The Secret to Wealth and Success -we never learned in school.

One of the things I did not learn in school is how to get rich. Another is how to become wealthy.

(There is a difference in simply being 'rich' and then becoming 'wealthy'.)

The answers are simple and it will take one stone to knock this one out there.

You create a company.

First you have an idea.

How many times so far in this life have you stopped for a moment and thought... "Wow! I think I have an idea that would make a lot of money!"

This has happened to me a number of times.

Has it happened to you?

The difference between you and someone who becomes rich is - belief in oneself.

Temerity.

Conviction - conviction that if you put a little money behind the idea and tell a few friends it will work.

Yes- it could fail, but what are the odds compared to the odds of buying a 6/49 ticket?

The odds are far better that you will get rich from your "followed-up-on" idea, putting some effort into it and some chatter.

"Oh.. but someone will steal my idea!" , you say.

Well maybe, but probably not. In fact, the odds are very good that someone with money will see you have an idea and the energy to follow through on it and will buy a small share and help you bankroll it.

So imagine you go and register the company for $30 down at the the Palais de Justice in Montreal - or in the rest of Canada I suppose you could do the same at the city Court House -check with a lawyer.

Now you can save any and all receipts from gas, to bus tickets, to pencils, computers , cell phones, business meals, one room in your house plus the cost of maintining that room and reduce your taxes as a result and keep more of your money. They key is to show that you are intent on making a profit in a few years. This is not supposed to be a tax dodge. The tax saving is an inducement to help you make more money and eventually employ people who will pay taxes!

The tax laws in Canada are framed by Tax Lawyers who represent clients who own businesses and make gazillions of dollars and pay tax Lawyers to use the tax code to the best of their ability to reduce their exposure to paying taxes.

So once you exceed $100,000 in gross earnings (a kind of line in the sand) in your registered company, it is definitely time to look at 'upping the ante' and becoming Incorporated to further protecting yourself from Liability.....more expenses and big deductions and perhaps as your millions of gross earnings expand, you shift your operating shares of the company into a 'holding company'. That's when the fun really begins. Then you get into family trusts and protecting more of the money.Then you do an 'Estate Freeze' and save or defer loads more in taxes and keep more for yourself. Further, you buy Universal Life Insurance to protect your family from capital gains taxes on your company if you happen to die. But then if you don't die you can always give the policy over to a bank later in life and borrow against it for retirement income-tax fee and in exchange, the bank gets paid from the policy and the benefit when you die. Not a bad deal!

These concepts and words I bandy about so freely really do exist, but you have own a company and the company must be earning some serious change for you to benefit.

Now before you go and say, "Oh, I could never so that!", just think about it a bit.

It all starts from an idea.

Then you surround yourself with the right people - not those who 'nay-say' and cause doubt saying they are just helping you to not hurt yourself, there-bye helping you to defeat the idea before it gets off the ground. No! Surround yourself with business advisors and Lawyers and people who will help you get the idea flying with the right planning! That's their job! You just make it fly with your magic and enthusiasm, belief and vision!

Surround yourself with the right people. You hire Lawyers. Ask friends if they can refer you to an advisor who won't charge on the first meeting.

So many of our kids are struggling to become doctors and Lawyers. There is nothing wrong with owning a plumbing business. Some of Canada's wealthiest people own these kinds of businesses and they hire our Lawyer son's and daughters.

You don't need to become a service professional like lawyer, you just need to be ables to hire and employ them. I know people who surround themselves with various specialized Lawyers - Tax Lawyers, Litigators, Civil Lawyers, Mortgage Lawyers, Copy Rights Lawyers and more.

You just need the idea and the guts to follow your dream, and hire those who would save you taxes and help you create business strategies. You have fun with making the dream become real. Just do it!

In school I wish I had heard this message rather than "learn to get a good job". A good job is fine, but ...

DRIP Dividend Investing Without Paying Commissions

Investing these days is composed of many variations and different risk/return types along with derivatives- in the case of the 'options' market.

And these variations have become a distraction from a core element of investment, an element which while powerful and elegant is also easy for all to use for some very secure returns -even in declining markets.

The method I propose here is safe, fun and easy.

HOW

• Begin by buying one share of your selected (dividend producing) company. I use BMO, but you can use which ever bank you prefer -even the one you use to house your cash or select a company that issues dividends. You can google these if you don't know any. (Select dividend paying companies.) Why one share only? Because you must be a shareholder before you can enter the plan and one share is all that is needed to be purchased at full price.

If you don't have a brokerage account through which to buy the share, then either go to your bank to set a securities account up or go online and select an on-line brokerage with the cheapest brokerage fees and the best explanations and beginners platform you can find. You can google these as well. I use Questrade. The cost per transaction is cheaper than what one will pay on a bank sponsored account. It used to be $25 per trade versus $4.00-$6.00 with Questrade. You can also check out Etrade.

If you would rather have a human guide, an 'independent advisor' (not part of a big company selling a platform of set products) who has, as part of his/her service, a step by step plan to teach you how to do this. I do this for those who need, but there is a modest cost for my time. However this is something easily done on one's own.

Make sure your advisor can deal with you via e-mail and is willing to be 'fee-based' and will not try to sell you all kinds of products -unless you determine at some later time that you need them.

Also check to see that he/she can visit from time to time to help you out. However using an 'advisor' is not the point to this entry. He or She is simply a user friendly guide to help you have a fun and interesting entry to this world of 'investment'.

So what is a DRIP?

DRIP means Dividend Reinvestment Program.

"What's so exciting about this? It sounds kind of boring. Think I'll go back to Facebook now..."

WAIT! YOU CAN MAKE A LOT OF MONEY CHEAPLY WITHOUT MUCH EFFORT AND EXPENSE AND IT IS 'GOOD' FOR YOU AND CHILDREN!

DIVIDENDS PAY FAR MORE THAN ANY BANK ACCOUNT!

OK, if you are now bored, go back to Facebook.

Here's how to set it up.

First, buy 1 share of your selected dividend paying company to become a shareholder.

• Now, since it just may be the last time you are going to use the broker and you are not buying in bulk/volume as in a 'board lot' of 100 shares, expect to pay a high administration fee of say $75 to $100 for this one time transaction type. But it is worth it. You have to start somewhere.

• Then look up the Dividend producing company on line and give a call to the investor relations department. If you google them, you'll also be able to send that department an email.

• Ask for the application and guidelines for their 'Dividend Reinvestment Program'.

If you are on-line, they should be able to send you a pdf attachment to print up , fill in, sign and send back. Or using snail mail, they'll send it to you.

• Once you are accepted, they will send you a statement showing your 1 share, enabling you to send back a check to purchase more of their shares. -If you happen to have change accumulating on your bureau, take it to the bank, deposit it to you account and then write a check for the same amount and send it in.

I know- the share price might be $35, while you have sent in only $20. This is ok. They usually allow fractions of shares to be purchased. Check their guide line brochure first or even ask by e-mail if fraction shares are purchased. BMO and RBC and other banks do offer this. The administrator of the plan for BMO is called Computershare.

In a few weeks you'll receive another statement showing your own first share plus the fraction you just purchased. And you will be asked if you would like to buy some more. WITHOUT HAVING USED A BROKER OR ANYONE ASKING FOR FEES.

How do you think the 'wealthy' become wealthy and stay that way?

THEY REFUSE TO PAY ENORMOUS FEES!

The idea is to keep buying with amounts that you can afford.

The shares you now own will PAY YOU dividends two time per year. You want to have these dividends reinvested, rather than going to your bank account -(for now), buying you more shares on auto pilot even as you sleep.

AUTO PILOT -AUTOMATIC DISCOUNT IN PRICE!

OH yes! Before I forget! Because the price you pay is usually the best of the last 5 trading days, you usually pay a price per share, that can be as much as 5% below the current market. This is another trait of the wealthy - always buy at a discount!

TO YOUR CHILDREN! SEEDS TO WEALTH or INDEPENDENCE

Imagine! You could even buy a share and transfer it to your grandchild and then have them enrolled or their parents enrolled so that they can now put a slice of all birthday money and gift money into the plan. Dividends pay far more than any bank account! And are taxed much lower!

Children who have these plans as a small hobby, begin to see that, almost without trying, they have a garden of shares growing for them whether they plant more money or not!

These children, as they grow up come to realize the value of investing earlier than other children. It has become part of their being or culture. They have become used to it the same way I became used to collecting hockey and baseball cards or stamps. But this hobby pays more frequently! Later as one grows with it, so too does wealth.

What is wealth?

Simply defined, 'wealth' is .."every dollar you keep, over and above what you need to pay out."

If every one of those kind of dollars keeps paying you, you get get rich. For those dollars to pay you, you must use the most effective harness or system. But you need to know some other systems besides savings accounts or Canada Savings Bonds which don't pay much and are taxed higher.

You see, dividend stocks, pay a reward- like interest, - but called "a dividend" twice a year, back into themselves buying more shares for you or straight into your bank account without buying more shares. If you have the dividends going to your bank account you can then spend them, but your investment grows slower. The object here is to have them reinvest continually expanding their pay-out power until later when you will really need the payments.

And one day if you own enough of them, the dividends will pay more a salary or pension so that you do not "have" to work to live, enabling you to choose whatever you want to do with your- 'life time'.

This is true 'wealth'. It is not 'rich', but this empowerment, the ability to not "have to work" is where children of wealthy people start in their lives. They are not looking for jobs to simply pay bills. Their bills are already paid for by passive income like dividends.

Most of us -perhaps you and me- started out having to 'get a job' and work for someone else until we could retire later in life. 'Retirement' is the 'middle class and lower class VERSION of independence'.

Some might even say it is modern day slavery! But that would be rather cynical view point would it not?

What were you taught to 'think' in school - 'how to get a job and be employed' or 'how to become one of the independent wealth owners in society'.

There is nothing wrong with what we were taught, but there are other ways. What do you think is taught in the Private Schools.

HOW MUCH 'LIFE TIME' DO YOU OWN?

Imagine being able to select a job not based upon salary or payment, but rather on pure enjoyment of the 'LIFE TIME', you (choose) to spend doing it.

After all, do you know how long you are going to live?

So LIFE TIME is a precious commodity. It is far more valuable than money.

It is your first and most important currency -which we are trained to trade away for minimum wage and then at higher premiums depending upon the 'job' we train for.

If you were already earning dividends or 'passive income', to pay your bills, you might choose an occupation that is more creative and rewarding to your inner self-worth and creative being. You would be free to 'invest your time' in learning to perfect your creative processes -write books, volunteer, or yes- even 'work' for someone else, ...but only so long as it was an enjoyable way of living your life

Being paid enough by dividends or passive income from stock/shares to pay bills, if your 'work/occupation' is not enjoyable and causes you to grow weary- then quit!

Since you are already independent of the salary and pension packet you earn, since you already have enough dividends coming in, paying your bank account so you always have enough to pay all your bills -or most of them anyway you are free!

A DRIP program is not just a wonderfully simple and safe way of investing. It is in 'practice', the first step to acquiring 'Wealth Mind' or 'Independence'. It is like learning to walk. There are all kinds of ways to invest money to gain return, but this should be the first one taught in school. It is the missing link.

For me 'independence' is the ability to be free to decide what I would like to do with my 'literal life time' (however much we are gifted with) -'for me first'- without being obligated to go punch a clock. But then one is also free to 'choose' to do that if that is what one enjoys. The key is to have the choice.

I know -easier said than done, but it is do-able. For those who are already half way through their life, one has to create a bridge to that goal - a plan. But those who do have the potential to become independent before retiring at 65 or 70. Being independent does not mean being inactive with one's life.

We are taught from a very early age how to set up our system of dependence on having employment. What we really need to be taught in addition, from an early age, is how to be independent at an early age or even develop our own business in something we enjoy, so we can employ those who choose not to be independent.

Were you directed to consider this choice in your school?