Almost no Income Tax: New York Times

I myself have been dealing with finances for a long time. Why? Finances are a matter for the boss. Your tax advisor is often only “consultant”, not “designer”, I know that from my own experience. Then the New York Times had a headline yesterday:

Story: 750$ Income Tax

“Donald J. Trump paid $750 in income taxes (or federal income taxes in the United States) in the year he won the presidency. He paid another $750 in his first year in the White House. In 10 of the previous 15 years, he had paid no income taxes at all-mainly because he reported losing much more money than he earned.”

While the president is leading a re-election campaign, which according to polls is in danger of losing, his finances are under stress, he has suffered losses and hundreds of millions of dollars in debt, which he has personally guaranteed, are coming due. He is also under pressure from a decade-long dispute with the Internal Revenue Service over the legality of a $72.9 million tax refund that he demanded and received after declaring large losses. A negative ruling could cost him more than $100 million. – Extract New York Times.

At a briefing at the White House on Sunday, Trump denied the New York Times story and claimed that he pays “a lot” in federal income taxes.

“I pay a lot, and I pay a lot of federal income taxes” – Donald Trump

Trump added that he is willing to release his tax returns as soon as he is no longer audited by the Internal Revenue Service, which, he said, “treats me badly.”

Must a US president disclose his tax return?

Importantly, the President is not required to keep his tax returns during the audit, despite his repeated assertions to the contrary. Trump also refused to answer in the briefing how much he paid in federal taxes.

Tax Avoidance: How does he do that? 4 examples

The Times article describes a number of corporate and transactional tax claims that could raise significant audit issues for the president and his business organizations. It also points out ways in which the tax laws provide for entrepreneurs to reduce their taxes.

Note, for further details see the full article on Investopedia. Here are 4 examples from the article:

Casino ‘Waiver’ Loss

The Times’ research puts certain tax reduction strategies on Trump’s tax returns in the spotlight.

The $70.1 million refund received for 2005-2007 appears to be due to the recovery of approximately $700 million in business losses claimed for 2009. These losses were probably based on the allegation that Trump Atlantic City’s casino business was completely “abandoned” (Source: IRS. “Publication 544 (2019), Sales and Other Dispositions of Assets. Accessed Oct. 1, 2020).

They would be permissible provided Trump received nothing in return for giving up its interest in the business. However, records of the bankruptcy proceedings show that Trump received 5% of the shares of the successor company, which would have disqualified any loss from the abandonment and limited its deduction to a loss of $3,000 for the year (source: IRS. “Part I, Section 165. Losses.” Accessed Oct. 1, 2020)

Consulting Fees vs. Employee Compensation vs. Gift

Unspecified “consultancy fees”, which can be seen in tax returns, may indicate a common strategy for reducing corporate income and taxes. The $747,622 in consulting fees paid to Ivanka Trump raises several questions. As an employee of the Trump organization, Ivanka should not be paid as a consultant, that is, as an independent contractor.

Unlike employee compensation, consultant fees avoid withholding taxes that are payable by the payer. But in order to be deductible, they must be reasonable, marketable amounts. Although a consultant is subject to reporting and taxation, Ivanka may be able to avoid any tax liability. As a real estate professional, Ivanka may have enough real estate losses to offset the payment. This fee deduction may cause the IRS to raise another issue. Officials may question that the fee – which far exceeds the annual gift tax exemption of $15,000 for 2020 – is in fact a transfer of assets to a family member on which the transferor owes gift tax (source: IRS. “Publication 950.” Accessed Oct. 1, 2020).

Business vs. Personal Expenses

Although not all Trump’s business expenses are explained, the article lists items that may be non-deductible personal expenses (source: IRS. “Publication 529.” Accessed Oct. 1, 2020)

It is noted that on this basis, the IRS may not allow deductions for aircraft used for personal travel and television entertainment expenses. Since the deductions for attorneys’ fees are stated as a lump sum, The Times wonders if the total amount includes fees paid to attorneys representing Donald Trump, Jr. in investigations and the President’s personal legal agreements to obtain confidentiality agreements from the plaintiffs.

Residence or Investment?

The Trump Seven Springs housing estate in Bedford, N.Y., asks additional questions. Although Forbes reported that Eric Trump described the property as a personal residence, Donald Trump called it an investment and deducted the $2.2 million property tax as a business expense. Wealth tax deductions for personal residences are subject to a $10,000 cap on state and local tax deductions (IRS. “Topic No. 503 Deductible Taxes.” Accessed Oct. 1, 2020).

Reading tips: Asset Accumulation & Co.

Here I have some reading tips for you:

1. “Billion-dollar gift: shares largely tax-free”
2. Taxes & Assets: learning from investor experiences

“Billion-euro Gift: Ahares Largely Tax-Free”

“Billion dollar gift for Döpfner – largely tax-free?” – this headline is not from me, but from the morning mail. In fact, Matthias Döpfner has turned the publishing house upside down as boss. While owner Friede Springer stands confidently behind his decisions. Print shares were sold, new online media such as Business Insider, Idealo, Immowelt and StepStone were acquired. Already in 2012 Döpfner has received a big share package for more than 70 million Euro, now a “billion-dollar gift” for the Axel Springer boss is going to go, according to Manager Magazin. The 57-year-old media manager is increasing his previous stake in Axel Springer SE from just under three percent to a total of around 22 percent.

Tip! How does it work that you can get a block of shares almost tax-free? A little further down in the article I explain the methodology, or rather the law behind it.

• • Give away shares: largely tax-free?

Understand and Convert Taxes & Build up Assets

Tax optimization, tax-free, the most popular buzzwords when it comes to wealth accumulation. But how do you actually convert private wealth into taxes? My tip, as before, is to learn from professionals who have all been through it.

Always remember: taxes are a matter for the boss.

• Convert taxes into private assets

Share Gift and Company, PS: Tax optimization is legal

Tip! How does it work that you can get a share package almost tax-free? A little further down in the article I explain the methodology, or rather the law behind it.

First of all, a brief overview: Mathias Döpfner, head of the Springer publishing house, is given a large block of shares as a gift. The parcel of shares given to him, from about 15 percent of Axel Springer SE, has an estimated value of a good one billion euros. According to current news, he will hardly have to pay taxes on it. A “billion-euro gift for Döpfner”, according to the Morgenpost. The Tagesschau (both German) summarizes it best:

“Springer boss Döpfner rises to become major shareholder of the Berlin media house. Publisher’s widow Friede Springer sells her confidant around 4.1 percent of the share capital and gives him another 15 percent or so”

Before we look at how such a gift is structured so that no or hardly any tax is due, here is a rough look at the publishing house Axel Springer SE and its development under Döpfner.

Here’s a quick reading tip: Today it flickered through the news tickers of the world. According to the New York Times, US President Trump pays only 750 Euro income tax. It gets even better, according to the New York Times Trump paid no income tax in 10 of 15 years from 2000 onwards. How does he do that?

• If the US president pay only $750 income tax

Axel Springer SE: Development under Döpfner

As already described in the introduction, he needed changes and Friede Springer clearly sees him as her successor.

The rapidly growing online business boosted earnings before interest, taxes, depreciation and amortization to 309 million euros in the first six months. This is the highest operating profit in the history of the Group. The digital business accounts for around a third of the profit – and the trend is rising, so that Handelsblatt.

How does the turnover develop over time? The Federal Statistical Office reports: “In 2019, the turnover of Axel Springer SE was more than 3.1 billion euros […]. There has been a tendency for revenues to increase since 2007, but the highest revenues of almost 3.3 billion euros were generated in 2015.

AxelSpringer SE at a glance:

• CEO is Mathias Döpfner since Jan. 2002
• The major owner is Kohlberg Kravis Roberts & Co. (43.54%)
• Revenues in 2019 amounted to EUR 3.1 billion
• 16,120 employees in 2019
• Headquarters is Berlin
• The founder of the publishing house was Axel Springer

Subsidiary of Axel Springer

While print shares were disposed of, Döpfer and Springer invested primarily in digital business models. The Axel Springer SE includes among others:

• AWin (Affiliate Platform)
• Ideal
• Immowelt Holding AG
• StepStone

Of course, the publishing house still includes print products, as well as BILD and TV stations like WELT.

• Bild group (Bild , Bild am Sonntag, bild.de)
• Bild magazines (like Computer Bild, Sport Bild, Auto Bild, Audio Video Foto Bild)
• Welt Group (Welt, Welt Kompakt, Welt am Sonntag, welt.de)
• Welt-TV (World, N24 Documentary)

Axel Springer SE: Share Price (Realtime)

Finally, a look at today’s share price with a review of the year:

• WKN: 550135
• ISIN: DE0005501357
• Symbol: SPR

73 million: First transfer already 2012

The Süddeutsche will report as early as 2012 on the first transfer of shares from Friede Springer to CEO Mathias Döpfner worth around 73 million euros.

“The generosity has a “purely private background”

The Pressehaus said:

In order to fend off overly curious journalists, Springer agreed on this language regulation. It also has an impact on how much tax Döpfner has to pay on the gift, so on in Southern Germany.

“If the tax office were to come to the conclusion that the reason for the share transfer was Döpfner’s employment relationship, he would have to pay millions in wage tax on the gift. With the solidarity surcharge, around EUR 36 million in taxes would be due. If, on the other hand, Döpfner succeeds in convincing the office that Friede Springer gave him the shares out of pure affection, he could save a lot of money. Under certain circumstances he would then even have to pay only around 2.5 million Euro to the tax office.”

Why Largely Tax-Free? Explanation

First of all there is a tax-free amount for all donations. The regulations are laid down in the Act on Inheritance and Gift Tax.

Free Amount in Case of Gift (Capital): Outside the Family

In general, the following rates from the Inheritance Tax and Gift Tax Act (ErbStG) § 16 allowances for inheritance and gift apply.

(1) In cases of unlimited tax liability (§ 2 paragraph 1 number 1) the acquisition remains tax-free:

1. Of the spouse and the life partner in the amount of 500 000 euros;
2. Of children within the meaning of tax class I No. 2 and children of deceased children within the meaning of tax class I No. 2 in the amount of 400 000 Euro;
3. Of the children of the children within the meaning of tax class I No. 2 in the amount of 200 000 Euro;
4. Other persons in tax class I in the amount of 100 000 Euro;
5. Of persons in tax class II in the amount of 20 000 euros;
6. (omitted)
7. Other persons in tax class III in the amount of 20 000 Euro.

The Morgenpost reports accordingly:

Actually, the publisher’s widow’s gift to her top manager would not be such a generous one. For gifts outside the family, 50 percent gift tax is due above the allowance of 20,000 euros. In this case, this means almost half a billion euros. But there are exceptions, for example for business assets.”

Free amount for donation: Within the family (excursus)

Within the family you have a higher allowance:

• Spouses and registered partners: 500.000 Euro
• Donation to children: 400.000 Euro
• Gift to grandchildren: 200.000 Euro

If there is little or no degree of kinship, the tax-free amount is, as described, only 20,000 euros.

Share Package Almost Tax-Free: Method Explained

Why is a large part of the share package now largely tax-free?

The package has a volume of 15%. During the transfer, a law was exploited to prevent the possible insolvency of companies. Due to the high volume, Axel Springer SE could get into financial difficulties. As a reminder, the gift tax outside the immediate family is 50%, the tax-free amount is only 20,000 euros.

Gift tax: 50%

Exempt amount: 20.000 Euro

Tax-free: Possible financial threat to Axel Springer SE

The possible financial threat to Axel Springer SE is therefore the legal sticking point, which is why a large part of the tax (according to current news [03.10.2020]) is waived.

Gift, Capital Gains, Real Estate – Almost Tax-Free ?

We have answered the question from the headline: “Largely tax-free? Now we come to the second part: “Can I do that too?” Short answer: Yes. The way: Coaching from a professional, learn, understand, actively apply. The important thing is that taxes are a matter for experts.

You want to Save Taxes like a Pro?

You want to save taxes like the professionals? I don’t write any names because I don’t want to make a big advertisement, but there are great tax coaching services just a google search away.

I have been following several self-made real estate investors for a long time. Anyone who has made it from zero to a millionaire with legal methods can only be a good role model for me.

The best thing about tax optimization, it is absolutely legal!

US President Pays only 750 Dollars Income Tax

As I have reported here in the article about the American President’s meager 750$ reported taxes, tax optimization is common practice. Everyone who submits a tax return and for example deducts travel expenses is actively minimizing taxes.

Financial optimization is especially about understanding and knowledge: Knowing that your tax advisor does not have and will never have. If he or she did, he or she would be an investor himself.

In other words: If you know the legal methods and ways of tax optimization, you can instruct your tax consultant to do the right things. The tax consultant should then take care of the operational work. Everything strategic, methodical, you should master.

Understand and Convert Taxes & Build up Assets

Tax optimization, tax-free, the most popular buzzwords when it comes to wealth accumulation. But how do you actually convert private wealth into taxes? My tip, as before, is to learn from professionals who have all been through it.

Always remember: taxes are a matter for experts.

• Convert taxes into private assets

Podcast – “Richer than the Geissens” now for free!

Important: Currently the book is only available in Germany! I speak German and discovered this book or audio book two weeks ago. Even if you wouldn’t understand a word in the podcast, I wanted to introduce some of the methods and strategies to you!

“Richer than the Geissens” by Alex Fischer is one of the most successful business books in Germany. 200,000 readers, top rankings on Amazon (currently 3rd place in Success for Job & Career), speak for themselves. Now comes the absolute highlight: the audio book is now available for free on Spotify and iTunes! Your chance to learn the strategies and principles that made the author successful. Author Alex Fischer has earned millions himself with real estate and still holds over 20,000 square meters of space in and around Düsseldorf. He started with 0 Euro equity.

Nothing comes by chance. Alex Fischer himself started with 0 Euro equity. He grew up as the son of two teachers. So he himself had no source of money worth mentioning. He gained experience. More and more and more. His great passion: passing on knowledge to the next generation of entrepreneurs.

For example through the podcast on “Richer than the Geissens”, which he now makes available free of charge in the two most popular apps Spotify and iTunes. Your and my chance to learn something for the future.

The audio book contains an incredible amount of know-how, principles, strategies, examples and procedures, as well as checklists and questions that you absolutely must ask yourself if you want to be successful in life and in your job. In the first part I was especially impressed by these 3 learnings, which I want to share with you here! Briefly explained, the money magnet ensures that you automatically attract money. The money laws help you to make decisions and through the account structure you create more and more financial freedom through reserves and protect yourself from unnecessary expenses. These and many more learnings you get in the first of three parts.

“RADG” at a glance: Contents and methods

Before we take a closer look at the tips, here’s a quick reminder for you of what makes the book and podcast so special. The book and the free audio book at a glance, it contains (excerpt from Amazon):

• 43 timeless laws of success to get off to a maximum start
• 14 concrete steps to become a real estate millionaire in just five years
• Principles and tools to build a freedom and money machine
• The real reason why money alone does not make you happy
• The 7-contact rule for an extensive network of experts
• Your 1st property: Effective strategies to build up equity and double cash flow
• Podcast for free
• Member area free of charge

“Money and prosperity love order” – this quote ends Edition 26: An excerpt from own money laws from “Richer than the Geissens”. In order to make this possible, you create a fixed account system which, in case of doubt, will rather calculate you poorer than too rich.

In the mindset of everyone is anchored, “Money always goes away”. How can you change your mindset? Basically it is about a positive mindset in the implementation of your goals. What do people who are happier than average have in common? They take their life, their work, but also their relationships playfully, according to Alex Fischer. Why were Alex Fischer, Boris Becker, Michael Schumacher but also Reinhold Messner himself sad, especially in their moments of absolute success? Tip: Listen to episode 7: Make money (really) happy with the whole story! “It was success that ended the game.” Repeating this game is boring and does not give the same satisfaction anymore. Felt is only going downhill from now on. “Only” making more money doesn’t make you happy anymore. The big question: What do you enjoy? What makes you happy?

From Episode 25: Building instructions for a money magnet we slowly move on to the topic “Making money”. I find this episode so special because it contains a “simple” means. Here is a small insight into this episode: Money magnet. With the central question, how does the money magnet work? What does a money magnet change in your life?

How does the money magnet work?

Take 10% of your income (private) or 10% of your contribution margin (entrepreneur) and put it into a savings account. You never touch this account. In principle, the money magnet is so simple that it is slightly underestimated according to Alex Fischer. Error 2: It is often destroyed again. But tests and success reports have proven the success thousands of times. In order for your money magnet to work, you must follow these 3 rules:

1. Take 10% of your income (private) or 10% of your contribution margin (entrepreneur) and put it into a savings account.
2. You never touch this account!
3. Never! Never!

Alex Fischer explains in detail with stories from his own life why this money magnet has changed everything for him. But he also explains that it’s not about this account making you rich. The account ensures that “more and more money is attracted”.

This account changes the mindset of people.

Account access? Fatal error

Alex Fischer talks in the podcast about his first money magnet, which he set up, directly after a trip to the USA, where he himself was sensitized to this topic. Half a year later he made a fatal mistake! Spoilers: Alex Fischer threw Pin and Tan from the account into the shredder.

Which mistake Alex Fischer made and why he threw away the Pin and Tan for the money magnet, you can hear in Following 25: Building instructions for a money magnet.

Excursion: contribution margin (10% for companies)

.
Alex Fischer advises entrepreneurs to pay 10% of the contribution margin into the money magnets. Some will now ask themselves: contribution margin, what was that exactly?

The contribution margin (DB) comes from cost and performance accounting (KLR). The contribution margin itself is the difference between revenues and variable costs. It indicates how much a particular product contributes to covering fixed costs. You can use this key figure, for example, to calculate the sales quantity from which the company makes a profit – the break-even point.

Calculation example

As a self-employed person you will earn 10,000 euros per month:

revenue: 10.000 Euro
– variable costs: 4,000 Euro (e.g. raw materials)
= Contribution margin: 6,000 Euro
– Fixed costs: 1,500 euros (e.g. rent, insurance)
= Result: 4.500 Euro

Here once again the important key figures:

Contribution margin, variable and fixed costs – example

• Contribution margin – difference between revenues and variable costs
• Variable costs – What counts as variable costs? Variable costs are so-called variable costs that increase or decrease depending on the level of employment or the production volume of a company – example: raw materials for production
• Fixed costs – What counts as fixed costs? Fixed costs arise and are independent of the production or sales volume – example: employees, rent, insurance, etc.

Back to the topic: How do you build a money magnet. Remember, there are 2 mistakes. Error 1: The money magnet is so simple that it is easily underestimated. Error 2: It is often destroyed again.

Money laws: Account, reserves and expenses

In Edition 26: An excerpt from my monetary laws Alex Fischer reveals several of his principles. In the podcast and in the book you will find all tips in detail with best practices by Alex Fischer himself. Tip! For the following tips there are Excel tables in the members area on the website of Alex Fischer. Central is:

Calculate poor!

Why calculate poor? You don’t spend money you don’t plan for. Simple but brilliant! That way you don’t make any commitments that you can’t afford to make on closer inspection.

You will now learn how to “calculate poor” automatically and at the same time build up reserves, keyword “financial freedom”.

Account structure and allocation form

The insight into the account structure is extremely interesting. An allotment form. Simplified described you set up a pure purchase account, all revenues flow into this account. From this initial account you distribute reserves according to a certain key (allocation form) to your created subcounts. The account model (subaccounts) must of course be adapted to the individual needs.

1. All incoming cash account – All incoming, no outgoing to external accounts, only distribution to internal sub-accounts
2. Each receipt is entered on the allotment form – All distribution keys are stored as percentages
3. Outgoing account – Last item in the distribution key

This concept ensures that you no longer have the feeling that money is “taken away” from you.

According to Alex Fischer, the undernots are individually invested. A finished model will look like this, for example:

1. “Taboo reserve account” – The “money magnet” described above with 10%
2. Reserves for advertising – Approximately 10-15% of gross income
3. Risk account – legal actions, liability cases, etc.
4. … listen to the episode in detail, in Episode 26: An excerpt from my monetary laws. Believe me, you’ll be taking over the model immediately!

The adaptation and modification to individual needs comes in the second step. This construct means that no money is spent that belongs to someone else, for example taxes. It makes spending honest and transparent and you can counteract unforeseeable expenses.

Taxes: 50%+ do not belong to you!

Entrepreneurs but also self-employed and workers know or better should know: 100,000 euros is only 50,000 euros. Because round about 50% do not belong to you, but are taxes. 19% (in Germany) alone are already gone for sales tax. In addition there is income tax or also trade tax. In the end, more than 50% always belong to the tax office.

So if you spend 50.000 Euro for purchases, etc., then that was already too much! Wow. Have you ever considered it like this in your company?

But if you create reserves with the reserve form, you will not get into an unfavorable situation, because you will only calculate additional investments or expenses with your initial account.

Example: Fuel oil

The big goal of “Richer than the Geissens” is: “In 5 years without equity to become a real estate millionaire”. Accordingly, the first best practice examples from the real estate world are slowly emerging. For example in relation to expenditure for fuel oil, spread over 12 months.

Every month tenants transfer their fixed amounts for heating oil. In summer, however, there are no costs for heating oil, only in winter. Without reserves, the money could be mistakenly spent by the property owner. With the distribution key (reserves) from the reserve form, there would be no such danger, because our property owner would automatically have formed reserves and would know about his exact financial situation instead of making decisions based on missing information.

You want more and deeper information about money, happiness and mindset? You can find more on the Youtube channel. There are also many lectures of mine included, which were published on foreign channels. Now to: Alex Fischer Youtube.

Account structure and allotment form, another tool out of so many that you learn from Alex Fischer in the podcast of “Richer than the Geissens” in Episode 26: An excerpt from my money laws.

Toolbox: The consequence for self-assurance

Now part 2 (of 3) starts in the podcast, “The tools as manager of your life”. Parts 1 and 2 of “Richer than the Geissens” are the basis for happy entrepreneurs. Like in part 1, it is again about a lot of know how, principles and guiding principles for your life. The start is Order 31: Your toolbox.

Alex Fischer also had moments when it seemed as if everyone else was passing him by, understanding things faster and putting them into practice.

When he complained about this in a mentor talk, he was told by his mentor that it’s not that he “can’t do something”, he just doesn’t have the right tools yet. Successful people simply have a better toolbox and they know how to use the tools.

Once again an ingenious basic rule that takes complexity out of constant struggle. So for me, too, this means that above all I need the right tools, the knowledge of how to use them and of course practice, practice, practice. The awareness that there are the right tools for all problems is, according to Alex Fischer, important for developing oneself.

Such tools exist in every business.

What I also like about the whole podcast are the super practical examples, like this one about the toolbox of 5 electricians with a task.

5 electricians, one task: Who will win?

The task for the appointed electricians is the same (regardless of the exact activity). The first electrician comes without a tool box, the second has an incomplete one, the third has a complete one, but he does not know what the tools are for. The fourth brings a complete toolbox, knows his tools but does not know how to use them, he lacks practice. The fifth has a complete toolbox, knows what the tools are for and has practice in using them.

Who will do the job best?

Tools for entrepreneurs

Such tools are available in every business, as I said before. They are extremely versatile. You have tools for:

• Annual and target planning,
• Time management,
• Strategic planning,
• Find, select and bind the right employees,
• Generate contacts and win them over,
• Settle the dispute and prevent it beforehand,
• Marketing and sales

So if you have difficulties in an area such as “annual and target planning” or “generating contacts”, it is because you :

• You’re not aware that there are tools for this.
• You don’t have the right tool.
• Don’t know how to use the tool
• Have not yet had enough practice in using the tool.

Tools for private persons

Being the “entrepreneur of your life” is not only about business, there are much more basic tools in your private life, like:

• Tools for learning and evaluation,
• Tools to “beat your inner bastard”,
• Financially successful,
• Tools to lead a great and successful relationship,
• Etc. Our home valuation explains the methods.

From money magnets to toolboxes: In “Richer than the Geissens” you learn the setting for a successful and happy life. You can find these and other tools by Alex Fischer in Engine 31: Your toolbox.

Tip! On the website of Alex Fischer you can find hundreds of videos about the different tools, in the different sections! Here you can go directly to the member area of Alex Fischer.

Alex Fischer: Richer than the Geissens

“In 5 years without equity to become a real estate millionaire” – here you get the right and important tools for a happier and fulfilled life, also through financial freedom. Alex Fischer is living it up, with real estate he himself has already provided for a long time. His focus is on passing on knowledge, strategies and success stories. An extremely inspiring audio book. You want more Know How? Become a part of the Alex Fischer Community. or watch direct and free videos from Alex Fischer on Youtube.

“Richer than the Geissens”: Book and audio book

With over 200,000 readers, “Richer than the Geissens” is mega successful, for good reason. It is also in the top 100 at Amazon! In a nutshell, you get 43 timeless laws of success with which you can become more successful financially, professionally and privately. You learn to reach your goals, to “materialize” them (what this means, you learn in the book). You will receive exact step-by-step instructions for your own personal financial freedom. This way you avoid really frustrating mistakes right at the beginning. As a private person and / or as an entrepreneur, you learn from Alex Fischer how to avoid these fatal mistakes and at the same time follow your passion – every day! The book contains hundreds of learnings that will help you to live a happier and more fulfilled life. Best of all, you can get the audio book for free on Spotify and iTunes!

• Audio Book on Spotify
• Audio Book on iTunes
• Book on Amazon

Richer than the Geissens – the book

Important: Currently the book is only available in Germany! I speak German and discovered this book or audio book two weeks ago. Even if you wouldn’t understand a word in the podcast, I wanted to introduce some of the methods and strategies to you!

Since a few weeks “Richer than the Geissens” is now available for free for everyone on Spotify and iTunes. Why? Alex Fischer shares his knowledge. But the book is also an introduction for those who want to attend further courses. On Alex Fischer’s website there is a free member area with countless videos, checklists and much more. Additionally there is an extra seminar, which can be booked. But before you get there, you need cash flow, equity and real estate. Exactly for this there is the book or audio book.

If you want to earn money with real estate yourself and above all become happier, but also passively generate cash flow through financial freedom, you should take a look at the principles, policies and strategies of Alex Fischer!

In 5 years without equity to become a real estate millionaire

The chance to learn from a pro!

In this little book presentation I want to show you a small selection of very effective methods in a shortened form. Of course I can only show a fraction of the learnings, methods and strategies of the audio book, because in the book you will find more than 600 learnings, 668 to be precise. It was already published in 2016. In addition to the book there is a podcast or audio book. Tip! The audio book on Spotify and Amazon is constantly updated.

• First edition was published in 2016; audio book is constantly updated
• Now for free as a podcast on Spotify and iTunes
• 43 ‘timeless laws of success’
• 668 essential tips
• 456 pages or 79 episodes in the audio book
• 3 parts (mindset, strategies / tools and building money machine)

The book offers extremely much content and know-how for you privately (life) and entrepreneurially (business). Structured in 3 parts from the mindset and the basic attitude to the topic “money”, to the structuring of your own life and of course the most important thing, building up cash flow, passive income, equity, the first property and your future property portfolio!

Audio book for free on Spotify and iTunes

If you want to listen to all episodes yourself, you can find the free audio book now on Spotify and iTunes!

• Richer than the Geissens – audio book on Spotify
• Richer than the Geissens – audio book on iTunes
• Alex Fischer – Website & free members area

If you like to have good books on your bookshelf at home, you can order your own copy here on Amazon:

• Book on Amazon

Part 1: Mindset & important knowledge as the entrepreneur of your life. Here are a few selective contents, which I find very inspiring myself!

Makes money (really) happy?

Directly into one of the first chapters or episodes comes one of the biggest questions that arises, especially for those who are already having some success, i.e. who are already generating cash flow. Actually, it happened to me as well, at some point you know “money doesn’t make you happy”! If money was the ultimate lucky charm, then hardly anyone in Hollywood would be unhappy. But everyone knows examples of failed personalities. Millions do not protect you from loneliness.

Objective: Your “Purpose”

That is why it is so important to have goals, your “Purpose”. Goals that motivate you to continue! Alex Fischer explains in Equation 14: Know your why, from when on he “really started”. Successful, happy and full of energy was Alex Fischer when he found his “Purpose”. Purpose because there are many definitions of the word “goal” in English. Alex Fischer will go into the exact definitions in the podcast later in part 2 of the audio book. It is important that you know your Purpose! The big “why”.

With the right mindset and the right goals in mind, work no longer feels like work, but like passion! Goals should also not only pursue your own happiness. The world around you should also participate in your success.

Happiness lies outside the comfort zone

Many know the saying, “He who does not dare does not win!” Alex Fischer talks about that at great length, then your luck is not in your own comfort zone.

In business, but also in your own life, it is about understanding systematics (for example, how do I get to know new people [or business partners]) but also about finding new ways. Like Alex Fischer combined the offline world of real estate with the digital world of online marketing. A subject that many property developers and estate agents shy away from, because online marketing is clearly outside their comfort zone. A website is already ultra-modern. That’s why “who dares, wins!”

Leaving your own comfort zone requires courage and of course also a willingness to take risks. Alex Fischer has done this himself in bravura, he has connected the world of real estate with the for most unpleasant topic of online marketing. Does that really fit together? Even in my consultations I am often met with a lot of scepticism. The more modern the medium, the less interesting it seems to many property developers and estate agents. Alex Fischer has impressively demonstrated how such new combinations can be successfuly used for your own benefit. In the 3rd part of the book you will also get a lot of input when it comes to your own resource planning but also about setting up strengths and matching with industries to find the best possible matches: To whom do you bring the greatest added value with your individual strengths and resources?

For private individuals it is the salary increase, for entrepreneurs the right industry for their own product or service.

It’s a “Hell yeah, baby!” or a “No!”

Ultimately, it’s always about making decisions, because that’s the only way to build strong businesses and business models. Episode 18: It’s a Hell yeah, Baby or a No also stayed very much in my head. In this episode of the audio book, Alex Fischer describes how he makes decisions based on real estate projects he had to choose himself. Which properties deserve attention and which don’t?

There are real estates, to which one says immediately “Yes”! There are real estates for which one knows immediately, “no”! Then there are a lot of real estates where you are not sure. Now the question arises again, which real estates bring in the end the results one wants, thus profit-maximizing sales? In a nutshell: Focus on the projects where you say “yes” immediately. Because in the end a lot of time is invested and in the end there is usually no business. Why not immediately and immediately focus only on those objects for which you immediately say “Yes” and have no doubt? Exactly! Here, too, it’s all about focusing, from Purpose to Pareto principle, more and more elements come together – and you are still in the first part!

Cause and effect

The principle of action and reaction comes from physics. A law of nature. And ultimately the business world is subject to the same principle of cause and effect.

Of course, I cannot go into this complex topic in detail in this little review, but the basic point is that all kinds of goals can be or will be materialized if you work on them thoughtfully and consistently. Simply put, if you firmly believe in yourself (and of course have the dedication and master the tools and strategies) you will succeed, because “faith can move mountains”.

Faith can move mountains

Speaking of faith, believe me, in this audio book you get so much wisdom! In this review of my audiobook I can really only give you a fraction of the aspects Alex Fischer gives in each chapter.

A very special one is this one: Much later, in the third part, there is an impressive example that has remained almost figuratively in my mind even today.

Basically it’s all about: Alex Fischer not only gives tips, he also tells from his own life, from his own experiences (that’s what makes all the tips and strategies from the author so authentic). Extremely honestly he also tells about the moments when he has “negative thoughts”. Every time he thinks, “I can’t do that”, he thinks of this example at the same time:

I will remember this story forever – motivation

The story takes place in the 70s, in India. A man lives with his wife in a village at the foot of a big mountain. One day, the wife falls ill. So ill that her husband had to take her to the nearest doctor quickly. The way over the mountain was too arduous, so he had to carry his wife around the mountain, all by himself over 70km along the foot of the mountain. If there had been a possible way over the mountain, the distance as the crow flies would have been only a little over a kilometer.

But instead of being able to take her to the nearest doctor as the crow flies, he had to walk almost 70 km around the mountain. That with his sick wife in his arms. On the way, she died in his arms.

This man swore to himself that no husband would ever have to bury his wife again, just because he would not make it to the doctor in time. The man began to carve a path through the mountain by the simplest means, so that there was a passable way. For 22 years he worked hard. Then, 22 years later, that path was actually finished. He had worked tons of stones and moved debris with his hands and the simplest tools. Completely unselfish.

If this man can accomplish such an incredible thing, how can I let myself be defeated by small problems? Exactly!

Let’s jump right back to one of the last episodes of part one in the audio book. The building instructions for a money magnet.

Instruction manual for a money magnet

An extremely interesting chapter that I liked from the very beginning and even listened to twice! But, what is a money magnet, explained very quickly? If you already have cash flow but haven’t really thought about reserves yet, you will love this principle or the extended model around the entire account structure!

Explained simply and quickly. In this episode you will learn how to install a money magnet. This “money magnet” attracts money “magically”. In principle, the money magnet is so simple that it can easily be underestimated. How does the money magnet work? Take 10% of your income (private) or 10% of your contribution margin (entrepreneur) and put it into a savings account. You never touch this account. Never! Why and what the money magnet brings you personally, you will learn for free in episode 25: Construction manual for a money magnet.

This was an extremely small insight into the first part of “Richer than the Geissens”. To give you a little more insight into what the first part of the book or audio book is about, here is the complete table of contents!

Table of contents – part 1: Mindset basics

• Chapter 1: Your personal real estate opportunities
• Chapter 2: Does money (really) make you happy?
• Chapter 3: Why your mindset is (almost) the most important factor
• Chapter 4: What is courage?
• Chapter 5: How your mind evaluates and what tricks it plays on you
• Chapter 6: Happiness is outside the comfort zone
• Chapter 7: What I could learn for life from traffic rules
• Chapter 8: If you do the same as everyone else
• Chapter 9: Know Your Why.
• Chapter 10: What is money and why do most people have none?
• Chapter 11: How to find your purpose
• Chapter 12: On waste of time, patience and unnecessary stress
• Chapter 13: It’s a “Hell yeah, baby!” or a “No!”
• Chapter 14: You have more departments than you think…
• Chapter 15: Am I a good life investor?
• Chapter 16: Analyze your beliefs: Can I have it?
• Chapter 17: Everything is cause/effect (action/reaction from physics)
• Chapter 18: When you get out of the habit, you become incredibly charismatic.
• Chapter 19: When you swim up the Rhine…
• Chapter 20: Building instructions for a money magnet
• Chapter 21: An extract of some monetary laws
• Chapter 22: What taps and icebergs have in common
• Chapter 23: How to become a true professional

Part 2: The tools to become the manager of your life

After, simply said, the first part is mainly about the right mindset, i.e. the right basic attitude towards you, the relation to money but also the necessary basic knowledge, the second part is now about strategies and tools. But you have not yet reached the point of earning money, because first you need the right tools and strategies.

Toolbox: To have, to understand, to be able

You can’t do something right? The others are somewhere, always better? It’s not you, it’s just that you don’t have the necessary tools, you don’t have the necessary knowledge how to use the tool or you simply lack the practice in handling the tool. Sounds easy at first, but is extremely important, especially in understanding your own abilities.

In episode 31: Your toolbox Alex Fischer personally tells about his experiences and moments when it seemed as if everyone else was passing him by and understanding and implementing things faster. Is it up to you? When he complained about it in a mentor talk, he was told that it’s not that he “can’t do something”, he just doesn’t have the right tools yet. Successful people simply have a better toolbox and they know how to use it. This means that even if you are faced with an initially unsolvable problem, you may just lack the right tool, knowledge or practice with the tool. Get the know how, learn to use it and practice!

Automation and Pareto principle

In the field of online marketing Alex Fischer has done something ingenious. He wanted to automate certain information and processes, that in the real estate sector. Reicher als die Geissens” goes into this topic in great, great detail at the end. But already at the beginning Alex Fischer shows with which basic steps he has built up his success in online marketing.

A topic that Alex Fischer deals with just as intensively is the Pareto principle. He brings the principle and extends it to the mathematical formula that it is. But who has ever thought about the fact that the Pareto Principle can be extended? So in short, what if you divide the 20% further into 20:80 and get 4% for example for 64% of the turnover? Extremely interesting! After all, in life it is important to separate lucrative and interesting options from the less profitable ones. Through this constant optimization, your own cash flow increases permanently.

But to follow all these thoughts, you should definitely listen to the individual episodes in the podcast! I just want to give you a little insight and introduce you to some of the tips and strategies you will find in “Richer than the Geissens” which will help you a lot at the beginning from my experience. Here is a small insight into the table of contents, so that you can see what part 2 of the audio book or podcast is about.

Table of contents – part 2: strategies & tools

• Chapter 1: Your Toolbox
• Chapter 2: Knowing the basics of marketing and sales
• Chapter 3: A problem exists only until you ask the right question
• Chapter four: Be honest and authentic.
• Chapter 5: Choose your partners wisely
• Chapter Six: Good Behavior? It’s much cooler without…
• Chapter 7: Goals? Setting goals? Stop it, I’m falling asleep…
• Chapter 8: How the Force is with you
• Chapter 9: Pareto in the application
• Chapter 10: The Seven-Contact Rule
• Chapter 11: The Blind Swimmer
• Chapter 12: How to weld a team and what are good guides?
• Chapter 13: Of chairs and machinery
• Chapter 14: Why many ideas remain just dreams
• Chapter 15: My Worst Mistakes
• Chapter 16: How to set priorities
• Chapter 17: No discipline? That’s what it is…
• Chapter 18: With great power comes great responsibility…
• Chapter 19: How to Go Viral
• Chapter 20: The supreme discipline: strategic planning

Part 3: How to build a money machine

Now it will be exciting, because the third part is about making money! Cash flow, passive cash flow, building up equity, etc. – welcome to the third part of “Richer than the Geissens”. In the last part Alex Fischer gets very concrete, with the big question, how do you actually earn money? From cash flow to your account structure, to reserves and passive income sources as well as the expansion, to a real money machine! In this review I just want to give you a short insight and a detailed look at the table of contents, so that you can see what the third part of “Richer than the Geissens” is about!

Primarily, at the beginning of the 3rd part, it is about the question, which own resources do you have, which strengths and possibilities? But it is also about the whole structure behind it! Tip, listen to episode 27 from the first part: What taps and icebergs have in common.

Set up money magnets

The A&O is your own money magnet. Quickly explained, it is a reserve account to which 10% of your earnings flow, always. You have no access to this account, just throw your PIN and TAN directly into the trash can. Never access this account! This point is so important that Alex Fischer is one of the few people to mention it twice. First the first part about the mindset and now much more concrete in part 3, because the money magnet is again part of a more complex structure. In general, it is about building reserves, through a certain distribution structure.

In simple terms, there is an incoming account, to which all revenues flow. This account does not make transfers to external accounts, but only to internal sub-accounts. These sub-accounts then form your reserves for the important business areas that you have identified. Part of these reserves is, as mentioned, your money magnet. At the end of this distribution key is the outgoing account, you calculate with this sum!

Calculate yourself poor! Why and how can you find out in the podcast from episode 53: The subgoals on your way to financial freedom.

Exactly these basic tips make the book interesting not only for those who already have a good and solid foundation, but also for private individuals and beginners who want to earn money with real estate themselves.

Purpose, resources, strengths and sectors

Purpose, resources, strengths and industries – Where does the journey in life go? Those who think concretely will find the optimal path. Alex Fischer deals with the following keywords in several episodes: Finding Purpose, Resource Planning, Strengths and the Business Directory. Why and how to use these for yourself, you will learn from episode 56: Income and creative time increase according to Pareto.

Through this combination of purpose, resources, strengths and industries you will find the optimal way to become successful. First of all you have to find your own purpose, which means your higher goals for yourself privately but also entrepreneurially. After that it’s time for resources, what is at your disposal? What do you have access to (know how, goods or contacts)? Then come the strengths, what are you particularly good at? The last step is different: For whom could your knowledge, your strengths and your resources be particularly interesting?

In several episodes Alex Fischer adresses this topic in the podcast of “Richer than the Geissens”, because before it comes to cash flow and equity, you need to know where you want to go and for whom you are interesting with your very individual skills and abilities!

Increase cash flow and equity capital

How can you increase your cash flow and equity? Those who are aware of their own potential, as well as those who could use this potential profitably for themselves, can now jump at the generation of steady income (cash flow), the building of equity capital, in order to then take the really big step, the first own property!

For the majority of the readers this is the big primary goal: the first property. Because very few of the more than 200,000 readers so far will already own a portfolio of 3.4 or even more properties. If you listen to the podcast, you can be one of those few who have built up their own real estate portfolio.

The strong point of the audio book, the journey is not over yet! At this point you have read or heard about 80% to 85% of the book. The last 15% to 20% then deal with the development. At the latest from here on I don’t want to give you any more small insights, but would like to refer you directly to the free podcast at Spotify and iTunes!

Important: Listen chapter by chapter

Be careful not to read or hear the book in pieces. Start at the very beginning, listen to the individual episodes at your leisure and if necessary, repeat individual episodes for your own learning success. Within a week at the latest, you will have recorded all the information, thought it through several times and perhaps already talked about it with one or two friends. Talking about it helps, because it deepens your learning.

Good luck! In five years with 0 Euro equity to become a real estate millionaire, listen to the free audio book now:

• Richer than the Geissens – audio book on Spotify
• Richer than the Geissens – audio book on iTunes
• Alex Fischer – Website & free members area

Table of contents – Part 3: Building a money machine

• Chapter 1: The sub-goals on your way to financial freedom. An overview…
• Chapter 2: Setting up the money magnet
• Chapter 3: Analyse and reduce costs
• Chapter 4: Increase income and creative time after Pareto
• Chapter 5: Finding Your Purpose
• Chapter 6: Your Resource List
• Chapter 7: Your Strength List
• Chapter 8: The list of branches/market niches
• Chapter 9: Cash flow increase
• Chapter 10: Increase in equity
• Chapter 11: Commercial operations
• Chapter 12: Credit enhancement (increase in creditworthiness)
• Chapter 13: Financed commercial operations
• Chapter 14: Continuous learning and intangible capital formation
• Chapter 15: How to be a billionaire…
• Chapter 16: Analysing and optimising your balance sheet
• Chapter 17: Analyzing and building your intangible assets
• Chapter 18: How to find investors and kick starters
• Chapter 19: The structure of your power network
• Chapter 19: The Kangaroo Financing – Big Jumps Despite Empty Bag…
• Chapter 20: The first property – get the white ball ready
• Chapter 21: Increasing value and cash flow
• Chapter 22: Expansion and further

Strategies and learning in everyday life

About a week later – Suddenly, more and more of the learning can be found in my everyday life. For example, chapter 16. How to find your purpose and the basic idea of turning negative into positive, that is: transforming “what I don’t like” into “what I like”.

The more often you deal with the individual chapters or episodes, the more knowledge you take with you. In the same way, you will only really understand some of the findings when they are applied in everyday life. Here is a small example:

In order to find your own purpose, i.e. your own superordinate goals, Alex Fischer advises you to make a list of all the negative things, the hate list! In short: He wrote a list of things he no longer feels like doing. So that they no longer buzz around in his head, but are written down. The name of the list: “What I do not like to do. What I don’t want to do anymore. What I really hate to do”. While writing, he realized that as hard as it is to find things you want to do, it was easy to write down things you no longer want to do. The Dislike List. With all of this written out of his head on paper, he feels free as never before. He also realized that he didn’t hate his job, he only hated individual areas. In addition, there were superordinate points in which several key points could be summarized.

Ergo, take all your negative thoughts, organize them, categorize them and conclude exactly the opposite!

Another aha-moment!

Everyone, including me, has negative thoughts all the time.

Especially as an entrepreneur (and managing director) you are not only responsible for your own life, but of course also to a certain extent for employees and other people in your immediate environment, from suppliers to insurance companies. Wages have to be paid on time, rents, investments, the above-mentioned insurances, suppliers, software, communication, vehicle fleet… and everything has to be optimized constantly… and of course also expanded!

Anyone who leaves his own comfort zone, e.g. by growing and reaching new markets, is constantly exposed to risks. Accordingly, you have to rack your brains to ensure that all eventualities are taken into account. There is nobody else to do for you, you have to do it yourself! A lot of room for risks, potential difficulties, problems or even failures. Already they are there: negative thoughts. If bad weather is added to this, not uncommon in Germany, the ceiling can fall on your head.

Typically I then complain about the weather, of course!

But now I’m trying to use the insights from the podcast to turn all the negative thoughts into something positive.

I hate bad weather = I like good weather

The weather is bad? It’s cold? On a superordinate level, you could say that I don’t like cold weather! Accordingly, I collect my negative insights, categorize them and, according to Alex Fischer, form the exact opposite out of them. Rain, wind, cold, all this belongs to bad weather.

The reverse conclusion is: I like warm and sunny weather!

Doesn’t that sound much better? Doesn’t this positive thought bring me much more in life, today and for my future? Exactly.

There are two advantages to this. On the one hand, my own mindset is formed positively, so that I don’t constantly think about the negative, but about my positive belief system! The second advantage, this is exactly where my “Purpose” comes from. If I want warm and sunny weather, I have to make sure that I get to such places.

This changes my mindset and of course the steps I will take. Very simply put, we will focus the work in the magazine, for example, on writing about topics like “Los Angeles” and “Miami” instead of “Oslo” or the “Swiss Alps”. That sounds simple but it will lead to more corporations in these areas in the future and consequently I will have more business contacts in warm regions that I like. Thinking one level further, a more intensive cooperation would develop and eventually more frequent visits would be the result, and so my center of life would, little by little, move more and more to warm and sunny regions – wow.

All this, just through a newly formed mindset.

Many small streams become one big, rushing river.

How you should listen to the podcast

The same way you can understand the podcast and the book “Richer than the Geissens”. You have to take your time to repeat single chapters. When you have completed one step, you will hear further episodes again, which are important for your next steps. But the most important thing is to start at episode 1 and listen to episode after episode.

Excerpt from Amazon:

• You will find 43 timeless laws of success to get you off to a maximum start.
• 14 concrete steps to become a real estate millionaire in just five years
• Essential principles and tools to build a freedom and money machine
• The real reason why money alone doesn’t make you happy…
• The 7-contact rule for an extensive network of experts
• Your 1st property: Effective strategies to build up equity and double cash flow

The book in short form – The podcast or book is first of all about forming your own mindset, your own beliefs. This is the absolute foundation for private individuals, but also for entrepreneurs.

It is about financial patterns, the first own money magnet and many other details that I prepare to achieve your first relevant cash flow. The next step is to build up equity. Then it goes step by step, passive sources of income, the first own property and… listen to the podcast! In five years with 0 € equity to become a real estate millionaire.

Have fun listening, learning and applying!

• Richer than the Geissens – audio book on Spotify
• Richer than the Geissens – audio book on iTunes
• Alex Fischer – Website & free members area

Free online learning with Lukinski Question Check

In addition, we have many other practical topics in our Question Check. Here you will find, for example, questions with which you will shine in the next small talk – never again unpleasant silence when getting to know! But self-confidence also means self-confidence. That’s why we have new central questions among others to get to know ourselves! Getting to know new people, interviewing, visiting apartments – good luck learning!

Tip! You have seen all the questions? Test yourself in the “5 Seconds Challenge”. Every 5 seconds, you will automatically be asked a new question. By asking Speed-Dating you will learn to give short and concise answers.

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