Most people work to save money for a secure future. In the process, they spend a lot of time working for others. And what do they get ?. They live from pay check to pay check.
Imagine what would have happened if you knew the basics of managing money. The difference between savings, expenses and investments. This books has helped me to have the right mindset towards money, and believe that it would be a good read for you, too.
The Psychology of Money
- Contains 19 short stories on how people manage money and lessons one can learn from them
- Covers how to make important decisions in life
- An inspiring read to improve mindset and behavior towards money, savings, investments and expenses
Important points from “The Psychology of Money”
- We have different perspectives about Money based on our past experiences or mental conditioning.
- Some people find right opportunity at a favorable time in life. We feel “lucky” as all things fall into place, means we get results that we desire or expect. One needs to be unbiased towards success or failure. The author emphasizes on changing the perspective towards failure, which is an important learning. We all have experienced that everything around us changes. The essence is to develop compsure and equanimity.
- Wealth creation comes from power of compounding. One needs to start early, take small steps consistently, make corrections, have patience and work with a long term vision.
Reasons why you should read this book
The author explains reasons why wealth creation is important. He differentiates savings and investments and how they are crucial. This book is a great learning resource for students, young investors, and entrepreneurs.