Ancient Answers to Current Financial Crisis

1/2/2009 8:03:00 PM

Saving money is America's number one New Year resolution for 2009. As the financial chaos continues to affect millions of people who lose jobs, homes, and hope for the future, we tend to search for practical advice by financial gurus of our time. But, have you ever wondered, where did the financial institutions and advisors learn the financial principles? The answer is, from the ancient Assyrian civilization.

Where do we find the success secrets of the ancients? In 1926, George S. Clason published a book called The Richest Man in Babylon. Babylon was a city-state of the Assyrian Empire “The Cradle of Civilization.” The Hanging Gardens of Babylon were one of the Seven Wonders of the Ancient World. Babylon was the wealthiest city of the ancient world and her citizens were the richest people of their time. In the present day, the remains of the city can be found in Al Hillah, Babel Province, Iraq, about 55 miles south of Baghdad.

Thousands of excavated and translated tablets from those ruins were introduced to the modern society. Just like the oldest Assyrian civilization invented the science of engineering, astronomy, calendar, literature, mathematics and medicine, to name a few, their financial records became inspirational classics to banks, insurance companies, employers and millions of ambitious people who desire a larger bank account and gratifying financial progress. Those inscripted financial tablets recorded information about money, promissory notes, written titles to properties, savings accounts, investment, mortgage, lending, credit, insurance, retirements, wills and business contracts. All those records have set the basics for the modern financial principles we know today. As George Clason noted in his book, those financial principles are “Like the Law of gravity, they are universal and unchanging” and “Money is governed today by the same laws which controlled it when prosperous men thronged the streets of Babylon, six thousand years ago.

Anyone with a New Year resolution to save money ought to read The Richest Man In Babylon, and share it with their loved ones to ensure their financial prosperity. The following are some of the timeless financial rules on saving money:

Rule 1: Pay yourself first. Keep at least a tenth of all you earn for yourself, no matter how little you earn. Do not pay bills, buy clothes and food, etc. until you have paid yourself first. You will be amazed to find that you will be no shorter of funds than before you started practicing this vital rule. You must observe this rule throughout your life, regardless of how poor or how rich you become.

Rule 2: Seek the advice of the experts. Learn to seek advice from those who are competent through their own experiences in a particular field. In the mean time, refrain from spending your savings, no matter how tempting it may be at times.

Rule 3: Make your savings work for you. After you have acquired enough savings, and the best possible knowledge and advice in the field of your interest, invest a portion of your savings. Take greatest caution that your savings is not lost; a small and safe return is far more desirable than regret.

Remember, a part of all you earn is yours to keep, so continue paying yourself a tenth of your income first. By the end of this year, if not sooner, you will have become so used to this rule that it will become a second nature. The ancient Assyrians believed “The goddess of luck is the goddess of love and dignity whose pleasure is to aid those who are in need, and to reward those who are deserving and those who take advantage of opportunities.”