Charlie Munger: Like Warren, I'm passionate about getting rich. Not because I wanted Ferrari, but because I wanted to be independent, desperately.
Independence is the ultimate goal of wealth
The "independence" that Munger and Buffett pursue is not about owning assets, but being able to control your own time and life.
What they want is not to be forced to do things they don't like, not to be dependent on others or subject to external pressures in order to make a living. This independence is what makes them rich.
The same idea holds true for us ordinary people.
You may not have thought about your efforts to earn money, save money, and invest, ultimately for what?
Is it to buy a fancy car, or to one day be able to stop worrying about money and be free to choose the life you want to live? If it's the latter, then you and Munger are actually on the same page.
Material comforts vs. independence
Many people pursue wealth because they want a better material life. There's nothing wrong with that, but the problem is that material comforts are often endless. You buy a car and want to trade it up for something better. You live in a big house, and you want to live in a bigger house. This kind of pursuit can easily lead people into a state of "never enough", but lose the satisfaction of life.
Mr. Munger and Mr. Buffett are different. They do not reject material comforts, but they value more the independence and freedom that wealth brings.
As Buffett has said, "Success is not measured by wealth, it is measured by whether you can live the life you want." It reminds us that wealth is a tool, not an end. Its real value is that it gives us more choice and the ability to live our lives as we wish.
How to achieve independence?
Munger and Buffett's approach is to build wealth over the long term, not to pursue short-term gains. This method may seem simple, but it requires a lot of patience and discipline.
For us, the following points may be more practical:
1. Set clear goals: You need to be clear about what you mean by "independent." Is it getting rid of debt? Or have enough savings to cover contingencies? Or being able to choose a job you love? When you have a clear goal, you can plan more specifically.
2. Cultivate long-term thinking: Wealth accumulation is a long-term process. Don't expect to get rich overnight. Instead, save, invest, and compound your way to financial independence. As Munger put it, "Compound interest is the eighth wonder of the world. Those who understand it profit from it and those who don't pay for it."
3, reduce unnecessary consumption: Many people fail to accumulate wealth because they spend money on unnecessary consumption. By lowering your material desires and reducing comparisons, you can achieve financial independence faster.
4. Improve financial literacy: Learn basic financial knowledge and understand how to achieve financial independence through reasonable investment and savings. Don't be afraid to invest, but don't follow blindly either. Buffett famously said, "The first rule of investing is not to lose money, and the second rule is to remember the first."
Independence brings more than just wealth
Munger sought independence, not just financial, but also time and spiritual freedom. By accumulating wealth, you can reduce anxiety about the uncertainty of the future and lead a more leisurely and satisfying life.
This independence also gives you more time to devote to the things you love. Whether it's spending time with your family, pursuing a hobby, or doing a more meaningful job, wealth gives you more options.
I hope that we can achieve our own independence and freedom through long-term accumulation and efforts.
