Paradigm: The Frugal World

Ever heard of Mr. Warren Buffett? In case of unfamiliarity, let me inform you that he is the most famous investor that has ever lived in the 20th century. He is the primary shareholder, chairman and CEO of Berkshire Hathaway - an American multinational conglomerate holding company. A number of books, columns of news prints and airtimes have been given every word he has uttered. Who would not dare spend time listening to the success of a man who grew his $100.00 stake into a personal fortune that has been estimated to $47 billion dollars. The zero's in his name speaks of success, despite this he still lives in a modest home he has bought more than 50 years ago. The value of the house at the time is $31,500 and he pays himself a base salary of $100,000.00 a year which is already compared to an annual income of a standard business. Rather than living in a luxurious mansion that he can afford, he chose to live in his simple house with only 5 bedrooms, a simple living. Another of his frugal habit - he does not have a chauffeur and he is an advocate philanthropist giving away most of his gained fortunes to charities, primarily on the Gates Foundation. In his early life, he has already displayed an interest in saving money and earning money. From one of my resourced readings, I have read the mentioned little efforts such as in Wikipedia "He went door to door selling chewing gum, Coca-Cola, or weekly magazines. For a while, he worked in his grandfather's grocery store." Moreover on seeking money, "While still in high school he was successful in making money by delivering newspapers, selling golf balls and stamps, and detailing cars, among other means. Filing his first income tax return in 1944, Buffett took a $35 deduction for the use of his bicycle and watch on his paper route. In 1945, in his sophomore year of high school, Buffett and a friend spent $25 to purchase a used pinball machine, which they placed in the local barber shop. Within months, they owned several machines in different barber shops." Apart from the recognitions in the business industry, back in 2007, he was listed among Time's 100 Most Influential People in the world. And in 2011, President Barack Obama awarded him the Presidential Medal of Freedom. Most recently, Buffett, along with Bill Gates, was named the most influential global thinker in Foreign Policy's 2010 report. Moving to another paradigm, this person is very well known especially for young people for her unbelievable dancing skills and influential songs, Beyonce Knowles. Who although earned from being a Destiny's Child member, from her L'Oreal advertisements, her own clothing line and for launching her first fragrance to currently working as a solo artist has sold records and has gained an income of $52 million earned with hubby Jay-Z from June 2008 - June 2009 have said that she is "very frugal, I haven't bought a car since I was 16 or any diamonds since I was 17,” she explained. "I have a lot of property. I've invested my money and I don't have to make any more, thank God, because I'm set. I'm now able really to be free and just do things that make me happy." When asked why does she do it? "I want to have a long career, be respected and not go off track," "It's an effort to stay grounded." Another is Hillary Swank, who is an award winning Hollywood actress who portrayed the famous movie "Boy's Don't Cry" has a number frugal habits and one of it is clipping coupons. She began with this habit since her mom does the same since childhood. In spite of all the riches gained from her acting career she admits to still clipping coupons and once said in an interview "When you open up the paper and you see those coupons, it looks like dollar bills staring you in the face. . . . It’s how I grew up. Why not?" Even the first lady of the United States has a frugal habit which we can exercise to buying stuff in Divisoria, Greenhills, St. Francis Square, Baclaran, Tiange's (stalled stores) any many more instead of buying at expensive department stores or boutiques with designer or branded clothes. Her unbelievable habit is to buy at Target – an American retailing company. Proven last summer when she was spotted buying at a Target store in WA, DC. She bought affordable thingies for their doggie as she also finds ways to save on the family pets expenses. She is also cost cutting for her fashion. She was at one time spotted wearing a retailer sold dress and not a designer made one. These frugal habits can be best applied on our lifestyle too; observing one may cause you mimicking their habits to being one yourself. Being wise and maintaining our financial freedom contributes in energizing our performance to continue our path to success. Do you have one frugal habit to share? Post a comment! Benefit from reading the following: http://en.wikipedia.org/wiki/WarrenBuffett http://en.wikipedia.org/wiki/GatesFoundation#TheWarrenBuffett_donation http://finance.yahoo.com/news/frugal-habits-of-the-super-rich.html http://www.dailyfinance.com/2010/06/15/the-five-top-frugal-celebrities/

Mark Hugh Neri

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