>>The most basic financial principle of all: spend less than you earn.
As oversimplifications go, this is a relatively harmless one. Given this follows closely on the discussion on retirement, it is obvious why the brush is broad here. One of my favourite quotations is "if you don't know where you are going, any road will take you there." Anyone's sense of wealth is measured as a combination of assets and income. Looking at the world through only one of the two lenses is therefore incorrect. I frequently find myself encouraging my clients to spend significantly more than they do now, so that they don't end up like my and their parents, living a frugal life and being very affluent at 80. Because money in itself is worthless, it only delivers value when exchanged for something you care about. ------------------------ Powered by BigRock.com
