1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

10 Principles of Financial Independence

Discussion in 'BlackHat Lounge' started by The Scarlet Pimp, Jun 25, 2015.

  1. The Scarlet Pimp

    The Scarlet Pimp Senior Member

    Joined:
    Apr 2, 2008
    Messages:
    877
    Likes Received:
    3,313
    Occupation:
    Chair moistener.
    Location:
    Cyberspace
    1. Save consistently by living on less than you earn.

    2. Study the investment methods and strategies of successful people, and seek advice only from those who are competent -- through their own achievements -- to give it. Learn from people who have earned the right to teach.

    3. Learn to apply the principles of compounding, discounting and leveraging.

    4. Never bet on a loser because you think its luck is about to change.

    5. Don't invest in anything that eats or can be driven, sailed or flown away.

    6. Don't invest in anything you can't explain to your wife! :D

    7. Reinvest all proceeds until you achieve financial independence.

    8. Never get involved in anything that promises easy or quick riches. Trying to get rich quickly is just a form of gambling. If you try to get-rich-quickly you'll get poor even quicker.

    9. Be constantly on guard against every form of greed. No matter how much you have, wealth never brings lasting happiness. The more you have, the more you want.

    10. Get Started Now! A good plan today is better than a perfect plan tomorrow. Unless you were born wealthy, you will have to sacrifice financially during part of your life.

    It's much better if that happens by choice when you're young, rather than by force when you are too old to recover.
     
    • Thanks Thanks x 4
  2. HoNeYBiRD

    HoNeYBiRD Jr. VIP Jr. VIP

    Joined:
    May 1, 2009
    Messages:
    7,309
    Likes Received:
    8,276
    Gender:
    Male
    Occupation:
    Geographer, Tourism Manager
    Location:
    Ghosted
    how someone is supposed to explain to his wife, that he can't invest into her according to point 5? lol
    "Don't invest in anything that eats"
     
    • Thanks Thanks x 1
  3. The Scarlet Pimp

    The Scarlet Pimp Senior Member

    Joined:
    Apr 2, 2008
    Messages:
    877
    Likes Received:
    3,313
    Occupation:
    Chair moistener.
    Location:
    Cyberspace
    don't worry, most wives stop "eating" after the first 6 months!

    :D :D :D
     
    • Thanks Thanks x 3
  4. adroit

    adroit BANNED BANNED Jr. VIP

    Joined:
    Sep 29, 2012
    Messages:
    1,212
    Likes Received:
    77
    Gender:
    Male
    So true ...i will surely start following up ...thanks a lot ...
     
  5. avilux

    avilux Power Member

    Joined:
    Nov 23, 2014
    Messages:
    552
    Likes Received:
    292
    I agree with everything except point 5. Not always true. Rare animals and cars are very easy money. Of course, you have to be willing to invest millions of cash you just have sitting around, but every year for example the price of extremely rare dogs in china goes up and there's ferraris that resell for millions more every time the auctions start.
     
  6. Ramse

    Ramse Jr. VIP Jr. VIP Premium Member

    Joined:
    Jan 6, 2014
    Messages:
    829
    Likes Received:
    93
    Home Page:
    This is the single most important advice you could ever get.
     
  7. The Scarlet Pimp

    The Scarlet Pimp Senior Member

    Joined:
    Apr 2, 2008
    Messages:
    877
    Likes Received:
    3,313
    Occupation:
    Chair moistener.
    Location:
    Cyberspace
    then there's this...

    "You can avoid reality, but you can't avoid the
    consequences of avoiding reality" - Ayn Rand.
     
  8. tony_d

    tony_d Elite Member

    Joined:
    Jun 22, 2013
    Messages:
    2,583
    Likes Received:
    3,179
    Location:
    1600 Amphitheatre Parkway, Mountain View CA
    Seems like a pretty reasonable set of principles to live by...
     
  9. drogon

    drogon Elite Member Premium Member

    Joined:
    May 28, 2010
    Messages:
    2,265
    Likes Received:
    1,129
    if you had millions to invest then you are already financially independent so logically that list would not apply to you in the first place!!
     
    • Thanks Thanks x 1
  10. dgusic

    dgusic Regular Member

    Joined:
    Feb 28, 2015
    Messages:
    328
    Likes Received:
    166
    Let me start a philosophical discussion since I am really tired and a bit of drunk.

    We (people) give value to something that shines or that is rare or that we chose has a certain value. In that natural process, we also introduced market, inflation and tons of different pointers on how a certain shiny thing or a paper bill will change over time.

    One day that shit will go away since humans are a greedy race that will destroy each other eventually. Actually, money is not useless, there has to be something that gives a certain value to a certain service or a product.

    For some of the principles;
    1. Most of the people I know live off credits, unfortunately, that is the only way to live in this shitty country.
    2. People won't study, that is why there are only 15% educated people in my country
    3. Again, people are lazy

    But I agree to all of these principles :)

    I have no idea what I just wrote, my bad.
     
  11. dgusic

    dgusic Regular Member

    Joined:
    Feb 28, 2015
    Messages:
    328
    Likes Received:
    166
    Does not have to be :p

    Some people live a style that just requires millions just to maintain. They have to constantly reinvest.
     
    • Thanks Thanks x 1