A Retirement Strategy for Late-Starters

I created a niche site some time ago named "401Konundrum".  The subtitle is "Minding Mis-managed Futures".

The point of that site is the same as this post.  That is to say that there are options that can yield income that do not require having "put away" money for a working lifetime. No reliance on stock market performance and being managed in a portfolio by a professional management group.  This approach is what most people think about when considering retirement options.

What we do is an alternative, and works with the same basic principles of compounding and leverage, but in a non-traditional manner.  

We organize knowledge, people, and money.  Knowledge and people are pretty straightforward to understand in that we teach how to build and manage organizations. Understanding how money works - and understanding how and why it is a viable alternative to the "lifetime" approach is what I will explain here.

So, let's say someone has $1 million that they have accumulated in a 401K.  Being conservative and for the purposes of easy illustration, let's say that the structure of the annuitized earnings that this person is to live from is 6%, or $60,000 a year.  That is to say, there is this big chunk of money that has been earned, put away, and allowed to grow "parked and sitting" in an account somewhere that yields $60K a year that has taken maybe 40 years to accumulate to that level.

Contrast this with what we do.  

First, we foster high-quality relationships and earn trust through engagement and agreement.  Thus, the name of our community is "Agreement Seekers".

With this understanding that we are a "people first" business, we use high-margin business models that create quick cash flow.  These are referred to as "Instant Pay, Member to Member" businesses.  The price points for these are based on our Partners' risk tolerance and financial position and create momentum in generating cash flow.  Generating this cash flow is facilitated by our business process which is recruiting and enrolling others, e.g. building an organization of people who agree with what we do.

As processes and systems are learned, an organization is formed based off of the efforts of executing the processes and systems we teach.  With an organization in place, we then migrate our Members to (monthly) subscriptions with leverage components.  These subscriptions are funded out of the cash flow created in the first step, not out of people's paychecks from their day or "primary" job.

Let's say a typical subscription is $150 a month.  To derive that same $60K as in the "lifetime" approach, it would require a group of 34 people that would yield $5100 a month or $61,200 annually.  And here's what is powerful:  a group of 34 people can be built in less than a year for most people, based on the organizational leveraging components of how these business platforms function.  As such, a group of personally enrolled 10-15 will typically yield a group of 30-40.  Said differently, this "Retirement Model" requires building an organization at a rate of about 1 person per month, and at the end working with a group of about 40 people.

The key to the long-term stability of your income is fostering relationships.  At the core of how we function, are the values of loyalty and a shared commitment to competence and mentorship.  This is what we Seek Agreement to.

With all this said, if you are a late starter and have not prepared for retirement sufficiently, we simply encourage you to understand what we do and find out if you think you can make it work for you.