Kaitlin and I reviewed these 21 Rules of Money last year on Episode 18.
Richard decided to make a 2022 edition and address some of our current financial concerns and plans for the future following these rules.
The 21 Rules of Money
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1: 70/20/10 - Live on 70% of your income, invest 20% and give away 10%.\xa0
2: If you can\u2019t buy something with cash, don\u2019t buy it with credit (other than car or real estate).\xa0
3: Have six months of living expenses in cash but no more than that.\xa0
4: Don\u2019t waste money.
5: Don\u2019t spend money based on emotion.\xa0
6: When investing your money, do your due diligence, then do it again.\xa0
7: Think four generations in the future before you spend or invest your money. Will it benefit my children\u2019s children?\xa0
8: Never carry a credit card balance unless it\u2019s at 0%.\xa0
9: Never have all your money in one account. (Read Profit First if you haven\u2019t)\xa0
10: Never have all your money in one investment (unless it\u2019s your first deal).
11: Never spend more than you can truly afford. You have to know what you can afford.\xa0
12: Don\u2019t spend money solely to impress others, the Joneses are broke, you just don't know it.\xa0
13: Make sure the reward always outweighs the risk.\xa0
14: Treat your money as if you worked hard for it, even if you didn\u2019t.\xa0
15: Never work for the same dollar twice.
16: Manage and adapt your budget monthly.
17: Know your numbers (this is most people\u2019s biggest issue)\xa0
18: If it sounds too good to be true it is, trust me.\xa0
19: Inform yourself of how taxes work and pay accordingly, get a good CPA.\xa0
20: Never rely on just one source of income, the average millionaire has seven.\xa0
21: Spend your time earning money until you can spend your money earning time.