Some Financial Books are treated as “Valuable Assets” to be passed on to the next generations. Out of many such financial literacy books “The Richest Man in Babylon” occupies a distinct role even today.
“The Richest Man in Babylon” book was written by “George Samuel Clason”” in 1926 but this book is treated to be a “Classical Book” even today. This book has changed many individuals mindset, spending habits and their investing nature.
We can learn 3 key financial lessons from this book “The Richest Man in Babylon”. They are-
- Pay Yourself First– This phrase seems to be silly, but in depth what the author wants to tells us-
“Whatever your salary might be, First save 10% of your earnings“.
This rule is an eye-opener to heavy spenders who are unable to manage their finances efficiently. The author says- “Don’t say excuses on saving 10% of your salary; it should be given utmost importance“
If you develop this habit of saving at least 10% of your earnings, your financial future would be in a better condition tomorrow. So try to adopt this rule.
- Always seek advice from the experts in that particular field– As the story of the book is too large to elaborate now, only the financial advices are concluded in this article.
What the author George Samuel Clason suggests is- “Never Trust strangers and hand over your hard-earned money who are new to that field. Only take advice from people who have rich experience in that particular field”
By giving your hard-earned money to inexperienced persons would ruin your finances. So after ensuring that your money would be managed by an expert in that particular field, then only hand over your money.
- Make Your Money Work For You Even You Are Sleeping–
We all “work hard for money”, but how many of us are doing “Smart-Work” for creating wealth? Surprised! This is nothing but creating “Passive Income“
Passive Income is created by putting a simple effort and makes that effort works 24*7 even without your physical presence anytime, anywhere!
- Suppose you write blogs on a website by putting a simple effort, depending on the views you would create Passive Income
- If you are an Youtuber(Youtube Content Creator) if your videos are worthy, you would create Passive Income without repeated efforts
- If you are a manufacturer, once your product gets good reputation all your products will be sold as “hot-cakes” even you are sleeping at that time
If These 3 Financial Lessons are adopted by an individual, he would surely lead a better financial life than the current one.