Over the last year or so, I’ve been reading a few pages of Charlie Munger’s book, “Poor Charlie’s Almanack” every week. This is the type of book you take in a little at a time as you swirl the lessons around your life. As you hopefully know, Charlie Munger has been Warren Buffett’s partner for…
Read more
All about wealth. There is a popular song playing on the radio now that I’ve grown to hate. I’ve heard it over a hundred times and it drives me nuts. The song is by Meghan Trainor and the title is “All About That Bass.” I’m sure you’ve heard it, a few dozen times by now….
Read more
In the book, “The Richest Man in Babylon”, George Clason wrote… “Gold in a purse is gratifying to own and satisfieth a miserly soul but earns nothing. The gold we may retain from our earnings is the start. The earnings it will make shall build our fortunes.” The money we save from our earnings is…
Read more
There is a “little” formula investors use to see if they’re buying an investment property below value. The value determined by this little formula may be different than the valued determined by studying comparable home sales. The formula is actually designed for investors and helps us to avoid overpaying when acquiring rental real estate. To…
Read more
Warren Buffett is famous for saying the number one rule for investing is to never lose money. He went on to say the 2nd rule for investing is to always remember the first rule. After thinking about Buffett’s rule for several years, I have come to realize he means to try and find investing opportunities…
Read more
This morning I woke up and sat down to continue reading “Family Fortunes – How to Build Family Wealth and Hold Onto It for 100 Years” by Bill and Will Bonner. This really is a fantastic book highlighting the differences between old money and new money. It really is an eye opener and definitely worth…
Read more
Do you think long-term, or short term? Before you answer this question, take a second and define what “short-term” and “long-term” means to you. How many years into the future is short-term? How many years into the future is long-term? Most people would define short-term as the next 3 to 5 years and long-term as…
Read more
This morning I was reading an interesting article on BusinessInsider.com about compound interest when saw this graph: (Click the picture to enlarge) This chart shows how much a person would have to save at various ages in order to accumulate $1,000,000 by the age of 65. Each monthly savings amount was calculated assuming you would…
Read more
A few years ago, Richard Russell of the Down Theory Letters wrote an incredibly powerful article titled, “Rich Man, Poor Man.” In the article he wrote how important it was for the average investor (you and me) to have a financial plan utilizing the power of compounding. I’ll share a simple plan with you in…
Read more
Right now, I’m reading a biography titled, “The Richest Woman in America.” It’s the fascinating story of Hetty Green who compounded the inheritance of her father’s estate into $100 million in 1912. In today’s dollars, this amounts to $2 billion. Here is an interesting quote from the book: “While Edward (Hetty’s husband) engaged in business…
Read more
