[1] They learn from their own mistakes.
Warren Buffet: In the early 1960s— Warren Buffet made a huge mistake that he calls the “$200 billion-dollar blunder.”
He invested an undisclosed amount in a textile business which he said was the worst decision of his life and had he invested in a good insurance company at the time it would’ve been worth twice.
But this didn’t stop Mr. Buffet to become one of the wealthiest people alive. If he didn’t learn this mistake in particular he wouldn’t have understood how to streamline his stock options and hence, he wouldn’t be as wealthy as he is today.
[2] They never lose money.
Paul Getty: In 1973 one of Paul’s grandsons were kidnapped, the ransom was $17 million but he didn’t pay. He said if he paid a cent then all of his 14 grandsons are going to be kidnapped. At one point, Paul was the richest person alive.
Four months later— the kidnappers chopped one of the boy’s ear and sent him. And at that time the ransom was reduced to $3.2 million. Paul still refused pay and declared his final offer at $2.2 million which was the maximum amount that was tax deductible.
[3] Time is money.
You work 5 days a week; weekends are on Fridays and Saturdays. You earn $20 per hour and work 8 hours a day making $160 a day.
You wanna book a flight to travel from point A to point B.
There are two flights currently available— one is on Sunday and the other is on Friday.
flight cost—
Sunday = $148 / Friday = $185.
So you will surely purchase the ticket on Sunday because it’s the cheapest option— well think again. You’ll be loosing $160 because you’ll be working that, hence, not earning $160. When if you chose the flight ticket on Friday you’ll only be losing $37.
Bottom line— you have to value your times worth.
“Always have this mid-set.”
