Our 2012 October Book Selection:
The Richest Man in Babylon
The Richest Man in Babylon by George Samuel Clason.
This book dispenses financial advice through a collection of parables set in ancient Babylon. Through their experiences in business and managing household finance, the characters in the parables learn simple lessons in financial wisdom. Originally, a series of separate informational pamphlets distributed by banks and insurance companies, the pamphlets were bound together and published in book form in 1926.
This book is perfect if you learn by reading the experiences of others. The entire book is told in a story-like format, so it often goes down much like reading a collection of short stories. The language is a bit strange, as the author attempts to sound like this is an authentic tale from the ancient days, but the messages are as clear as daylight.
Ahead of any person lies their future with ambitions and dreams. To fulfil those ambitions and realize those dreams, people need to learn how to be successful with money.
The basic principles of effective money management are: 1. Save at least 10-percent of all that you earn for an investment fund for the future. 2. Learn to live on 90-percent or less of your income. 3. Invest your accumulated capital into projects that will provide a safe, steady income, taking full advantage of compounding of the interest received. 4. Invest only in areas in which you have expertise or with people who are experienced. 5. Buy the house in which you live so you don’t waste any money on rent. 6. Have a realistic insurance program 7. Always keep working at various ways and means of increasing your income.