Financial Wisdom from The Richest Man in Babylon

Published in the 1920s, The Richest Man in Babylon remains one of the greatest references for personal financial management.

This book presents simple principles for achieving financial freedom through engaging stories. These principles, summarized, are as follows:

1️⃣ Save 10% of Your Income: No matter how much you earn, always set aside at least 10% of your income for yourself. This money should be saved and invested to work for you, regardless of your financial obligations.

2️⃣ Protect Your Wealth: Guard your savings carefully. Avoid investments that seem risky or promise unrealistically high returns. Preserving your wealth is more important than chasing high income without understanding how to secure it.

3️⃣ Make Your Money Work for You: Once you have saved enough, put your money to work. Seek advice from knowledgeable and experienced individuals to ensure your investments generate more wealth.

4️⃣ Avoid Unrealistic Expectations: Do not seek excessive or speculative gains. Wealth grows steadily when managed wisely, but greed and fantasy can lead to great losses.

5️⃣ Invest in Areas You Understand: Avoid investing in ventures where you lack expertise or where no trusted advisors are involved. Understand your investments thoroughly to protect your capital.

6️⃣ Work Diligently: A steady job or productive work is your greatest ally in building wealth. Combine hard work with the above principles to secure your financial future.