Lost Opportunity Cost Of Your Money

Posted on February 09, 2023.

So, today let's discuss OPPORTUNITY Cost. This is a vastly overlooked financial concept and most people have little to no knowledge of this concept.

Here is the definition of Opportunity Cost: the loss of potential gain from other alternatives when one alternative is chosen.

"idle cash balances represent an opportunity cost in terms of lost interest" 

Those $100's of thousands represent lost interest and thus it is not only lost money but it represents an additional loss of the interest that would have been earned on that money in favor of the person losing it. Re-read that sentence. Let's understand just how financially illiterate this is. There are BILLIONS of dollars being GIFTED to the Banks, Credit Card companies, financial lenders and merchants, but very little is being captured by the individual or business. This system has been set up a long time ago by the banks and the lending institutions and they do not want this system to change

Individuals and businesses are losing both very real money AND the opportunity that money had to earn compound interest in favor of the individual or business. This is an exponential loss. The most incredible aspect is that MOST do not know they are losing any money at all! So not only are they losing money, they are totally numb and unaware of both the present value of money as well as the future time value of money.

This is somewhat like internal bleeding, when a person has some form of physical trauma and often suffers from this silent killer…without early detection, this usually always ends in death. Financially, money is the life-blood of the economic life cycle. Thus when we are internally bleeding money, we are being slowly doomed to economic death, which is basically being dead broke and financially dependent on others, or institutions, or even worse the GOVERNMENT!

What if you could pay off your debt, including your 30 year mortgage within ¼ to ½ the time, without spending any more money on your debt per month? Would you want to know how this works?

If so, go to https://www.moneymaxaccount.com/1016295 and watch a short video on how you could save thousands or interest and years off your debt repayment. Download our free e-book on how to implement this strategy in your life.

LOST OPPORTUNITY COST OF YOUR MONEY By Karl Schilling