Lunch With Warren Buffett

My wife and I had lunch with Warren Buffett on December 1, 2006. He was the richest man in the world at the time and I told him about the richest man in my hometown of Fort Scott, Kansas, who had a one car garage. Warren smiled and said, “Well Rick, I have a two car garage!”

What does this have to do with managing your money? It’s about what you consider to be important. Obviously a really big house and garage are not that important to Buffett. While he could afford any house he wants now, he just doesn’t want a newer, bigger or fancier house. He’s happy with what he has. A lot of people never quite figure this out.

The happiest people I know also seem to have their finances under control. They sleep better, have a more positive outlook on life and they have the opportunity to make financial decisions while playing offense, instead of playing from a defensive position. Some of these people were just intuitive about money. They took to managing it like some people pick up a golf club and have a natural swing. Earl Nightingale said there are two kinds of successful people in life. River People and Goal People. River People are born with some natural abilities and instincts which drive them a certain way. Goal People can be successful too, they just have to work a little harder to get there. But one way or the other, you need to get your money life organized and under control. Buffett, in case you are wondering, is a River Person.