savings

For every 1000 that you earn, save a hundred for bad times. I can’t seem to stress it more how
important it is. Especially in modern age of cheap money that is NOT yours ( credit cards) and
27x7 screaming of the corporations and government that is asking you to spend more and more
and more. Because more you spend = more profits for the corporations and more you spend
more tax revenue to the government. It doesn’t matter how much do u make, but how much
you keep that matters in .

Limit your expenses

Limit your expenses to what you NEED and not what you WANT, both are really different
things.

Invest : investment

Consider your money to be your slaves, make each slave i.e. buck work for you, 24x7 to
reproduce more money.
There are five sub laws of investing.
Money comes like magnet to the people who put at least 10% of their earning in
income producing assets.
Money does a really hard work to reproduces itself in kind to a person who finds a
suitable and profitable place for it to work (it gives a good return on investment to the ones
who find good places to invest)
Money never goes out of the hand of the person who invests it under the advice of the
persons who are trained in its upkeep.
Money goes away from the hands of a person who doesn’t understand the place where
he is investing. Or where people trained in it’s upkeep have disapproved it.
Money runs like hell from the hands of the people who put it to impossible earnings
(get greedy) a guaranteed 10% a year is a more than good return on investment than a
speculative 20%. But wanting 200% return, sir, you should give your money to me coz you
going to lose it to someone else anyways.

Prevent loss

Make sure you don’t lose the money, ask help of the one’s who are good in it’s upkeep ( I
would stay away from self claimed financial advisors who don’t know anything about money,
yet on basis of some degree they got in a university by writing in exam what they read in a
textbook written by someone who himself was broke advising people on how to be rich, claim
to be better than you in investing your money.)

Make your home a profitable investment

Buy a home ONLY when it is a asset. Paying a rental is a constant drain on your income buy if
owning a home is worse than not having one, that is all the property taxes and mortgage and as
such, try to find an asset which can pay for the rental.

Insure a Future income

Make sure that if you stop earning today you family would have a steady income from
investments, when poverty enters the home all the love and affection even from the closest of
family members runs out of the window.

Improve yourself

You are your own biggest asset, improve some skill, learn something new, weather or not you
are going to need it , for all the things I have learnt no skill or person is useless in this world
they are like formulas in mathematics, values may change, formula remain, wherever you are,
wherever they are, someday somewhere you’ll find a use for them.

Don't be Average they dont' go anywhere

Don’t be average, average people don’t reach anywhere. Learn to look beyond the word
average, I mean let’s take an example, suppose a person’s one leg is in boiling water, and
other leg is frozen in ice, then according to the law of average, that person is averagely ok, but
is he ok, I guess not. On a second example, suppose out of a hundred people 25 earn 20 a
month, 40 earn 30 a month and 25 earn 35 a month and 10 earn 100 a month, then according to
the law of averages. On an average people are earning 35.75 each. Yet is this average telling
you the real story, is it telling you that 90% are earning less than 29.11 a month? And yet most
of the wealth is concentrated in hands of 10% of the sample size?