Warren Buffet and the Art of Saving

People when asked the question on what they will do if they become rich, would instantly say that they want to have the freedom to buy anything, very rarely you come across people who want to save money.

Investor Warren Buffet strongly believes in the art of saving, despite being a billionaire. We all should be learning from him on the art of saving money. Here are some classic tips from him.

Be careful with your investments: Buffet has always said that the first rule of investing is “not to lose money”. He has placed so much stress on the first rule that his second rule is “not to forget the first rule”. He always says that do not get into debt unless you are sure that you can make profit later on.

Do what you Love: Another advice from Warren Buffet is to pursue something that you love, only then you can find satisfaction from your work or job. If it is not easy to quit your current job due to circumstances then why not make a hobby out of what you love doing? And try making money out of it. Pursuing your happiness can give immense satisfaction that no amount of money can give you.

Don’t purchase expensive toys: Some people when they become rich go splurging on luxury homes/property, high end and expensive cars or expensive gadgets. As someone who religiously practices the philosophy of frugal living, Buffet avoids luxuries like yachts and luxury cars. For him, these expensive habits can only cause headaches. Buffet advises investing extra cash in investments can yield good rate of interest which will be beneficial for you in the future.

Do not waste time: To the Berkshire Hathaway CEO and founder time is as valuable as money. When doing negotiations for your business, he advises doing researching and making decision in advance. He does not like unnecessary talks and likens them to” thumb sucking”. If you are making a business proposition, be straightforward and name your price upfront. Buffet says that he doesn’t talk with anyone unless they give him a price. He also believes in making decisions right on the spot.

If we diligently follow these tips given by one of the richest men in the world, we can surely make our lives better.