On Being Smart with Money

I love, LOVE a good book I just got from Amazon.  It's called "Rich Dad, Poor Dad, what the rich teach their kids about money."  The guy recently wrote a book with Donald Trump even called "Why A Students Work for C Students."  lol what a brilliant title!  Here is the best quote ever from this book. :)

"An important distinction is that rich people buy luxuries last, while the poor and middle class tend to buy luxuries first. The poor and the middle class often buy luxury items like big houses, diamonds, furs, jewelry, or boats because they want to look rich.  They look rich, but in reality, they just get deeper in debt on credit.  The old money people, the long term rich, build their asset column first.  Then the income generated from their asset column (or investments and savings) buys their luxuries."

This guy is totally a genius.  Delayed gratification.  That is always the trick to success.  The poor and middle class buy so much that they don't need because they are suckered into scams of buy now and no payments for a year etc.  Also they care too much what people think of them and so spend all their money to impress others.  So silly.  A great paraphrase that I just thought of for that would be, "Act like you're poor to become rich.  Act like you're rich to become poor."  haha :)

He talks a lot about investing in real estate, buying houses.  A slogan of his is "savers are losers."  Why?  Because what is the point of saving if you don't invest in anything?  The number one investment that Americans recognize is real estate, houses.  That is the main thing that will earn anyone a profit.  Savings accounts don't build equity and value; they stay the same.  Stocks you might buy go up or down, and they can go way down and you loose a lot.  Gold could be good but practically who will you get to buy your gold or silver someday?  It's all about buying houses.  I love his main slogan, "The rich don't work for money; they make their money work for them."  Love it!