First, recognize you are in the E quadrant

If you are in the middle class, you are in the E quadrant. 

There are 4 quadrants. 

E = Employee (have a job)

S = Self employee (own a job)

B = Business (own a system that works for you)

I  = Investor (make your money work for you)

School train E people, workers. 

School re-enforce your need for security by punishing failure.

Security or risk aversion is blocking you from been free.
Failure is the best way to learn how to be free.  

Risk = Fear 

            

You can only be free if you move to the right side but you have to learn undertanding risk to take control of your cashflow.

The red line self rat trap

Most people stay poor because they are rat trapping themselves. 

They simply make sure to spend all their income to buy non assets so they need more income all over again. As an example, when your car or house is paid, you buy a new/bigger one which means you need a salary increase. More a rat is rich (earning salary), more liabilities he will collect and poorer he will be. Basically rates are trapping themselves in the rat race (always need more cash and are on the red line...they can't loose their job). 

Here is the the red line rat exit strategy or the pig strategy (turn left;). 

Here is another way to compare rats (poor) & pigs (rich) way of handling their cashflow:

Btw, a house is not an asset, it doesn't generate cashflow for you, its your banker asset. "an asset is something that puts money in your pocket" (wikipedia), your house is taking money out of your pocket even when it is paid (town & school taxes etc.). A house is a real asset only when you sell it and make a capital gain but capital gain a risky game (jouer à la bourse veut tout dire).
  

RSP isn't an asset either, it is mostly use to save money and with chances make capital gain which is simply gambling against people that are controlling the game and are getting rewards for generating financial crashes. 

Most government are playing the red line self rat trap game but unfortunately the rat pocket is yours. In order to rat trapping you even further, they give you taxes breaks to put your retirement saving in stock and never get real assets. Even better, they reduce the value of your savings by asking banks to print more money they will borrow (increase government liability).


Are you a rat?

The US middle class under siege

The future to US middle class is attached from everywhere:

• Outsourcing
• FED (bailout) diluting their saving 
• Obesity 
• Asia (re-balancing of power and wealth)
• US $:  its status of reference currency is challenged 

Here Are 60 Facts That Prove the US middle class is been wipe out:

http://beforeitsnews.com/conspiracy-theories/2013/04/the-middle-class-in-america-is-being-wiped-out-here-are-60-facts-that-prove-it-2450210.html

US people might want:

• Get financially educated
• Take control over their currency (FED)
• Start eating well
• Read on their brothers survived the great depression

Canadian people should be a little more preoccupy by their fellow neighbors. 

http://www.businessinsider.com/20-reasons-why-the-us-economy-is-dying-and-is-simply-not-going-to-recover-2010-2?op=1

Reckless inflation

Why PQ is not empowering its french population? (Québec)

If PQ really wants Quebec to be a country (its first rule), it will empower its population.
How? It will ensure its citizen speak also English (-100), ensure its population is educated (+10) and promote entrepreneurship (-1). In a global world, people need to speak English, not french. In order to ensure its culture survival (french culture), PQ with its politics ensure most of its french population stays french uni-lingual by limiting strongly English learning in the public schools. Holland, Swedish people aren't uni-lingual ???
Their fear of been assimilated by surrounding English speaker lead their leader to make them even weaker by:

1. Making sure most of its population have not access to better paying jobs (don't speak english well)
2. Making sure its nation has less conscience of itself by limiting its exposition to the real world (english america)

Bilingual people have better salary and traveling (speaking the other language) helps defining/understand his culture and bring to awareness of its real existence, a true nation.

Who are the brains behind PQ? Is their true goal to make a country?
I don't think so. Rational thoughts lead me to think PQ leader now just want to lead a province and impoverish the nation they are saying they are suppose to defend in order to better exploit them.

-There is no freedom without financial strength. PQ is making the french Quebec nation dying just faster. PQ is impoverish not empowering french Quebec people. René Levesque doit se retourner dans sa tombe.

French Quebec is maybe a glitch of america history created by the Catholic Church and its future car license slogan will be I don't remember ;)

PQ prefer people speaking one language baldly then two where the second (english) is more useful to work in our global economy. Shame on PQ weak leaders. True politician are empowering their population.  

Middle class is a glitch of evolution

In human history, middle class is born during industrial age. Due to a shortage of educated people due to the industrialization burst, the middle class was born. With the increased level of education all over the world, technology, arrival of women in the job market and globalization, finding educated people is less and less a constraint.

Due to the simple law of demand and supply, a strong middle is not required anymore. Humanity will slowing go back to its default rich and poor distribution over time. The global trend of education fees increase seems to be a way to make the transition smoother for the declining middle class. What is worrying me the most is the increase proportion of useless people in the world due to the shrinking number of jobs available due to technology. The equilibrium might come from the demographic slowdown. The future will be quite challenging. Middle class seems to be a glitch of humane evolution. Only financial education can save the middle class. Without a strong educated middle class, democracy (even as imperfect has its now) can't survive. There is no democracy without a strong middle class and it is up to the middle class to decide of its destiny. Capitalism has create the middle class but his pushing intrinsically for it disappearance.


Middle class is not required anymore 
IF strong middle class then Democracy is possible. Which explain why democracy is slowly disappearing.

 

How to turn your wife into a cash cow

First, cash cow is an expression used to make a point and not in any way used in any bad way against women. If you remove all women, the entire economy will collapse. Women are the biggest driving force of the economy. Their instinct drive them to spend because they are design to seduce. In this modern age, they have to spend even faster to follow fashion and trends which are not assets. Women needs are infinite and have no limits. More clothes, more presents for kids, more jewellery, more holidays, nicer houses, nicer car, more shoes, more free time, a second house, redesign the house, and so on for ever and more expensive.
If your wife has infinite needs, here is how to turn her into a cash cow?
Every needs has to be fulfil by an income. A need stays a need but it doesn't need to be fulfil by your job income.

Wife: I want a new car
Man: OK but lets create a cashflow that will paid if.

Wife: I want to go to cuba
Man: OK but it has to be paid by an investment cashflow.

Wife: I want a second house (chalet)
Man: Yes but let's get a cashflow asset that will cover the monthly mortgage payment and so on.

Wife: I want to work less hours
Man: Yes, let's get cashflow to compensate missing income.

To slowly introduce this concept, I recommend you to play the cashflow game with your friends and wife.

http://www.richdad.com/Rich-Dad-Games/cashflow-the-web-game
(mobile version) https://play.google.com/store/apps/details?id=com.grupoheron.cashflowmobile&hl=fr
iphone version: https://itunes.apple.com/us/app/cashflow-financial-statement/id419229056?mt=8

So, are you going to turn your wife nightmare infinite needs into a cash cow opportunity?

Learn to consider inflation

Please use this calculator to better understand how you are getting poorer every day.
http://www.bankofcanada.ca/rates/related/inflation-calculator/
One of my friend is working since 13 years at the same place but now with much more responsibilities. She was happy with her salary until she realised that she didn't get any salary increase since 13 years once you've considered inflation.
Inflation is based on consumer prices so if you include house increase, taxes increase and all the other increase, the inflation number you will is are lower bound number which means your are even more poorer. Don't become pessimist, just be realist.