Leadership Means Nothing if You Can't Trust & Inspire, Part 1 of 2 by Madeline Frank, Ph.D.

What is a “Command & Control” leader?

Mr. Stephen M.R. Covey said, he “went on a sales call to a small, family owned manufacturing company where he met with most of the company’s executive team.” The executives explained to him “the positives and negatives that existed in the company culture.” One of the executives finally said with “exasperation clear in his voice.”

 “Can we get real here? Our biggest problem is that we’re managed by a control freak!” 

 (The head of the company, CEO and founder called “Senior” was not in the room, but his presence was.”)

 

Hesitantly other executives agreed and said.

“It’s true, he can’t let go of anything.” 

“He’s constantly looking over our shoulder.”

 “He can’t pass anything on. And it’s time for him to pass it all on. “Junior” is ready.”

 

Junior, the founder’s son and heir, “had been working with the company since graduating college. He was well respected, and everyone felt it was time for him to take over. They all believed that his leadership would make the company more relevant and successful. Junior himself believed it, too- he’d told his father multiple times, “I’m ready, Dad. I can do it.”

 

“Despite Junior’s confidence and the team’s urging, Senior refused to let go.”

 

“Suddenly the man who had originally broached the subject of their controlling boss smacked his hands down on the table in frustration and explained, “For crying out loud, Junior is sixty-seven years old!”

 

Covey was “shocked”!  “Senior was in his eighties or nineties and could not bring himself to cede control to his qualified and competent son, who had been working in the company for many decades. Senior’s leadership style was holding the company’s growth and progress back. He was hindering his employees and his son’s growth.

 

Covey continues, “Like Senior, most Command & Control people aren’t bad people. Most are decent people with fine character and good intent. But far too often their style gets in the way of their intent. Even when a leader is working toward a positive, beneficial outcome, a Command & Control approach leads to coercion, compliance, containment, and ultimately to stagnation. A Trust & Inspire leader, on the other hand, works toward that same beneficial outcome but does it through commitment, creativity, and the unleashing of talent and potential.” (Stephen M.R. Covey, “Trust & Inspire”, 2022, pp.4-5)

 

Command & Control:(Micro- management. Leadership is a position.)

 

 

                       Trust & Inspire leader

Stephen M.R. Covey says, “The beliefs of a Trust & Inspire leader are.. like a lens; they enhance our vision. They bring people and things into focus. They help us see the world in a new way. And with that clear vision, we are better able to perform, serve, contribute, and learn. We see people not only as they truly are, but as what they could be.”

 

Mr. Covey says, “Each of us can become a Trust & Inspire leader through understanding and acting on the following 5 Fundamental Beliefs:"

 

1)   “People have greatness inside them…so my job as a leader is to unleash their potential, not control them.”

2)   “People are whole people…so my job as a teacher is to inspire, not merely motivate”

3) “There is enough for everyone…so my job as a leader is to elevate caring above competing.”

   4) “Leadership is stewardship…so my job as a leader is to put service above self-interest.”

   5) “Enduring influence is creating from the inside out…so my job as a leader is to go first.”      (Stephen M.R. Covey, “Trust & Inspire”, 2022, p. 81)

 

PepsiCo:

Mr. Covey says, Indra Nooyi, chair and CEO of PepsiCo called her leadership approach “Performance with Purpose”. He said, “she had already inspired her people by connecting them to purpose, meaning, and contribution in their work. But what really struck me was how she inspired others by personally connecting with them by genuinely caring about them.”

 

  “She shared with me that during a visit to her family in India, she noticed the pride her mother felt when others praised her for raising Indra to be such a successful leader. She particularly noticed how others’ praise was not to Indra for being a CEO but rather for her mother (and late father) who had raised her.”

 

Indra said, “They told my mom, “You did such a good job with your daughter. Compliments to you. She’s CEO.’ No one said a word to me.” (p.37)

 

Mr. Covey, “Indra realized that the leaders of her own company had parents who deserved to hear the same thing about their children. The experience with her mother inspired Indra to write as many as four hundred personal letters annually to parents of her senior executives. In the letters, she thanked the parents for their magnificent work in raising such good and capable sons and daughters.”

 

“Both the parents and the senior executives were sincerely touched by Indra’s heartfelt letters. They were also inspired.”

 

Mr. Covey continued, “People felt valued and seen as whole people, not just people who were compartmentalized for their work.”

“One of her executives exclaimed, “My God, this is the best thing that’s happened to my parents. And it’s the best thing that’s happened to me.”

 

Mr. Covey, “How would you feel if your boss sent a similar letter to your parents or spouse? Or even your children? Knowing that someone cares about us and recognizes the work we do is crucial to a fulfilled life, because it honors the whole person. Not only that, it inspires us.”

Microsoft:

Bethany McLean author and reporter wrote at Vanity Fair, Microsoft’s situation 12 years ago. “There’s a sense in the world outside Redmond, Washington, that Microsoft’s best days are behind it, that the sprawling colossus, which employs more than 100,000 people, doesn’t know what it is, or even what it wants to be.”

 

Microsoft had lost its relevance in the market place and in the workplace. Innovation had ceased! (Trust & Inspire, Stephen M.R. Covey. PP. 24-25)

 

In 2014, Satya Nadella, Indian born, succeeded Steve Ballmer as Microsoft’s CEO. Harry McCracken in his article for Fast Company wrote: “The Microsoft that Nadella inherited was regarded by both Wall Street and Silicon Valley as fading toward irrelevance”. Microsoft’s “stock prices had plummeted while Apple and Google were flourishing to record valuations.”

 

The situation was bleak at Microsoft. “Microsoft’s forte of desktop computers to smartphones, quickly leaving Microsoft behind as the market share of Windows on smartphones fell to less than 4 percent. Moreover, top talent was leaving. It was no longer perceived as a cool place to work.”

 

Microsoft’s culture was “a foundational problem.”   

“Nadella immediately assessed what was going on and how it was affecting Microsoft’s sustainability. In his memoir, Hit Refresh, Nadella described the era of warring gangs by saying, “Innovation was being replaced by bureaucracy. Teamwork was being replaced by internal politics. We were falling behind.” (p.25)

 

Nadella’s number one goal as CEO was changing Microsoft’s culture.

Mr. Covey said, “As a Trust & Inspire leader, Nadella understood the first epic imperative of our time: to succeed, you must win in the workplace by attracting, retaining, engaging, and inspiring the best people.” (p.25)

 

How did Nadella change the culture?

 

Mr. Covey, “Nadella came in quietly and thoughtfully .. right away modeling a Trust & Inspire leadership style that ultimately transformed the company culture. He began by modeling the behavior he was seeking- humility, empathy, authenticity, personal growth, creativity, collaboration. His leadership paradigm was one of trusting and inspiring others-manifest by adapting a “growth mindset,” not only for himself but also for others, unleashing them to become the driving force of Microsoft’s success. He successfully revitalized the company’s cutthroat culture, completely changing the trajectory of Microsoft.”

 

Nadella revamped Microsoft’s mission and strategy enabling “greater teaming and collaboration” enriching the organization. New technologies were developed. “Deploying Microsoft 365 Copilot Engage and becoming and Microsoft “Frontier IT firm.” 

 

“Working efficiently and consistently with Copilot and AI requires ongoing learning, especially as capabilities are continuously evolving. Gamification offers an excellent way to keep colleagues engaged—helping them learn effortlessly while having fun.”

Kirsten Bliefernicht, senior business program manager, Microsoft Digital

“The result is interactive—you see visuals, you hear music, and the creativity surprises you.” Ju Bu, business program manager, Microsoft Digital

 

 

Results: Covey, “When Nadella became CEO, Microsoft was valued around $300 billion.”  Today, January 8, 2026, Microsoft is valued at $3.59 trillion. Nadella’s inspiring leadership “unleashed people’s potential and enabled everything else.” (Covey,p.26)

 

Satya Nadella, CEO of Microsoft, “Being a leader is a privilege you have. Your job is about being able to help people realize their potential. That’s what in fact, is expected of you.”

 

A tale of two principals:

Mr. Stephen M.R. Covey, shared the following story of a teacher who worked for two different principals.  The first principal’s style was “benevolent Command & Control. He was competent, nice, and respectful-but didn’t trust his teachers. He often threw them under the bus when it came to situations with parents. He told them one thing to their face and did the opposite once they were gone.”

 

The culture:

The atmosphere was “draining and joyless” among the teachers and staff and “the turnover rate at the school soared. Many teachers even left during the middle of the school year despite not having a new job to go to.” (p27)

The following year a new principal, a Trust & Inspire leader, came to the school. She believed in trusting her teachers, recognized their hard work, and “connected with teachers, staff, and students and cared about the work and them. She was open and transparent, and connected them all to the larger purpose of the power of education.” At the school, the teachers, staff, students, and the parents “felt energized and excited.” She modeled and built relationships of trust throughout the school. Teachers and staff enjoyed working at the school and inspired their students to learn and grow. (p.27)

 

Here are three thought-provoking questions that invite reflection across all of the stories—from Senior & Junior, to PepsiCo, Microsoft, and the two principals:

1.   When does a leader’s desire to “protect what they built” quietly turn into a barrier that prevents others—and the organization itself—from growing?
 (What warning signs suggest it’s time to let go, even when intentions are good?)

2.   How does seeing people as “whole human beings” rather than roles or titles fundamentally change motivation, loyalty, and long-term performance?
 (What happens to culture when leaders lead with empathy instead of authority?)

3.   If trust and inspiration can transform a failing company, a struggling school, and individual lives, what fears or beliefs most often stop leaders from choosing this approach—and what does it cost them when they don’t?

 

 

 Madeline Frank, Ph.D. is an Amazon.com Best Selling Author, speaker, business owner, teacher, conductor, and concert artist. She helps businesses and organizations “Tune Up their Business”. Her observations show you the blue prints necessary to improve and keep your business successful. Her latest book “Leadership On A Shoestring Budget” is available everywhere books are sold. If you need a speaker or video speaker contact Madeline at: 

 mfrankviola@gmail.com

 

  

 

 

 

 

 

 

Benjamin Franklin’s 13 Virtues: A Plan for Success One Week at A Time by Madeline Frank, Ph.D.

1.    Eat not to dullness; drink not to elevation.

2.    Speak not but what may benefit others or yourself; avoid trifling conversation.

3.    Let all your things have their places; let each part of your business have its time.

4.    Resolve to perform what you ought; perform without fail what you resolve.

5.    Make no expense but to do good to others or yourself; i.e., waste nothing.

6.    Lose no time; be always employed in something useful; cut off all unnecessary actions.

7.    Use no hurtful deceit; think innocently and justly, and, if you speak, speak accordingly.

8.    Wrong none by doing injuries, or omitting the benefits that are your duty.

9.    Avoid extremes; forbear resenting injuries so much as you think they deserve.

10.Tolerate no uncleanliness in body, clothes, or habitation.

11.Be not disturbed at trifles, or at accidents common or unavoidable.

12.Rarely use venery but for health or offspring, never to dullness, weakness, or the injury of your own or another’s peace or reputation.

13.Imitate Jesus and Socrates.

How did Franklin acquire these virtues?

“My intention being to acquire the habitude of all these virtues, I judged it would be well not to distract my attention by attempting the whole at once,  but “to fix it on one of them at a time; and, when I should be master of that”, then to proceed to another, and so on, till I should have gone through’ the thirteen; and, as the previous acquisition of some might facilitate the acquisition of certain others, I arranged them with that view, as they stand above."

" Temperance first, as it tends to procure that coolness and clearness of head, which is so necessary where constant vigilance was to be kept up, and guard maintained against the unremitting attraction of ancient habits, and the force of perpetual temptations. This being acquired and established, Silence would be more easy; and my desire being to gain knowledge at the same time that I improved in virtue, and considering that in conversation it was obtained rather by the use of the ears than of the tongue, and therefore wishing to break a habit I was getting into of prattling, punning, and joking, which only made me acceptable to trifling company, I gave Silence the second place.”

Franklin developed his 13 Virtues, in 1726, while traveling by ship from London to Philadelphia during his 80 days of travel. Each week he would master one virtue! Throughout his life he “continued to practice and reflect on these virtues.”

Take the one-month challenge.

 Each week pick one of Franklin’s virtues to work on and master. For this New Year which of the 13 Virtues will you work on first?

I will begin at the top of his list with Temperance! © 2026 Madeline Frank

 

 

 

  

Madeline Frank, Ph.D. is an Amazon.com Best Selling Author, speaker, business owner, teacher, conductor, and concert artist. She helps businesses and organizations “Tune Up their Business”. Her observations show you the blue prints necessary to improve and keep your business successful. Her latest book “Leadership On A Shoestring Budget” is available everywhere books are sold. 

If you need a speaker or video speaker contact Madeline at: mfrankviola@gmail.com

 

  

 

 

 

 

 

CREATING A VIRTUAL MASTERMIND by Madeline Frank, Ph.D.

What can a virtual mastermind group do for you?

High achievers long ago realized they needed to tap into the knowledge and experience of other people to solve problems and reach new levels of growth.

One of the greatest examples of tapping into the experience of others begins with Benjamin Franklin.

Benjamin Franklin was a Founding Father of the U.S. and the only one to sign all four key documents establishing the U.S. He was also a printer, author, philosopher, politician, statesman, diplomat, scientist, economist, and inventor.

Background:

Benjamin Franklin wasn’t born the oldest sibling with over-achiever traits, many of us see today. He was the 15th of 17 children. Ben’s father wasn’t a college graduate; he made soap and candles. He was a tradesman.

The most foundational trait he passed on to his children was his love of reading. Benjamin’s mother realized that while their home was crowded and noisy, she was committed to making it a healthy and happy home.

At the age of 8, Benjamin’s father sent him to South Grammar School, later called the “Boston Latin” school, preparing young Benjamin to be a minister. Two years later, Josiah ran out of money and brought Benjamin home to work with him in the candle making business.

Apprenticed at 12 to a printer:

Benjamin, loved to read and learn. He would borrow books from his friends. From these books he taught himself grammar, philosophy, and arithmetic. Every time he saved a little money he would purchase books to read and learn from. His friends also loved to read books and they regularly studied the books and discussed them.

When Benjamin was 12 years of age, Josiah had him apprenticed to his older son, James who was a printer. The apprenticeship was signed for 7 years. (Yes… at the age of 12!)

“New England Courant”:

James Franklin began his “New England Courant” newspaper in Boston in 1721 when his brother Benjamin was 15. It was the third paper in Boston. James’ and his friends wrote articles, opinions, news of the day, advertisements, and other information.

The beginning of Benjamin’s Writing Career:

Benjamin began writing articles and asked his brother James to publish them in his newspaper. James refused! So, Benjamin, 16, under the pen name Silence Dogood, (wrote as the Widow Dogood, a 40-year-old widow). Benjamin put his letters under James’ door every two weeks.

Benjamin Franklin at 16 became the printer & publisher of his brother’s “New -England Courant”. James had written an article against the government and was put in jail. The next year, Benjamin Franklin, 17, became for the second time, printer and publisher of his brother’s “Courant” newspaper. James, this time, wrote an article “mocking religion”. Once more the court made the decision to jail him. James escaped out of town.

By September 1723, Benjamin Franklin had had enough of his brother’s “abuse and strict control”. He escaped by traveling to New York and later Philadelphia looking for a new opportunity in the printing business. He worked several different jobs during this time.

Birth of Benjamin Franklin’s Junto Club in Philadelphia:

At 21, Benjamin Franklin founded the Junto Club, a weekly discussion group of 12 men. Another name later given to his “Junto Club” was “Leather Apron Club”.

Benjamin decided tradesmen should have the opportunity of an education just as the wealthy people who were able to send their children to be educated at colleges/ universities.

The difference to him was reading books, learning from them, and discussing them with others who loved reading, learning, improving themselves, and discussing what they read. He thought that this would be a great equalizer. (Today we call it a “think tank, a mastermind” group.)

What questions should you ask your prospective members of your Master Mind or Junto?

What 4 questions did Benjamin Franklin ask his prospective Junto Club members “to qualify” them as a member?

“Each person was also asked to stand up, and lay their hand on their heart, and answer the following questions”: (Updated to 21st Century English)

1) “Do you feel “any disrespect” for any of our members?” Answer. I do not.

2. “Do you “sincerely declare” that you love mankind; no matter what profession or religion?” Answer. I do.

3. “Should anyone be harmed in body, name or goods, for their opinions or their religion?” Answer. No.

4. “Do you love the truth, and will you endeavor to find, receive, and communicate it to others?” Answer. Yes.

In Benjamin Franklin’s Memoirs he wrote “I had formed most of my ingenious acquaintance into a club of mutual improvement, which we called the Junto; we met on Friday evenings. The rules that I drew up required that every member, in his turn, should produce one or more queries on any point of Morals, Politics, or Natural Philosophy, to be discuss’d by the company; and once in three months produce and read an essay of his own writing, on any subject he pleased.”

It was agreed to have “12” members who “were tradesmen and artisans”. The Junto Club continued for 38 years. When they saw a problem, a need, they found a solution. Education began by starting the first Public Libraries in 1731. From their Junto members personal libraries, they would gather books for the first lending library in Philadelphia. Learning through reading, educating everyone no matter what their financial circumstance. Education to Benjamin Franklin was the great equalizer.

After fires killed people, destroyed homes, and businesses, Benjamin and his Junto members began in 1736 in Philadelphia the Union Fire Company, a volunteer fire department. They also began a Volunteer Militia to protect and secure the colony.

Where they saw a need, a solution would follow.

In 1749, Benjamin Franklin involved some of his Junto members in designing the University of Pennsylvania and in 1751, the Pennsylvania Hospitalwas founded by Benjamin Franklin and his Junto. When Benjamin Franklin saw a need he worked to find a solution leading the way with his Junto members. Team work at its best!

Here are 3 things for you to consider when forming your mastermind:

1. Identify the values of your mastermind. Will it be a business roundtable? Bible study? Marriage strengthening? You decide.

2. Limit your group to 6 people. Any bigger than that and it is impossible to manage.

3. Understand that part of the mastermind is holding others accountable. Be prepared to give and take accountability.

So, who would you like to have in your virtual mastermind and what would your criteria be?

Madeline Frank, Ph.D., is an Amazon.com Best Selling Author, speaker, business owner, teacher, concert artist, and parent. She helps businesses and organizations “Tune Up their Business”. Her observations show you the blue prints necessary to improve and keep your business successful. Her latest book “Leadership On A Shoestring Budget” is available everywhere books are sold. If you need a speaker or virtual speaker contact Madeline at: mfrankviola@gmail.com

Living Thankfully: How Gratitude Shapes Our Lives and Legacy by Madeline Frank, Ph.D.

As Thanksgiving draws near, many of us pause to reflect on what we’re thankful for. But gratitude isn’t meant to be a once-a-year guest at our table—it’s meant to live with us every day.

Walker Larson, in his article “Planting Virtue: How to Raise Grateful Kids” writes that “Thankfulness is more than just good manners—it’s the foundation for good character, health, and happiness.” He’s absolutely right. Gratitude doesn’t just make us polite—it makes us strong, centered, and joyful.

The Power of Gratitude

When we count our blessings, something powerful happens. Our focus shifts from what’s missing to what’s meaningful. Grateful people are proven to sleep better, stress less, and smile more. They enjoy stronger relationships, better health, and deeper peace of mind.

Gratitude changes the lens through which we see life—it turns ordinary moments into miracles and challenges into opportunities for growth.

A Heritage of Hope and Gratitude

For me, gratitude is also rooted in heritage. My family’s story began with courageous men and women who emigrated from Europe to America—people who left behind everything familiar in search of freedom, safety, and opportunity.

They arrived with little more than faith, determination, and a belief that tomorrow could be brighter. Their legacy of perseverance and gratitude shaped generations to come. They taught us that blessings aren’t measured in wealth, but in love, resilience, and community.

The Women Who Modeled Gratitude

My mother, Romayne Leader Frank, was the granddaughter of European immigrants who believed deeply in education and self-reliance. She studied law while raising two children, scheduling her classes so she’d be home when we returned from school. We’d sit together at the dining room table—Mom with her law books, my brother and I with our homework. Whenever we struggled, she’d smile and say, “How about opening your book and looking for the answer?”

That simple phrase still echoes in my life—it taught me curiosity, confidence, and gratitude for the ability to learn.

My grandmother, Mary Chernick Leader, carried her parents’ immigrant values forward. She worked as a secretary, led a women’s stock club to teach financial independence, and volunteered with the Braille Society. I’ll never forget reading aloud to her at age seven, earning a tiny reward—a bite of chocolate and a sip of Coca-Cola—for each page. She made learning sweet in every sense of the word.

My mother-in-law, Pearl Neustein Berger, was the sixth of eight children born to European immigrants who taught honor, hard work, and faith. Widowed young, she raised two children on her own, working long hours at B. Altman’s Department Store in New York City. She insisted her children study, serve others, and attend religious services every week. Her quiet strength and endless generosity still inspire me. She was five feet one inches tall and to me she was one of the tallest and strongest women I have known because of her caring and commitment to her family, friends and helping others.


Pearl Berger’s sister, my Aunt- in- Law, Helen Neustein shared that same spirit of gratitude and grace. She was the 7^thchild of the family. Helen also worked at B.Altman’s Department store in the shoe department. She was a wonderful person with a very big heart raised with the values of honor and respect just like her sister Pearl. My husband, Allan, remembers her playing baseball with him as a child. She was always patient and kind. Helen was also about 5 foot one inch tall but she seemed 6 feet tall because of her caring and commitment to her family, friends, and clients.

These remarkable women—each descended from immigrants who braved new beginnings—taught me that gratitude isn’t about possessions; it’s about perspective.

How to Live and Model Gratitude

Gratitude grows stronger when it’s shared.

·       Start your day with reflection. Write down three things you’re grateful for.

·       Acknowledge someone weekly. A note, a call, or a simple “thank you” can make a difference.

·       Honor your roots. Remember the people who came before you and the sacrifices they made so that you could live the life you have today.

·       Teach by example. Model gratitude for children and loved ones—praise effort, kindness, and integrity more than achievement.

When ungrateful attitudes appear—especially in younger generations—use it as a teaching moment. As Dayton Children’s Hospital notes, helping children handle disappointment builds strength and appreciation.

The Ripple Effect of Thankfulness

Living a life of gratitude is more than good manners—it’s transformational. Grateful people are more creative, compassionate, and courageous. They attract positivity, deepen relationships, and face adversity with calm confidence.

Gratitude is a magnet for joy. It reminds us that every sunrise is a gift, every friendship is a blessing, and every challenge carries a lesson.

So, this Thanksgiving—and every day after—pause to remember where you came from and who helped you get here. The courage of your ancestors, the kindness of your loved ones, and the opportunities before you are all reasons to give thanks.

Count your blessings. Share your gratitude. And live your thanks—boldly and joyfully—every single day. © 2025 Madeline Frank

 

Madeline Frank, Ph.D., DTM is an Amazon.com Best Selling Author, sought after speaker, business owner, teacher, researcher, and concert artist. She helps businesses and organizations “Tune Up their Businesses”. Her innovative observations show you the blue prints necessary to improve and keep your businesses successful. She writes a monthly newsletter “Madeline’s Monthly Article & Musical Tips” and a monthly radio show “Madeline’s One Minute Musical Radio Show”. She has just published her new book “Leadership On A Shoestring Budget”. Her book is available at Amazon.com on Kindle or as a physical book. If you need a speaker or video speaker contact Madeline at: mfrankviola@gmail.com

 

 

PENNIES TODAY EQUAL PROSPERITY TOMORROW by Madeline Frank, Ph.D.

The Discipline of Saving and Investing: Paying Yourself First.

Learning to save and invest is not just about setting aside money—it’s about paying yourself first. It’s about ensuring that you’re prioritizing your future self and setting up a strong financial foundation for tomorrow.

My friend Stewart taught his teenage daughter the power of saving when she started her first job. He encouraged her to save 40 cents of every dollar she earned. She took this discipline with her through high school, college, and into her adult life. As a result, she is now the proud owner of two condos, thanks to her consistent saving and investing. This lesson, if shared widely, can create a ripple effect of prosperity. Learn to save for your future car, house, condo, or other essential needs—and share this mindset with your family and friends.

 

My Journey: A Lesson from Momma

I began my journey of saving when I was just 8 years old. My Momma, Romayne Leader Frank, asked me to bring the $2.25 I had saved from doing chores. “We’re going on a new adventure today,” she said, smiling. We drove to a beautiful brick building—the bank near our home. She introduced me to Mrs. Teller, who helped me open my first savings account.

 

I’ll never forget the way Mrs. Teller explained compound interest to me: “Compound interest is the interest you earn on interest.” At the time, I didn’t fully understand it, but I could see the magic in action. Every few months, Momma would take me to the bank to deposit the new money I’d earned, and Mrs. Teller would add the interest to my passbook, along with the compounded interest from the previous deposits. Watching my money grow over time became a thrill for me.

The Magic of Compound Interest

 

As I grew older, I learned more about how compound interest could work for me. The longer you leave your money invested, the more it can grow exponentially. The interest earned on your initial investment gets reinvested, so you earn interest on a larger and larger sum over time. This is why starting early is so powerful.

Let’s take a simple example: If you invest $100 and earn 5% interest annually, in one year, you would earn $5. But, the next year, you will earn 5% interest on $105 (your original $100 plus the $5 interest). The following year, you’ll earn interest on $110.25, and so on. This snowball effect can lead to wealth over time, especially if you start early and let your money grow.

 

Simple Savings Plans: A Foundation for Success

Before diving into more complex investments, it’s important to have a solid foundation of simple savings. Saving consistently and building an emergency fund will allow you to weather unexpected financial challenges and invest with confidence.

 

The Key to Simple Savings Plans:

1.    Consistency is Key: It doesn’t matter how small your contributions are; the key is consistency. Set up a savings account with interest and begin to save your money to make saving a habit.

2.    Emergency Fund First: Before diving into stocks or bonds, prioritize building an emergency fund that covers three to six months of living expenses. This gives you peace of mind knowing that you’re covered in case of a job loss or emergency.

3.    High-Yield Savings Accounts: If you’re keeping money in savings but don’t want to take on investment risks, consider putting your money in a high-yield savings account. These accounts offer better interest rates than traditional savings accounts, allowing your money to grow while remaining safe.

4.    Budgeting and Expense Management: My Momma taught me the importance of keeping a ledger, budgeting my expenses, and paying myself first. It’s important to track your income and expenses so that you can consistently contribute to your savings. 

 

Start Today for Prosperity Tomorrow:

As my story shows, the habit of saving and investing can set you on a path to financial prosperity. By starting early and consistently saving, you’ll see the compound interest work in your favor.

 

As you begin your own journey, remember that small, consistent actions can lead to long-term success. So, start saving your pennies today, and watch as they turn into your financial prosperity tomorrow. © 2025, 2024, 2019

 

Madeline Frank, Ph.D., DTM is an Amazon.com Best Selling Author, speaker, business owner, teacher, John Maxwell Team Member, conductor, and concert artist. She helps businesses and organizations “Tune Up their Business”. Her observations show you the blue prints necessary to improve and keep your business successful. Her latest book “Leadership On A Shoestring Budget” is available everywhere books are sold. If you need a speaker or video speaker contact Madeline at: mfrankviola@gmail.com