7 Rules Of Money Revealed In "The Richest Man In Babylon"

When I first heard of this book “This Richest Man In Babylon“, I thought the title was a bit unique and honestly if it hadn’t been recommended by someone I trust and who is also one of my mentors, Jim Rohn, I’m not sure if I would have made the purchase.

That was over a year ago and today I receive an email from Jack Canfield and I noticed that “The Richest Man In Babylon” is on his list of books he recommends for financial guidance.

I decided it was a good time to share a little bit about the book and author. 

  “The Richest Man in Babylon” by George Samuel Clason provides financial advice through a collection of parables. Clason is best known for writing a series of informational pamphlets about being thrifty and how to achieve financial success. He started writing the pamphlets in 1926, using parables that were set in ancient Babylon.

By 1927, several of these pamphlets had been compiled into a book and this collection has been in print ever since.

There are plenty of simple ideas for acquiring enough wealth to live on in “The Richest Man in Babylon”, but Clason starts with 7 basic rules so that’s what I’ll be discussing here:

7 Simple Rules of Money

1.  Start Thy Purse To Fattening: Pay yourself first. Save at least 10% of what you earn – no matter what. Work hard at your current job and only spend 90% of what you earn. This is very sensible; a goal all of us should have.

2. Control Thy Expenditures: Saving more means spending less – and it won’t hurt as much as you think.

“budget thy expenses that thou mayest have coins to pay for thy necessities, to pay for thy enjoyments and to gratify thy worthwhile desires without spending more than nine-tenths of thy earnings.”

3. Make Thy Gold Multiply: Invest your savings. Once you start to build up some savings, invest that money so that it will make more money for you.

” …put each coin to work so that it may reproduce its kind even as the flocks of the field and help bring to you more income, a stream of wealth that will flow constantly into your purse.”

4. Guard Thy Treasure From Loss: invest wisely and manage your risk.

“Guard thy treasure from loss by investing only where thy principle is safe, where it may be reclaimed if desirable, and where thou will not fail to collect a fair rental.  Consult with wise men.  Secure the advice of those experienced in the profitable handling of gold.  Let their wisdom protect they treasure from unsafe investment”.

5. Make Of Thy Dwelling A Profitable Investment: Own your home, but purchase wisely.

“Thus come many blessings to the man who owneth his own house. And greatly will it reduce his cost of living, making available more of his earnings for pleasures and the gratification of his desires. This, then is the fifth cure for a lean purse: Own thy own home.”

6.  Insure a Future Income: Make sure you save enough for retirement and to care for your family when your life comes to an end. 

“Provide in advance for the needs of thy growing age and the protection of thy family”

7. Increase Thy Ability To Earn: Improve your knowledge and skills consistently to increase your earning power. Work hard, look for opportunities, and educate yourself.

” Cultivate thy own powers, to study and become wiser, to become more skillful, to so act as to respect thyself”

“Preceding accomplishment must be desire. Thy desires must be strong and definite.”

“Desires must be simple and definite.  They defeat their own purpose should they be to many, to confusing, or beyond a man’s training to accomplish.”

“Action will lead you forth to the successes you desire.”

HERE ARE SOME OTHER LESSONS MENTIONED:

1- Only seek advice from those that are wise and knowledgeable on the subject.

“Counsel with wise men.  Seek the advice of men whose daily work is handling money.  Let them save you from such an error as I myself made in entrusting my money in the judgment of Azmur, the brickmaker.  A small return and a safe one is far more desirable than risk.”

2. Be open for opportunities.

Those eager to grasp opportunities for their betterment, do attract the interest of  the goddess of fortune. She is ever anxious to help those who please her. And who is she pleased with? She is pleased with those who do  – rather than those who merely talk and engage in wishful thinking.”

Action will lead thee forward to the successes thou dost desire.”

If you haven’t read this book I would highly suggest you do so.  It’s a short read and you will be enlightened!  You can grab it on Amazon for about $7.

If you are where you want to be financially, take a look at the system we have in place that will help you with your current business or help you get started with one.