At my Millionaire Mind Intensive course, and in part of my book Secrets of the Millionaire Mind, I teach a very effective money management method— designed specifically to get you to financial freedom — called the JARS System.
Basically, using this system, you split your money up into six different accounts, and you have percentages of your money to put into each account. You can use bank accounts or actual jars.
So what are these jars and what percentage of your income goes into them?
Let’s take a look…
The 6 “Jars” & How Much Money To Put Into Them
1. Necessities — 55% of your income
These are for things like your rent, food, bills, etc.
2. Long-Term Savings for Spending — 10% of your income
This is otherwise known as the rainy-day fund. Or maybe there’s a car or some other big-ticket item you want to buy. This fund is your most flexible in terms of what you can do with it, but the intention is to do something with it, or that it be there for that just-in-case scenario.
3. Play — 10% of your income
This is for leisurely expenses including sports, movies, general activity and entertainment. Make to sure to spend ALL your play money each month spoiling yourself!
4. Education — 10% of your income
This can be for things like books, courses, mentoring, coaching, etc. Always continue learning and growing. As I constantly say, “If you’re not learning, your automatically dying!”
5. Financial Freedom Account (FFA) — 10% of your income
This is for investing or anything that is going to make this portion of your money work for you toward passive income streams.
6. Give — 5% of your income
It’s spiritually, ethically, and morally sound practice to give a portion of your earnings toward causes that can use the funding to educate or somehow better other people’s lives.
The 6-jars system is one of the many strategies I highlight in my free webinar, Fastrack to Freedom.
Click here to reserve your spot and discover the 8 critical elements to becoming financially free quickly.
The Habit Is Much More Important Than The Amount
A lot of people would say, “Harv, I’d love to do the JARS system, but I can’t do it because not enough money is coming in” or “My expenses are too high, there’s no way I can do these percentages.”
If you’ve been with me long enough, or know of me long enough, you know what I’m going to say to that, yes?
Am I saying you have to put $1,000 into your accounts every day? No, I didn’t say that.
How come I’m not suggesting a specific amount but certain percentages? It’s so that every single person, regardless if they’re earning $100,000 a week or $1 dollar a week, can follow this money management system. Yes, if you are earning $1 dollar a week, you can do this system.
Again, the habit is much, much more important than the amount.
The Fastest Way To Do Well With Money Is To Manage The Money That You Have Well
I don’t care if you’re managing $100,000, $1,000, $100, $10, $1 or 10 cents. All that matters is you learn money management skills.
Right now you may be thinking, “I’m not earning a lot of money. I don’t even know how I could do this.”
So let me give you a prime example… a story about a woman by the name of Michelle Burr.
She was broke when she came to my course Millionaire Mind Intensive course. She said the money management portion was the thing that resonated with her, the thing that she absolutely wanted to work on the most. She didn’t know how to manage her money, and she didn’t have any money to manage.
What did she do? She took $1 and divided it into nickels, dimes and pennies. She put them into the six different jars and according to the percentages I recommend for this money management system.
She had 10 cents to play with (from her Play Jar — 10% of her income), so she went to the store and bought some bubble gum. She read the comic in the bubble gum and laughed. That was as much as she could play with at the time.
She saw that it wasn’t going to be enough, so she made it a point that every week she was going to double the amount she was putting in the jars.
So the first week she put in $1. The next week she managed $2, and so on and so forth. Twenty weeks later, she was managing $100.
Here’s the thing: The way the universe works is if you manage your money, you will get more.
If you mismanage your money, you will not get any more.
The fastest way to do well with money is to manage the money that you have well. Just show the universe you know how to manage $1. Then watch what happens in your life.
Miracles do happen.
Fast forward. Let’s see how Michelle is doing today. She is a self-made woman. She never gets a dime from anybody else.
Michelle has made many investments in real estate and other things. Michelle is a multimillionaire today. It wasn’t very long ago she was managing $1.
So don’t give me or yourself any BS about how you can’t do this.
Decide right now: Are you going to get 6 jars and start managing your money today?
Let us know. Declare your intentions to the universe that you are going to turn your finances around right now and let us know how it’s going. We want to hear from you!
Want to discover exactly how I and others trained by me became financially free, and how you can become free too?
Then watch my FREE signature web class, The Fastrack To Freedom: 8 Critical Elements To Becoming Financially Free Quickly.
For Your Freedom,