I’ve finally found a glass-is-half-full take on the economic crisis, courtesy of cartoonist Robert Leighton. In a recent edition of Time, he came up with a list of upbeat terms we can use in place of “recession.” They include:
- Frugal Fest
- The Scrimpadelic Era
- Saving Spree
All kidding aside, there’s always room for a saving spree, isn’t there? If you’re going to do it, you might as well do it right — and by “right,” I mean “the way Warren Buffett did it.” Parade magazine recently featured “10 Ways to Get Rich,” Buffett’s top pieces of advice for saving and investing successfully. Here they are:
- Reinvest your profits. “When you first make money, you may be tempted to spend it,” the article states.”Don’t. Instead, reinvest.”
- Be willing to be different. The article puts it another way: “Don’t base your decisions upon what everyone is saying or doing.”
- 3. Never suck yor thumb. Too much waiting and watching is nothing more than thumb-sucking, says Buffett. “Gather the information you need to make a decision (and) make sure you stick to a deadline,” the article reads.
- Spell out the deal before you start. “Your bargaining leverage is always greatest before you begin a job,” says the article. “That’s when you have something to offer that the other party wants.”
- Watch small expenses. The companies in which Buffett invests are often the ones that pay attention to the little details.
- Limit what you borrow.
- Be persistent. That’s the way to win against more established competition, says Buffett.
- Know when to quit … “and don’t let anxiety fool you into trying again,” the article warns.
- Assess the risks. Sounds simple, but it’s terribly important in everything we do.
- Know what success really means. Here’s a hint: It’s not about personal wealth.
Read the rest of the article here, then check out these other financial literacy resources: