Psychology Of Money Best Quotes

When you work on something that only has the capacity to make you 5 dollars, it does not matter how much harder you work – the most you will make is 5 dollars.

Compounding works best when you can give a plan years or decades to grow. This is true for not only savings but careers and relationships. Endurance is key. And when you consider our tendency to change who we are over time, balance at every point in your life becomes a strategy to avoid future regret and encourage endurance.

Expecting things to be bad is the best way to be pleasantly surprised when they’re not. Which, ironically, is something to be optimistic about.

A true revolution of values will soon look uneasily on the glaring contrast of poverty and wealth. With righteous indignation, it will look at thousands of working people displaced from their jobs with reduced incomes as a result of automation while the profits of the employers remain intact, and say: “This is not just.” It will look across the oceans and see individual capitalists of the West investing huge sums of money in Asia, Africa and South America, only to take the profits out with no concern for the social betterment of the countries, and say: “This is not just.” It will look at our alliance with the landed gentry of Latin America and say: “This is not just.” The Western arrogance of feeling that it has everything to teach others and nothing to learn from them is not just. A true revolution of values will lay hands on the world order and say of war: “This way of settling differences is not just.” This business of burning human beings with napalm, of filling our nation’s homes with orphans and widows, of injecting poisonous drugs of hate into the veins of peoples normally humane, of sending men home from dark and bloody battlefields physically handicapped and psychologically deranged cannot be reconciled with wisdom, justice and love. A nation that continues year after year to spend more money on military defense than on programs of social uplift is approaching spiritual death. America, the richest and most powerful nation in the world, can well lead the way in this revolution of values. There is nothing to prevent us from paying adequate wages to schoolteachers, social workers and other servants of the public to insure that we have the best available personnel in these positions which are charged with the responsibility of guiding our future generations. There is nothing but a lack of social vision to prevent us from paying an adequate wage to every American citizen whether he be a hospital worker, laundry worker, maid or day laborer. There is nothing except shortsightedness to prevent us from guaranteeing an annual minimum—and livable—income for every American family. There is nothing, except a tragic death wish, to prevent us from reordering our priorities, so that the pursuit of peace will take precedence over the pursuit of war. There is nothing to keep us from remolding a recalcitrant status quo with bruised hands until we have fashioned it into a brotherhood.

We should not conclude from this that everything depends on waves of irrational psychology. On the contrary, the state of long-term expectation is often steady, and, even when it is not, the other factors exert their compensating effects. We are merely reminding ourselves that human decisions affecting the future, whether personal or political or economic, cannot depend on strict mathematical expectation, since the basis for making such calculations does not exist; and that it is our innate urge to activity which makes the wheels go round, our rational selves choosing between the alternatives as best we are able, calculating where we can, but often falling back for our motive on whim or sentiment or chance.

The byline is a replacement for many other things, not the least of them money. If someone ever does a great psychological profile of journalism as a profession, what will be apparent will be the need for gratification—if not instant, then certainly relatively immediate. Reporters take sustenance from their bylines; they are a reflection of who you are, what you do, and why, to an uncommon degree, you exist. ... A journalist always wonders: If my byline disappears, have I disappeared as well?

If you want to see the beauty of any fish, throw it into the water, you will see how best it can swim because that is its source. Do you want to see the beauty in you? Don't look in the mirror, don't put on makeups, no jewelleries or expensive designer clothes, just go back and reconnect to your source and I bet, the best of you will show up. Until you return back to God, your best won't come out because He is your source.

The tourists had money and we needed it; they only asked in return to be lied to and deceived and told that single most important thing, that they were safe, that their sense of security—national, individual, spiritual—wasn’t a bad joke being played on them by a bored and capricious destiny. To be told that there was no connection between then and now, that they didn't need to wear a black armband or have a bad conscience about their power and their wealth and everybody else’s lack of it; to feel rotten that no-one could or would explain why the wealth of a few seemed so curiously dependent on the misery of the many. We kindly pretended that it was about buying and selling chairs, about them asking questions about price and heritage, and us replying in like manner. But it wasn’t about price and heritage, it wasn’t about that at all. The tourists had insistent, unspoken questions and we just had to answer as best we could, with forged furniture. They were really asking, 'Are we safe?' and we were really replying, 'No, but a barricade of useless goods may help block the view.' And because hubris is not just an ancient Greek word but a human sense so deep-seated we might better regard it as an unerring instinct, they were also wanting to know, 'If it is our fault, then will we suffer?' and we were really replying, 'Yes, and slowly, but a fake chair may make us both feel better about it.

Forever, Tom thought. Maybe he’d never go back to the States. It was not so much Europe itself as the evenings he had spent alone, here and in Rome, that made him feel that way. Evenings by himself simply looking at maps, or lying around on sofas thumbing through guidebooks. Evenings looking at his clothes - his clothes and Dickie’s - and feeling Dickie’s rings between his palms, and running his fingers over the antelope suitcase he had bought at Gucci’s. He had polished the suitcase with a special English leather dressing, not that it needed polishing because he took such good care of it, but for its protection. He loved possessions, not masses of them, but a select few that he did not part with. They gave a man self-respect. Not ostentation but quality, and the love that cherished the quality. Possessions reminded him that he existed, and made him enjoy his existence. It was as simple as that. And wasn’t that worth something? He existed. Not many people in the world knew how to, even if they had the money. It really didn’t take money, masses of money, it took a certain security. He had been on the road to it, even with Marc Priminger. He had appreciated Marc’s possessions, and they were what had attracted him to the house, but they were not his own, and it had been impossible to make a beginning at acquiring anything of his own on forty dollars a week. It would have taken him the best years of his life, even if he had economised stringently, to buy the things he wanted. Dickie’s money had given him only an added momentum on the road he had been travelling. The money gave him the leisure to see Greece, to collect Etruscan pottery if he wanted (he had recently read an interesting book on that subject by an American living in Rome), to join art societies if he cared to and to donate to their work. It gave him the leisure, for instance, to read his Malraux tonight as late as he pleased, because he did not have to go to a job in the morning. He had just bought a two-volume edition of Malraux’s Psychologic de I’art which he was now reading, with great pleasure, in French with the aid of a dictionary.

Reputation is invaluable. Freedom and independence are invaluable. Family and friends are invaluable. Being loved by those who you want to love you is invaluable. Happiness is invaluable. And your best shot at keeping these things is knowing when it’s time to stop taking risks that might harm them. Knowing when you have enough.

study of thirty thousand elderly people in fifty-two countries found that switching to an overall healthy lifestyle—eating a diet rich in fruits and vegetables, not smoking, exercising moderately, and not drinking too much alcohol—lowered heart disease rates by approximately 50 percent.14 Reducing exposure to carcinogens, such as tobacco and sodium nitrite, have been shown to decrease the incidence of lung and stomach cancers, and it is likely (more evidence is needed) that lowering exposures to other known carcinogens, such as benzene and formaldehyde, will reduce the incidence of other cancers. Prevention really is the most powerful medicine, but we as a species consistently lack the political or psychological will to act preventively in our own best interests. It is worthwhile to ask to what extent efforts to treat the symptoms of common mismatch diseases have the effect of promoting dysevolution by taking attention and resources away from prevention. On an individual level, am I more likely to eat unhealthy foods and exercise insufficiently if I know I’ll have access to medical care to treat the symptoms of the diseases these choices cause many years later? More broadly within our society, is the money we allocate to treating diseases coming at the expense of money to prevent them?

All 250 + episodes to date can be found at tim.blog/ podcast and itunes.com/ timferriss Jamie Foxx on Workout Routines, Success Habits, and Untold Hollywood Stories (# 124)—tim.blog/ jamie The Scariest Navy SEAL I’ve Ever Met . . . and What He Taught Me (# 107)—tim.blog/ jocko Arnold Schwarzenegger on Psychological Warfare (and Much More) (# 60)—tim.blog/ arnold Dom D’Agostino on Fasting, Ketosis, and the End of Cancer (# 117)—tim.blog/ dom2 Tony Robbins on Morning Routines, Peak Performance, and Mastering Money (# 37)—tim.blog/ tony How to Design a Life—Debbie Millman (# 214)—tim.blog/ debbie Tony Robbins—On Achievement Versus Fulfillment (# 178)—tim.blog/ tony2 Kevin Rose (# 1)—tim.blog/ kevinrose [If you want to hear how bad a first episode can be, this delivers. Drunkenness didn’t help matters.] Charles Poliquin on Strength Training, Shredding Body Fat, and Increasing Testosterone and Sex Drive (# 91)—tim.blog/ charles Mr. Money Mustache—Living Beautifully on $ 25–27K Per Year (# 221)—tim.blog/ mustache Lessons from Warren Buffett, Bobby Fischer, and Other Outliers (# 219)—tim.blog/ buffett Exploring Smart Drugs, Fasting, and Fat Loss—Dr. Rhonda Patrick (# 237)—tim.blog/ rhonda 5 Morning Rituals That Help Me Win the Day (# 105)—tim.blog/ rituals David Heinemeier Hansson: The Power of Being Outspoken (# 195)—tim.blog/ dhh Lessons from Geniuses, Billionaires, and Tinkerers (# 173)—tim.blog/ chrisyoung The Secrets of Gymnastic Strength Training (# 158)—tim.blog/ gst Becoming the Best Version of You (# 210)—tim.blog/ best The Science of Strength and Simplicity with Pavel Tsatsouline (# 55)—tim.blog/ pavel Tony Robbins (Part 2) on Morning Routines, Peak Performance, and Mastering Money (# 38)—tim.blog/ tony How Seth Godin Manages His Life—Rules, Principles, and Obsessions (# 138)—tim.blog/ seth The Relationship Episode: Sex, Love, Polyamory, Marriage, and More (with Esther Perel) (# 241)—tim.blog/ esther The Quiet Master of Cryptocurrency—Nick Szabo (# 244)—tim.blog/ crypto Joshua Waitzkin (# 2)—tim.blog/ josh The Benevolent Dictator of the Internet, Matt Mullenweg (# 61)—tim.blog/ matt Ricardo Semler—The Seven-Day Weekend and How to Break the Rules (# 229)—tim.blog/ ricardo

Bored with Pisit today, I switch to our public radio channel, where the renowned and deeply reverend Phra Titapika is lecturing on Dependent Origination. Not everyone’s cup of chocolate, I agree (this is not the most popular show in Thailand), but the doctrine is at the heart of Buddhism. You see, dear reader (speaking frankly, without any intention to offend), you are a ramshackle collection of coincidences held together by a desperate and irrational clinging, there is no center at all, everything depends on everything else, your body depends on the environment, your thoughts depend on whatever junk floats in from the media, your emotions are largely from the reptilian end of your DNA, your intellect is a chemical computer that can’t add up a zillionth as fast as a pocket calculator, and even your best side is a superficial piece of social programming that will fall apart just as soon as your spouse leaves with the kids and the money in the joint account, or the economy starts to fail and you get the sack, or you get conscripted into some idiot’s war, or they give you the news about your brain tumor. To name this amorphous morass of self-pity, vanity, and despair self is not only the height of hubris, it is also proof (if any were needed) that we are above all a delusional species. (We are in a trance from birth to death.) Prick the balloon, and what do you get? Emptiness. It’s not only us-this radical doctrine applies to the whole of the sentient world. In a bumper sticker: The fear of letting go prevents you from letting go of the fear of letting go. Here’s the good Phra in fine fettle today: “Take a snail, for example. Consider what brooding overweening self-centered passion got it into that state. Can you see the rage of a snail? The frustration of a cockroach? The ego of an ant? If you can, then you are close to enlightenment.” Like I say, not everyone’s cup of miso. Come to think of it, I do believe I prefer Pisit, but the Phra does have a point: take two steps in the divine art of Buddhist meditation, and you will find yourself on a planet you no longer recognize. Those needs and fears you thought were the very bones of your being turn out to be no more than bugs in your software. (Even the certainty of death gets nuanced.) You’ll find no meaning there. So where?

I stroll to the platform and up under the awning, hands in pockets, stepping lively on my toes as if I'm expecting -- a loved one, a girlfriend, a best friend from college long out of touch. The two trainmen give me the mackerel eye and begin some exclusive talk they've been putting off. But I don't feel the least excluded, since I enjoy this closeness to trains and the great moment they exude, their implacable hissing noise and purpose. I read somewhere it is psychologically beneficial to stand near things greater and more powerful than you yourself, so as to dwarf yourself (and your piddlyass brothers) by comparison. To do so, the writer said, released the spirit from its everyday moorings, and accounted for why Montanans and Sherpas, who live near daunting mountains, aren't much at complaining or nettlesome introspection. He was writing about better "uses" to be made of skyscrapers, and if you ask me the guy was right on the money. All alone now beside the humming train cars, I actually do feel my moorings slacken, and I will say it again, perhaps for the last time: there is mystery everywhere, even in a vulgar, urine-scented, suburban depot such as this. You have only to let yourself in for it. You can never know what's coming next. Always there is the chance it will be -- miraculous to say -- something you want.

THE PRAISED GENERATION HITS THE WORKFORCE Are we going to have a problem finding leaders in the future? You can’t pick up a magazine or turn on the radio without hearing about the problem of praise in the workplace. We could have seen it coming. We’ve talked about all the well-meaning parents who’ve tried to boost their children’s self-esteem by telling them how smart and talented they are. And we’ve talked about all the negative effects of this kind of praise. Well, these children of praise have now entered the workforce, and sure enough, many can’t function without getting a sticker for their every move. Instead of yearly bonuses, some companies are giving quarterly or even monthly bonuses. Instead of employee of the month, it’s the employee of the day. Companies are calling in consultants to teach them how best to lavish rewards on this overpraised generation. We now have a workforce full of people who need constant reassurance and can’t take criticism. Not a recipe for success in business, where taking on challenges, showing persistence, and admitting and correcting mistakes are essential. Why are businesses perpetuating the problem? Why are they continuing the same misguided practices of the overpraising parents, and paying money to consultants to show them how to do it? Maybe we need to step back from this problem and take another perspective. If the wrong kinds of praise lead kids down the path of entitlement, dependence, and fragility, maybe the right kinds of praise can lead them down the path of hard work and greater hardiness. We have shown in our research that with the right kinds of feedback even adults can be motivated to choose challenging tasks and confront their mistakes. What would this feedback look or sound like in the workplace? Instead of just giving employees an award for the smartest idea or praise for a brilliant performance, they would get praise for taking initiative, for seeing a difficult task through, for struggling and learning something new, for being undaunted by a setback, or for being open to and acting on criticism. Maybe it could be praise for not needing constant praise! Through a skewed sense of how to love their children, many parents in the ’90s (and, unfortunately, many parents of the ’00s) abdicated their responsibility. Although corporations are not usually in the business of picking up where parents left off, they may need to this time. If businesses don’t play a role in developing a more mature and growth-minded workforce, where will the leaders of the future come from?

Warren Buffett and George Soros eschew derivatives. Hedge fund managers bet against the Wall Street banks that develop complex products. The best investors – today and yesterday – make money not because they understand abstruse mathematical models, but because they have a deep intuition about the timing and machinations of financial markets. Markets have been complex for a long time, and their ebbs and flows always have depended, not only on intricate disclosures about assets and liabilities, but also on human psychology. That has not changed since the 1920s.

We can spend years trying to figure out how Buffett achieved his investment returns: how he found the best companies, the cheapest stocks, the best managers. That’s hard. Less hard but equally important is pointing out what he didn’t do. He didn’t get carried away with debt. He didn’t panic and sell during the 14 recessions he’s lived through. He didn’t sully his business reputation. He didn’t attach himself to one strategy, one world view, or one passing trend.

We’re so far committed to the independence camp that we’ve done things that make little sense on paper. We own our house without a mortgage, which is the worst financial decision we’ve ever made but the best money decision we’ve ever made. Mortgage interest rates were absurdly low when we bought our house. Any rational advisor would recommend taking advantage of cheap money and investing extra savings in higher-return assets, like stocks. But our goal isn’t to be coldly rational; just psychologically reasonable.

Experts have been revered—and well paid—for years for their “It is my opinion that ... ” judgments. As James March has stated, however, such reverence may serve a purely social function. People and organizations have to make decisions, often between alternatives that are almost equally good or bad. What better way to justify such decisions than to consult an expert, and the more money he or she charges, the better. “We paid for the best possible medical advice,” can be a palliative for a fatal operation (or a losing legal defense), just as throwing the I Ching can relieve someone from regretting a bad marriage or a bad career choice. An expert who constructs a linear model is not as impressive as one who gives advice in a “burst” of intuition derived from “years of experience.” (One highly paid business expert we know constructs linear models in secret.) So we value the global judgment of experts independently of its validity. But there is also a situational reason for doubting the inferiority of global, intuitive judgment. It has to do with the biased availability of feedback. When we construct a linear model in a prediction situation, we know exactly how poorly it predicts. In contrast, our feedback about our own intuitive judgments is flawed. Not only do we selectively remember our successes, we often have no knowledge of our failures—and any knowledge we do have may serve to “explain” them (away). Who knows what happens to rejected graduate school applicants? Professors have access only to accepted ones, and if the professors are doing a good job, the accepted ones will likewise do well—reinforcing the impression of the professors’ good judgment. What happens to people misdiagnosed as “psychotic”? If they are lucky, they will disappear from the sight of the authorities diagnosing them; if not, they are likely to be placed in an environment where they may soon become psychotic. Finally, therapy patients who commit suicide were too sick to begin with—as is easily supported by an ex post perusal of their files.

It is impossible to think of a story about Ronald Read performing a heart transplant better than a Harvard-trained surgeon. Or designing a skyscraper superior to the best-trained architects. There will never be a story of a janitor outperforming the world’s top nuclear engineers. But these stories do happen in investing.

The best part of being a valet is getting to drive some of the coolest cars ever to touch pavement. Guests came in driving Ferraris, Lamborghinis, Rolls-Royces--the whole aristocratic fleet. It was my dream to have one of these cars of my own, because (I thought) they sent such a strong signal to others that you made it. You're smart. You're rich. You have taste. You're important. Look at me. The irony is that I rarely ever looked at them, the drivers. When you see someone driving a nice car, you rarely think, " Wow, the guy driving that car is cool." Instead, you think, "Wow, if I had that car people would think I'm cool." Subconscious or not, this is how people think. There is a paradox here: people tend to want wealth to signal to others that they should be liked or admired. But in reality those other people often bypass admiring you, not because they don't think wealth is admirable, but because they use your wealth as a benchmark for their own desire to be liked and admired. The letter I wrote to my son after he was born said, "You might think you want an expensive car, a fancy watch, and a huge house. But I'm telling you, you don't. What you want is respect and admiration from other people, and you think having expensive stuff will bring it. It almost never does--especially from the people you want to respect and admire you." It's a subtle recognition that people generally aspire to be respected and admired by others, and using money to buy fancy things may bring less of it than you imagine. If respect and admiration are your goals, be careful how you seek it. Humility, kindness, and empathy will bring you more respect than horsepower ever will.

The best way to achieve felicity is to aim low,” says Charlie Munger.

Enough” is realizing that the opposite, an insatiable appetite for more will push you to the point of regret. Reputation is invaluable. Freedom and independence are invaluable. Family and friends are invaluable. Being loved by those who you want to love you is invaluable. Happiness is invaluable. And your best shot at keeping these things is knowing when it’s time to stop taking risks that might harm them. Knowing when you have enough.

A 2019 Gallup poll of 150,000 people in 140 countries found that about 45% of Americans said they felt “a lot of worry” the previous day.27 The global average was 39%. Fifty-five percent of Americans said they felt “a lot of stress” the previous day. For the rest of the world, 35% said the same. Part of what’s happened here is that we’ve used our greater wealth to buy bigger and better stuff. But we’ve simultaneously given up more control over our time. At best, those things cancel each other out.

Rising prices persuade all investors in ways the best marketers envy. They are a drug that can turn value-conscious investors into dewy-eyed optimists, detached from their own reality by the actions of someone playing a different game than they are.

Reputation is invaluable. Freedom and independence are invaluable. Family and friends are invaluable. Being loved by those who you want to love you is invaluable. Happiness is invaluable. And your best shot at keeping these things is knowing when it’s time to stop taking risks that might harm them. Knowing when you have enough. The good news is that the most

Manage your money in a way that helps you sleep at night. That’s different from saying you should aim to earn the highest return or save a specific percentage of your income. Some people won’t sleep well unless they’re earning the highest returns. Others will only get a good rest if they’re conservatively invested. To each their own. But the foundation of ‘does this help me sleep at night?’ is the best universal guidepost for all financial decisions.

You can’t blame people for devoting all their effort—effort in what they learn and what they do—to trying to earn the highest investment returns. It intuitively seems like the best way to get rich. But good investing isn’t necessarily about earning the highest returns, because the highest returns tend to be one-off hits that can’t be repeated. It’s about earning pretty good returns that you can stick with and which can be repeated for the longest period of time. That’s when compounding runs wild.

As we integrate more elements of our character into the light of consciousness we will be moving toward the ideal of psychological wholeness, and wholeness according to Jung, is the defining mark of a great character and the means to ever more control of our destiny. For each time we accept a weakness, rather than denying it, we gain some influence over it and we can learn to minimize its effects on us. Each time we discover a new strength of our character, a new set of possibilities opens up before us and our life will be all the better for it. For these reasons there is no task we can set before ourselves, no life project we can adopt, that is more rewarding than the cultivation of a great character. And unlike other life projects, which often require the cooperation of external factors, be it money or other people, this project requires no such things. We can undertake this project at any moment we choose and given the brevity and uncertain nature of existence, now is always the best moment to begin on the life altering journey of discovering more fully who we are.

Part of what’s happened here is that we’ve used our greater wealth to buy bigger and better stuff. But we’ve simultaneously given up more control over our time. At best, those things cancel each other out.

1. Opportunity. What is the best opportunity for a new entrepreneur to build a successful business? Why is now the time to do it? How does the new landscape of e-commerce and social media create an environment of opportunity? And how do you fit into it all? You will discover why now is the perfect time to create your pie, and why there are others who are ready and willing to buy a slice. 2. Mindset. There’s a reason not every wantrepreneur becomes a successful entrepreneur, and psychology is a big piece of the puzzle. I’ll take you through the development of the right mindset to take a business from zero to one million in a year. 3. Getting customers. A million-dollar business doesn’t start with a product; it starts with a person. Your first step in building your business must be identifying your customer, and then answering his or her need. This builds a real brand, not just a revenue stream. If you get this piece right, you will have droves of repeat buyers who will eagerly “overpay” for your products, thank you for it, and tell all of their friends about you. 4. Product. Choosing your first product will be the biggest hurdle you face. It will take research, patience, and determination. Most importantly, it will require listening to what your customer is saying. I’ll take you through the whole process, from ideation to prototyping and refinement, helping you clear this hurdle in no time flat. 5. Funding. Sure, you’ve got a great product, and you know to whom you’re selling—but how do you fund your inventory? Here’s how to bootstrap, borrow, and build your way to a self-sustaining revenue machine, without stressing about money. 6. Stacking the deck. How do you nearly guarantee that your first product is successful, right out of the gate? Once you’ve decided what business you’re in, we will work to ensure that you don’t get stuck holding a product no one wants; this is where you stack the deck so your launch day is set up to blast off. 7. Launch. Your first product is ready to launch. What do you do now? Do you just let it ride? No. Here’s where building relationships and a few strategic marketing tips will take your business from a single product to a world-class brand, as we cover what you need to do to reach the key growth point of twenty-five sales per day.

I have had several occasions to ask founders and participants in innovative start-ups a question: To what extent will the outcome of your effort depend on what you do in your firm? This is evidently an easy question; the answer comes quickly and it has never been less than 80%. Even when they are not sure they will succeed, these bold people think their fate is almost entirely in their own hands. They are surely wrong: the outcome of a start-up depends as much on the achievements of its competitors and on changes in the market as on its own efforts. However, entrepreneurs naturally focus on what they know best—their plans and actions and the most immediate threats and opportunities, such as the availability of funding. They know less about their competitors and therefore find it natural to imagine a future in which the competition plays little part.

Reputation is invaluable. Freedom and independence are invaluable. Family and friends are invaluable. Being loved by those who you want to love you is invaluable. Happiness is invaluable. And your best shot at keeping these things is knowing when it’s time to stop taking risks that might harm them. Knowing when you have enough.

Family and friends are invaluable. Being loved by those who you want to love you is invaluable. Happiness is invaluable. And your best shot at keeping these things is knowing when it’s time to stop taking risks that might harm them. Knowing when you have enough. The good news is that the most powerful tool for building enough is remarkably simple, and doesn’t require taking risks that could damage any of these things. That’s the next chapter.

The problem is that we often use events like the Great Depression and World War II to guide our view of things like worst case scenarios when thinking about future investment returns. But those record setting events had no precedent when they occurred. So, the forecaster who assumes the worst and best events of the past will match the worst and best events of the future, is not following history. They're accidentally assuming that the history of unprecedented events doesn't apply to the future.

Expecting things to be great means a best-case scenario that feels flat. Pessimism reduces expectations, narrowing the gap between possible outcomes and outcomes you feel great about. Maybe that’s why it’s so seductive. Expecting things to be bad is the best way to be pleasantly surprised when they’re not.

paper. We own our house without a mortgage, which is the worst financial decision we’ve ever made but the best money decision we’ve ever made.

Reputation is invaluable. Freedom and independence are invaluable. Family and friends are invaluable. Being loved by those you want to love you is invaluable. Happiness is invaluable. And your best shot at keeping these things is knowing when it is time to stop taking risks that might harm them. Knowing when you have enough.

The best way to achieve felicity is to aim low,” says Charlie Munger. Wonderful.

In what other industry does someone with no college degree, no training, no background, no formal experience, and no connections massively outperform someone with the best education, the best training, and the best connections?

Every moment each human being is doing the best we know at that moment to meet our needs. We never do anything that is not in the service of a need. There is no conflict on our planet at the level of needs. We all have the same needs. The problem is in strategies for meeting the needs. —Marshall Rosenberg

We feel restricted when we fear that some of our needs won’t be met. If we are mindful in our planning, we can create a life where all of our needs, physical, emotional, and intellectual, are met without draining all of our financial resources. That type of a plan does not feel restrictive, but deeply satisfying. The key to making this kind of plan is to remember that cash flow is just a part of the story. The real task we all have is to figure out how we can use our personal resources to meet all of our needs. When you become adept at this type of planning, you will find that many of your nonphysical needs are better served by nonfinancial strategies. This frees up your money to do what it is best at: meeting your physical needs.

In the Old Testament book of 2 Kings, we read the story of Naaman, a wealthy and powerful general of the Syrian army.149 He was suffering terribly, dying slowly of leprosy. Hearing of a powerful God in Israel, he traveled there with both money and a threatening letter from his own ruler. He went to the king of Israel and demanded to be cured of his leprosy. Like so many of us today, Naaman thought money, influence, and expertise could address his suffering. So he went to the person in the culture who had the most of these things and expected a resolution. In response, the Israelite king tore his robes and replied: “Am I God? Can I kill and bring back to life?” (2 Kings 5:7). In other words, he said, “Don’t look to me to do something only God can do!” The whole Western world today needs to listen to this cry of the king of Israel. When we confront suffering, we think that what will solve it is a change in public policy, or the best expertise in psychology and therapy, or technological advances. But the world’s darkness is too deep to be dispelled merely by such things. It is wrong, in our pride, to believe that we can control and defeat the darkness with our knowledge.

I have the mind of Christ. The best life you could ever live is the one that your creator destined you for. The one He made you for. He has given us everything we need ......... to become like Him. To reach to your potentials. Worship Him in spirit and in truth.

The world is full of problems and I bet you the problems will continue to exist but what will make you relevant to the world is when you have answers to the questions the world asks. You can only be useful when you have the answers to the questions of the world. The best way you provide solutions and answers to those challenges is through wisdom.

Focus on having a profit at the end of ten trades, not about getting nine profitable trades. Even at the best of times, professional traders get only three or four out of ten trades right. Their success lies in their ability to quickly quit losing trades. It is a psychological hurdle you have to cross. We are so programmed that we feel disturbed when we lose money in 7 or 8 out of 10 trades and this impacts our entire trading style. However, if you can quit 8 out of 10 trades because they lost 5% from your purchase price, you are on your way to mastering trading. I am suggesting a 5% limit to losses because you cannot afford to take a bigger loss. Of course, in many trades, a 5% loss limit will get you out of a trade which may bounce back. But the risk you take by not putting the 5% limit on the loss is too high for any gain any potential bouncebacks may deliver.

No life is specially interesting. Almost everybody does the same thing and shares the common career and money-related interests regardless if he is a scientist, an artist or an economist. Almost everybody spends the similar life style — relaxation and satisfaction of the needs of stomach and sex organ. Almost everybody does his best to pass down his genes through originating and nurturing the next generation. Patriotism, intellectuality, religiosity and so on, and so forth are only a pose but not the intrinsic parts of the mental state, of course, if one doesn’t suffer from serious psychological disorder. The commonest thing is delightful if one only hides it. For that reason most men, if not any, tend to wear a mask of patriotism, intellectuality or religiosity in order to give to his ordinary life some “richness of content.

The best (and worst) managers drive their employees as hard as they

Expecting things to be bad is the best way to be pleasantly surprised when they’re not. Which, ironically, is something to be optimistic about. Now, a short story about stories.

Go out of your way to find humility when things are going right and forgiveness/compassion when they go wrong. Because it’s never as good or as bad as it looks. The world is big and complex. Luck and risk are both real and hard to identify. Do so when judging both yourself and others. Respect the power of luck and risk and you’ll have a better chance of focusing on things you can actually control. You’ll also have a better chance of finding the right role models. Less ego, more wealth. Saving money is the gap between your ego and your income, and wealth is what you don’t see. So wealth is created by suppressing what you could buy today in order to have more stuff or more options in the future. No matter how much you earn, you will never build wealth unless you can put a lid on how much fun you can have with your money right now, today. Manage your money in a way that helps you sleep at night. That’s different from saying you should aim to earn the highest returns or save a specific percentage of your income. Some people won’t sleep well unless they’re earning the highest returns; others will only get a good rest if they’re conservatively invested. To each their own. But the foundation of, “does this help me sleep at night?” is the best universal guidepost for all financial decisions. If you want to do better as an investor, the single most powerful thing you can do is increase your time horizon. Time is the most powerful force in investing. It makes little things grow big and big mistakes fade away.

No one knows the highs or lows of a market. The best way to invest over a long term is to invest regularly. Irrespective of the price at that time.

Save. Just save. You don’t need a specific reason to save. It’s great to save for a car, or a downpayment, or a medical emergency. But saving for things that are impossible to predict or define is one of the best reasons to save. Everyone’s life is a continuous chain of surprises. Savings that aren’t earmarked for anything in particular is a hedge against life’s inevitable ability to surprise the hell out of you at the worst possible moment.

Manage your money in a way that helps you sleep at night. That’s different from saying you should aim to earn the highest returns or save a specific percentage of your income. Some people won’t sleep well unless they’re earning the highest returns; others will only get a good rest if they’re conservatively invested. To each their own. But the foundation of, “does this help me sleep at night?” is the best universal guidepost for all financial decisions.

Women always cried. It was their last, best weapon. It made boyfriends apologize and husbands fold them in their arms. It made Daddy spend the extra money on the prom dress.

Even if the coffers hadn’t been empty, if we’d had all the money to make all the uniforms we needed to implement Phase Two, who do you think we could have conned into filling them? This goes to the heart of America’s war weariness. As if the “traditional” horrors weren’t bad enough—the dead, the disfigured, the psychologically destroyed—now you had a whole new breed of difficulties, “The Betrayed.” We were a volunteer army, and look what happened to our volunteers. How many stories do you remember about some soldier who had his term of service extended, or some exreservist who, after ten years of civilian life, suddenly found himself recalled into active duty? How many weekend warriors lost their jobs or houses? How many came back to ruined lives, or, worse, didn’t come back at all? Americans are an honest people, we expect a fair deal. I know that a lot of other cultures used to think that was naïve and even childish, but it’s one of our most sacred principles. To see Uncle Sam going back on his word, revoking people’s private lives, revoking their freedom… After Vietnam, when I was a young platoon leader in West Germany, we’d had to institute an incentives program just to keep our soldiers from going AWOL. After this last war, no amount of incentives could fill our depleted ranks, no payment bonuses or term reductions, or online recruiting tools disguised as civilian video games.17 This generation had had enough, and that’s why when the undead began to devour our country, we were almost too weak and vulnerable to stop them. I’m not blaming the civilian leadership and I’m not suggesting that we in uniform should be anything but beholden to them. This is our system and it’s the best in the world. But it must be protected, and defended, and it must never again be so abused.

The difficulty in identifying what is luck, what is skill, and what is risk is one of the biggest problems we face when trying to learn about the best way to manage money.

what’s happened here is that we’ve used our greater wealth to buy bigger and better stuff. But we’ve simultaneously given up more control over our time. At best, those things cancel each other out.