In this report, published by the American MSN website, writer Stacy Johnson presented a list of the most important golden rules that should be followed on the way to wealth.

1. Never spend more than you earn

The writer mentioned, "When I was ten years old, I started working mowing lawns to earn money to boost my expenses, and when I received my first wages, my mother took me to the bank to open my first savings account, and after 50 years I still make sure to save an amount of money every month and spend money less than I earn."

2. Avoid debt

Most people treat debt as if it were a normal part of their lives, dividing it into "good" debt and "bad" debt, and discussing it as if it were a fuzzy math equation.

Although debt is not complicated, paying money to use other people's money temporarily makes you poorer, while collecting money to allow others to use it temporarily makes you richer.

Warren Buffett: "Be fearful when others are greedy, and be greedy when others are fearful."

3. Buy in times of crisis, and sell when everyone thinks they can't afford to lose

The author mentioned that the rich benefit from times of prosperity, but they did not build their wealth in this way. In fact, you can become richer by investing when others cannot, that is, when unemployment rates rise, the market witnesses turmoil, and everyone is in a state of panic and no one is in sight. Only fear and misery.

The economy periodically goes through bad times, so that most people become powerless to act, but you have to use recessions to invest what money you have saved, and in the words of billionaire investor Warren Buffett, "Be fearful when others are greedy, and be greedy when others are afraid."

You can get richer by investing when others can't

4. You can look rich or be rich

The writer mentioned that she worked as an investment advisor on Wall Street, and she quickly learned that people who have a lot of money often don't show it. Spending your money on cars, clothes, vacations, and homes that you can't afford will make you look rich, but it will prevent you from achieving real wealth later. .

5. Live as if you will die tomorrow, and invest as if you will live forever

Take advantage of every passing moment in your life and take advantage of every day. You do not know that you may die tomorrow, but be sure to save some money to enjoy life for as long as possible.

6. There are only 6 ways to get rich

The only ways to get rich are:

1. Marry a wealthy person.

2. I inherited money.

3. Exploit unique talents.

4. Being extremely lucky.

5. Own or lead a successful business.

6. Spend less than you earn, and invest your savings wisely over long periods of time.

Even if you aim to follow one of the first five methods, be sure to apply the latter, because it will eventually guarantee you wealth.

7. The most dangerous thing you can do is not take risks

If you want to get winnings, you have to take risks, whether it is money, love or life in general.

For money, risk means investing in assets that could decline in value, including stocks, real estate, or your own business.

The author emphasized that riskier investments usually provide an opportunity to achieve higher returns, and this additional return would make a big difference in the amount of money you have. For example, if you invest $ 200 per month over 30 years with a return of 12% annually, you will reap at the end End up hundreds of thousands of dollars in retirement savings.

However, you have to minimize the risk by knowing as much information as possible before investing, not risking everything you own, and learning from your own and other people's mistakes.

8. Don't make your well-being someone else's responsibility

When it comes to your money, do not entrust the task of managing it entirely to an advisor. It is a good idea to seek out a professional for advice and guidance, but no matter who this advisor is or how smart he is, your money is more important to you than it is to him.

Theoretically, almost anyone can learn how to manage their finances, and if you can't afford to manage your own money simply put it in a bank account.

9. Sometimes, the less information the better

The writer said that about 15 years ago, she invested about two thousand dollars in Apple shares, sold half of it years ago, and sold a few a few years ago, and her remaining share is now worth hundreds of thousands of dollars, even if she watched financial news every day and interacted With her, she would have sold all her shares a long time ago and regretted that day.

If you want to achieve wealth, buy high-quality shares and keep them for long periods of time, but if you want to regret later, sell them without thinking based on a report you read or information you heard from someone.

10. Time is not money.. Money is time

Time is the only non-renewable resource, and once your time is up everything is done. The trick is to spend as much of your limited time as possible doing things you love instead of working for other people and doing things you should be doing, and money is the only resource that allows you to do that.

Going to the mall and spending $200 on clothes means losing money that you could have invested. If you invest the $200 at 12% annual compound interest, you will have made about $6,000 in 30 years, regardless of inflation and assuming you can live on $3,000. per month in retirement, which means that forgoing spending $200 today allows you to be able to retire two months early in the future.

There is no doubt that you need to buy clothes, but not for $ 200, but for a smaller amount, and you have the choice, either spend the money today or gain time tomorrow.