Reach Beyond Yourself

This third and final commentary was originally posted December 6, 2012.

Though written almost 3 years ago, the term “Fiscal Cliff” is fairly fresh in my memory. At that time, I was very aware of how closely everyone followed the news, how it dominated most any conversation, and how most people expressed a concern for how the “cliff” would impact them.

I was amazed at how the conversations were so personal, and the actions were not.

When I shared the thoughts below, I stressed the importance of gaining a better understanding of the key issues at hand, the relationship between finances and freedom, and free enterprise and entrepreneurialism. Three years later, our economy has shifted even further. These topics are just as important now, and they hit most everyone even closer to home. Financial literacy is as critical as ever.

What I most enjoy about returning to this post is the perspective and the call to action that the Centurion Advisory group article provided. As I said below, beyond the education and the guidance to take care of things “at home”, I hope this inspires you to also take the opportunity to reach beyond the noise, and reach beyond yourself, to make a difference in the lives of others.

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One cannot develop others in an area he isn’t developing himself. To that end, I have always included a variety of publications and newsletters in my reading cycle that strengthen my understanding of the most significant matters currently driving the course of our nation.

Not the latest trends, and not the messages from mainstream media, but rather the core issues in play, the questions they raise, and the foundational principles being applied (or not) in their solutions. I also enjoy learning from the perspectives of other leaders concerned about the same.

I have always had a keen interest in the history of our nation, and enjoy learning about economic and financial principles. The more I study the two, the more I learn how finances drive freedoms, from our “personal economies” to our national financial systems. This past election, the economy was a core issue, yet our viewpoints on the economic issues showed amazing diversity.

Many viewed the issues from a very personal perspective. Others put aside a concern for personal gain in favor of national strength. Some had short term views, and others looked far into the future. Almost suddenly thereafter, the focus became a pending “cliff” only a couple of months away.

I encourage you to…

• better understand the issues at hand, learn all you can about them and view them through a lens of sound principles beyond the sound-bites being discussed
• understand what drives our economy, what drives our freedom as a nation and learn how they are interrelated
• gain a better understanding of free enterprise and entrepreneurialism, and how integral they are to where our country is headed

But also rise above it. Regardless of the short-term actions taken by the national leaders in the coming weeks, step back and see how little these decisions impact you. Or, perhaps, don’t let them.

In the article below, the Centurion Advisory group adds to their end-of-year outlook a great perspective on inward concern versus outward focus, and the importance of taking actions in both. Beyond the education it provides, and the guidance to take care of things “at home”, I hope this inspires you to also take the opportunity to reach beyond the noise, and reach beyond yourself, to make a difference in the lives of others.

FROM: Centurion Advisory Group, Newsletter, 12/4/2012

Domestic equity markets have followed a very traditional pattern this year. They were up through April, accomplished almost nothing through the end of October, and were up a bit in a volatile November. This pattern generally yields a solid December, but I'm no fortune teller, so we will know for certain the evening of December 31st.

Most investors have made money this year, whether they've invested in stocks or bonds, and regardless of where in the world they have invested. Again, this confirms a very traditional pattern, described by some as the "Wall of Worry". When many are fearful of investing, or concerned that the market will take a plunge, the market can do well. An added complication is that for many of us, the fall of 2008 and spring of 2009 don't seem that far away, and none of us are excited about a repeat. This "Wall of Worry" isn't a perfect pattern, though the general correlation makes for a fascinating study in human behavior.

At the moment, there are plenty of macro issues to worry about, for those who choose to burn through energy worrying about things. Our fearless leaders in DC have gone almost four years without a budget, and they are still wrangling over tax details to avoid what has been called a "fiscal cliff". The U.S., and many other countries, is absolutely covered up with debt, and there is no politician living that is willing to stand in, and help resolve these long term issues. Some wonder what happens to the viability of the U.S. if the U.S. dollar is no longer the world's reserve currency. The Middle East continues to be a milieu of tribal warfare.

If it helps any, let me remind us that there have always been wars, and rumors of wars. Over the last 100 years, there have been two world wars, and almost too many other conflicts to reference. There have been currency implosions, destruction of people groups, tribes, and rainforests, terrorist attacks on the U.S and many other countries, tsunamis, hurricanes, tornadoes, and hosts of other natural disasters, and on, and on.

In spite of this, and sometimes because of it, "here in Topeka", the screen door needs to be fixed, diapers need to be changed, and meals need to be prepared. Life for most will go on, and these "most" will continue to pay their light bill (Warren Buffett figured this out a long time ago), buy groceries for the family, tennis shoes for the kids, and gas for the car. The well run companies that offer these products and services will continue to be profitable, hire new employees, and expand. As these companies see similar opportunities around the globe, they will expand into enterprises with a global footprint.

So, what does all this mean, and how do you take action at the moment? Let me suggest a dual focus, one inward looking, and one outward looking.

First, know that your personal economy isn't directly related to the overall economy. Most of you reading this have developed some level of skill or expertise that allows you enough income to pay your bills. Provided you have food, clothes, and shelter, the rest of your personal economy is a function of one thing - discipline. Our highest and best recommendation is to spend lightly, save diligently, invest wisely and with counsel, and stay far away from debt. These habits and disciplines, exercised consistently across decades, will yield magnificent results. There is no better place to be financially than debt free, profitable, and cash flow positive, and on this issue, I speak from experience.

Now, what about outward looking? About 45% of voters were pleased with the recent elections, and 45% were displeased, with 10%, and growing, fairly agnostic and cynical about the whole thing. And yet, political outcomes, regardless of where we each fall on the spectrum, are white noise compared to other, larger, issues.

For decades, our country has been the city on a hill, the golden land, which offered opportunity to all. From around the world, immigrants came, seeking a life which was better than the one they left behind. For more than two hundred years, we have stories of those from meager beginnings, from all countries around the globe, finding a better life for themselves and their families in the U.S.

A study of these stories reveals a commitment to work, to give, to share, and to help others. A few of the names are Andrew Carnegie, who built many of the libraries in this country, Nathan Hale, who was saddened that he had only one life to give, and Patrick Henry, whose oratory helped inspire a young nation to freedom.

Others include Abe Lincoln, who was seen as inept, yet governed during one of our country's most difficult moments, George Washington Carver, who applied his God given talents in spite of what many would call built in disadvantages, Teddy Roosevelt, who challenged us with his "man in the arena" speech, Ben Carson, raised by a single mother, yet one of our premier physicians, Shahid Khan, new owner of the Jacksonville Jaguars, who came here with little, and Churchill (I know he's a Brit), who through force of will saw a weak England to victory against the Nazi war machine.

Here's the question. What will we choose? Will we choose only to feather our own nest, to hide behind security gates and locked doors, to move only within circles of folks like us? Or, will we choose to reach out? Can we, by example, show the world, even if that world is simply our neighborhood, how to live? Will we intentionally look beyond the belief system, the orientation, the skin color, the accent, the appearance, to hear the story, to offer a word of encouragement, to find a way to help, to be a friend?

Will we bind up the brokenhearted, loose the chains of injustice, help set the captives free? Will we share our food with the hungry, offer shelter to the homeless, and clothes for the naked? Will we choose to restore those broken relationships of our own flesh and blood? Will we choose to offer words of kindness and encouragement, instead of criticism, complaint, and condemnation?

If we will, then we will live in a supernatural light, and will find healing instead of brokenness. We will be given physical strength, and our lives will be as a well-watered garden. We will be called a repairer of broken walls, and a restorer of streets with dwellings.

Time to Make a Difference

How many days are in the typical person’s life? How many hours? How many minutes?

Think about it. What is the average lifespan, and how far along are you? Is it 70? More than that? Perhaps less? In reality, we’re not even guaranteed tomorrow.

Take away time for sleep. Take away time for work. How much time do you really have left?

The math is important, but perhaps it's based on the wrong timeline. Do you to have children? How many days do you have left with them until they turn 18 and go off to college? How many days until the life and direct interactions you have with them now no longer exist? If you’re busy all week in business, count the weekends where you have more face time with them.

Count the number of days that you have with them to make a difference. You have them - are you using them?

Consider the chances you have to make a mark, to give them the tools, to give them the ability to make choices for themselves. The tools that enable them to handle the freedom of life.

You see, the freedom that our children will enjoy is not the absence of our rules and the limitations from the choices we make for them. Freedom is when they will make those choices themselves.

Will your children be prepared? Have you provided the right influence, the right guidance, so that when they leave you they are equipped to handle life?

Have you consistently invested the time with them before they leave to earn the chance to help guide them after they are gone? You see, the influence forced by dependence when they are children will no longer exist. The influence and involvement thereafter is by invitation only - and you’re not the one sending it.

How are you going to invest the very next hour that you have in your life? How many do you have left?

Reach Beyond Yourself

One cannot develop others in an area he isn’t developing himself. To that end, I have always included a variety of publications and newsletters in my reading cycle that strengthen my understanding of the most significant matters currently driving the course of our nation.

Not the latest trends, and not the messages from mainstream media, but rather the core issues in play, the questions they raise, and the foundational principles being applied (or not) in their solutions. I also enjoy learning from the perspectives of other leaders concerned about the same.

I have always had a keen interest in the history of our nation, and enjoy learning about economic and financial principles. The more I study the two, the more I learn how finances drive freedoms, from our “personal economies” to our national financial systems. This past election, the economy was a core issue, yet our viewpoints on the economic issues showed amazing diversity.

Many viewed the issues from a very personal perspective. Others put aside a concern for personal gain in favor of national strength. Some had short term views, and others looked far into the future. Almost suddenly thereafter, the focus became a pending “cliff” only a couple of months away.

I encourage you to…

• better understand the issues at hand, learn all you can about them and view them through a lens of sound principles beyond the sound-bites being discussed
• understand what drives our economy, what drives our freedom as a nation and learn how they are interrelated
• gain a better understanding of free enterprise and entrepreneurialism, and how integral they are to where our country is headed

But also rise above it. Regardless of the short-term actions taken by the national leaders in the coming weeks, step back and see how little these decisions impact you. Or, perhaps, don’t let them.

In the article below, the Centurion Advisory group adds to their end-of-year outlook a great perspective on inward concern versus outward focus, and the importance of taking actions in both. Beyond the education it provides, and the guidance to take care of things “at home”, I hope this inspires you to also take the opportunity to reach beyond the noise, and reach beyond yourself, to make a difference in the lives of others.

FROM: Centurion Advisory Group Newsletter, 12/4/2012

Domestic equity markets have followed a very traditional pattern this year. They were up through April, accomplished almost nothing through the end of October, and were up a bit in a volatile November. This pattern generally yields a solid December, but I'm no fortune teller, so we will know for certain the evening of December 31st.

Most investors have made money this year, whether they've invested in stocks or bonds, and regardless of where in the world they have invested. Again, this confirms a very traditional pattern, described by some as the "Wall of Worry". When many are fearful of investing, or concerned that the market will take a plunge, the market can do well. An added complication is that for many of us, the fall of 2008 and spring of 2009 don't seem that far away, and none of us are excited about a repeat. This "Wall of Worry" isn't a perfect pattern, though the general correlation makes for a fascinating study in human behavior.

At the moment, there are plenty of macro issues to worry about, for those who choose to burn through energy worrying about things. Our fearless leaders in DC have gone almost four years without a budget, and they are still wrangling over tax details to avoid what has been called a "fiscal cliff". The U.S., and many other countries, is absolutely covered up with debt, and there is no politician living that is willing to stand in, and help resolve these long term issues. Some wonder what happens to the viability of the U.S. if the U.S. dollar is no longer the world's reserve currency. The Middle East continues to be a milieu of tribal warfare.

If it helps any, let me remind us that there have always been wars, and rumors of wars. Over the last 100 years, there have been two world wars, and almost too many other conflicts to reference. There have been currency implosions, destruction of people groups, tribes, and rainforests, terrorist attacks on the U.S and many other countries, tsunamis, hurricanes, tornadoes, and hosts of other natural disasters, and on, and on.

In spite of this, and sometimes because of it, "here in Topeka", the screen door needs to be fixed, diapers need to be changed, and meals need to be prepared. Life for most will go on, and these "most" will continue to pay their light bill (Warren Buffett figured this out a long time ago), buy groceries for the family, tennis shoes for the kids, and gas for the car. The well run companies that offer these products and services will continue to be profitable, hire new employees, and expand. As these companies see similar opportunities around the globe, they will expand into enterprises with a global footprint.

So, what does all this mean, and how do you take action at the moment? Let me suggest a dual focus, one inward looking, and one outward looking.

First, know that your personal economy isn't directly related to the overall economy. Most of you reading this have developed some level of skill or expertise that allows you enough income to pay your bills. Provided you have food, clothes, and shelter, the rest of your personal economy is a function of one thing - discipline. Our highest and best recommendation is to spend lightly, save diligently, invest wisely and with counsel, and stay far away from debt. These habits and disciplines, exercised consistently across decades, will yield magnificent results. There is no better place to be financially than debt free, profitable, and cash flow positive, and on this issue, I speak from experience.

Now, what about outward looking? About 45% of voters were pleased with the recent elections, and 45% were displeased, with 10%, and growing, fairly agnostic and cynical about the whole thing. And yet, political outcomes, regardless of where we each fall on the spectrum, are white noise compared to other, larger, issues.

For decades, our country has been the city on a hill, the golden land, which offered opportunity to all. From around the world, immigrants came, seeking a life which was better than the one they left behind. For more than two hundred years, we have stories of those from meager beginnings, from all countries around the globe, finding a better life for themselves and their families in the U.S.

A study of these stories reveals a commitment to work, to give, to share, and to help others. A few of the names are Andrew Carnegie, who built many of the libraries in this country, Nathan Hale, who was saddened that he had only one life to give, and Patrick Henry, whose oratory helped inspire a young nation to freedom.

Others include Abe Lincoln, who was seen as inept, yet governed during one of our country's most difficult moments, George Washington Carver, who applied his God given talents in spite of what many would call built in disadvantages, Teddy Roosevelt, who challenged us with his "man in the arena" speech, Ben Carson, raised by a single mother, yet one of our premier physicians, Shahid Khan, new owner of the Jacksonville Jaguars, who came here with little, and Churchill (I know he's a Brit), who through force of will saw a weak England to victory against the Nazi war machine.

Here's the question. What will we choose? Will we choose only to feather our own nest, to hide behind security gates and locked doors, to move only within circles of folks like us? Or, will we choose to reach out? Can we, by example, show the world, even if that world is simply our neighborhood, how to live? Will we intentionally look beyond the belief system, the orientation, the skin color, the accent, the appearance, to hear the story, to offer a word of encouragement, to find a way to help, to be a friend?

Will we bind up the brokenhearted, loose the chains of injustice, help set the captives free? Will we share our food with the hungry, offer shelter to the homeless, and clothes for the naked? Will we choose to restore those broken relationships of our own flesh and blood? Will we choose to offer words of kindness and encouragement, instead of criticism, complaint, and condemnation?

If we will, then we will live in a supernatural light, and will find healing instead of brokenness. We will be given physical strength, and our lives will be as a well-watered garden. We will be called a repairer of broken walls, and a restorer of streets with dwellings.

Your Greatest Competition

No matter your level of success, there is always at least one person who is out to beat you… determined to pass you and render you obsolete. Therefore, make sure that your greatest competitor is the future version of YOU.

How many times have you heard, “Your competition never sleeps?” How often have you been warned that your company should never be complacent, no matter your current level of success?

In the business world, competition is fierce. It is constant. When you are on top, many others are working on a plan to enhance what you provide, steal a share of your market, or worse, create the “game-changer” that makes your products or services obsolete. Even when you create the game-changer yourself, the competition is either already at work on the next one, or tearing your idea apart looking to create a better Version 2.0, while some simply want to knock you down.

Have you ever considered the same principles apply to you as an individual?

Perhaps you’ve seen someone plateau at work, only to be surpassed by a more determined candidate. Worse, you have probably witnessed someone take their eyes off the ball – through a lack of judgment or a misstep in character – virtually handing the prize to others.

Few recognize the power of competition, and even fewer will consider that competition important enough to warrant action. In time, those that fail to take action will be replaced, rendered obsolete, or at best left to dwell in relative mediocrity.

Most people reading this may think the message here applies to the business world, and only the business world. What if that same principle also carried over to every other aspect of your life? What if there is someone in competition for your spouse or significant other? What if someone is out to steal the attention of your children, vying to exert influence that should be reserved for you? What about your personal finances, and the financial principles that govern your treatment of money and your financial future?  Who is out to gain at your expense? Who is out to somehow negatively impact your mental, physical or spiritual fitness?

I don’t bring this up as some kind of “scare tactic”, but a true reminder that unless you’re PROactively improving your awareness, mindset and knowledge in the areas of business, family, finances and other key areas – you’re falling behind and leaving yourself vulnerable.

There is always someone out there trying to pass you, either by forging ahead or by bringing you down a notch. Sometimes both. Think about what is most important to you. Consider the fact that others are competing to take that away from you. What actions are you taking to assure that you’re able to overcome that competition, knowing that there will always be competitors?

Make the future version of you your greatest competition, and you’ll be starting on the right path for success and constant improvement in life and in business.

The History of Our Freedom

I've been watching the HBO mini series John Adams on DVD. What a powerful account of the efforts and sacrifices made by our forefathers to secure the freedom and liberties that our nation enjoys today.

There are likely several inaccuracies in this account compared to the true history of these events. Frankly, that's not going to make me throw out the overall message. The principles, and their basis, are too important to ignore.

I hope that more people study our history - the events, the foundations, the perspectives and the people - to better understand the origins of the freedom that was secured on our behalf. We need to learn from our history and foundational principles rather than discard them out of ignorance.

I would also hope that we would more carefully understand the references that we cite in our political arguments, such as our constitution and the bill of rights, to understand the true language and purpose behind the writings created to both document and preserve our freedom.

As one of my mentors often says, "Know why you believe what you believe."

What made us a free nation will keep us free. What made us strong will keep us strong. What was won on our behalf must be preserved.


"Freedom is never more than one generation away from extinction. We didn't pass it to our children in the bloodstream. It must be fought for, protected, and handed on for them to do the same."

Ronald Reagan

The Incentive to Succeed

One of my network connections sent out a weekly commentary today. Great information to spur thought and conversation.

"Lyndon Johnson declared a War on Poverty, some 40+ years ago. Based on proposals I've seen, it appears that a War on Prosperity is on its way.

Current proposals would increase the top federal income tax rate to 39.6% for those with $200,000 in AGI, or $250,000 in AGI for joint filers.

In addition, about one-third of these earner's deductions would be disallowed, and we can expect payroll (FICA) taxes to be applied to all income over $250,000.

This combination of benefits will increase taxes for taxpayers in this bracket by about half. Finally, capital gains tax rates are expected to increase to 20%.

The beauty of this strategy is that the 2% of taxpayers affected cast only about 4% of the votes."

I was drawn to the final line about "votes" represented by the impacted taxpayers. I recall the recent elections and the campaign platforms, and put the entirety of this commentary in that perspective. It suggests that the slim minority of the voting public, affected by these proposals, lack the power to respond with any force in the ballot box.

I think that a review of history and a comparison of other national economies have both shown, however, that the general prosperity intended by this redistribution would eventually drive the opposite results. The incentive to succeed, to work towards prosperity, becomes a negative incentive when the fruits of those efforts are taken away. Over time, when the rewards diminish, the incentive to prosper fades as well.

I welcome your comments and insights.

Spreading the Wealth

I received this in an e-mail recently. I welcome your comments!

You cannot legislate the poor into freedom by legislating the wealthy out of freedom.

What one person receives without working for, another person must work for without receiving.

The government cannot give to anybody anything that the government does not first take from somebody else.

When half of the people get the idea that they do not have to work because the other half is going to take care of them, and when the other half gets the idea that it does no good to work because somebody else is going to get what they work for, that my dear friend, is about the end of any nation.

You cannot multiply wealth by dividing it.

Prosperity?

"I contend that for a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle."

Winston Churchill

Never Give Up

Winston Churchill is widely considered one of the greatest leaders in history. The freedoms many nations enjoy today are in large part due to the stand that he and his country took during the second world war.

Researching leadership, I have found Churchill time and time again credited with some of the most thought provoking quotes - sayings that apply today as much or more than they did in the context of their original delivery. Principles are indeed timeless.

One quote for Churchill seems to stand out among all the others. Its about perseverance, a strength that all great leaders and successful people have shown. It is by far one of his most quoted speeches, in part due to distortions about what he actually said. The myth is that he stood before a group of students later in his life and delivered a short, one-line speech and returned to his seat. You may have heard a version similar to this:

"Never, ever, ever, ever, ever, ever, ever, give in. Never give in. Never give in."

If that had been his entire speech, the message and the dramatic effect both would have been sufficiently powerful. That’s likely why it is repeated so often. I find it important to know the full message, in full context. We can appreciate that message, and the principle, more fully.

On October 29, 1941, Winston Churchill visited Harrow School to hear the traditional songs he had sung there as a youth and to speak to the students. The speech was a little less than five minutes in length. The often quoted lines, in full context, are included in the excerpt below.

"You cannot tell from appearances how things will go. Sometimes imagination makes things out far worse than they are; yet without imagination not much can be done. Those people who are imaginative see many more dangers than perhaps exist; certainly many more than will happen; but then they must also pray to be given that extra courage to carry this far-reaching imagination. But for everyone, surely, what we have gone through in this period - I am addressing myself to the School - surely from this period of ten months this is the lesson: never give in, never give in, never, never, never, never-in nothing, great or small, large or petty - never give in except to convictions of honor and good sense. Never yield to force; never yield to the apparently overwhelming might of the enemy. We stood all alone a year ago, and to many countries it seemed that our account was closed, we were finished. All this tradition of ours, our songs, our School history, this part of the history of this country, were gone and finished and liquidated.

"Very different is the mood today. Britain, other nations thought, had drawn a sponge across her slate. But instead our country stood in the gap. There was no flinching and no thought of giving in; and by what seemed almost a miracle to those outside these Islands, though we ourselves never doubted it, we now find ourselves in a position where I say that we can be sure that we have only to persevere to conquer."

This message remains as strong and as true as the day it was spoken. As individuals, and as a nation, we must strive to understand the meaning of and need for perseverance. We must take note of what is at stake, and persevere in the causes, positions and principles that will ensure lasting peace and prosperity.

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