I’m always telling my family and friends they need to put part of each paycheck into trading accounts and 401k plans, or some kind of market account where they’ll earn more interest than a savings account.
They stare at me blankly.
So I tell them a joke: “The quickest way to a man’s heart is with Chuck Norris’ fist.”
Most people I know burn through their money faster than they get it. I’m sure part of the problem is lack of financial education especially on the part of the middle class. We’re taught how to be great consumers, but not how to save and plan our financial future. We also have to constantly pay off debts such as mortgages, credit cards, and that new 15mpg SUV.
It’s hard to save money when next month’s paycheck is paying off last month’s bills.
I think the rich get richer because they know how to get rich. By saving money. By investing in stocks, bonds, currencies, and real estate. By learning the financial game.
It may be easier to make money once you have money, but we all need to take the first financial step to building our empire: learning basic finance and starting to save money.
“Life is full of uncertainties. Future investment earnings and interest and inflation rates are not known to anybody. However, I can guarantee you one thing.. those who put an investment program in place will have a lot more money when they come to retire than those who never get around to it.” – Noel Whittaker, regarding long term investing.