If You Want to be Rich and Happy, Don’t Go to School Summary - Chapter 19

Chapter 19: How to Become Wealthy On a Small Budget

1.      The first step toward creating wealth on a limited budget is a decision to use the money you have in a very specific way. Although there are many ways to create wealth the one thing they have in common is that you must build a corral.

2.      Most people never achieve wealth because they spend all their time chasing bucks and spending dough on things that bring no returns. The rich get richer because they invest and the poor get poorer because they consume.

3.      Corrals take many forms. Here are four of the most common ways people create them:

a.       They build a business

b.      They save money (or collect objects that appreciate in value)

c.       They buy real estate that other people rent from them, thus helping to pay the mortgage.

d.      They invest in stocks, bonds and securities.

4.      Remember some of these important ingredients for creating wealth: humility, being committed to life-long learning, self-confidence, a spirit to gain wealth, courage to task risks, to make a mistake, to stand up, dust yourself off, learn the lesson and take action again, respect for successful people, and appreciation on the value of wealth.

5.      My steps out of poverty were as follow:

a.       I began to invest my time and money instead of spending it on consumer goods.

b.      I began to build a business that I would love to be in for the rest of my life.

c.       My wife and I decided to live frugally as long as it took our investments to fully support us.

d.      The process took ten years.

6.      Remember that you don’t need a lot of money to start building your wealth. But it requires that you use your God-given resources to make the most of every precious day.

Chapter 20: I Deserve a Raise