If you want to know how to make money and begin making more money, I’ll tell you the secret. There are only two levers you can pull. To understand this simple truth, let’s start at the beginning. To grow richer, the formula looks like this: The cash flowing into your life (income) – The cash…
What does it take to be in the top 1% of wealth in the United States? Many of you write me and ask that question, hoping someday to make it into the top 1% of net worth but not sure where that line gets drawn. I thought it might be useful to provide a reference to which I could point people in the future whenever they write, as well as make for some interesting afternoon reading for those of you who are curious about the nature of the economic world in which we live.
The key to being fantastic at your chosen field is to reach what Charlie Munger called “testable fluency” in the basics so that you are able to perform the higher ideas like a meastro. This concept is simple: Mozart was able to compose so brilliantly because he could play almost anything by sight or ear.…
The Internet is buzzing with a clip from Terrell Owens’ reality show on VH1. In a recent installment of the program, T.O. begins to cry about the money troubles he faces after discovering that his finances aren’t adding up, his credit score is in the 500’s, he has mortgages due on real estate and he…
A Lesson On Life and Money from Big Daddy Pollitt In the film adaptation of the Tony winning Tennessee Williams play Cat on a Hot Tin Roof, Big Daddy Pollitt (Burl Ives), a very wealthy planation owner in Mississippi who built his fortune from nothing, learns he is dying from an inoperable cancer. There is a…
If I were thinking about starting a small business from nothing or I were actively operating a small family company, there are eight questions that I would immediately ask myself about any entrepreneurial idea I had. These eight questions are: How do we make money? (What product or service do we provide at a profit? What…
I’m a big reader. Huge. My library consists of thousands of titles, mostly all of which are non-fiction (biographies, finance, business, economics, psychology, history, ethics, etc.) If I were to reproduce it, the cost would be somewhere between $12,000 and $30,000 depending on how difficult it was to get your hands on many of the…
Over the past few years, I have become more and more convinced that the single biggest challenge most people face when it comes to achieving financial independence is the interest expense they pay on credit card debt, student loan debt, home mortgages, consumer debt, and other liabilities. [mainbodyad]Think about it like this. If all you…
In 1977, Berkshire Hathaway invested nearly 25% of its net worth into Buffalo Evening News. For years, the investment was a disaster, causing significant losses and underperformance.
[mainbodyad]It always struck me as particularly stupid when people complained about the cost of gasoline, even when I was a teenager with very little money just learning about how investing worked. It seemed perfectly obvious to me that if an increase of $1 per gallon cut into your standard of living, you were living so…
