Powerful Financial Lessons From the Book “The Psychology of Money”

I recently completed this internationally best-selling book, The Psychology of Money. These are the 11 Powerful lessons from the book.

1. Financial success is a soft skill, where how you behave is far more important than what you know.
2. Less ego and more wealth:- Saving money is the gap between your ego and your income.
3. Everything has a price but not all the prices appear on labels
4. Aiming to be mostly reasonable works better than trying to be coldly rational
5. No one is impressed with your possessions as much as you are
6. The plan is important, but the most important part of every plan is to plan on the plan not going according to plan
7. Rich is the current income. Wealth is income not spent. Wealth is hard because it requires self-control
8. Risk comes from the unknown
9. Worship room of error. Build your safety net for room of error
10. Ordinary folks with no financial education can be wealthy if they have a handful of behavioral skills that have nothing to do with formal measures of intelligence.
11. Getting money requires

1. Action 2 . Taking risks 3. Being positive

Keeping money requires just the opposite skills: 1 Playing safe,2. Being fearful, 3. A lot of inaction

I like the way Morgan Housel explained complex human behavior attached to money with real-life examples especially a Janitor Ronald James Read and Harvard educated Richard Fuscone.

more detail can be found about Ronal James Read (https://en.wikipedia.org/wiki/Ronald_Read_(philanthropist))

You can find more detail about Richard Fuscone in this article can(https://nymag.com/intelligencer/2010/04/former_merrill_lynch_executive.html.