Avoid living above your means from "summary" of Rich Dad Poor Dad Summary (by Robert T. Kiyosaki) by Robert T. Kiyosaki
Living above your means is a common trap that many people fall into. It happens when you spend more money than you actually earn. This can lead to financial stress and even ruin in the long run. The key is to live below your means, which means spending less than you earn. This may require making sacrifices and cutting back on expenses, but it is essential for building wealth. By living below your means, you are able to save money and invest in assets that will generate passive income. This passive income can then be used to cover your expenses and eventually allow you to achieve financial freedom. It is a simple concept, but one that is often overlooked in today's consumer-driven society. To avoid living above your means, it is important to create a budget and stick to it. This means tracking your income and expenses and making sure that you are not spending more than you earn. It may require making some tough choices, such as cutting back on luxuries or finding ways to increase your income, but it is necessary for long-term financial success. Another important aspect of living below your means is to avoid the temptation of keeping up with the Joneses. Just because your neighbor has a new car or a fancy house does not mean that you need to as well. Focus on your own financial goals and priorities, and do not let external pressures dictate your spending habits.- Living below your means is a fundamental principle of financial success. By avoiding the trap of living above your means, you can build wealth, achieve financial freedom, and live a more fulfilling life. It may require discipline and sacrifice, but the rewards are well worth it in the end.
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