5 Laws of Gold from the Book "Richest Man in Babylon"

One of my Favorite Finance Books is the Richest Man in Babylon written by George S Clason.

It was first published in 1926. There he wrote about the 5 Laws of Gold which are useful lessons that we could all learn about finance.

The First Law:

"Gold cometh gladly and in increasing quantity to any man who will put by not less than one-tenth of his earnings to create an estate for his future and that of his family"

Many people don't save enough, but as Clason says you should be saving at least 10%. Let's start saving more than 10%. Let's reach for the stars and save closer to 30-50%. It is a lofty goal for many, but the more we save the more we can invest.

The Second Law:

"Gold laboreth diligently and contentedly for the wise owner who finds for it profitable employment, multiplying even as the flocks of the field"

Make money work for you. Easy as that.

The Third Law:

"Gold clingeth to the protection of the cautious owner who invests it under the advice of men wise in it's handling"

Don't be a fool with your money. Be wise with it.

Warren Buffett said

Rule #1 Never Lose Money

Rule #2 Never forget Rule #1

The Fourth Law:

"Gold slippeth away from the man who invests it in business or purposes with which he is not familiar or which are not approved by those skilled in its keep"

Always educate yourself about investments.

Fear of missing out can really make people lose their money.

The Fifth Law:

"Gold flees the man who would force it to impossible earnings or who followeth the advice of tricksters and schemers or who trusts it to his own inexperience and romantic desires in investments."

This is pretty self explanatory. Be wise with your money.

All in all, If you are looking for all the stories that come with thes 5 Laws of Gold check out the book, The Richest Man in Babylon.

It is short and a good read with great advice to get you thinking about money and finance.