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What Are Your Money Rules?

Do you have any particular rules or thoughts around money and finances? It might be a powerful motto that you live by.

Here is a list of money rules other people live by: Your Favourite Money Rules.

Personally I believe in the following money rules:

  1. Understand the power of compounding and start investing early

  1. Understand that basically every life decision you make has a financial (opportunity) cost – make sure you are comfortable with your trade-offs

  1. Protect yourself from the unexpected – it is not worth taking huge risks

  1. Be disciplined and rational in your financial decision-making, don’t get too emotional

  1. Diversify and don’t put all your eggs in one basket when it comes to investments and wealth creation strategies

  1. Moderate your debt and make sure you can pay it off quickly

What are your thoughts? Did you want to add any to this list yourself?

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