Here's another post in our series on the learnings from the book The Millionaire Next Door. A quote from page 38:
Why aren't you wealthy, you ask? Well, Let's examine your lifestyle. Is it one of great offense (earning a lot)? Are you in the $70,000, $100,000, $200,000 income category? Congratulations, you play wonderful offense. But how is it that you keep losing the game called wealth accumulation?
Be honest with yourself. Could it be that you play terrible defense? Most high-income earners are in the same situation, but not most millionaires. Millionaires play both quality offense and quality defense. And quite often their great defense helps them outscore/outaccumulate those who outearn/have superior offenses. The foundation stone of wealth accumulation is defense, and this defense should be anchored by budgeting and planning.
What more can I add? Here's another example of "it's the ability to save, not to earn, that makes you wealthy."
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