While I was going through my inquisitive line of getting financially educated today, I discovered the phrase "A fool and his money", and so many thoughts ran through my mind instantly, what does it mean for a fool to be associated with his money? what does it mean to be foolish and have money, if that is what the phrase means? Regardless of my thoughts, let me share with you the interpretation of what I got the meaning to be eventually.
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The decisions that we make in money-related ways will go a long way to affect our decisions in the future. This is one thing that almost everyone who is moving towards the path to financial growth probably knows, but there is a sure guarantee pattern to getting it done and that is simply, spend lesser than you make when this becomes a constant habit, the difference will actually pile up and we will begin to notice the difference in our bank savings, our homes, and our banks, but if you continue to spend as much as you earn, in no time, you will fit perfectly into the position of the fool described in the phrase above.
Regardless of how much wisdom a poor man may have, he is often tagged backward in society and is unable to speak where a wealthy man will comfortably speak, and what this means is that the rich are considered wiser than the poor. If we continue to spend consistently without setting some aside, then it is safe to say ending up like the fool described above is not far-fetched.
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Being slow in spending regardless of how much is being made, makes a lot of difference in helping you build finance and of course grow to the level of wealth as desired. Income is definitely not as important as what goes out of our pocket on a daily or on monthly basis. It is possible to squander a high income and have nothing to show for it at the end of the day, while little income on the other hand, is credibly managed and properly used to grow wealth in the long run.
This statement that I also read about today, greatly caught my attention, it said ''It is not the high cost of living, but the cost of high living that affects things''. Understandably, from the way I see things, high standards of living could disrupt the way and manner with which we like to manage our money, but on the other hand, our own cost of high living could drag us downward than we actually think.