Welcome to the “Inner Circle Podcast”, the place where patriot entrepreneurs create, build, and play. Each episode will help you move forward to the place where we all want to be, a place of total creative freedom, personal freedom, and financial freedom.
My name is Mike Fallat and I am your host. I’ve started a bunch of businesses, helped to write a couple of hundred books—actually, 250 best-selling books as of this week. It’s a huge milestone for us, so we're celebrating like it’s 1999 here at DreamStarters Publishing—and I’ve interviewed lots of millionaires. I will be your guide as we enter the Inner Circle.
Mike: This episode will help you adjust your lifestyle thermostat. Yes. I don't know if that phrase exists. I haven't Googled this, but it made me think recently when I started reading a certain book called The Secrets of the Millionaire Mind: Mastering the Inner Game of Wealth by T. Harv Eker. [01:09.1]
You guys have got to check this book out. It's on YouTube. You can listen to it. You can pick it up on Audible. He talks about something that's so powerful. It's the financial thermostat and it made me think of the lifestyle thermostat. I’ll give you a quick little summary of The Secrets of the Millionaire Mind because what he talks about directly impacts your lifestyle.
In Secrets of the Millionaire Mind, T. Harv Eker states, “Give me five minutes, and I can predict your financial future for the rest of your life.” Eker does this by identifying your “money and success blueprint.” We all have a personal money blueprint ingrained in our subconscious minds, and it is this blueprint, more than anything, that will determine our financial lives. You can know everything about marketing, sales, negotiations, stocks, real estate, and the world of finance, but if your money blueprint is not set for a high level of success, you will never have a lot of money—and if somehow you do, you will most likely lose it. [02:01.2]
I love this book. I'm only about, I guess, halfway or three quarters of the way through, but, man, it hit home. Financial thermostat. What is your financial thermostat? I guarantee, if you look at $50,000 as a lot of money, you're going to make $50,000 or maybe a little bit less. If you think this cost of a house or car or book or podcast is a lot of money, I guarantee you're going to struggle to pay it every week or month or every year. The reason is that that financial thermostat determines every decision that you make.
Poor people look at everything as a cost and expense. How can I save my way? How can I save my way to a million dollars? How can I save my way and avoid all the troubles? Wealthy people look at things as investments. How can I make an investment now that it will yield 10 times that tomorrow, next week, next month, next year? It's a game of doubles. How can I put 100 bucks in to make 200? How can I spend 1,000 to make 2,000? How can I spend 10,000 to get 100,000 over five years? [03:14.1]
The financial thermostat, this is where I was guilty when it came to my decision-making going to school and certain jobs that I took outside of school. I thought $50,000 was a lot of money or a decent amount. Man, when I thought like that, do you realize that I would get close to making $50,000, maybe a little bit less? It was because my thermostat was set at this temperature that, oh, if I do this, I will get this result, which means that number, if I just amped that up to 100,000, my mind would operate in a way that got me to 100,000. [03:56.4]
I started a business and failed miserably because I kept thinking to myself all I needed was X amount of dollars, which was a low amount, and it was because I didn't have this belief in the business and the product or the service that I was shooting at such a low number that even if I fell just a little bit, I'm screwed. I'm not going to be able to pay my bills, and which I didn’t for a while. I would pay the minimum on the credit cards and electric bill and gas bill and water bill. I would just let that slide for a long time.
When I took a corporate job, I started thinking, Okay, $100,000 is my financial thermostat and I broke records in sales and got close to 100,000. It started to teach me maybe, was the vehicle combined with my mindset? And when I started to do well with DreamStarters Publishing, I still kept thinking, and maybe this book highlighted it, my financial thermostat was off for a very long time. I kept thinking all I needed was one client a month or $3,000 a week or $3,000 a month just to pay my bills. That's all I needed, and do you know what's crazy? It’s that I would get pretty close to that every time. [05:08.8]
Then I started to up that number. I couldn't do it all at once. I couldn't go from $5,000 a week or $5,000 a month to a million dollars a month because I just couldn't connect the dots. But, over time, I started to connect the dots between, okay, I made $10,000 or $20,000 or $30,000 last month, maybe I could do a little bit more next month. That confidence, the momentum was on my side, but I amped up that financial thermostat, and by golly, we’ve got pretty close to those big numbers. We're at a point now we're trying to do $200,000 this month.
Then I started thinking how I earned my money was now changing. Passive income is starting to roll in. I started thinking there are the controllables of everything. All your finances are controllables. I never used to think like that, but there are controllables whenever there's the earned income and then there's the passive income. [06:08.0]
So, now my financial thermostat is allowing me to think in two different ways. Nowwe started to set that financial thermostat of $10,000 a month passive. That's huge compared to the earned. All that took time for me to fine tune. Do you look at things like that, that business tool or that meetup or that mastermind as a cost or as an investment? Because that's your financial thermostat that is really limiting you or helping you get there.
How do you look at $100,000? Is it a lot of money to you? If it is, I think your financial thermostat is off. You’ve got to start looking at how the wealthy people look at money. Do you really believe that the billionaires out there, the Elon Musks, the Trumps, do you think that if they had a million dollar net worth, do you think they would call themselves a success, or if they had a million dollars in the bank and that was it? Would they consider that a success? I highly doubt it. [07:10.4]
It's because their financial thermostat is so high that they are playing at such a high level. It might take some time to get there, but their mind is expanded in a way that allows them to create, build and connect dots that get them to those numbers.
It starts with the thermostat. It doesn't start with the vehicle. It doesn't start with the income or what you can get from the market. It starts with what is good enough for me? What is my standard? And that standard can be applied to your lifestyle.
What is your standard? What is your thermostat set in relationships, in your circle, in your money situation, just like all the finances that I just talked about, with your body? What's the standard? What's your body temperature or thermostat set at? What's your sex life set it? What are your daily habits set at? [08:10.1]
What is your business level of success set at? What is your credentials thermostat set at? What does that mean? What does your podcast situation look like? Books, blogs, clients, testimonials, teamwork, what does all of that look like behind the scenes? Are you getting anything done?
It's crazy, the longer I'm in this book world, the more I'm able to see such a trend between people who get things done and people who just find excuses after excuses. You'll find out that the people who struggle with a paragraph or with a chapter or with a book will struggle with a website, will struggle with a video series, will struggle with many other parts of their life. It's not the book. It's not the podcast. It's not the business. It's the thermostat in their mind that they set. They'll hide behind this thing called perfection and that's not because they have high standards. It's because they're always looking for an out. Their thermostat is set for “I'm looking for an excuse not to finish.” [09:14.8]
If you like what you hear and you are a patriot entrepreneur, go to Mike’sInnerCircle.com. Remember, you are only as strong as your circle. We'll see you there.
People with the correct thermostat will say, You know what? My goal is this type of lifestyle, this type of money. No movement is just as bad as … actually it's the worst thing ever really, no movement. It's actually worse than even making a mistake and the reason is that you don't even learn from it and you're not able to see any energy come from it. You're not able to attract any attention. [10:02.0]
No movement, not finishing, is actually the worst thing you could possibly do. The wealthy know this. The most successful people know this. That's why they have so many balls rolling at the exact same time. That's why there are so many pieces of the puzzle that are finished. Done is better than perfect, so these people out there who have a high lifestyle thermostat or a high business thermostat, these people finish things. They get things done. They get things across the finish line, and then they learn and get a little bit better, and refine and fine tune.
What’s your podcast situation? I guarantee, if you start a podcast, chances are … I used to start podcasts every couple of weeks or every couple of months and just fizzle out because I didn't know what to talk about, until I started talking with inner circle members, Bradley Roth and Jonathan Rivera, all these individuals who helped me see the power of a podcast. [10:55.3]
Now I understand how to use it, but it's because my business thermostat, my financial thermostat and everything increased to a level that I needed to keep doing this, because if I don't, I'm going to lose momentum. I'm going to lose influence, right? Because if you are out there trying to help people along, and you're not doing anything yourself, people are going to lose faith in you. If you want to help people live a better life, you have to be the example first.
Man, there's a great quote out there and I don't know who said it first, but if you want something from someone, you have to be it first. To be a great friend to want, and if you crave or need a great friend in your life, you have to be a great friend first. You want to be the most interesting person in the room? You have to be the most interested first. You want to be inspired by others? You have to be inspiring. You have to be whatever it is that you are seeking—and maybe that's the trick. Maybe that's the secret to life. [12:06.3]
You want to teach people stuff? First you have to be curious enough to learn and to put yourself through pain to learn it, so you can teach others. All these shortcuts that individuals are looking at in our life, but it's just as simple as you have to be it first. You have to do it first, this lifestyle thermostat that you're going to set with the cars that you drive, how you fly.
I want to talk about this, but I set a lifestyle thermostat about a year ago, especially when all the shit was hitting the fan and scumbag commies are trying to make it so you can't get on an airplane and travel certain areas without putting weird chemicals in your body. I started thinking, man, I need to change my lifestyle so I can fly in private planes consistently.
Where I come from and where I grew up and what I did before I started a business, that would be insane for me to even bring up to you. Why would I need to fly up in a private plane? It's cheaper to just fly in a commercial plane. It's cheaper. We are all going to the same place, right? [13:14.7]
That lifestyle change in my mind, helped me decide, okay, I need to capitalize on certain opportunities to get me to that point. I need to hang around certain individuals to get me to that point. I need to become so accustomed to winning and to believing that I'm worthy of a lifestyle that will help me take action on certain opportunities, but also to finish certain things. I need to increase the value of who I am, my own personal brand, my own value, my team, grow to a certain point that I'm able to live that lifestyle. I need to cut myself out of certain parts of the business, hire the right people, so I can start to do that. [14:02.2]
All of a sudden, I started noticing where I was spending my time and my lifestyle thermostat started to change. The cars that I was wanting to drive, I started to think, Oh, wow, that can happen. I'm worthy of that. I have the millionaire mindset now. I'm capable of it.
All of this started to impact where I spent my time, who I was spending it with, what I was doing on a day-to-day basis, how I was running my business, where I was focusing my energy when it comes to revenue, the type of revenue I wanted to make, the partnerships that I wanted to create. All of it started to adjust based off that one change in my mind. I want to be one of those individuals who fly in private, and this Sunday, I'm going to be flying in my first private plane. I started making this decision over a year ago. It took me some time to put it all together, for the right opportunity to come my way to make it worthwhile. [15:03.6]
But this might be what's necessary in anything. Changing the thermostat in your brain of that person is not going to treat me that way anymore. In my mind, I'm not going to accept that anymore. I'm not going to accept lower-level bullshit. My circle is not going to be loaded up with weak people, negative thinkers, people who don't get anything done.
My money situation, millions of dollars is what my financial thermostat is set at. I’m not going to accept anything less. I’m looking. I'm going to separate in my mind earned income and passive income, and I'm going to focus more on the passive side. Why? Because that allows me to have the freedom to go anywhere, do anything, provide more opportunities, be more influential, help people write books more, so I'm not tied down doing certain things. I need to expand my mind, so it goes in that direction. [15:59.0]
My body, I need to make sure that I keep it at a high standard, that I exercise X amount of days, worry about what I put in my body, because my standard, my body thermostat is set at a certain level.
Habits, the business, the credentials, the podcast, the cars, the toys, the communication. What do you accept in your life? What don't you accept?
Are you a great communicator? Do you really crave great communication in your life? Do you have to become a great communicator? And the way you do that is you have to shift in your mind what is great communication. Over time, I started to evaluate our business and I realized that I could always increase communication.
Is there ever a point where communication is too clear? Hell no. You can always get better. You can always get faster. You can always get a little bit smoother because I want that in my life, so if I want it, I’d better be it. Maybe I don't get it directly from that person, but if I'm a better communicator, if I can articulate in a certain way, dammit, maybe my communication thermostat increases. [17:04.3]
The people who are great communicators, I sift them out subconsciously and they become part of my life and maybe that's all I accept anymore. I only accept great communicators. If I'm going to do business with you, if we're going to work together, if we're going to move mountains together, my standard now is you are a great communicator. Anything less, you're gone.
That all comes from this lifestyle thermostat. The clothes that you wear, me personally, honestly, I don't have this high level of I need to have the best clothes. I don't get it. It's not who I am. I'm a blue-collar guy. I fixed toilets as a janitor while I was starting my first couple of businesses. I believe in simplicity and cleanliness, of course, but I don't need the highest-level clothes. I just need stuff that's comfortable and it fits, and that's me. I like hoodies and jeans and black shirts, okay? That's who I am. I'm not saying that that is a low-level thermostat when it comes to clothes. I don't know if I put priorities in clothes. I just don't care. [18:10.0]
But I do have a lifestyle thermostat when it comes to my jeep, with my Mustang, now with how I fly, how people treat me, how well my business is doing, where my money's coming in. How hard am I working for that dollar? Do I work hard for that dollar twice? Hell no. It's another great way to look at it when it comes to your lifestyle.
Are you working for the same result twice? You shouldn't be. It doesn't happen because that's just the way the chips fall. That’s low-level thinking and that's poor-people thinking. “Oh, life happens to me,” right? No, no, no. Your lifestyle thermostat, the way you look at life, you are in control. You pull the levers. Wealthy people, they make their money. They get their money to work for them. Poor people are going to say, $50,000, who's going to pay me that? How am I going to get that from others? That's low-level thinking. You can't think like that. [19:03.2]
You have to think that you are in control, and that control, where you steer that ship, I guess, is based on the standards that you set, so start to evaluate what are you accepting and what are you inviting more of into your life. If you keep telling yourself that a certain dollar amount is a lot, I guarantee you're always going to struggle for years.
This is something that I’ve worked on and got better at and better at and better at. I remember people saying, “You're going to make six figures.” I used to think six figures was a lot, and then when I got to six figures, I kept telling myself, Okay, everybody, six figures is not a lot of money. Seven figures is not a lot of money. That obstacle started to become more achievable, more achievable based off the mountain became easier.
I started to look at it as, oh, I can defeat that, I can beat that. You put it up on a pedestal like when you're dating those girls that you think are way out of your league. If you think they're way out of your league and you think that's the cream of the crop, I guarantee you're going to subconsciously put this distance between you and that person. [20:16.3]
The same thing happens with your vehicles, your lifestyle, your freedom, your value when it comes to being a family person, a great friend. Everything is achievable. You start thinking that way that that's my lifestyle. I can have that. Then your mind starts to carve a path towards that goal. You adjust that thermostat up a little bit.
Maybe it's not all at once, but over time, you're going to notice that what you accept in your relationships changes. What you accept with your friends, your business partners changes. What you think is a lot of money changes. How your body looks and what you think is a good-looking body changes. Sex life changes. Habits change. Business, credentials, podcasts, cars, toys, communication, all of this starts to adjust in a way in the right direction. [21:11.6]
All of a sudden, where you were five years ago looks totally different, who you are. How about even drinking alcohol? I have these standards now that I don't get drunk. I really don't get drunk. I can't even imagine people who smoke cigarettes. I can't even imagine that lifestyle. Some people think of that as that's their lifestyle. In my mind, it doesn't even compute, but that's because I set a thermostat of I'm going to try my best to be as healthy as possible, because now I realize the medical world, I don't think it has your best interest at heart.
My spiritual side even, to cap this podcast off, my lifestyle thermostat increased dramatically when I got a little bit more spiritual, when I started to become a stronger believer, when I had more of a relationship with God, and maybe that was a key piece to this, but everything started to expand clarity and certainty, and who I was started to expand, so the lifestyle started to adjust also. [22:17.6]
It didn't happen overnight. I mean, selling my house, paying off my jeep debt, and getting out of debt and paying off credit cards, it allowed me to sift through the bullshit to see what was really possible. When I started looking at money in a different light, when I started to think about certain aspects of life that I was neglecting, it was all because I was setting low standards.
You start setting very high standards, you become the person that's required to get them. I cannot wait to go to this event on Sunday to Legacy Boardroom in a private jet, hanging with people. Steve Forbes is going to be there, a billionaire. You get around individuals. You change your circle. You change what you feed your mind. You read the right books. You start to elevate and see possibilities open up. [23:10.1]
It's not just the thermostat regarding all of these categories that I listed. It's just that you start to see a lifestyle that might be possible in totality that you never saw from your friends, your family members, from your environment that you grew up in.
Then you start to make even more adjustments and this isn't a one set “Okay, I got it. I'm done.” You're always amping up those degrees and you're becoming a better person, a stronger person, every single time, because that thermostat, to hit that level, it's going to require a different version of yourself than you are right now. Maybe that's the greatest part about it. [23:50.7]
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