TTH wrote:Roxxxanne wrote:Was it Warren Buffet who said that buying a new car was one of the worst investments a perosn could make?
No idea if he said that or not. To me, a car is not an "investment" anyway.
No, it is not really an investment but, in a sense, spending 20,000-50,000 or more has got to be considered an investment, although a very poor one. Of course, if you prefer to call it pissing your money away, that would work.
Quote:3. Spend Less Than You Earn
"Should you find yourself in a chronically leaking boat, energy devoted to changing vessels is likely to be more productive than energy devoted to patching leaks." -Warren Buffett
It seems like common sense advice and you've no doubt heard financial experts preaching about it for years. You can't possibly get ahead financially if you're spending more than your paycheck. Buffett is famous for living a simple and frugal lifestyle. He is the only billionaire I know that still lives in the same house he bought back in 1958 for $31,500. He drove a 2001 Lincoln Town Car for years which he bought second hand. Buffett has a net worth in excess of $52 billion and yet lives off an annual salary of $100,000. The relative percentage of his spending based on his overall net worth is minuscule.
