Wealth Comes Not From How Much You Make But How Much You Save

[ironchef]

Most in developed countries can be quite well off if they don't spend every penny they make:

https://www.marketwatch.com/story/h...an-350000-in-savings-on-one-income-2019-08-01

 

[Peter8519]

First, take away the credit card and go back to all cash transaction.
This will force spend only when one can afford to. The curse of debt will go away.

 

[RedDuke]

I mean it works for them, so it is fine.

But it is a miserable life when one, living in USA, spends $7 on buritto and feels guilty about it.

 

[Option_Attack]

 

[Bum]

Most in developed countries can be quite well off if they don't spend every penny they make:

https://www.marketwatch.com/story/h...an-350000-in-savings-on-one-income-2019-08-01

#1 reason why so many live paycheck-to-paycheck IMO.
Increase the pay by 10% to all employees & most will still live paycheck-to-paycheck as they'll just spend the extra 10%.
Spending is the problem, not income. Must be taking lessons from our government.

 

[ironchef]

I mean it works for them, so it is fine.

But it is a miserable life when one, living in USA, spends $7 on buritto and feels guilty about it.

Not true. Biggest luxury is wife no longer has to work, now stays home and looks after kids, and they still have money left over. Whereas before, they both worked yet couldn't make ends meet.

Also, life is not deprived:

Other surplus money goes to the couple’s savings accounts — all six of them. There’s an account for a car, an account for vacations, a short-term emergency fund and a larger rainy day fund.

 

[Times]

Sorry but you are wrong, wealth comes from how much you make.

As you can only save 100%, you can make 1000%+

Thus its wise to spend the majority of your time on making money and only a small amount on saving.

 

[tomorton]

Sorry but you are wrong, wealth comes from how much you make.

As you can only save 100%, you can make 1000%+

Thus its wise to spend the majority of your time on making money and only a small amount on saving.

Absolutely right.

If you start with $1000, how much is the maximum you can save? $1000 of course. But if you speculate with the $1000, there is no upper limit to what it can return.

No doubt this couple did the right things by reducing their discretionary spend. But real wealth will come later, from what they do with the capital.

Of course, society ranks saving as a virtue, alongside hard work, "honest" work, "real" work. On the other hand, making money from money, without "working", is never seen so positively. So when someone saves they feel good and want to tell people, who say they have done a good thing and they all feel good as well because its something they can do too without any specialised knowledge or risk.

I hope everyone who saves feels good because that's all they've got, nice feelings.

 

[ElCubano]

Sorry but you are wrong, wealth comes from how much you make.

As you can only save 100%, you can make 1000%+

Thus its wise to spend the majority of your time on making money and only a small amount on saving.

Or better yet, spend more time not SPENDING your money and you won’t have to make 1000%.

 

[ironchef]

Valid points guys, I stand corrected.

To be a wealthy trader, we should not spending 100% of what we make, it is saving some trading profits + compounding them that will make us rich.