The Goal of this step is to set your two targets : Money System Target and Business System Target
To calculate your Money System Target, multiply your Nett Living Cost by 12, then divide by 0.05 (5%)
Money System Target = ($7,917 x 12) / 0.05
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Money System Target = $1,900,080
To calculate your Business System Target, multiply your Gross Living Cost by 5, the required parameter to achieve a similar result by a Money System
Business System Target = ($4,750 x 5)
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Business System Target = $23,750
These are your two targets.
For the lifestyle defined in the previous steps, you should first seek to create a Business System that generates $23,750 / month in passive income. Of this income, 40% goes to taxes, 40% goes to fund your Money System AND 20% pays your lifestyle.
Taxes : 40%
Money System Funding : 40%
Lifestyle : 20%
The other target is your passive income from a lump-sum Money System.
To enjoy your desired lifestyle supported by a Money System, your target number is $1,900,080
Five percent interest on this amount is roughly $7,917 monthly, which covers lifestyle and taxes.
This dual-flanked attack builds a passive income stream from a Business that funds a Money System. The result is like warping the Destination to you. You can experience retirement without being retired!
You can mess around with the figures to represent your own targets, but what can be seen is the numbers are quite large even if you don’t want a particularly lavish lifestyle.
Now read Step 4.