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
* Don't buy a home on a loan. Spend no more than 40% of income on housing including mortgages or
* 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.
* 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% o