July 2015
Beginner
272 pages
4h 30m
English
Content preview from The Rules of Wealth, 4th Edition
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RULE 89
Don’t spend it before you’ve got it
Gosh, this is a hard one for me. I have to admit I find this one of the most difficult to take on board.
How am I to learn this one? Any tips?
I know I should:
- budget for today and only for today – if I don’t have it, I don’t spend it
- ignore what I think or know is coming in, in the future
- put loads aside for tax – no, even more than that
- have no loans, overdrafts, no borrowings of any sort so I won’t be tempted to use future income to pay off debts run up today – or the reverse, run up debts today knowing that income from the future can be used to pay them off (very naughty).
The downside of spending future income is:
- the income may not materialize or be less than you thought (counting chickens ...
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