Thursday, January 16, 2014

The "Cold Hard Truth" Card

I'm writing this after work while sitting at the Starbucks in a bookstore. While browsing around in the books I ran across one by Kevin O'Leary, who just happens to be one of my favourite multi-billionaires in the world.
O'Leary is a Canadian financial guru, and one of the stars of my favourite TV show, Dragon's Den. Anyhoo -- cut to the chase, I just leafed through this book called Cold Hard Truth on Men, Women & Money, and landed on a real interesting page. O'Leary suggests that every person should carry in their wallet or purse a thing he calls the "Cold Hard Truth" Card. 

Before making any purchases a person should have a look at this card and consider their answer to the five statements on it.

I pledge to make no purchases unless I can answer TRUE to the following FIVE statements.
1. I have given this purchase sufficient thought.
2. Buying this item will not create debt for me or anyone else.
3. I not only want this item, I need it.
4. This item is more valuable than the interest I'd earn if I saved the money instead.
5. This item will matter to me in a year.

I think this is PROFOUND advice!
I myself am a very good…. budgeter, I think. I do not make a lot of money, and yet I am never really "in want" -- or even "in debt". And live a very comfortable life.
Even so, I'm going to take O'Leary's advice for what it's worth -- believe me, when it comes to money, and how to make it, and keep it -- and keep on making it -- no one is better at all those things than Kevin O'Leary. To help make him even richer, click on the above-linked book title and buy a copy, like I just did here in the store. [But only if you can answer "TRUE" to the five statements]!


1 comment:

Stefanie said...

That's actually good advice, those questions. I am good at budgeting too. Bookman and I don't make a lot but we are comfortable and building a nest egg for retirement. It's not like we don't have a little splurge now and then but we have no debt except for our mortgage and plan to keep it that way.