The Richest man in Babylon is a compilation
of pamphlets dealing with personal finances, written as
a parable set in ancient Babylon. The book is based on the
adage that, 'A lean purse is easier to care than endure.'
This adage although its set in ancient Babylon, is applicable
and timely today.
After years of prosperity, Babylon found
itself in sore straits. Few people in the city had sufficient
money to provide for their needs. The King called Arkad,
his learned minister and questioned him about the secret
of wealth and asked if it could be taught. Arkad stated,
'That which one man knows can be taught to others.
The First Cure - Start thy purse
to fattening: 'For every ten coins thou placest
within thy purse take out for use but nine. Thy purse will
start to fatten...and bring satisfaction to thy soul.' Arkad
ended the first class by declaring: 'Which desirest thou
most' Is it the gratification of thy desires of each day'
Or is it for substantial belongings' The coins thou takest
from thy purse bring the first. The coins thou leavest within
it will bring the latter.'
The Second Cure - Control thy
expenditures: 'That which each of us calls our
'necessary expenses' will always grow equal to our income
unless we protest to the contrary.' The key is to institute
and observe a budget. 'The purpose of a budget is to help
thy purse to fatten.'
The Third Cure - Make thy gold
multiply: 'Put each coin to labouring that it may
reproduce its kind even as the flocks of the field and [bring]
a stream of wealth that shall flow constantly onto thy purse.'
The Fourth Cure - Guard thy treasures
from loss: The first rule for sound investing is
'security for thy principal.' Study investments wisely before
parting with hard earned money.
The Fifth Cure - Make of thy dwelling
a profitable investment: By owning your home you
can invest a portion of the nine-tenths of your money that
you live on, and make your worth grow more rapidly.
The Sixth Cure - Insure a future
income: Plan and save now got the time when you
do not have the capacity to earn.
The Seventh Cure - Increase thy
ability to earn: 'The more...we know, the more
we may earn. That man who seeks to learn more of his craft
shall be richly rewarded.'
Along with these cures, Arkad continually
advised against over straining (trying to save too much)
becoming 'niggardly and afraid to spend.' He suggests hard
work, compassion towards those less fortunate, and making
life with things worthwhile and things to enjoy.
May you all have the Merriest of
Christmases and a Happy and Healthy New Year!! |
