There are millions of ways that Warren Buffett teaches his students how to save money. With all his efforts, Buffett goes into detail by using presentations. Warren Buffett on life insurance is a subject that is the perfect example of how someone who can’t save money can place their money into a life insurance plan and pay the bill for 10 years.
Once those years have passed, you can borrow your money up to 60% and purchase a home or a new car. The idea is to pay cash for the item that you want, and then, you can pay a lower payment right back into your own policy. Overall, you could always close the policy but only lose 5%.
It is better than having mortgage payments that would be way too much for your budget. You could also have the same arrangement if you have a savings account. That savings account could end up being the money that you forgot about and remembered later. Some of Buffett’s students have money taken out or transferred to their account. They keep up with the receipts and add them up at the end of the month. It is a great way to save money.
Warren Buffett also thinks that life insurance is a savings account. There a lot of people that are not great at putting money up, but this little method will help move you forward in the right direction. There is a great chance that you will save more than you think you can. Warren Buffett goes into further detail about life insurance policies on videos or in interviews. Buffett is proud of his wife and children because of the way that they explain this subject.