The Richest Man in Babylon first appeared on the scene in 1926 as a series of informational pamphlets on basic financial management. By 1927, several of these pamphlets had been compiled into a book and this collection has been in print ever since.
If you have not read the book it is an easy, enjoyable read. Here are some lessons and quotes from the book we can learn from…
“Wealth, like a tree, grows from a tiny seed. The first coin you save is the seed from which your tree of wealth will grow.”
“Always seek advice from experts. You cannot seek advice of brick-maker if you want to invest in jewels. Want to create wealth? Seek advice from those who created wealth.”
“Train yourself to live upon less than you could earn.”
“Pay yourself first. Set aside at least 10% of what you earn and THAT IS YOURS. Invest it wisely and re-invest the dividends/profit so that it keeps on growing.”
“Great desire for wealth is the only per-requisite to build wealth.”
“Necessary Expenses” will always grow to equal your income unless you protest by saving first.
“Your wealth multiplies not by just saving rather by investing and re-investing. Let each coin you save work for you while you are sleeping.”
“The first principle of investment is the security of your principal. Don’t be misled by your romantic desires to make wealth overnight. Run away from schemers and tricksters who promise to double your wealth overnight.”
“Own thy own home.”
“Provide in advance for the needs of your growing age and protection of your family.”
“Increase your ability and skills. That is the best investment.”
“How to be lucky? Stay prepared. When opportunity comes, grab it.”
“Always invest in trades of your competence. Don’t be lured in by sellers of dreams. Before investing, ask a question. Do I know about this industry?”
“A man who does not create wealth is not loyal to his family and state.”
“Pay your debts at the earliest for long term prosperity.”
“Part of what you earn is yours to keep–Save 10%”
“Control thy expenses”
“Don’t borrow unwisely or unnecessarily”
“Make gold multiply–invest wisely and prudently”
“Guard against loss–invest with a margin of safety”
“Understand where you invest”
The quotes are even better when you read them as part of a story.
