Warren Buffet, one of the most successful investors in the world, has amassed a fortune that surpasses $148 billion at the age of 94. His advice is highly regarded by many, with one of his key principles being the importance of investing in oneself.
At the renowned annual shareholders’ meeting and interviews of Berkshire Hathaway, Buffet often emphasizes his mantra: to stand out, one must improve oneself continuously, making oneself indispensable by excelling in their field. For employees, Buffet suggests striving for excellence to become an integral part of the workforce – understanding one’s role, industry, and company to become a valuable expert.
Buffet’s advice can also help individuals avoid unnecessary financial mistakes, including steering clear of accruing credit card debt. Despite owning an American Express card, Buffet criticizes credit card debt and recommends using cash instead to prevent accumulating debt and interest. He believes one can utilize their money more effectively rather than paying interest to creditors.
“Invest in a great company at a fair price is far better than purchasing an average company at a discounted price,” Buffet stated at the Berkshire Hathaway shareholders’ meeting.
Buffet has exemplified frugality in his personal life, having purchased a house in Omaha for $31,500 where he resided for over 65 years. He used a $20 flip phone until finally upgrading to an iPhone 11 in 2020 and never spent more than $4 on breakfast.
Reports indicate that Buffet drives a used 2014 Cadillac XTS, replacing his 2006 Cadillac DTS. According to Forbes, Buffet mentioned, “I only drive about 3,500 miles a year, so I rarely purchase a new car.”
Additionally, Buffet never pays full price for certain items. He once used coupons to share a meal with Bill Gates at McDonald’s.
“Do you remember our trip to Hong Kong where we decided to grab lunch at McDonald’s? You offered to pay, pulling out… coupons!” Gates recalled in a yearly letter in 2017.
Buffet once said, “I enjoy eating the same things over and over again. I can eat a ham sandwich for breakfast every day for 50 days in a row.”
Wasting opportunities is indirectly wasting money, as highlighted by GoBankingRates.com: “In his early years, Buffet engaged in side hustles, earning money by delivering newspapers, selling used golf balls, and car detailing. He constantly sought out new opportunities and when unable to find them, he created them.”
Benzinga.com reported Buffet’s candid admission of missing early investment opportunities in Google and Microsoft – both companies that unexpectedly transformed the world. Buffet bluntly labeled these missed opportunities at the Berkshire Hathaway annual meeting as “stupid mistakes.”
Buffet finds gambling “repugnant” and maintains a conservative investment approach, emphasizing long-term value and growth.
(Credit to 247wallst.com for reference in this article)