How to Save, Spend, Invest and Borrow Money in the New Millenium Ramesh Kajaria
Money is a good servant but a lousy master. --FRENCH PROVERB
Money is the biggest cause of divorce in the United States. Money has a unique power that is perceived differently by people. Families fight over it, couples argue over it, siblings split over it, parents and children disagree about it, businesses sue for it and nations prosper or get ruined because of it.
The magical strength behind money will always remain. It gives some people power within a relationship to control the behavior of others. Very few objects in the world attract as many people as money. It is the ultimate magnet of human civilization as it has an inherent quality to procure goods and services. Money, in the form of wealth, is the greatest score-keeping medium to countless number of individuals. Its charisma is immeasurable.
Money is better than poverty if only for financial reasons. --WOODY ALLEN
According to a 1999 survey by the Consumer Federation of America and the financial services firm Primerica, one quarter of Americans believe their best chance to build wealth for retirement is by playing the lottery and not by patiently saving and investing. People living from paycheck to paycheck are more inclined to feel that way. Ignorance about how regular savings of small amounts can grow keeps many people from taking the right steps towards financial freedom. The chance of winning a big lottery jackpot is 10 to 20 million to one but $50 a week invested for 40 years at 9 percent annual yield could amount to $916,698.85. That is the magic of compounding. Albert Einstein called compound interest 'the eighth wonder of the world.' Many Americans do not know there are ways to invest money profitably, even small amounts like $50 a month, in savings bonds or mutual funds. No wonder the survey indicated 27 percent of Americans believe winning a lottery or sweepstakes is their best chance to have half a million dollars or more in a lifetime. The Census Bureau data--from 1995--showed that median savings of American families, meaning half have more and half have less, was only $1,000.
One wonders how many folks realize that you can't invest until you save and you can't save unless you spend carefully. Very few of us have multiple sources to bring in money. Most of us have income coming from one or two sources but expenses going to many. Living within one's means is a virtue possessed by few from the early days of adult life. Money becomes an inseparable part of our psyche and personality from childhood. Parents send subtle messages about money with their spending and saving habits. Do you remember how your parents argued about money? Most of us do. That too communicates a message.
As a general rule, nobody has money who ought to have it. --BENJAMIN DISRAELI
Very few things in life dominate us so much as money since it is a source of pride, joy, failure, sorrow, fear and greed. If you have it, you have a problem and if you don't, you can have many problems. With its immense power, money can't solve all problems of life but it sure can keep you away from a number of them. No wonder most people worry about having or making more money. It implies a sense of security most human beings only dream of.
Someone has rightly said: 'There are two types of people in the world--those who control money and those who are controlled by it.' An ounce of common sense goes a long way to ensure that you control money and find happiness with it.
The surest way to ruin a man who doesn't know how to handle money is to give him some. --GEORGE BERNARD SHAW
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