, so I decided that the big day would go on as scheduled. Because I wasn’t sure what kind of shape I was in, I would know by the first 200 meters whether to go for the faster time or the slower time. If I was under 47 seconds and still felt pretty good, I would go for the faster pace. If not, I would go for the slower pace.

The Culmination of a Season

It was with this in mind that I started the mile. I was through the first 100 meters in about 23 seconds, which was good for the fast pace. Then, when I looked at my stopwatch for 200 meters, I was under 47, and I felt pretty good, so I decided to go for the faster pace. I finished the first lap in 1:34.96, a little bit over my goal of 94 seconds per lap, but I still felt pretty good, so I thought that I could pick up the pace just a little and still be fine for the rest of the run.

Then, as I started to run the second lap, I felt pretty good, and I hit the 600 meter mark in about 2:21, which had me on pace to finish the race at my goal. However, what I didn’t realize earlier was the fact that my cold started to wreak havoc on me, and even though my lungs didn’t bother me, I just couldn’t really get my legs to go very fast, as I hit the halfway mark in 3:11.99, meaning that my second lap took 1:37.03. The slowdown would continue, as I ran the last two laps in 1:42.80 and 1:42.84, for a total time of 6:37.63.

Thoughts on the Season

As I’ve said earlier, the pace was disappointing, even though it was faster than I thought I was capable of at the beginning of the season. At the beginning of the season, I would’ve been happy with 6:49 or less, but I noticed that my pace improved faster than I thought. I also thought about the nature of timing. Once the cold hit, I knew that I only had so much time to run for my big run because of the way these things work when you’re at your peak.

However, this is not my biggest goal. My biggest goal is breaking a long-standing barrier, and I have started to look at my goals for the fall. Because of the fact that I am doing a longer build-up, I think that this means that I can have a bigger improvement, so I’m looking at the big races for the fall, and my mile goal will be a 5:27 in October, and running the 5K in 19:57 in September.

What do your results tell you about your future goals?

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The Tenth Step toward Riches- Napoleon Hill

Hi, everyone. Welcome back to my weekly series on Think and Grow Rich, the classic work of personal development by Napoleon Hill. I must admit that this is the most difficult section of this book to write about, because there are things that might be very difficult to find a handle on for those who are not familiar with this book.

Where Does Energy Go?

In this chapter, Napoleon Hill argues that sex transmutation is one of the most powerful motivators in the world, and that this is something that is very difficult for people at a certain age. He defines transmutation as transferring energy from its primary form to something else in order to make it useful in another way. He argues that this is something that is easier for people of a certain age (usually over 40), because people at a younger age have much more difficulty controlling this form of energy, and that focusing entirely on one area (such as sex) will make it much more difficult to succeed.

This is not something that means that someone should entirely ignore aspects of their lives for the purpose of becoming a titan of industry. Personally, I think that this is a way of arguing for a balanced life. If the only thing that we do is focus on one aspect of our life, no matter what that aspect is, our lives will be very hollow. If someone focuses on building wealth and ignores time spent with his/her family, that wealth will be very hollow and little comfort. If someone focuses entirely on the mental aspect of life and ignores physical health and well-being, it will be much more difficult to enjoy life. Of course, the exact same thing is true in reverse. Ignoring building wealth and spending all time with family will only lead to frustration from not being able to meet material needs, and no one wants to live an unexamined life by focusing entirely on the body. As Stephen Covey says in The 8th Habit, each of us have four major aspects of life: mind, body, heart, and spirit. The only way to be truly fulfilled is to nurture all four.

In what ways to you harness your energy to live a balanced life?

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Hi, everyone! As a Christian, this is Holy Week according to the liturgical calendar, which is the most important time of the year for Christians. For this reason, I have been thinking about some matters of faith. One of those that came to mind was an inspiration that I had when I went to the bookstore at the seminary where I graduated last year to talk to the woman who works at the bookstore there. While I was there, I noticed something very interesting in the Bible section that made me think about the nature of what we do in life.

Controversy from a Color

One of the biggest controversies in Christendom in the last few years was the release of The Green Letter Bible, a Bible printed on recycled materials with more environmentally-friendly soy ink and an unbleached cotton/linen cover. This made some fundamentalists furious. Ironically, it had nothing to do with the translation at all. You see, the Green Letter Bible was not a new translation of the Bible, but a re-marketed version of the relatively uncontroversial New Revised Standard Version of the Bible. However, what they didn’t like was the fact that the publishers of this Bible decided to highlight environmental references to the Bible in green letters (hence, the name of the Bible). Perhaps the most famous example of this is Genesis 1:28, which tells the man and the woman (the man and the woman are not named until the third chapter) that they are supposed to be stewards of the environment. (Some fundamentalists argue that the world is going to end soon, anyway, so it is irrelevant at best and taking God’s authority at worst to try to protect the environment.) This translation of the Bible has been around for over 20 years, but it wasn’t until this publication was released that there was so much controversy.

What Do You Emphasize?

Of course, highlighting verses in the Bible by publishing companies is nothing new. A lot of people are familiar with the popular practice of marking the words of Jesus in the Bible in red letters. (A group calling themselves Red Letter Christians have devoted themselves to the practice of focusing solely on the words in the New Testament actually spoken by Jesus.) When I was in high school, I bought a Bible for my dad (because of his complaints that he couldn’t see Bibles with regular-sized print) called the Sword Study Bible that has the words of Jesus in the New Testament in red, as well as the words of God in the Old Testament. While at the seminary bookstore, I saw a Bible called The Poverty and Justice Bible which emphasizes biblical passages related to economic and social justice that look like they are highlighted with an orange marker.

I have seen many of these Bibles, and I thought that it was so interesting to see just how much a simple change in emphasis affects what we read and what we see. Rather than changing the words, all it takes is emphasis through either highlighting or changing the colors of the letters to make someone really see something completely different that a lot people never really saw before. I guess that this shows that all we have to do is look for different things to change our outlook on life.

What things have changed your view of the same situation?

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They will hammer their swords into plowshares and their spears into pruning hooks
Nation will not lift up sword against nation
And never again will they learn war. Isaiah 2:4b

One of the most interesting things to me about life is how things tend to apply sometimes in areas that are completely different than where someone learns it in the first place. One of these areas has been my time in the military.

What Lasts May Surprise

I was in the West Virginia Army National Guard for six years, and I was a sergeant for the last three of those years. Fourteen months of that time, I was activated for the Iraq War. A lot of the stock answers about what military training does for people seem to be the things that people want to say are the best parts of military service. To the extent that those occur can be argued, but one of the things that has surprised me is what is one of the easiest ways to tell when you are with a veteran. As long as that person has no physical problems that affect him/her, the veteran will almost always be the first person to finish eating. I don’t always eat faster than my wife, but there have been times where I’m completely finished with my dinner and she isn’t even halfway done, and I assure you that I take no head start and I am not racing.

A New Talent

Another very interesting thing is the civilian application for a lot of things that you learn in the military. My MOS in the military for five of those six years was as a combat engineer. This meant that I learned a little bit about building bridges, but for the most part, we learned about detecting and defusing land mines, and planting explosives, especially Claymore mines. This means that we had to be very good at hiding things. Because I’ve never had a civilian job involving demolition, I thought that there wasn’t much use for what I did in the military in the real world in terms of specific skills.

Then, a year after I left the military, I was named the leader of the junior youth group at my church. Because of this, I often volunteered for events at the church where parents would bring their kids. One day, our church had a spring carnival, which I volunteered for. When I got there, I was asked to hide Easter eggs. There were two rooms for Easter eggs. My assistant didn’t do a lot of hiding based on the number of eggs that she had because she didn’t really know of anywhere to hide the eggs. However, I didn’t know what she was doing in her room, but in mine, I found a lot of hiding places that weren’t obvious at all. The kids just loved going into the room where I hid the eggs because, to my memory, there wasn’t one egg that was hidden in plain sight.

I’ve hidden Easter eggs in church a couple of times since then, and I surprised people by my ability to find places to hide Easter eggs. Even with older kids and adults helping the little kids find Easter eggs, they were very challenged by my hiding skills. At first, it seemed to me like I was doing the obvious of just finding places where it would be difficult to find the eggs, but because I learned how to hide things literally as if my life depended on it (although I never actually had to do this in Iraq), I’ve been able to bring enjoyment to kids and amazement in adults at all of the hiding places that I found.

What have been some surprising applications of other skill sets you have developed?

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Don’t wish life were easier; wish that you were better. Jim Rohn

Hi, everyone. Have you ever thought about what it takes to build success in life? It seems like there are definitely some distinct groups of schools of thought in personal development. Because of the recent success of The Secret, there are a lot of people who have been very interested in the Law of Attraction. However, there are a lot of people who insist that the Law of Attraction as stated in The Secret is overstated, and they focus more on specific examples of work that people have to do in order to have success in life.

If you are one of those people, I would like to recommend the works of someone who focused on principles that led to a greater effort: Jim Rohn. What I like so much about the work of Jim Rohn is the fact that he was someone who was a big believer in effort, not hype, and he would be the first person to tell anyone who is waiting for the Law of Attraction to simply allow them to attract success that they must work on improving their skills.

However, Jim Rohn, unlike some people who write about the nature of success in business, also had an expanded vision of success that reminded people that they must always focus on becoming better people. He reminded people to live an ethical life, and never earn money at the cost of your principles, developing relationships with your family and your loved ones, or your personal faith and spiritual growth. In short, Jim Rohn wasn’t just someone who could teach you the principles to become successful in business (although he could certainly do that), but he could teach you how to live a fuller life.

If you’ve never read the works of Jim Rohn, or you want to know where to start when learning from this great teacher, I could offer no better place to start than the Jim Rohn Starter Sampler Pack. In this package, which bundles several of Jim Rohn’s classics that are each worth the total price, you will receive The Four Seasons of Life, Jim Rohn’s first book. This book, with its spare narration and beautiful black-and-white illustrations, demonstrates why it is important to live life in a way that adjusts to life’s natural rhythms, and how each season has its own opportunities and challenges. Also included are The Five Major Pieces to the Life Puzzle, which shows what a full and rich life looks like in a sequential order; Building Your Network Marketing Business, an audio CD that explains what it takes to achieve success in network marketing and tells you some of the basic principles that have guided network marketing philosophy for decades. There are also several excerpts from other excellent works (both books and audio) that you can find by Jim Rohn, Zig Ziglar, and Denis Waitley on the Jim Rohn website. If you would like more information on how to develop your personal development library, this is the perfect place to start, and I’ve provided a link for you below:

I love taxes. Taxes are the price we pay for a civilized society.-U.S. Supreme Court Justice Oliver Wendell Holmes

Taxes are our way of feeding the goose that lays the golden eggs of freedom, democracy, and enterprise. Someone says, “Well, the goose eats too much.” That’s probably true. But better a fat goose than no goose at all!-Jim Rohn

Let me tell you something. Last year I paid $3 million in taxes. And you know what I say? I say, that means that I had a damned good year. And I hope I owe even more taxes next year.-Larry King in a conversation with Bill Press, 2000

Today marks the end of the Clever Marketer Prove It Challenge and I’ve been thinking about the best way to mark the end of the challenge as I write my 70th post. Then, realizing that the final day came on April 15th, the traditional last day to submit all tax forms in the United States, I decided to write something with thoughts on Tax Day and taxes in general.

What Taxes Pay For

Today’s post is not a debate over what you think the top tax bracket should be, or whether you think taxes are too high or too low. Instead, these are thoughts on the nature of paying taxes. There are some people in life who talk about a disconnect between the government and its people, which is odd in a democracy considering that it is someone from among the people who gets elected to public office. There is a fair debate over whether or not what the government does is inefficient, something that the private sector can do better, or something that the government shouldn’t do at all.

However, when we talk about what government can or should do, we often ignore the fact that a lot of the things that government does, and things that even the most committed libertarian thinks that the government should do, cost a lot of money. After all, there are 310 million people in the United States, and there are things in the social contract that are expensive when you factor in that many people. Of course, there are debates about how these things should be funded, but in one way or another, things are paid for by taxes. Whether it is a direct spending of money, or giving tax subsidies to people and corporations, the things that a government does says a lot about the priorities of its people.

That being said, there is a huge disconnect between what the government does, and what the people think it does. I’ve gotten chain letters online from friends who say that if we do this, it will balance the budget, not realizing that what they are talking about is millions of dollars in a government with operating costs in the trillions. The average American also thinks that 15% of the federal budget goes to foreign aid, even though it is less than one percent. These same polls think that the United States spends the most of any nation in foreign aid, even though as a percentage of gross domestic product (GDP, or national income) we are dead last among all industrialized nations. When I took political science courses as an undergraduate, I was amused that clear majorities of the American people wanted three things: tax cuts, spending increases, and a balanced budget. Considering the fact that we were in a budget deficit at the time of the survey, that involves some magical thinking.

Then, there is the question as to whether taxes stifle innovation and creativity in this country. To this, I’m reminded that Jim Rohn said that truly successful people will be successful regardless of tax policies. After all, when he began building his personal fortune in 1955, the top marginal tax rate (Marginal tax rates means a rate for any given dollar; effective rates are the total rate of taxation. For example [and I'm using round numbers for the sake of math], if someone has $50,000 of taxable income, and the marginal rates are 10% for the first $20,000, and 15% for $20,000 to $50,000, that person would pay $6500 in taxes; $2000 for the 10% bracket, and $4500 for the $30,000 of income in the 15% bracket.) was 91%. Today, the top marginal tax rate is 35%. Warren Buffett has noted that when he began investing in the 1950′s, corporations paid 32% of all federal taxes, while today they pay less than 9%. Even with all of that, the period from 1944-1974 was the 30-year period with the highest and widest economic growth in United States history, and the top marginal tax rate was never lower than 70%, so I think that they have a point about the nature of success.

With the exception of seminary (which was partially funded by the federal government for a year through tuition assistance from the National Guard and another three semesters after that receiving the GI Bill), my entire academic career has been spent in the public schools, and I earned my bachelor’s degree from a Morrill Land Grant college. I am a veteran, so I received medical benefits through the federal government. Even though I lost by a wide margin, I was nominated by my party to represent my district in the West Virginia House of Delegates. Last spring and summer, after a long period of unemployment, I got a job working for the US Census Bureau doing quality control for the decennial census. All in all, I would say that my country has been very good to me, so like Larry King, I hope that someday I make enough money to owe a lot of taxes. Like Jim Rohn, I encourage you to have a positive attitude toward taxes.

What do you normally think of when it comes time to file your taxes?

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The Driving Force: The Ninth Step toward Riches- Napoleon Hill

Welcome back to the weekly series on Think and Grow Rich by Napoleon Hill. This week, instead of its regular Friday time, I am moving the post to Thursday because I am a participant in the Clever Marketer Prove It Blog Challenge, which ends tomorrow, and I had something planned for my last post. So, today, I’m examining the next chapter of this series.

To this point, everything that has been mentioned in the book is something that is basically internal. You are building on your internal processes and learning about success, what you want to do in order to succeed, and developing your vision. This chapter is the one that turns the process of building success to the outside. This is an idea that has been foreshadowed in other chapters of the book, but now we finally get to the lesson of mastermind groups.

1+1=3?

One of the great things about a mastermind group is the fact that, when it works, the sum becomes bigger than all of its parts. The reason for this is because everyone involved in a mastermind group works together to make success for each person in the group, and they often find ways to work together, as well as that alchemy that adds to the productivity when people work together. One of the examples mentioned in Think and Grow Rich is a mastermind group between Henry Ford and (among others) Harvey Firestone. Ford was an automobile manufacturer and Firestone was a tire manufacturer. What Napoleon Hill didn’t mention was that these two men formed a partnership that lasted until the year 2001, which ultimately dissolved over tension related to the recall of Firestone Tires on several models of Ford cars and trucks.

Building Your Mastermind

One of the keys to building a mastermind group is the need to find people who are committed to sharing their knowledge and accumulated work and wisdom. When you do this, each person can bring his/her own expertise into a group. For example, if your strength is copywriting, but you are a terrible web designer, and you have a partner who is a great web designer but a terrible writer, the two of you can combine forces to learn how to do each well.

Another key is to make sure that the group isn’t too big so that there are people who get neglected in the process. There is also some debate about the number of meetings that should be held in a mastermind. I’ve heard of some who say that a mastermind should meet for as much as an hour or two every week, and others who say that it should only meet once a month. However, in the most generous definition of the word, Hill argues in the revised edition (the version that I have was revised in 1960 with additional stories rather than the 1937 version) that one of the biggest masterminds in history was led by Mohandas Gandhi, who eventually led two hundred million people to overthrow one of the most powerful empires of the world. If Ford and Firestone could build a business partnership that lasted for 100 years, and Gandhi could lead his people to independence, think of what you can do with a few dedicated friends who help each other become their best.

What ways has a mastermind worked for you?

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