Rob’s Words of Wisdom

Airbnb Property Investments are a relatively new market for investors. There’s a lot of opportunities for big returns if you know what you are doing! Let wealthy real estate investor Rob Rowsell get you started in your short term rental property business!

Airbnb Property Investments are easy to manage via smartphoneThe Booming Airbnb Property Investments Real Estate Market

Whether or not you have stayed at an AirBNB, VRBO, or other short term rental, you are likely familiar with the concept. The AirBNB company, for example, started out as two friends harnessing the power of the Internet to sublet their own property. Everyday people have flocked to the app, renting out rooms or entire homes to strangers for extra income. Eventually, real estate investors caught on to the trend, snatching up houses and apartments specifically to invest as short term rentals. How can a beginner participate while avoiding potential pitfalls of this online based industry?

Setting the table, Rob tauts AirBNB property investments as a great profit to effort ratio. Once your ad is set up on the app service, you can easily manage the property online. You will need a housekeeping service to clean it and inspect it after tenants leave, and a coded lock for the doors. Location is the big key to success with short term and mid term rentals. You want to invest in an area travelers will find safe and convenient. If you can keep the occupancy rate at 60%, you’re in good shape. Anything above that is a bonus!

Finally, Rob blesses us with one last piece of wisdom based on his own success with AirBNB investment properties. You want to choose short term rental investments based in places you would like to visit! After all, when the property is not occupied, it would be available to you free of charge for your own family getaways or business meetings.

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

Rob explains what real Biblical Church Membership looks like. God does not call us to merely attend church, sit in the pews, and listen. If we are serious about our spiritual walk, we will get involved. God is at work, and it’s up to us to seek out a church where we can join in! The Bible teaches us to God’s hands and feet in our communities, so heed God’s Word; Become a member of a Bible believing church, and take action in loving the people around you!

Church Attendance – NOT Biblical Church Membership

Rob starts out by listing what Biblical Church Membership does not look like. Specifically, he points out what it looks like when folks just attend worship services and do not contribute to God’s ministry.

Biblical Church Membership means worship, but not just in the sanctuaryBiblical Church Membership Looks Like This…

Volunteering

The Lord isn’t always interested in our ability so much as He is our availability. Sacrifice your time and talents as a volunteer in your local church on Sundays. When you serve others, you are following Christ’s example, as well as helping your church body carry out its mission. This will look different for different people. Rob cited the example that his wife Claudia volunteers in the nursery, but holding babies isn’t his forte. He often joins the prayer team before services to prepare for God’s blessings and pray for those who need them.

Tithing Your Treasure

If you are a Christian and you don’t think giving a tithe is important, then you should turn in your Bible to Malachi 3:9-10. God literally curses the whole nation for not tithing! Conversely, He promises to bless his followers who tithe from their income abundantly!

Biblical Church Membership Means Sharing Your Testimony and Building Relationships

Rob has a powerful testimony. God brought him up from life on the streets and drug addiction. Now, he is blessed with a beautiful family and successful business ventures, not to mention his physical health. Rob has been privileged to share his story and help his churchmates, opening up his home for meals and small group meetings. You never know who could benefit from hearing and seeing how God has changed your life. Who knows, building friendships with those in your congregation could bless you even more!

Deeper Study and Additional Attendance

Continuing the example of helping others in your church, Rob mentions seizing opportunities to get involved past weekly Sunday services. Rob leads a group of young businessmen in a Wednesday Bible Study. He and his students study God’s Word as they grow closer to Him and each other. Rob also attends the Celebrate Recovery events on Monday nights. While Rob speaks about his experiences in the past with drugs to encourage others, there are also a variety of other “hurts, habits, and hangups” attendees seek to overcome together.

Serving Others Outside the Church Walls

A church isn’t a building. It is rather a group of living, breathing humans called to love God and love others. That means moving beyond the church walls to serve others in the community. One opportunity Rob’s local church affords its parishioners is to feed and clothe the homeless every Tuesday. Jesus taught us that how we’ve treated “the least of these” is how we treat Him in this life. Each week, one to three individuals at these events surrenders and asks for help with drugs and alcohol addiction. The church serves them by paying for their rehabilitation. Many of the graduates go on to help with the church’s homeless relief program themselves.

Next, Rob runs down a ministry he is very proud of. Three times each year, he organizes a group to build houses in Mexico. On a chance visit south of the border, God impressed on Rob’s heart to leverage his connections to assemble these groups for this mission opportunity.

Inviting Others To Share In Biblical Church Membership

Finally, Rob explains how a long season of prayer and invitation led his sister to join him for worship each Sunday. He shows photos of other friends and family who have joined in Biblical Church Membership with him. It may be uncomfortable, but you will never regret inviting your friends, loved ones, and even enemies to worship in God’s house!

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

What you don’t know about your Retirement Plan might shock you! A traditional 401k Wealth Bucket Model may not be right for you. What if your bucket of money runs out before your retirement years are over? When you rely solely on that bucket of money, the expenses can drain it over time.

Wealth Bucket Model Retirement Plan is BrokenThe Wealth Bucket Model Retirement Plan is Broken.

Just like Steven Covey’s book The Seven Habits of Highly Effective People outlines, we are going to begin with the end in mind. Although small details vary between us, we all want the same thing out of life. We want freedom! More specifically, we want the time to do the things that fulfill us. Hopefully, we can make that time before we are too old to actually enjoy them to the fullest.

Rob outlines the means to this system as your Wealth Operating System, or your CORE Fund. This is the base of your financial freedom. Eventually, your CORE Fund should be generating Horizontal Income 1.3-1.5 times the amount of your Vitality Number. This is how Rob encourages members of his financial community to approach retirement planning. However, most Americans foolishly lean on a Wealth Bucket Model, which we will explain.

What Is The Wealth Bucket Model, And Why Should We Not Use It Exclusively?

The big picture on the Wealth Bucket Model? Most of us have a 401k retirement fund. There is nothing wrong with using one as a nest egg. However, when we rely on it exclusively, we run the risk of running out of money and having to go back to work to pay our bills. Rob outlines more below on the biggest expenses that are holes in the wealth bucket model.

Ignorance – The Number One Leak In The Wealth Bucket Model

When we move on from our businesses, we inevitably want to try new endeavors. We often make the mistake of thinking our new ventures will come just as naturally as our pre-retirement ones. If you must invest in new businesses and properties, do your homework, and partner up with experts in those fields.

Taxes – Tax Drag Drains Your Wealth Bucket Model

Reducing Tax Drag is a huge income stream! Rob preaches this point again and again, with good reason. If you can legally reduce your tax burden, then do it! Then invest the difference in assets that will return compound interest.

Vitality Number

Your Vitality Number refers to the cost of living you want to live within. Live within your values and not your vanity! This is the biggest number you can possibly get wrong! You want that trip around the world that your favorite billionaire influencer took. Geat real! You’re not at their level yet. Wait until you are, or you will blow your Vitality Number out of the water.

Fee Drag

Employing wise advisors is mission critical. However, keep a close eye on what they are charging you, and evaluate annually. The value may not be there anymore. Maybe they aren’t working as hard as they used to in order to get you the results you need. It is important to shop around so you can avoid Fee Drag from these providers.

Inflation – The Silent Killer of Your Wealth Bucket Model Investments

You don’t need a wealth expert’s advice to know that inflation is a wealth killer! Keep this in mind as you are calculating your Vitality Number. Create a report of your Personal P and L to find out what that number is.

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

Real Estate Investor Rob Rowsell shares his wealth building formula as well as useful financial terms. Become an expert at investing wealth and building your portfolio with this crucial money glossary.

Wealth Building Formula - Useful financial terms will help you complete your financial educationFollow Rob’s Wealth Building Formula By Applying Financial Glossary Terms

Financial Freedom Formula

Continuing from last week’s lesson, Rob explains the most requested component in his overall wealth building formula – the Financial Freedom Formula. Start with your Horizontal Income number and then divide it by your Vitality Factor. Ideally, your passive income amount exceeds your cost of living. You are financially free if the solution to this formula is greater than 1.3. This amount accounts for a 30% blended tax rate. 

The Role of the Blended Tax Rate in the Wealth Building Formula

When we talk about a Blended Tax Rate, we mean the average rate the government taxes you on all of your sources of income. You may pay 40% on your own W2 as a business owner, and you may be taxed 20% on your other investments. It is your duty to know what all of these tax rates average out to!

What Is Tax Drag?

Rob defines Tax Drag as the wealth draining resistance of taxes on your investments and earnings. Obviously, you want to avoid this at all costs. If you work with your CPA on legally reducing your taxes owed, you can then invest those funds instead of paying them to Uncle Sam. Don’t throw your money away needlessly – earn compound interest by investing it!

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

Financial Terms - Money Investing EducationDo you want to win at wealth, but financial lingo confuses you? Learn the glossary of money words from wealthy investor Rob Rowsell. Sit under Rob’s learning tree! Find out how to make smart investments that apply these financial terms and formulas.

Financial Terms For Wealth Wins

Rob jumps right in explaining financial terms and outlining his wealth glossary. The definitions, as well as useful formulas, are outlined below.

Net Worth

Simply put, your Net Worth is the measure of everything you own, minus everything you owe. The net worth formula? Assets minus Liabilities equal Net Worth.

Income

Rob groups Income into two categories: Active Income and Passive Income. He defines them as follows:

Active Income

W2 Income, 1099 Income, and Active Business Income are types of Active Income. Basically, if you work directly to earn money, we classify it as Active Income.

Passive Income

Rob defines Passive Income as money earned without directly working for it. Capital Gains from the sale of one of your assets is one example. Appreciation of one of your assets also counts.

Passive Residual Income

Some refer to this as Horizontal Income. Passive Residual Income could mean dividends from investments, rent paid from your properties’ tenants, or royalties earned from Intellectual Property. Regardless, this can be an outstanding income source, and one everyone should seek out, since it is literally mailbox money, arriving regularly in your account.

Financial Terms Continued: Vitality Factor

Rob then tells us about the Vitality Factor. This is formula is hugely important to understand in the financial world. In order to arrive at your Vitality Factor, you add your Personal Expenses to your Deductible Business Expenses. These factors add up to produce your TRUE Cost of Living, before subtracting taxes and charity contributions. An example of deductible business expenses for Rob is auto repair. When Rob owned several auto repair shops, he could write off his own automotive repair expenses. However, now that he has sold the businesses, those expenses are solely personal.

Horizontal Income Score

We talked about Passive Residual Income earlier, also called Horizontal Income. The Horizontal Income Score is a formula to best measure your ability over time to convert your Net Worth to your ultimate goal, Horizontal Income. When you divide your Horizontal Income by your Net Worth, you get your Horizontal Income Score. For example, you currently have a Horizontal Income of $100,000. Your Net Worth is $1 Million. When you divide those numbers, you arrive at a score of 10. That’s a great score, and it’s twice the average! The higher the number, the better. Remember, do your homework and exercise your advantages to reach your ultimate retirement scenario, Passive Residual Income.

Nest Egg Theory – Financial Terms Part 1 Concluded

Rob talks about the Nest Egg Theory a lot. This concept powers the most common retirement plan people subscribe to. This defines freedom as a number, specifically a big bag of money that we are filling up via our 401k’s and other retirement plans. Rob reminds us of the very real fear hiding behind this theory that we may live long enough that the money will run out, and we will have to return to earning w2 Active Income in our old age. This is why we work over time in order to invest our Active Income gains into sources that will generate passive mailbox money in our twilight years.

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

Wealthy Real Estate Investor Rob Rowsell teaches his secrets on how you can reduce tax drag. Maximize your investments and avoid tax losses the way rich real estate investors do. Learn the secrets in part 2 of this 2 part series!

Reduce Tax Drag - How Investors Can Cut Taxes to Save MoneyReduce Tax Drag On Your Investments Today

After wrapping up Part One of the Reduce Tax Drag series, Rob segued into the next two tips.

Set Up An LLC And Pay With Pre-Tax Dollars

Rob introduced the idea of Paying with Pre-Tax Dollars. This means you should push all legitimate business expenses to your business. This way, you will get an automatic discount. Business owners need to set up an LLC in order to run those expenses. When you’re a W2 employee, you pay taxes at the end of the year, and hopefully get a return from the government. LLC business owners can take out expenses on a lesser number. This means getting money back for deductions like fuel and your office utility bills. Robert Kiyosaki details this in his bestselling book Rich Dad Poor Dad.

Plan BEFORE You Play So You Can Reduce Tax Drag

As Rob has stressed many times over, you must Plan BEFORE You Play. Meet regularly with your tax strategist or CPA, so they are in the loop about your investment plans. Make sure your accountant knows your strategy in advance, so they can fill you in on the potential tax impact. This isn’t always fun, but the pain in order to potentially save and invest $50,000 instead of paying it in taxes is worth it.

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

Wealthy Investor Rob Rowsell shares his ultimate tax saving secrets in part one of this two part series. Watch and read on to learn the first two of four tips. If you want to make the most of your investments and avoid tax drag, this is the series for you.

Tax Saving Secrets - Keep Your MoneyTax Saving Secrets, 1 and 2

Rob defines “tax drag” as the wealth draining resistance of taxes on your investments and earnings. It can cost you cash today, as well as robbing you of future compounded earnings from those lost dollars. In order to get ahead of this trend, you should meet with your accountant regularly. Specifically, a September meeting with them to report the financial moves you’ve made thus far in the year is a great idea. Once your CPA knows that, they can help you formulate strategies in the remaining three months to minimize the taxes you will owe.

Structure Over Deduction

The first of Rob’s tax saving secrets is Structure Over Deduction. Everyone looks for deductions at tax time. If you are not also structuring how you handle money year round, you won’t need to lean so heavily on deductions. Make sure to pay yourself tax efficiently. Rob’s financial advisor estimated that he should be earning a salary in a wide range. By paying himself on the low end of that range, Rob is being conservative monetarily. Remember, when it comes to your own taxes, you are the quarterback!

Tax Rate Arbitrage is another of Rob’s structure tools in his tax saving secrets toolbox. He formed a management company as a C Corporation, which received a fee from his real estate and automotive repair businesses for services rendered. The C Corp is taxed much more efficiently than his other businesses, so he saves himself cash all around. Entities have two reasons: asset protection and tax savings.

Another essential structure element is to Plan Your Exit Before You Go In. In the real estate business, the end game is often obvious. You may have a written three to five year plan for your multi-family properties investments. Whatever money you invest will help your tax advisor give you the right advice as your structure your businesses to save on taxes.

Tax Saving Secrets Continued: Invest Tax Efficiently

Rob continued with a game changing hack you can apply today. Savvy tax planning is the lowest risk way to immediately boost your investment returns. That includes knowing your end game and knowing which wealth bucket you are investing from.

Generally, long term capital growth investments go straight to your taxable accounts. This is because they are not taxed at the highest rates. “Ordinary income” cash flow investments go in tax advantaged accounts instead. Rob used the example of a short term loan he made to house flippers in his network. Using money from his Roth IRA, he was not taxed on the loan, and the returns could go back in his retirement to continue compounding.

Conclusion: Tax Saving Is A Revenue Stream

Remember, money saved on taxes is a revenue stream! Once again, tax drag is the opposite. It’s lost income from annual taxes paid. If you hadn’t paid those taxes, you could make compound returns on those funds over time.

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

In this final installment of his Winning the Money Game series, Rob Rowsell encourages us to reimagine and plan life after retirement. You should still have plenty of good years ahead if you’ve followed Rob’s advice. In order to make the most of the post-career era of life, you need to keep up with the times. Never stop learning, and be a good steward of the money you’ve accrued. Don’t take stupid risks with it! This cash will ensure you can follow God’s path for your golden years!

Plan Life After Retirement - Business Owner Key to winning the money gamePlan Life After Retirement

You’ve followed Rob’s Money Game advice to the T. Now, let’s reimagine and ask ourselves “what’s next?” Have you ever really thought about what you would do post career when you plan life after retirement? Rob recommends the book “Halftime” by Bob Buford. He has gained a lot of wisdom and a new perspective from it.

We want to take a few key steps when we plan our new life post career. First, we want to Lock In The Win, meaning we want to be good stewards of our ongoing Passive Residual Income, as well as the bag of money we’ve earned for retirement. Never risk what you need for what you don’t need.

Next, we need to Design The Next Chapter. You still hopefully are healthy and plenty of years ahead of you, so live like it! Even if your dreams and goals for the future are huge, write them down, and plan out how you can achieve them.

Stay Engaged and Stay Relevant. It is more important than ever to keep up with ever growing technology and trends. Rob uses the example of automating many of our daily tasks with AI and ChatGPT. These technologies are only going to become more integrated into our world. Therefore, getting familiar with them while they are still in their relative infancy is a good idea. Rob also suggests exploring topics you want to learn more about on Meta Reels and Tiktok, then saving the ones that you find particularly useful to revisit later.

Finally, and possibly most fun, Enjoy the Compound Curve. You have a lot of experience at this point being a wealth manager. At this point, you are accruing wealth with literally no effort through Passive Residual Income. So sit back and enjoy it!

Want More Wealth Tips? Join Our Community!

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

Rob Rowsell reviews the third act in his Winning the Money Game series. This focuses on the shift to Passive Residual Income (PRI). This involves changing your mindset and strategy for earning and investing your money.  Transitioning to exclusively PRI revenue streams is a crucial component to your financial exit strategy.

Passive Residual Income - Regular Mailbox Money!Passive Residual Income Explained

This third stage of the Money Game focuses on a transition, meaning a “mental shift”. Many of us have an aversion or fear of growing wealthy. We have all heard that “money is the root of all evil”, but did you know that saying is actually a misquote of the Bible? 1st Timothy 6:10 says For the love of money is the root of all of evil: which while some coveted after, they have erred from the faith, and pierced themselves through with many sorrows (emphasis in bold by this blog’s author). When we put money in the proper context, we can make that shift in our mindset. Money is a tool to help us live the life God intends for us to, not a false idol.

At this stage of the Money Game, we are shifting from a combination of Active Income and Passive Income to strictly Passive Residual Income. There is a difference between Passive Income and Passive Residual Income. An example of Passive Income is buying a property, fixing it up and holding it awhile, then selling for a profit. Also, you could call that specific situation earning “Capital Gains”. PRI means regular dividends you received from an investment passively – true mailbox money!

As we transition to Passive Residual Income, we need to plan our exit. How and when will we achieve financial freedom? This means no longer being dependent on a job or passive income investment to pay the bills. It also does not refer to the “bag of money” you’ve been saving from your career for retirement. We want a regular check arriving in the mail that will outlast that 401k, and give us the freedom to live comfortably and help others.

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

Now that you’ve learned how to stack up cash, you’ve got to learn how to invest your assets! Investing for maximum return means building assets and then repurposing them over time. Invest wisely and watch your wealth grow!

Investing For Maximum Return - Winning the money gameInvesting For Maximum Return – Building Assets and Repurposing Them

In Act 1 of our Money Game series, Rob detailed strategies for maximizing our active income earnings. Act 2 is all about investing for maximum return. Specifically, we are buying and building assets that will return us cash.

When it comes to investments, Rob describes the assets that return compound interest as the “8th Wonder of the World”. Apologies to Andre the Giant. The concept of the “doubling clock” comes up. When you invest in assets that accrue compound interest, and hold them, they will double in value over time. The goal is to invest your surplus money and make it work for you. After all, you are not just investing in assets. You are also investing in yourself. And nobody wants to invest in themselves unless they are investing for maximum return.

When you start the Wealth Clock early in life, you have the distinct advantage of time. The more time you hold good investments that compound in interest, the more “doublings” you will enjoy. Unconventional investments with unproven parties are much more tempting when you are younger. “The greater the risk, the greater the return”. If you start investing later in life, you have a whole lot less wiggle room, and tend to stay in your comfort zone. After all, you don’t want to gamble and lose it all.

Want To Learn More? Join Our Community!

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Inner Circle Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!