Every new year, I adopt a couple of old maxims as my beacons to guide my future. This self-prescribed therapy has ensured that with each passing year, I grow wiser and not older. This year, I invite you to tap into the financial wisdom of our elders along with me, and become financially wiser.
- Hard work: All hard work brings profit; but mere talk leads only to poverty.
- Laziness: A sleeping lobster is carried away by the water current.
- Earnings: Never depend on a single source of income.
- Spending: If you buy things you don't need, you'll soon sell things you need.
- Savings: Don't save what is left after spending; Spend what is left after saving.
- Borrowings: The borrower becomes the lender's slave.
- Accounting: It's no use carrying an umbrella, if your shoes are leaking.
- Auditing: Beware of little expenses; a small leak can sink a large ship.
- Risk-taking: Never test the depth of the river with both feet.
- Investment: Don't put all your eggs in one basket.
I'm certain that those who have already been practicing these principles remain financially healthy. I'm equally confident that those who resolve to start practicing these principles will quickly regain their financial health.
Let us become wiser and lead a happy, healthy, prosperous and peaceful 2009.
- Warren Buffett
