Book Review – The Richest Man in Babylon
The richest man in Babylon by George Clason is known to be the bible of financial freedom. This book shows timeless rules and laws of money that can be used by anyone. This book is for the person who wants to acquire gold or financial success. A few simple yet insightful stories will give you an understanding of money.
With the help of short stories, this book teaches clear and simple lessons that lead to the secret to building wealth which never changes throughout history. The story revolves around a man who wants to acquire gold and work hard for it, learn from his faults and eventfully become the richest man in Babylon. Every concept mentioned in this book is easy as a layman could understand as they are showing the basics of money management.
This book will relate to every person who has struggled in his life for money and was unable to earn enough of it. With every chapter, the concepts about money will get clear to you how to start building wealth, how to keep it and how to multiply it. You will learn a lot of new truths about life, first, it will be difficult for you to understand but once you start understanding the timeless principle of money it will be easy for you to acquire wealth.
No concept will be out of this world or impractical, every principle can be applied by any person at any time.
Learning from the books
- Start by fattening your purse- Whatever you earn save at least one-tenth of your income for yourself. Always pay yourself first and save it.
- Control your Expenses- Spend less then what you need. This is important as society loves to spend more and want to have what they can’t afford and hence they live their lives in misery.
- Multiply your gold- Invest your money smartly. Put your money to work. Once you have saved one-tenth of your income then you have the plan to make it work for you. Research the right investment for you.
- Protect your wealth from loss- Invest in different places to reduce the chances of loss, and if required use insurance to protect your loss.
- Research for profitable investment- A home or land is the biggest investment one can make, so before you make a purchase do you research to ensure that there is no risk is that and it will give you good profits in the future.
- Ensure your future- Use the power of compound interest in your favour. Use your youth to build wealth that will serve you in the future as well. Plan your retirement.
- Enhance your ability to earn- Before investing anywhere else, invest in yourself. Enhance your knowledge and wisdom about money. The book quote that the biggest investment one can make is in them. Once you have built yourself, wealth will come to you.
If you want to acquire wealth and gain financial wisdom then this book is for you. This book is the source behind many financial learning books. The language used in it is a bit old so you might have a hard time reading it but once you get hold of it you will learn timeless principles for money management.