How Does the Practical Advice From Seven Cures For a Lean Purse Relate to Today's Economy?

Personal Finance: The Richest Man in Babylon is one of my favorite books. I believe the steps discussed in the book encompass all we need to “be” and “do” to experience sustained success in our personal finance. As Shirland rightly noted in this article, the “7 cures” are simple steps; however, the challenge is in our readiness to remain consistent and persistent with the implementation.
P.S.: There’s probably a spelling error in the author: George S. Clason’s name – misspelled as George S. Clayton.


By [http://ezinearticles.com/?expert=Shirland_Carrington]Shirland Carrington

George S. Clayton writes in "The Richest Man in Babylon" about seven cures for a lean purse. The setting for this book is in ancient time, yet his practical advice is very relevant to today's times. The concepts presented are simplistic in nature, but once applied these principles will help you succeed. It will be necessary to apply consistent and persistent actions to achieve success.

The 7 cures for a lean purse are listed below :

1. Start saving money now

You can pay your expenses with 90% of your income. The first step to making your lean purse fatter is saving 10% of your income.

2. Control what you spend

You must control the money that you spend on a daily and monthly basis. Your results will be drastically different if you constantly spend your money on a want instead of a need. You must figure out your needs and minimize your wants to control your expenses.

3. Make investments with your savings

Your purse is fattening so now you must invest it. The true way to build wealth is by finding ways to invest your savings. You must find profitable investment that will give you a great return on your money. If you fail in your first attempt to build wealth, then start over at step 1 again.

4. Protect your Return on Investment

You must weigh the risks versus the rewards of every possible investment. You must only seek advice from people who specializes in investment strategy. You due diligence in selecting and investing in a risky enterprise is very necessary to make sure your nest egg is protected.

5. Invest in property

This cure is self explanatory because everyone always dreams about owning his or her property. You would be wasting money if you are renting instead of buying your home.

6. Insure a future income

Strategic planning about your future when you have a growing surplus will help you keep your wealth. Your investments must be enough to take care of your family during your retirement years.

7. Invest in knowledge

The best way to keep your newly acquired wealth is to always invest in acquiring new skill sets. Perfecting your craft with a solid commitment to your goals will be greatly rewarded.

The seven cures to a lean purse described above are a simple plan that may be followed in the Babylon of yesteryear as well as the World of today. Saving 10% of your income on a consistent basis is only the beginning. The advice offered by "The Richest Man in Babylon" may be used by everyone now or in the future.

[http://www.reshapeurbodyby3sizes.com/bodymagic1.html]Shrink 3 Dress Sizes in Ten Minutes [http://www.innerpowerrevealed.com]Check out my blog.

Article Source: http://EzineArticles.com/?expert=Shirland_Carrington http://EzineArticles.com/?How-Does-the-Practical-Advice-From-Seven-Cures-For-a-Lean-Purse-Relate-to-Todays-Economy?&id=2739479