Here is what the typical  middle class expenses profile looks like as a percentage of income:

Food & Shelter/household items                        60%

Educational:                                                      0%

Recreation&Clothing                                          35%

Insurance /saving / pension/investment             5%

I don’t have to tell you that the above table is a dangerous dynamic. A vast portion of this dilemma is embedded in something I heard Will Smith said: We spend money we don’t have to buy things we don’t want, to impress people we don’t like. If you are working to put on a show, you are seriously disillusioned and you are heading for financial disaster.Winging it by credit cards, lease and hire purchase agreements is bound to catch up on you and come crashing down on you, in a very serious way.

I heard the founder of an advertising firm in an interview defined money in a rather interesting way, he said: Money is not a means of showing off or acquiring items to exhibit your financial abilities. It is meant to be a tool that offers its holder as less compromise as possible. I find this definition to be very, very accurate.

The operative word there being COMPROMISE. I am not trying to glorify riches or financial freedom but I will put it like Chinese billionaire  founder of Alibaba put it;

“We where born to enjoy life, not to spend it working, grinding away our minds and body until we die”. I know of no one who wish to work their life away.

Let me point out I am saying you don’t need, nice, expensive stuff, long vacations etc. All I am saying is:

Make the sacrifice now, build income streams,understand the need to resist instant gratification, focus on building to a level where you can earn without having to punch the clock.

You will need the resources to finance your kids education, to maintain you in your old age and to keep yourself from desperate and dire circumstances should life deal you a rough patch. And to provide you the opportunity to compromise as little as possible.

Do what you want, when you want and how you want,don’t waste your money, make a budget, cut the unnecessary stuff out, pack your lunch, eat out less, converse, use things in moderation, take care of the things you have. Get all categories of insurance, invest your money, you would be surprise how much it accumulate to overtime. Live more conservative, live below your means, your aim is to widen the gap as much as possible between your income and expenses.

Money makes a great slave and a terrible master, learn how to manage your money. I don’t care how smart you are and how well paid you are or how secure your job is. Don’t try to fit in, people don’t really care about you for the most part. i always remember this saying: when I was a teenager all I cared about was what people think of me, when I was forty I didn’t give a damn, when I turn sixty I realize nobody gives a sh.. about me.


In the United States the greatest nation on earth only 50% of the politicians thinks social security will be feasible in 15 years time what if that disappear. I don’t have to sell you on how your company looks at benefits these days, the corporate world is busy pulling every stunt there is to cut benefits,employee schemes and anything they can to grow profits.

The only way to secure your future is to take control of it, plan for it,  Set your goals, keep learning and act on your plan. Everything else is huge gamble and the odds are stacked against you.

Go ahead buy a piggy bank, sell some of the stuff you have going to waste around the house, open an investment account, work on your business, find away to pursue your dreams in such away that it will build goodwill and passive returns for you overtime.

As Dave Ramsey like to say: live like no other so later no other will be able to live like you.

Take away what you will, I am never worried about you learning, I am worried about you doing.