Multi Billionaire Investor ‘Warren Buffett‘ who once was ‘The Richest Man In The World‘, shares his 5 major rules to living a successful life.
Warren Buffet’s 5 Life Tips
On Earning: “Never depend on a single income. Make Investments to create a second source.”
On Spending: “If you buy things you do not need, soon you will have to sell things you need.”
On Savings: “Do not save what is left after spending, spend what is left after saving.”
On Taking Risks: “Never test the depths of the river with both of your feet.”
On Expectations: “Honesty is a very expensive gift. Do not expect it from cheap people.”
Here are five lessons that the Oracle of Omaha – Warren Buffett passed on to his son, Peter Buffett.
Stay in Milwaukee
In other words, follow your own path, not the approach taken by everyone else. After his big career breakthrough – scoring the memorable “Fire Dance” scene in the Oscar-winning film ‘Dances with Wolves’ – Peter Buffett didn’t move to Hollywood. Instead he continued to live in Milwaukee, and remained true to himself. His father, of course, did the same thing, remaining in his home town of Omaha instead of following the investing herd and moving to Wall Street. Warren Buffett has said this makes him a better investor, because he doesn’t get caught up in the fear, greed or conventional wisdom that other investors fall prey to.
Give Your Kids Opportunity, Not Handouts
Peter Buffett says his father helped him get started, but didn’t give him so much money that he could just sit back and live off the inheritance. As Warren Buffett put it: “Enough to do anything but not enough to do nothing.” It’s a useful starting point even if you’re not in Buffett’s league when it comes to wealth. You might decide to pay your children’s way through college, for example, but tell them that after that, they’re on their own.
Give to Charity, and Get a Lot Back
Sure, Peter Buffett may have a little more to drop in the collection plate than you do, but the lesson he learned still applies. In 2006, Warren and Susan Buffett gave each of their kids $1 billion to give to charity. With his wife, Jennifer, Peter launched the NoVo Foundation, which helps girls and women around the world who “suffer from violence, poverty and discrimination simply because they are female.”
Peter remembers his dad asking: “Do you think this will affect your music?” “I didn’t know what he was talking about,” Peter says — but then the work he was doing with girls in Africa started to seep into his art. “My music has taken all these interesting turns because of the foundation. Which I never would have expected.”
Invest in Potential
Great investors and smart bettors understand that biggest returns come not from the best company or the fastest horse, but the most undervalued stock or the least appreciated steed. Peter Buffett said he applied his father’s investing wisdom to his charitable foundation: “If you invest in an undervalued asset and just let it grow, the market will catch up and recognize its value and you’ll get a huge return,” Peter Buffett says. “To me, that’s an adolescent girl in the developing world.”
Do What You Love
“[My Dad] always said, ‘Do what you love,’” says Peter. “That was critical. Really, my Dad and I do the same thing … He told me: ‘Don’t settle for anything other than your passion – if you’re lucky enough to find it.” But finding it, Peter says, is the hardest part.
5 Lessons for Peter Buffett from Warren Buffet originally appeared here
Do what u love with passion & then find the first step of success that will be SKY.
You can add this tip as well which is given by Mr. Buffet:
ON INVESTMENT: Don’t put all eggs in one basket.
As usual – great, practical advice!
sound advice,never to late to learn,good to have ambition hope and be human. I like people who do well in life,and help other people who are less fortunate in there’s, save invest save save invest.
I love the life tips, so simple and yet so true, thanks for sharing!
Great words of wisdom and if only more of us would spend only what’s left after saving, there would be much less debt and a much better economy.
Wonderful article. Thanks for give us the wisdom. And “finding it” is really harderst part! 😀
The 5 steps are powerful and can be used by anyone. Just because you not rich does not mean you can not save and be rich yourself. It all starts with the little you do and save.
WE ALL HAVE THE POWER TO DO GREAT!!!
I guess the bit about spending at the beginning of the article really meant something to me because I just don’t understand how some people could spend money so ridiculously. Some people (or idiots) like to go shopping for fun. What kind of loser shops because it’s his or her hobby, seriously?!
Isn’t it easy to like a guy who can pretty much buy the one of the smaller states on the Northease coast yet settles for a plain ‘ol cheeseburger. Simple truths for a complex world: “Don’t settle for anything less than your passion”. From the amount of content on this site. You have found one of your passions.
Very good advice…specially when it comes to do what you love
luv dis site,its cool
Great post. I especially like “Do what you love”