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In six months she had collected $3,000 in her personal Wealth Account and put another $3,000 in her business’s
holding account, a corporate Wealth Account that could begin generating assets.
Since she was still working in her job, Patricia couldn’t touch the 401(k). But she was willing to
1. Take $1,000 from her cash account
2. Use the $3,000 from her personal Wealth Account
3. Partner with her LLC and use the $3,000 in that holding account
This came to a total of $7,000, which could then be directly allocated into assets.
By reallocating some of her assets, Patricia had added another $150 to her monthly income, which she
automatically directed to her daughter’s college fund. And because it was a real estate property, she had the
advantages of depreciation. She also added another entity to her expense management. Now that she was doing the
right thing at the right time, Patricia’s Cash Machine provided her with the entities that would allow her to forecast
her spending. These building blocks involved the use of tax strategies that allowed Patricia to retain more of her
earnings and put those additional monies toward her Wealth Accounts and Debt Management.
As Patricia paid into her Wealth Account she also began to focus on Debt Management through the Five-Step
Debt Elimination plan. In six months she paid $3,000 toward her debt, the same amount she’d paid over six months
into each of her two Wealth Accounts. Because her Web design business was doing so well, and Patricia was
managing her expenses much better, she was able to substantially lower her $10,000 credit card debt in 12 months