Five Timeless Money Truths


Hi folks

Sometimes we need to go back to the foundations, because money, investing and saving really are dead simple.  What makes it difficult is all the money "noise" we hear around us.

1. I nearly feel stupid having to say this, but the bedrock of all financial success is simply built on the following -  ALWAYS SPENDING LESS THAN WE EARN.  No amount of fancy math, investing expertise, fancy deals, business models or tertiary education can nullify this timeless principle

2. Building an independent stream of income from wisely executed investments is a basic adult responsibility.  It is not optional and has nothing to do with being clever, privileged or lucky. IT IS MY RESPONSIBILITY TO PROVIDE A PERPETUAL STREAM OF INCOME FOR THE FUTURE.  It is not the government's responsibility, it is not a societal expectation nor is it a right that any of us be supported by someone (including a spouse) or something else.

3. If we hold consumer debt, then we have been tricked, groomed and enslaved by consumerism. We need to simply forgive ourselves and IMMEDIATELY TREAT OUR CONSUMER DEBT AS A PERSONAL CRISIS. Eliminating this crisis requires our total unwavering attention until sorted.

4. HOLD INCOME-PRODUCING ASSETS FOR EVER.  Consumerism has even ensnared sensible folk into believing that selling-off the golden goose is logical. The rampart buying and selling of real estate, shares, bonds and businesses is by and large idiocy and making someone else very wealthy besides ourselves. Buying and selling more often than not attracts unnecessary taxes, unnecessary fees and ignites dangerous emotions. Old money is wise money. With old money/wealth, the corpus can be then bequeathed generationally forever.

5. TIME AND PATIENCE ARE NON-NEGOTIABLE.   In today's immediacy-driven world, time and patience are universally sneered at as inefficient. Change and innovation are glorified at all costs. However, what is nearly always forgotten is that the effects of time and patience, in the context of investing wisely, are at first subtle and imperceptible .... but then quietly snowball into an unstoppable tidal wave of abundance. The power of time and patience is barely even noticeable within an initial 10 year time span (most folk have become financially bored and wandered off within the first 10 years).

Holding these five principles as personal financial truths will put us light years ahead of much of the world's population. These principles fully respect our future selves, the future of our families and the future of our communities.

Take care and stay nice



  1. Wise words indeed Phil.

    1. I wish I understood them 30 years ago though.

  2. Your first point is the most with most pay rises we [people in general] see it as extra spending money, a bonus and something that is extra and therefore spend to the new increased pay rise. I think rarely it would be invested, put away and pretending that you didn't get the pay rise. Still, the basis of any budget is not spending more than you earn and as you say, if you have spent more than you earn [consumer debt] not necessarily your mortgage, you have to do without to pay it back because you didn't have the money for it in the first place.

    1. I can certainly see how easily even very savvy people can land in $ troubles - the whole system is geared to consumer debt.


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