The Richest Man in Babylon is a classic work that offers valuable financial lessons through parables set in ancient Babylon. At the end of the book, five clay tablets are presented that were discovered during an excavation in the ruins of Babylon. These tablets revealed the struggle of Dabasir, a former slave recently escaped from Syria, to pay off his debts. Dabasir decided to publicly record his debts and business records on tablets, with the aim of becoming a respected man in his hometown in Babylon. This blog post summarizes the financial teachings from these tablets.
First Tablet: The Importance of Saving and Taking Care of the House
The first tablet emphasizes the importance of saving a portion of all earnings. The recommendation is to reserve a tenth of everything you earn, thus ensuring future prosperity. Furthermore, the tablet suggests that seven-tenths of everything earned should be used to take care of the house, buy clothes and food. Following this guidance, the tablet highlights the importance of taking good care of a faithful wife, which is seen as a crucial element in a man’s self-respect and determination.
Second Tablet: Paying Debts
The second tablet addresses the issue of paying debts. It suggests that two-tenths of all earnings should be used to pay off debts fairly and honorably. The tablet also lists the names of all creditors, emphasizing the importance of acknowledging and honoring all debts. Thus, the division proposed by Dabasir is: one tenth to guarantee future prosperity, seven tenths to be used to purchase clothes and food, in addition to a small part for pleasures, and two tenths to honor debts.
Third Tablet: Dealing with Creditors
The third tablet focuses on interaction with creditors. Dabasir visited his creditors and explained his ability to pay to them. He stated that he could pay two-tenths of his earnings to pay his debts and that he could not pay more than that. He asked his creditors for patience, ensuring that, over time, all his obligations would be fully resolved.
Fourth Tablet: Perseverance and Planning
The fourth tablet highlights the importance of perseverance and planning. She describes how Dabasir continued to stick to his financial plan, even during difficult times. The tablet also shows Dabasir’s joy and relief at being able to pay off his debts and have money left over. Even in difficult times, Dabasir and his wife remained steadfast in their commitment to follow the plan.
Fifth Tablet: The Fulfillment of the Plan
The fifth and final tablet celebrates the realization of the financial plan. She describes Dabasir’s joy and gratitude at having paid off all his debts and the admiration and respect he gained from his creditors and his wife. The tablet ends with a strong recommendation of the plan for everyone who wants to achieve financial independence.
Conclusion
The financial teachings of the Babylonian clay tablets are timeless and still relevant today. They emphasize the importance of saving, paying off debt, and taking care of your home and family. The division proposed by Dabasir – one-tenth to ensure future prosperity, seven-tenths to be used to acquire clothing and food (necessities), plus a small part for pleasures, and two-tenths to honor debts – is a valuable guide to anyone who wants to improve their financial situation and achieve financial independence.
Next steps
Now that you know the financial teachings from the Babylonian clay tablets, it’s time to put them into practice. Start by saving a portion of your earnings, paying off your debts, and planning your finances. Remember, the key to financial success is the discipline and determination to stick to the plan. If you need a tool to organize yourself financially, you can use MoneySuite’s Personal Financial Control Spreadsheet, marketed in partnership with Dashboard Design.
Common questions
What are the main financial teachings of the Babylonian clay tablets?
A: The financial teachings of the Babylonian clay tablets emphasize the importance of saving a portion of one’s earnings, paying off debts, and taking care of one’s home and family.
How can the financial teachings from the Babylonian clay tablets help my financial situation?
A: By following the financial teachings of the tablets, you can learn to better manage your finances by saving a portion of your earnings, paying off your debts, and planning your finances effectively.
What is the MoneySuite Personal Financial Control Spreadsheet?
A: MoneySuite’s Personal Financial Control Spreadsheet is a tool that can help you organize your finances, following the financial teachings of the Babylonian clay tablets.
