In an Over-Communicated, Intrusive World, Simple is Better
Ed

Clason’s “The Richest Man in Babylon” Part 2 – The 7 Cures for a Lean Wallet and The 5 Laws of Money

Copyright © 2007 Ed Bagley

Part 1 of this 2 Part series ends the synopsis of George Clason’s book “The Richest Man in Babylon,” but Clason raises an important question: Why should
so few men be able to acquire so much gold?

The answer is because they know how.

One may not condemn a man for succeeding because he knows how. Neither may one with justice take away from a man what he has fairly earned, to give to men of less ability.

And so it was that the good king of Babylon sought out the richest man in Babylon to teach to others in his kingdom the secrets of his success.

This is a synopsis of what the richest man taught to the people
of Babylon:

The Seven Cures for a Lean Wallet

1) Start your wallet to fattening. Save one-tenth of all you earn. Remember that a part
of all I earn is mine to keep. Do this faithfully. Do not let the simplicity of this escape you.

When I ceased to pay out more than nine-tenths of my earnings,
I got along just as well.
I was not shorter than before, and, money came to me more easily than before.

2) Control your expenses. How is it that all do not earn the same yet all have lean wallets? Here is the truth: That which each of us calls our “necessary expenses” will always grow to equal our incomes unless we protest to
the contrary.

Confuse not necessary expenses with desires. We all have more desires than our earnings can gratify. Examine which of the accepted expenses of living can be reduced or eliminated. Let your motto be 100% of appreciated value demanded for every dollar spent.

Budget your expenses so that your actual necessities are met without spending more than nine-tenths of your earnings.

3) Make your money multiply. Protect your growing treasure by putting it to labor and increasing. Money in your wallet earns nothing. Money that we earn from our money is but a start; it is the earnings generating earnings that builds fortunes.

When the richest man in Babylon loaned money to the shield maker to buy bronze, he said this: “Each time I loaned money to the shield maker, I loaned back also the rental he had paid me. Therefore not only did my capital increase, but its earnings likewise increased.”

4) Guard your money from loss. Everyone has an idea of how to make quick money; few, however, have the evidence of making money to justify their idea, scheme or offer of quick riches. The first sound principle of investment is security for your principal.

Before you loan your money to any man assure yourself of his ability to repay your loan, and of his reputation to do so. Make no one a present of your hard-earned treasure.

Consult the wisdom of those experienced in handling money for profit. Such advice is often freely given for
the asking, and may possess more value than the amount you
are about to invest.

5) Make your home a profitable investment. When you can set aside only nine-tenths of what you earn to live, and can use a part of that nine-tenths to improve the investment in your housing, do it; owning your own home is also an investment that grows with your wealth.

Your family deserves a home they can enjoy and call their own. It builds a sense of stability and well-being.

6) Ensure a future income. Build income-producing assets that do not require you to work forever. We will all grow old and die.

You should prepare a suitable income for the days to come when you are no longer younger and cannot work as hard, and to make preparations for your family should you no longer be with them to comfort and support them. Provide in advance for the needs of your growing age, and the protection of your family.

7) Increase your
ability to earn.
Desire precedes accomplishment, and the desire must be strong and definite. When you have backed your desire for saving $1,000 with the strength and purpose to secure it, you can then save $2,000.

Desires must be simple and definite. Desires defeat their own purpose when they are too many, too confusing, or too difficult to accomplish. Cultivate your own powers to study and become wiser, more skillful, and more productive.

Here is more sage advice from Clason’s masterpiece on financial matters:

The 5 Laws of Money

If you had to choose, would you choose tons of money or wisdom? Most men would take the money, ignore the wisdom, and waste the money. Here is the wisdom:

1) Money comes gladly and in increasing quantities to any man who will put aside not less than one-tenth of his earnings to create an estate for his future and the future of his family.

2) Money labors diligently and contently for the wise owner who finds for it profitable employment, multiplying unto itself in infinity if kept working diligently. Money multiplies itself in surprising fashion.

3) Money clings to
the protection of the cautious owner who invests it with the advice of men wise
in its handling.

4) Money slips away from the man who invests it in businesses or purposes that he is not familiar with, or which are not approved by those skilled in its keep. The inexperienced handler of money who trusts his own judgment, and puts his money in investments which he is not familiar, always pays with his money for his experience.

5) Money flees the man who would force it to impossible earnings, or who follows the alluring advice of tricksters and schemers, or who
trusts it to his own inexperience and romantic desires in investment.

Here is the hard lesson of the 5 Laws of Money: You cannot measure the value of wisdom in bags of money. Without wisdom, those who have it quickly lose money, but with wisdom, money can be secured by those who have it not.

This ends the condensation.

Copyright © 2007 Ed Bagley

A lot of us remember our mother, and for good reason.

Should someone pose the same question to me that I have asked of you, I would never hesitate to talk about the most important person in my life, my mother.

I had two fathers, one that left when I was only a month old (he was not sure I was his son, and so he divorced my mom), and one that arrived when I was 5 (he had a 40-word vocabulary, 20 of which were cuss words). I did not realize until much later that my step-dad did not know several foreign languages (he actually did know cuss words in at least three languages).

It might be sad to admit that I have no idea who my father is, but in the greater scheme of things, it does not really matter all that much because he was never a part of my life.

My mother was.

Both of my fathers provided examples of what not to do when being a husband, father and role model. Given the circumstances, one becomes what one sees, or one makes it a point to never become what one sees. I chose to ignore the fathers who never were.

Both the father on my birth certificate and my step-father certainly thought that they did the best that they could, it’s just that what they did was not that good. Both of them raised being self-centered to an art form.

My mother apparently had a somewhat rocky start in life, and was probably not the best mother a child could have had, but she became a fighter, for herself and her children.

She suffered through two of her daughters preceding her in death, and often said “It is a great life if you can stand to live it.”

I was raised essentially by my maternal grandparents for the first 5 years of my life, and everything good that I first learned was from them.

After living nearly seven decades I can tell you without qualification that my grandparents were the salt of the earth. They started out as farmers in Illinois before the turn of the century and moved north to Michigan when farming became impossible.

They were Midwest stock, always recognized and honored God, and whatever homespun wisdom I have came from watching them very carefully, and always loving them as they loved me.

That said, my mother was the biggest backer that I ever had.

She loved me when I was not lovable, despite my faults and shortcomings. She stood by me and fought for me when others would not. She encouraged me, financed me, and believed in me.

My mother was a study in self-improvement, she actually worked her entire life trying to become a better person, and spend the last 30 years of her life, in my judgment, becoming close to an angel here on earth.

In the end, she was not self-centered or self-absorbed but naturally served others with love and compassion. She became an incredible woman, and many were saddened on the day of her passing.

She was not a movie star, she was not famous, and she was not rich. She simply had the most important job in the world, she was a mother.

She was the only one who could comfort her son in his most distraught times, like when his first love in high school found another, and he thought his heart would never again be whole.

There must have been 40 flower arrangements at her funeral, and one was a beautiful (although artificial) purple and yellow arrangement. I brought that arrangement back from Michigan with me 12 years ago, and to this day, it sits beside me at my office in Tacoma (WA).

My mother is never more than an arm’s reach away from me.

Shortly after her funeral I was passing through a religious articles store that a Catholic order of nuns was closing down. There I found a medal of Saint Mildred, an obscure Catholic saint from the Middle Ages.

My mother was not Catholic, but her name was Mildred, and that medal has been around my neck, day and night, for 18 years, in honor of her.

As a father and grandfather, my message to all mothers is to love your spouse, love your children, love your family, and however mundane you feel your existence may sometimes be, remember that your most important mission in life is to be a mother.

There will be no greater calling, and there will be no greater reward.

Your legacy is established, and your love will not be forgotten by those you love and serve. They will love you forever as you have loved them.

May God Bless You and Your Family this Wonderful Mother’s Day,

(I love you Mom. If you were alive today, you would be 98 years old.)

The Love of a Mother

(Ed’s Note: This article touched me. I hope it touches you the same way.)

After a forest fire in Yellowstone National Park, forest rangers began their trek up a mountain to assess the inferno’s damage.

One ranger found a bird literally petrified in ashes, perched statuesquely on the ground at the base of a tree. Somewhat sickened by the eerie sight, he knocked over the bird with a stick.

When he gently struck it, three tiny chicks scurried from under their dead mother’s wings. The loving mother, keenly aware of impending disaster, had carried her offspring to the base of the tree and had gathered them under her wings, instinctively knowing
that the toxic smoke would rise.

She could have flown to safety but had refused to abandon her babies. Then the blaze arrived and the heat had scorched her small body; the mother had remained steadfast because she had been willing to die, so those under the cover of her wings would live.

“He will cover you with His feathers, and under His wings you will find refuge.” (The Holy Bible, Psalm 91:4)

Leave a Reply

Sid Miller Wants to Know: What are you voting for?

 

That moment when someone says, “I can’t believe you would vote for Trump”

I simply reply “I’m not voting for Trump.”

I’m voting for the First Amendment and Freedom of Speech.

I’m voting for the Second Amendment and my right to defend my life and my family.

I’m voting for the next Supreme Court Justice(s) to protect the Constitution and the Bill of Rights.

I’m voting for the continued growth of my retirement investments and the stock market.

I’m voting for an end to America’s involvement in foreign conflicts.

I’m voting for the Electoral College & the Republic we live in.

I’m voting for the Police to be respected once again and to ensure Law & Order.

I’m voting for the continued appointment of Federal Judges who respect the Constitution and the Bill of Rights.

I’m voting for our jobs to remain in America and not be outsourced all over again to China, Mexico and other foreign countries.

I’m voting for secure borders and legal immigration.

I’m voting for the Military & the Veterans who fought for this Country to give the American people their freedoms.

I’m voting for the unborn babies that have a right to live.

I’m voting for continued peace progress in the Middle East.

I’m voting to fight against human/child trafficking.

I’m voting for Freedom of Religion.

I’m voting for the American Flag that is disrespected by the “mob.”

I’m voting for the right to speak my opinion & not be censored.

I’m not just voting for one person, I’m voting for the future of my Country.

I’m voting for my children and my grandchildren to ensure their freedoms and their future.

What are you voting for?

About the Source: Sid Miller is the Commissioner of Agriculture in the Great State of Texas.

(Ed’s Note: The current 2020 Presidential Election has been reduced to a choice between our “constitutional republic” form of government and creeping into a “socialist” form of government in America. We should not allow any political party in America to bring advancing socialism—example: The Green New Deal—under the guise of improving our constitutional republic. Every form of socialism as a government in history has failed to advance the welfare of the citizens therein. Smart people know that socialism does not secure our rights as citizens but rather reduces our personal rights to the point where we have none and ultimately end up as a dictatorship.)

Financial Thoughts
on Investing
by Warren Buffett

(Ed’s Note: The following condensation is from The Tao of Warren Buffett, written by Mary Buffett and David Clark and available for sale at Amazon and bookstores nationwide. I am always impressed by what Warren Buffett has to say and am doing this condensation to help promote their book.)

On Investing: Never be afraid to ask too much when selling offer too little when buying.
(Ed’s Note: How much you get from a sale or how much you have to pay when making a purchase determines whether you make or lose money and how rich you ultimately become.)

(Ed’s Note: For more of Warren Buffett’s advice go to the menu bar above and click on Financial Thoughts.)