Monday, May 2, 2016

Share Warren's Wisdom With Your Kids: A Full Wallet Is Like A Full Bladder..

Today’s fantastic family finance article is:

A Bursting Wallet

The smartest investor of all time has a way of putting things in terms that even your youngest kids can understand.

At 85, he is after all just a big kid himself.

While sipping cherry coke and eating peanut brittle at the live streamed Berkshire Hathaway annual meeting last Saturday, Warren uttered this sage piece of personal finance wisdom:

“A full wallet is like a full bladder; you may have the urge to pee it away.”

Translation: when money hangs out in a convenient spending place (like your wallet), it tends to get spent. On whatever. Put your excess cash somewhere else. A savings jar. A savings account. An investment account.

If you’re finding Warren’s quote a bit too crass and juvenile to share with your kids, consider this alternative classic from the Oracle of Omaha:

“Do not save what is left after spending, but spend what is left after saving.”

Same wise message without the bodily fluids reference. Tuck some of that incoming cash away into savings. Right away.

That’s how you avoid the urge.

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