The Richest Man in Babylon

”Our acts can be no wiser than our thoughts.” – George S. Clason

 

Lessons learnt: Save money to invest in yourself. With compounding interest, that money can do lot’s of good for you.

 

In The Richest Man in Babylon, you follow the story an ancient wealthy man and his journey towards becoming wealthy. It’s an interesting book that was written in the 1920’s. The narrative way of the story can sometimes be irritating to follow but nonetheless, the lessons are valuable. Here they are:

• Save (at least) 10% of your money
• Cut back on expenses to make this happen (desire less, see the Stoics)
• Gather interest on your money (see my week of finance post)
• But don’t invest it in something that looks too good to be true (because it probably is)
• Invest instead of spend (e.g. buy a house instead of renting)
• Insure a future income (i.e. buy insurance)
• Increase your ability to learn (apply these lessons and read more)

 

The Book:

The Richest Man in Babylon – George Samuel Clason – ISBN-10: 1505339111 – ISBN-13: 978-1505339116