7 saving habits that rich people don't tell you

1. 7 saving habits that rich people don't tell you Many billionaires in the world still have the habit of saving money even though they have accumulated billions of dollars. Here are useful lessons learned from their savings habits. No.1. Their standard of living is lower than what they have One common trait of the super-rich is that they don't splurge. They often choose not-so-luxury houses, drive ordinary cars and buy economy-class airline tickets. Warren Buffett - CEO of Berkshire Hathaway and tycoon Carlos Slim are both ranked among the richest men in the world. But for decades they have lived in only one house and have never moved into another. In addition to the two billionaires above, Wipro Azim Premji is also a super-rich person who also has a habit of saving. Currently, India's "software king" owns a total asset value of up to $ 9.2 billion. But he still drives popular cars like Ford Escort and Toyota Corolla. Lesson: * Don't buy a home on a loan. Spend no more than 40% of income on housing including mortgages or rent. * Don't spend more than 5% of your income on car loans. * Do not compete when your finances do not allow. 2. They spend less money on clothes, shoes, food Rich people don't often spend money on luxury goods. They only spend money on things that will make them and their descendants rich in the future, not on things that will make them rich now. This is why Infosys founder, N.R. Narayana Murthy always wears simple clothes. Or movie star Rajnikanth just dressed in a simple dhoti-kurta (traditional Indian outfit) on screen. Lesson: * Spend no more than 3-5% of your income on clothes, no more than 5% on vacations and no more than 15% on food. * Invest in things that will make you richer and richer instead of investing in clothes or depreciating assets like cars. 3. Save and invest first, spend later Buffett said, "If you buy things you don't need, you will soon have to sell things you need." Most wealthy people pay themselves first by saving and investing at least 20% of their income. Then they spend on other things. Even if you don't make a lot of money, the habit of saving will secure your future. Plus, by doing so you won't have to struggle in retirement. Besides, you also need to have a savings account for emergencies. Lesson: * Automate your investing.

2. * Save money for emergencies. Normally you should save a certain amount each month, so after 6 months you will have an emergency savings. Read More: Gioi thieu Momo nhan 500k 4. They use credit cards wisely According to the advice of US oil magnate T. Boone Pickens, we should only bring as much cash as we need. Most rich people don't carry too much cash, they prefer to use credit cards. Would you spend more if you used a credit card? Rich people are very disciplined in spending. They usually use 1-2 credit cards with caution. They always pay off their debt in full and squeeze out any benefits from these cards... Lesson: * Use credit cards as these help better track expenses. * High security credit cards help you prevent theft. 5. They find ways to cut costs Rich people are often quite "stingy". They use discounts, coupons, or loyalty points to save money. Many small coupons add up to save them a lot of money. Referring to the rich who know how to save, two famous stars Kristen Bell and Premji are indispensable. They are the ones who always remind their employees to turn off the lights in the office when not in use. That's how they save money for themselves. Lesson: * Use mobile apps like Paytm to pay bills or book tickets as they have incentives like cashback and discounts. * Use travel sites that have a lot of deals like Nearbuy.com to save some money every time you travel. 6. They value quality over price Although many people think that this habit does not save money, it is actually saving us a lot of money. Rich people will often buy good quality things because good things will last longer. So if you buy a home appliance on the cheap then you may end up spending more money on maintenance and repair. Or maybe you have to buy a new item if the other one breaks. Lesson * Conduct a cost and value comparison before you buy a product. * Also, don't buy something that you can only use once or twice, especially expensive clothes and items.