Law of Success (21st Century Edition)

THE HABIT OF SAVING 299

The installment plan of buying has become so common, and it is

so easy to purchase practically anything one desires, that the tendency

to spend out of proportion to one's income is rapidly increasing. This

tendency must be curbed by the person who has made up his or her

mind to gain financial independence.

It can be done by anyone who is willing to try.

There is no virtue in keeping up with the neighbors when this

means sacrifice of the habit of saving a regular part of one's income.

It is far better, in the long run, to be considered a bit behind the times

than it is to go through youth, into the days of maturity, and finally

into old age, without having formed the habit of systematic saving.

It is a common practice today for families to purchase automobiles

on monthly payments which involve too great an expenditure compared

with their income. If you have a Ford income you have no business

purchasing a more expensive car. You should curb your desires and con-

tent yourself with a Ford. Many people spend their entire incomes,

and often go into debt besides, because they maintain automobiles out

of keeping with their incomes. This common practice is fatal to success,

as far as financial independence may be considered a part of success.

It is better to sacrifice during the age of youthfulness, than it is to

be compelled to do so during the age of maturity, as all who have not

developed the Habit of Saving generally have to do.

There is nothing quite so humiliating, that carries such great agony

and suffering, as poverty in old age when personal services are no longer

marketable, and one must turn to relatives or to charitable institutions

for existence.

A budget system should be maintained by every person, both the

married and the single, but no budget will work if the person trying

to keep it lacks the courage to cut expenses on such items as entertain-

ment and recreation. If you have so little willpower that you think

it necessary to "keep up with the Joneses" with whom you associate

socially, and whose income is greater than yours, or who spend all of

. their income foolishly, then no budget system can be of service to you.