Page 21 - C:\Users\Troy-LapTop\Documents\Flip PDF\Millionaire Maker\

When I ask this question, I’m looking for flat information off tax forms, that is, W-2s for salaried employees or
1099s for those who are self-employed. I also want to know how much their business makes.
In the middle columns of the Gap Analysis we call this revenue , not income, because as we create the wealth
plan, we will start looking at pretax dollars the way a business does, as revenue—not the way an individual does, as
pretax, or gross, income.
In the United States there are two tax systems. One for the poor and uneducated:
Make money pay taxes spend money

And one for the wealthy and educated:

Make money spend money pay taxes
Americans overpay billions a year on taxes because they don’t know how to structure their finances. Forecasting and
Entities, two of the building blocks of the Wealth Cycle, focus on tax strategies that will help you retain more of
your earnings.
As I showed with the Leonard family, the question “How much money do you make?” causes most people to
balk. Many of us have been brought up to believe that conversations about money are in bad taste and that financial
success and failures are personal subjects that shouldn’t be discussed. As a result, most of us are not knowledgeable
about wealth building. This is where the Wealth Cycle Process starts, by talking out loud about money. In fact, the
company I built, which is called just that, Live Out Loud, has the purpose of creating a “new conversation about
money.”
I filled in the bottom of the Gap Analysis with Mary and Mike’s answers.

Question 2: What Are Your Monthly Expenditures?

Mary pulled out some papers and her checkbook. “This is our budget,” she said. “I think we spend about $3,200 a