Money is part of nature, it doesn't grow overnight. However, we overestimate money we can make in a year and underestimate what we can make in 10 years. People make money by staying invested for the long-term and without doing much "dancing in and dancing out" i.e. changing portfolios frequently.

1. SAVINGS!!!

3. When you drink beer and waste your
money Think of a POOR CHILD

4. SPEND WISELY
• If you buy things you don't need, you will soon sell things you need. -
Warren Buffett
• All of us suffer from the urge to splurge and we justify our spending
using the pretext of special occasions, peer pressure, lifestyle, family,
emotions and even smart decisions. Most marketing companies
understand this urge and try to exploit it by making offers that give
consumers the false notion of having made the right decision.
Unhealthy carbonated drinks are sold with promises of happiness,
adventure, youthfulness, etc. Take the example of the current EMI
options on expensive smartphones.
• When one could do with a Rs 15,000 phone (within budget), the EMI
option gives a false sense of smart decision and instead makes you
buy a Rs 35,000 phone (overstretched budget). Spending wisely is not
being stingy but being smart and aware. Every rupee spent on
unnecessary urges contributes to lost wealth.

5. • What you should do: Always ask these
questions: Do I really need this? Am I
overspending? Can I save some money without
compromising on the value I want from a
particular product/service? Encourage your
family members to follow this path.
• Lesson: Rule No. 1 : Never lose money. Rule
No.2: Never forget Rule No.1 - Warren Buffett

6. SAVE FOR UNEXPECTED
• Someone's sitting in the shade today because someone planted a tree
a long time ago. - Warren Buffett
• All of us know that saving is important for a better future. But it is
alarming to observe that most of us do not even save enough for
emergencies. This happens due to our myopic view about personal
finance.
• Instant gratification today matters more than saving for tomorrow. In
fact, saving is perceived as sacrifice by people.
• What you should do: Follow "pay yourself first" principle. Set aside
money for your future goals (and risk) as soon as you receive your
monthly paycheck. Take professional advice to know where and
how much you should invest for achieving goals.
• Lesson: Don't save what is left after spending; spend what is left
after saving. - Warren Buffett

7. Think long-term and
be patient
"No matter how great
the talent or efforts,
some things just take
time. You can't
produce a baby in one
month by getting nine
women pregnant." -
Warren Buffett