Good Money Revolution

How to Make More Money to Do More Good

Derrick Kinney

• Publisher: Skyhorse
• Year: 2022
• eBook ISBN: 9781510772922
• Topic: Personal Development
• Subtopic: Bookkeeping & Budgets

WALL STREET JOURNAL and USA TODAY NATIONAL BESTSELLER!Do you feel like you deserve to make more money? In Good Money Revolution, you'll learn to make more money, live the life you deserve, and change the world, too. Derrick Kinney is the fresh financial voice to guide you there.This book gives you a shame-free, simple success plan for your money—without cutting out your favorite latte!You hate debt and worked hard paying it down.Now you wonder, What's next? As you worry about the future, you can't afford to get it wrong and need a financial plan that fits your unique goals and dreams.You want to make more money and make the world better, but you don't have a clue where to start.You should have a bigger paycheck, enjoy real financial freedom, and live the life you've always wanted. If you're not making the money you deserve, and you're not making the impact on the world you've always wanted, there's a better way for your money today.Money is good and you should have more of it. But not for the reasons you might think.Here's a secret: lots of money won't make you happy—until you add meaning to your money. When you connect your cash to a cause, your money to a movement, and your profits to a purpose you love, you will make more money and create a life full of meaning and purpose.In Good Money Revolution, you'll discover:

• The secret to making more money—your Generosity Purpose
• 5 money mindsets keeping you from cash
• How to teach your money to make you money—and use it for good
• The 3 Levers of Money: Save More, Crush Your Debt, and Earn More
• How to transform your business and create a raving customer base

Don't just make money. Make Good Money. This book will show you how. Welcome to the Good Money Revolution.

PART 1

Good Money

CHAPTER 1

Money Is Good, So Make More of It

MONEY IS GOOD. I like money, and I’m not ashamed or embarrassed about thinking that way. I enjoy making it, managing it, and giving it away. I love that it has provided a comfortable life for my family and me and that it allows me to help make the world a better place. Money is good because you can use it for good; you can use it to change the world.

I’ve always believed that money is good. Thinking back to my childhood, I enjoyed it even then—making it, saving it, dreaming of the good I could do with it. Most summers included a two-week visit to my grandparents in Wenatchee, Washington. Sitting on the floor of their living room, I spent hours looking at the Sears, Roebuck and Co. catalog, dreaming of owning the go-cart pictured on page 16. Wow, I thought to myself—if only I had that go-cart, my life would be complete. I promised myself that someday I would be able to buy it.

I was determined, and I stayed determined long after I had forgotten about the go-cart. Beginning at an early age, I kept a cash book, where I tracked the intake and outflow of every penny that passed through my hands, even the quarter I found on the sidewalk near our home in suburban Arlington, Texas. An amortization chart on the back of my closet door tracked the money I loaned to family and friends. My parents humored me as I loaned them five dollars and charged interest. I had a few entrepreneurial ventures, too, including, at the age of eleven, a bicycle-inspection business. My first client was my nine-year-old sister. I charged her a dollar for a handmade sticker that I attached to her bicycle. She was thrilled.

Growing up, we didn’t have a lot of money. My dad was a metallurgical engineer and my mom worked part-time to make ends meet. As a child and into my teenage years, I watched my dad “talk the talk” but struggle to “walk the walk.” He would always look for ways to make more money and was intrigued by various opportunities to provide for our family. But he wasn’t able to make them sustainable. He got transferred, relocated, and laid off more times than I can count, resulting in six moves before I was in the sixth grade. It took a great toll on me. I felt lonely and frustrated. I never had the newest shoes or clothes or the nice house. In fact, I remember playing my first Little League game in worn blue sneakers from Kmart when everyone else had new, nice white cleats. It was obvious I didn’t belong—and I never wanted anyone else to feel that way. Even as a teenager, I was constantly asking myself, How can I help other people? My church was sending missionaries to Third World countries and needed money for supplies. The food pantry a few blocks from my house was always in need of more canned goods and volunteers. Everywhere I looked, there were needs waiting to be met.

Once I started working part-time packing grocery store shelves, I began tithing 10 percent to my church and anonymously donating to the local food pantry. (The anonymous part would stick with me.) I knew the number typed on my paycheck wasn’t set in stone, that it could grow and be used in bigger ways than I could imagine to help others. Growth and impact were infinite.

It was then that I realized why I liked money. It wasn’t for the power or the prestige. Money was a tangible tool that could be used for good, and the more good I wanted to do, the more it motivated me to make more. As a teenager, I intuitively knew what years later I would see confirmed by academic research—that the best thing about making money is the benefit you get by giving it away. When other people had a need, I always asked, “What part could I play in this?” Growing out of that epiphany was a love for investing, saving, and earning.

That year, I started working two jobs—one at Chick-fil-A during the daytime and one at Montgomery Ward selling shoes in the evenings. My hard work caught the attention of my bosses, and they began to open doors for me. I received rewards, raises, and greater responsibility. I knew money was a path to a better way of living. There was something special about coming home from a full day’s work and knowing I had added value to my customers’ lives. Who doesn’t love the bigger paycheck that comes with that? For me, the real magic happened when I gave some of that money to the causes I believed in. It felt like a double return.

Insecurity—the sly beast that rears its ugly head—threatened to return during my junior year in college. I was living at home, working my way through school, but when my dad lost his job due to a mass layoff, he and my mom moved to Oregon, where he had found work. I felt alone. I began to doubt myself. I was on my own and it was a do-or-die moment. I decided that empowerment would replace insecurity. That’s when I declared my independence and reminded myself that I could be anyone I wanted to be.

Right out of college, I took a job as a marketing manager for a small software company in Fort Worth, Texas. The company didn’t manage their payroll very well and my paycheck bounced twice. Having to tell my church that my tithe check that month was hot was humbling. Another defining moment occurred after our company’s product launch, when I was passed over for an expected bonus. I was angry and tired of relying on someone else to tell me how much I was worth. I thought of my dad, who had kept working at jobs he disliked in order to support his family, and I decided I had a choice. I could keep working for someone and rely on them to tell me how much I was worth, or I could take the risk and work for myself. I decided to bet on myself and take the leap. I changed careers and began to pursue my passion of helping people make money. While working full-time, I studied hard, earned multiple licenses, and began building my business, ultimately leaving my job and starting what would become a nationally recognized investment practice.

When I began as a financial advisor twenty-five years ago, I wanted to help people reach the goals that were important to them, and the way to do that was with their money. Money was the tool that could help people enjoy the good life they wanted and do more good for their families, friends, and community. My clients and I were in the same boat, rowing together—as they made more money, I made more.

Then I had another realization. There were many financial advisors for people to work with. Sure, people wanted great returns on their money, and they got them, but they chose me because they felt they were part of something bigger than themselves. I realized that the more I gave back to my local community, the more people wanted to work with me.

Making money just to make money is fun and feels good for a while. But it’s like a drug. You need more and more to make yourself feel better—a nicer car, a bigger house, more stuff. You’ll find, if you haven’t already, that if you want to be truly happy, there has to be more to life than that. There’s a saying I love: “Remember when you wished for everything you have now?” Oof. I know. Wherever you are in your life right now, you most likely wished for it at some point. But it’s never enough. There will always be another new car to drive, house to build, vacation to take. Money and happiness are not equivalent. Unless you give it away. When you do, you’ll often find yourself making more money so that you can give more. It’s a motivating cycle. It’s the cycle of giving.

The key to your success and having a daily passion that fuels you is to connect your cash to a cause, your money to a movement, your profits to a purpose.

For years, you’ve probably been thinking you should be making more money, while at the same time, you’ve wondered how you can play a part in a cause you believe in. Whether you decide to stay in your job or become your own boss, I’m going to teach you how to make more money so you can feel fulfilled and make an impact on the world. But first, let’s talk about how money is good—and why you should have a lot more of it.

CHAPTER 2

Does Money = Happiness?

THINK OF A time when you received a bonus at work, a surprise check in the mail, or a gift card from a friend just because they were thinking of you. Or just think of that feeling whenever you remember it’s payday! Cha-ching! How do you feel? Angry, disappointed, sad? Probably not. Instead, you’re pumping your fist and feeling happy. But we all know that feeling doesn’t last.

It’s nice to have money. Having enough to stay current on your bills and a little left over at the end of the month is a good feeling. Anyone with the experience of being able to consistently pay off their debts and then their mortgage on the pathway to becoming debt-free knows that it translates into a powerful feeling of satisfaction. There is a happiness and a tranquility that come along with it. Insulating yourself from the pressure of being overwhelmed by your bills reduces anxiety, and the knowledge that you were the one who made good decisions to make that happen and to protect your family—of course, it makes you happy.

Money also has other benefits—like healthy eating. Of course, being able to afford good healthcare and more nutritious foods contribute to your health, but even more than this: money makes you happy and being happy makes you healthy. A study of more than seven thousand adults backs that up. Those who experienced positive well-being were significantly more likely to consume fresh fruits and vegetables and be physically active.¹ Don’t prove the old saying to be true that people spend their health chasing wealth, then spend their wealth chasing their health.² Money makes you happy, and happy makes you healthy.

Take it from lottery winners, since they’re a unique example of people who skyrocketed to wealth from ground zero. According to a report for the Camelot Group conducted by psychology professor Dr. Richard Tunney, lottery winners enjoy healthier lifestyles and are more likely to abstain from alcohol and to exercise.³ Not a surprise. Good money promotes good health.

Okay, so money makes you healthier. But how much money do you need to be happy? That’s where it gets interesting. Obviously, it’s difficult to be truly happy if you live in poverty. If you’re constantly hungry or cold, or living in an unsafe neighborhood, or if you have no way of getting out of debt, you’ll be hard-pressed to say you’re happy. Unfortunately, that’s true for millions of people, even here in the United States. But still, most don’t live in abject poverty, so what about the rest of us? Well, it’s a bit complicated.

Researchers rely on data, not anecdotes, and have concluded that while money does make you happy, it makes you happy only up to a point. Economists call it “income satiation,” meaning the point at which more income no longer leads to greater happiness. Studies vary, but generally they pinpoint an annual income of something less than $100,000 as the satiation point.⁴ Intuitively, this may not seem to make much sense. Even in your almost-six-figure nine-to-five job, can you really be as happy as Jeff Bezos? Maybe you can. Let’s explore further.

A few years ago, researchers at Princeton University asked more than 450,000 adults about both their annual income and how often during the previous day they had experienced positive emotions. The researchers defined positive emotions as how much happiness and enjoyment those surveyed had experienced and how much they had smiled and laughed. The Princeton study found that an income between $60,000 to $75,000 was associated with feeling happier than if you made less than that, but after an annual income of about $75,000, there was no relationship between income and happiness.⁵

That’s right. Once a person earns about $75,000 a year, more than that is not associated with greater happiness. Other studies have produced similar results.

So if you have a loving family, if you enjoy your job, and if you have friends you can rely on, maybe you really are as happy as Jeff Bezos!

Here’s the reality though. Many people get stuck in this cycle of more money equals more happiness. So they work and work and work to build up their bank account, only to look up one day and realize they’ve done nothing with their money. Just success, with no significance.

You may think that just having money gives you meaning. It doesn’t. Giving is what makes life meaningful; it’s what leads to better living. We’re talking revolution here, because it’s time to do something new and different, to live a different kind of life. Think of it as a circular continuum: Earn More → Save More → Give More.

So why doesn’t money exactly equal happiness? Let’s find out.

CHAPTER 3

What Is Happiness? Ask Lottery Winners

HAPPINESS IS A difficult emotion to define, so not surprisingly, different researchers use different criteria. Most assess happiness by simply asking people to rate it on a single scale, like one to ten or one to five. Others use what’s known as a Satisfaction with Life measurement that tries to determine if a person’s living conditions have reached an ideal state and whether, if given the chance, they would change anything important about their life.¹

But come on, really? You know whether or not you’re happy, and you know what makes you happy. And admit it: money is one of the factors that does, no doubt about it. But it certainly isn’t the only one.

So what else makes you happy besides the size of your bank account? It turns out that what you do with your money has much more to do with how happy you are than your actual wealth. There’s a lot of evidence of this, both anecdotally and through research data. The universe of lottery winners provides proof on both fronts.

I can tell you from personal experience as an investment advisor that stories about lottery winners going broke are not just the work of good fiction writers. I’ve had clients who, no matter how much conservative financial advice I gave them and regardless of how strongly I told it to them, depleted their winnings because they failed to understand that they’d won a large sum of money, not a printing press. Family and friends come out of the woodwork with their hands out, and the lottery winners can’t say no to any of them. Or the winners buy a Porsche or a motorboat they don’t need or even use. Or suddenly they think they’re the shrewdest investors this side of War...

Table of contents

• Front Cover
• Title Page
• Copyright Page
• Dedication
• Contents
• Foreword
• Introduction: From Success to Significance
• Part 1: Good Money
• Part 2: Bad Money
• Part 3: Good Money Giveaway
• Acknowledgments
• Notes