Everyone will want to be rich. But, on the other hand, they are still just wasteful. Investment and saving are rarely thought of by many people.
Legendary investor Warren Buffett, is expressly said he believes the investment can make people rich. Although he had pocketed billions of US dollars, but until now she still continues to invest.
Here are tips to save from Warren Buffett.
1. Be careful with your investments
Buffett once said that the first thing in the investment was “not lose money” or do not lose money. Billionaire this place so much investment rules. Both rules are applied is “not to forget rule number one” or do not forget rule number one, which is not to lose.
He suggested that it should not ever want to be stuck in a debt unless you are absolutely sure that you will make a profit at a later date.
2. Do what you love
Other tips of Buffett is doing what you love. Only with it then you will find satisfaction from your work. If it is not so easy to do, why not to run the job based on what you like to do?
Hobby can make money. Pursue your passion can bring in totality and that is something that can not be bought with money.
3. Do not buy expensive goods
Some people successfully generate millions of dollars the United States but they immediately buy an expensive vehicle or needs at a fantastic price. As a practitioner of life-saving, Buffett avoid things that smell luxuries, such as yachts and luxury cars. For him, “toy” this expensive just can cause headaches.
Buffett advised to invest the extra money in an investment that can yield good interest rate instead.
4. Do not waste time
Founder and CEO of Berkshire Hathaway’s treat time as valuable as money. When doing business negotiations, Buffett advised to research first and make decisions early.
He suggested that say no to talks is not important, which is likened to “suck up”.
5. Placing a limit on the amount you borrow
One trade mark Buffett is giving tips on how to use credit cards. He advised everyone to use a credit card when financial conditions can afford to pay. It is also advisable to not be ashamed to negotiate with credit card companies.
Basically focused on saving your income and not to pay off credit card debt. Use your money to save and invest.
6. Waiting for ‘sale’
Never buy an item with its original price because it is expensive. Wait when the goods are coming down in price.
Before he bought a company, Buffett was always waiting for the right time to the price can be as low as possible. This condition is the same as you do not have to think twice to use discount vouchers and coupons to purchase products or services.
7. Invest in yourself
Buffett also highlights the importance of investing in oneself. Increasing the talent and skills, will make you more valuable. Develop themselves also can provide more value to you to earn more.
8. Clarify the provisions of any agreement
Before you sign a contract of employment or any form of approval of the business, make sure that you have to think thoroughly about all the terms of the agreement. Consider also the worst case scenario.
Try to calculate if the promised compensation to cover the costs of unexpected conditions or worst conditions.
9. Do not rely on a single income
Start looking to seek additional income from all sources, both work on weekends or by making investments carefully. The point is how you can create revenue. Buffett always said about how he diversify their investment portfolio to improve his chances to win.
10. Controlling purchase impulsive
Men who got the title of “The Sage of Omaha” has always made decisions carefully and well. When making decisions, such as the importance of a purchase, weighing a job offer, or choose the credit card company. Ask yourself, whether the decision is right? If You can not reply with a convincing answer, then the decision is not feasible.
Regardless of background, if you are born with a respectable social status or are struggling to pay off the debt, you still need to save and invest. Saving and investing not just an afterthought or plan. But be assured of saving and investment will improve the quality of your life.
Source : talkmarkets