If you have not acquired more than a bare existence, it is because you have failed to learn the laws that govern money, or you have ignored them.

Here are three important laws governing money:

  1. Don’t spend more than you earn –  If you learn to spend less than you earn, your finances will always be in good shape. Understand the difference between needs and wants, live within your income, and don’t take on any unnecessary debt.
  2. Plan for the future – Get into the habit of saving money by paying yourself first. Planning for the future means preparing for the unexpected, and building up an emergency fund is the best way to handle life’s unforeseen expenses.
  3. Help your money grow – Once your savings start to build, you should find ways to grow your money through investing. There are many investment tools available at various levels of risk, but always make sure you thoroughly understand the kind of product you’re investing in.
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