Success is being rich and having a whole bunch of money, right? Bill Gates had a slightly different answer. When asked what his idea of success was he said, “Warren Buffet has always said the measure is whether the people close to you are happy and love you.” It is easy to make this statement when you have plenty of money and aren’t working like crazy to simply make ends meet and take care of those people you love. But, there are four lessons we can learn from this statement to help those we love be happy and successful financially.
Open Savings Accounts
Being successful in life for those you love starts simply by opening a savings account for your children when they are born. Saving money is easier to accomplish the sooner you start. Open an account and start depositing money, even a small amount. The sooner you start saving money, the more interest you will earn to increase the amount of money you have saved.
Own Your Own Home
One of the best way to ensure your loved ones are taken care of is to own your own home. Earning equity in your home is one of the best investments you can make. When considering what home to purchase, be sure to:
- Find a home that fits your needs but is modest in size.
- Be sure you can comfortably make the mortgage payments. Just because the bank says you “qualify” for a certain amount doesn’t mean you can make the mortgage and pay all your other bills.
- Lock in the best mortgage rates from the best banks.
- Try to pay at least one extra mortgage payment each year.
Owning your own home instead of renting will not only save money, but will earn money over the years.
Stay Out Of Credit Card Debt
Having large amounts of debt it hard to pay off and hard not to be stressed about. To help keep the people closest to you happy, stay out of credit card debt or start digging out. Learn to live within your means and use cash to make those big purchases.
Plan For Retirement
To help those closest to you in the future, figure out your retirement. This isn’t just important so you have something to leave them when you are gone. Instead, your retirement ensures you have money to take care of yourself in your older years and not become a financial burden to others. Talk to a financial adviser you trust, set up an account, ask your employer if they contribute and start contributing yourself.
It is true that money can’t buy happiness, but it sure makes life easier when you have enough to make ends meet and save the extra. These lessons will make it easier to take care of those you love financially. Show those closest to you how important they are by planning for the future and saving money today.