These 4 Rules of Money Will Change Your Life- Best In 2023

Only 1% of people truly follow the rules of money  & 99% don’t and that’s why they are still in poverty. In this article, I will share with you the 4 Rules of Money that will change your life.

Following these 4 rules of money will change your life.

Money is something that the vast majority of people do not understand. The more I talk to people about money, the more I realize how ignorant they are about the subject.

It’s hardly surprising. The education system has never taught you what money is, let alone how to manage it to make the best financial decisions for your future.

There is one basic rule that you should remember, and it applies to all areas, including money:

“In life, it’s your ignorance that costs you money.”

So, the less you know about money, the more likely you are to lose a lot of it. This rule applies equally whether you are extremely wealthy or extremely poor.

I can’t tell you how many stories I’ve heard about extremely wealthy people who squandered all of their hard-earned money in a matter of years. Despite this, these people had everything they required to enjoy their wealth. When I say everything, I mean almost everything.

These people did not understand money well enough to manage it properly.

You can become wealthy if you don’t know how to manage your money, but you won’t be wealthy for long. That is for certain. Consider all of the sports stars in the United States who earn tens of millions of dollars throughout their careers. They are then effectively out on the street at the end of their careers.

On the other hand, whether you are middle-class or poor, you have a real opportunity to significantly improve your life if you learn how to manage your money wisely.

I’m not going to bore you with a financial management course that you’ll most likely never use in your life. I’m just going to give you four money rules that you must follow if you want to be ahead of 99 percent of people.

Also Read, 5 Keys To Financial Success

Pay yourself first

The education system has conditioned us to take the same path since we were very young. It begins with studies and progresses to a more or less well-paying 9-to-5 job. Then you must purchase a home to provide for your family. And, of course, you must purchase a vehicle for your family.

You should ideally make these purchases on credit. So you’re stuck, and you’ll have to keep going to work day after day to earn this valuable salary. Your government’s goal is for you to pay your taxes so that the monetary and financial system can function properly.

You become programmed, like a robot, to pay all your bills as soon as your paycheck arrives. After you’ve paid off all your bills and other debts, you’ll fall into consumer society’s trap, which encourages you to spend your money on things you don’t need.

You realize at the end of the month that you have nothing left to save.

Despite all of your efforts, you are unable to save. This is something I’ve been doing for a long time. Then I realized one day that I needed to approach the problem differently. A quote from entrepreneur John Rampton changed my life:

“A cardinal rule in budgeting and saving is to pay yourself first. Once your paycheck hits your account, wisdom has it that you should move some amount to savings even before you pay the bills.”

— John Rampton

When it comes to the payments to be made each month, you should be at the very top of your list, not at the bottom.

This means that as soon as your paycheck arrives, you should immediately set aside the amount you set aside ahead of time. The best way to avoid this is to automate it so that you always pay yourself first.

You’ll forget how much money you’ve saved, and you’ll have to make sure you have enough money to pay your bills and live your life.

Save for a rainy day

Paying yourself first will save you a lot of money without you even realizing it. Then it’s up to you to decide how to invest your savings so that they grow and don’t lose value due to inflation.

But there’s another issue.

You will be prepared to face difficult times if you have real savings at your disposal. If you lose your job, you’ll be able to weather the storm.

This strategy will also help you spend significantly less money.

Warren Buffett, one of the world’s greatest investors, has a perfect formula to demonstrate this:

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

Warren Buffett

Paying yourself first ensures that you save money and spend only what is leftover.

The amazing thing is that this method is extremely simple to automate. The big question that comes to mind is why so few people do this with letters.

Live below your means

As I previously stated, our consumer society is doing everything possible to ensure that we continue to spend more and more money. Advertisers are becoming more inventive to keep you wanting to buy new things.

But, if you think about it, you’ll realize that you don’t need to replace your smartphone every year to get the latest iPhone, for example.

You might not even need an iPhone at all. You can get by with a less expensive smartphone that performs the same functions.

When you step back, you’ll notice that you’re purchasing a lot of things you don’t need. On this subject, I believe the following Swedish proverb is particularly pertinent:

“He who buys what he does not need, steals from himself.”

— Swedish Proverb

Instead of continuing to steal from yourself, you should begin living within your means. This is a fundamental monetary rule. You will boost your finances like never before if you use it.

Don’t get into debt

I’ve always been surprised by how many people misuse and abuse credit. I even know people who have nearly bankrupted themselves by amassing various types of credit.

The Worse thing is that the majority of these credits were contracted for useless purposes.

I’m going to bring up Apple again, but first, let me say that I appreciate the quality of Apple’s products.

Nonetheless, you will agree with me when I say that Apple’s products are far too expensive. It’s been a long time since Apple and many other phone manufacturers lost sight of financial reality.

Despite this, many people continue to purchase Apple products, even if it means going into debt. I’m referring to Apple here, but this is true in many other areas as well.

This type of consumption, which leads to increasing debt, puts your money at risk.

And it makes no difference whether you’re rich or poor. The issue is the same here, because the more money you have, the more you will spend with this mindset.

You will always run out of money.

As a result, you must come to your senses. To assist you in doing so, consider the following quote from Thomas Jefferson, the third President of the United States of America:

“Never spend your money before you have it.”

— Thomas Jefferson

Save your money if you want an iPhone. Take the time to work hard to earn that money. Once you have that money, you’ll find it much more difficult to spend it on an iPhone.

Debt gives you the impression that everything is free, which is a mistake.

By taking the time to save, you will add real value to the things that consumer society constantly pushes you to buy. The result is guaranteed: you will spend significantly less.

The purchase of your permanent residence may be the only debt exception. Nonetheless, many will tell you that staying a tenant is ultimately more profitable.

Consequently, avoid debt at all costs.


People who do not understand the fundamentals of money will almost certainly end up in poverty. This is true whether you are wealthy or poor because not knowing how to handle your finances will force you to spend whatever you have.

The only difference is that the wealthy will spend it more.

You can put yourself in a good position to develop a bright future by always paying yourself first to save for a rainy day and then avoiding buying unneeded goods. The third step is, of course, to stay as far away from debt as possible.

I can guarantee that if you follow these guidelines, which are essentially common sense, your life will be forever changed.

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