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Tags: animated im icons, symbolic icons, icon rangetop, shotdown icon, computer icon ico

The award for savings

My rich daddy has told once: ityou receive 4 percent For your savings, but inflation grows too for 4 percent, therefore you remain at the. Then the government taxes the percent added to you, and in an end result on the savings you simply lose money. That is why savings - a right way to lossit.

Subsequently the rich daddy seldom mentioned a subject of savings of money. Instead it has started to learn us to how to force money to work actively on us, and for this purpose it was necessary to get actives or as he spoke, itto transform money into richesit. Mine mum and the daddy transformed the money into debts, including their actives then they had already nothing to postpone. And though they worked very much, they did not have money for savings, but they continued to speak to the children: itFind job, work persistently and save moneyit. Such council could be good for a century of the industry, but it did not suit an information age.

How quickly it your money?

The rich daddy was not against savings. But instead of senseless council to save money it often spoke about speed of movement of money. Instead of advising to us to save money and itto save up them on an old ageit, he spoke often about itprofitableness of investmentsit and itfactor of a recoupment of capital investmentsit or, speaking in other words: itAs quickly my money will return back?it

Let's result the simplified example. We will assume, I buy an apartment house for 100 thousand dollars, having brought cash of 10 thousand from my savings. In a year the income of house delivery in rent minus payments under the mortgage, taxes and miscellaneous costs will make 10 thousand pure. In other words, I have returned the of 10 thousand savings and thus I still has house it an active which will bring to me additional 10 thousand a year. Now I can take these of 10 thousand and buy any property or actions or to enclose them in business.

It is an example of that some name in "the speed of the reference of moneyit. My rich daddy spoke easier: itAs my money will quickly return?it Or itwhat profitableness of my investments?it. Skilled financiers wait for return of the money to move forward and to enclose them in new actives. In it one more reason why the rich become even richer, and all the others protect each copeck, trying to provide something against a rainy day or on an old age.

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