Penny wise, pound foolish

When you check on google the Idiom: ‘Penny wise, pound foolish’ it shows the Meaning as: Someone who can be very careful or mean with small amounts of money, yet wasteful and extravagant with large sums.

Why I chose the topic for this weeks blog is because, in life there are people who tend to save on small little things end up paying heavy price on other things. This happens purely because of the game they playing.

I call it, Safe Game. In this game, you are not willing to participate in any form of competition. This is because of fear of failure. One thinks, if they take risks then they might lose the money and suffer.

This thoughts ends up making a lot of people get stuck in the game of survival. Believe me, this is a bad place to be. As humans we are given minds that are designed to thrive not just survive.

So, now think which game are you willing to play?

  1. Safe Game
  2. Risk Game

I am not saying you need to always take risks, but surely you need to be wise to make decision. This article will create awareness to you on when to save and where to spend.

In all your financial decisions, there are 2 important aspects that help you create wealth.

  1. Time
  2. Compounding

What we need to be aware of is, your savings are virtual currency that do not grow over time because you have the fear of taking risks. The risk for most is investing in instruments that work for you.

If your truly want to retire and become wealthy, remember to invest the penny saved on a regular interval for long term to let it compound. Belief me this works magic versus you trying to save on money on small things and have it in liquid cash / FD.

Want to know how to effectively build your personal wealth, reach out to me by emailing on thegameofpi at gmail dot com .

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