Wednesday 14 January 2015

If You Want to be Rich and Happy, Don’t Go to School Summary - Chapter 13

Chapter 13: Why Most People Die Poor

1.      Many educated, middle-class people feel themselves falling behind even though they work harder and harder. Often, they are overwhelmed when they found that their working years were over and their retirement income wasn’t enough.
2.      Why most people due poor:
a.       Lack of planning/ no planning at all: If I summarize all I learned from my experiences with the senior friends, it would be: health and finances need to be cared for when we’re young, not when we’re old. Too many of the senior adults had not planned adequately for their old age.
b.      Hopeful/ wishful thinking: All too many of us live on the hope that tomorrow will be better.  
c.       Lack of understandings or wrong estimates on resources or expenses required after the retirement lives: When we are young, it’s not always obvious to us that the quality of our lives in our retirement years will depend on how we prepare for it in our youth.
d.      Misunderstanding on the concept of “investment”: A lot of people mistakenly think that buying a home is an investment. If your home is your largest “investment”, you should consider reading some books on investing soon.
e.       Fail to think ahead: If you are between the ages of 35 and 55, and living month-to-month with no investments, your senior adult years will most likely be painful ones.
f.       Trying to get-rich-quick: The drive for immediate satisfaction of all our wants and needs has led to a very destructive “get-rich-quick” way of thinking.
g.      The failure of educations system: For example, we were taught in school to look for a secure job with good benefits. We should be taught instead that there is no such thing as a secure job.

3.      The reality is that unless we are succeeding in teaching virtually every citizen the rudiments of how to achieve economic well-being in our society we are failing ourselves and our children. 


Chapter 14: How Rich People Can Be Poor

No comments:

Post a Comment