The longer I live the more I realize how many people are not aware of how or why they should manage their money.

A common perception across the globe is,  oh I just need one break, or one get lucky moment to make everything just right!  If that is the case why don't you see more stories about the realities of Lottery winners?  I saw a study last year that showed 7 out of 10 people that won a substantial amount of won (> $1MM) via the Lottery were broke within 2-3 years. Really?  Broke as in filed for bankruptcy and had to start over from the bottom of the financial pit; this is worst case scenario for most.    I thought you just needed a good break; you received it what happened?  I will give you a hint the definition of insanity is doing the same thing over and over and expecting a different result.  In most cases its not an income issue its a spending problem.  Don't get me wrong I am not pointing fingers just merely pointing out via common sense!

My two cents (cost adjusted for inflation of course). People do not know how to manage money. The most basic rule I learned a few years ago was it doesn't matter how much you earn, it is more important how much you keep.  Yep a complete 180 from the way most people think (Note 1: always beware 'group think'). Nope, I am not going to get into the whole nature vs nurture debate, lets stick to just the facts.  When you were working as a teenager or even as a young adult think back to when you received a raise. How did you handle that money? Did you treat your newer paychecks with a trip to the Mall or the store as you earned this reward?  When did you stop rewarding yourself? For most the answer is never.  I am guilty of this too until just recently.   When you get to a point with your money that you can live on your income start stuffing away as much as you can. Indeed, I am talking different worlds of survival vs thriving. They are worlds apart.

Reviewed those that manage money well, say Warren Buffett. Most if not all books and stories about Warren only paint one side of the story, you hear how he hustled as a kid buying coin operated vending machines, earning money and that he bought his first home and still owns it to this day.  Yeah, I have heard those stories too and agree that being frugal helps one achieve financial goals.  Upon further digging, did you know that Warrens dad was heavy into Investment Finance?  I am certain although, I can't confirm that his father laid out some great rules to live by and he adapted them to make him the success he is today.  I, like you perhaps did not have this laid of for me as my parents struggled to understand basic financial matters too.  I tried to learn from their failures and have made progress in this area. I want to lay out what I call my Money Lessons, I hope they benefit you earlier than they did me as in the proper context to help you now and later. 

CROT (Crude Rule of Thumb)

• Make your money work for you not the other way around! I.E. Delay gratification and save more!
• Money tends to flow where it is treated best!
  • Risk vs reward - know the balance
• Savers, Investors, Speculators - which are you?
•     Wealth is time & freedom 
•     Savings are critical to all strong economies!
• If you want to win a game, you have to know the rules
• It isn't how much you earn its what you keep
• Learn from the Pro's, don't FOMO!
• Hope is never a strategy
•     Nothing Matters until it does
• If you want to beat the pros, you've got to stop competing with them. - betting against the crowd at the right time.
•     One of the best ways to do this is by watching "fund flows
• Ask yourself, what do they know that you don’t? (for buying and selling decisions too)
• Think about counter party risk!
• Get as much in a form they can't confiscate!
• You can sell into strength! 
• What is the crowd doing? Are you properly positioned?
• What is your sell strategy? Define this prior to taking your position
• Pigs get fed while Hogs are slaughtered - a false sense of security!
• Last but not least...  Your prospects tomorrow will be determined by the actions you take today. Be on the path before institutional investors!

Try not to eat out much as your money stretches further, try to buy in bulk and then make your meals ahead of time to avoid eating out at lunch. Avoid Impulse purchasing on everything. Never purchase large costly items late at night always think it over and the review your selections and ensure they are solid. Don't be afraid to say NO!  

Summary 

Lots of ways to earn money, and way more ways to spend money.  Review all aspects of your life and spending then start over. It's never too late!

Remain Vigilant and Enjoy the Journey 

Disclaimer - I am NOT a financial advisor, just providing insights from life lessons. Take it or leave it no offense taken!