Here's a prescription for becoming richer than you are now.
1) Divert 10% of salary to low-risk investments, such as SIP, Unit-Linked Insurance, Bonds, etc.
2) Divert 10% of your salary to high risk investments, such as shares.
3) Keep 10% of your salary liquid. You may have to spend it should there be an emergency. If there is no sudden requirement of this money sweep this into your savings. (Some banks offer such accounts, where after reaching a threshold your money is moved into a long-term deposit)
4) Enjoy rest of the 70%.
Do the above without fail.
Try it and let me know.
What? You mean to say 70% of your salary is too less.
Too less for what?
If you cannot control your expenses, you will not become richer.
That much is assured.
Tuesday, July 7, 2009
Prescription to riches
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