Warren Buffett is incredibly wise—much wiser than I am. But beyond his impressive expertise in investments over the decades, the down-to-earth wisdom he shares publicly is not really that earth-shattering.
The reason is that Warren Buffett is saying it. He’s explaining, in the plainest terms, things our eighth-grade teacher might have told us, but because it’s coming from Buffett, it makes all the difference and millions listen.
Now 96, Buffett, who passed the CEO baton to Greg Abel but continues as chairman of Berkshire Hathaway, will always be remembered for useful advice that really hits home.
Here are three Buffett tips to help you go from dreaming to doing.
1. Don’t gamble what you have just to get something you don’t really need
Buffett once told grads at the University of Florida that he’s seen both businesses and people risk a lot—mostly out of greed—when they probably shouldn’t have.
Buffett said, “If you risk something that is important to you for something that is unimportant to you, it just doesn’t make sense. I don’t care if the odds you succeed are 99 to 1 or 1,000 to 1.”
2. Build connections with honest and ethical folks
He also encouraged the students to think of a classmate they believe has long-term potential, someone they’d want to receive 10 percent of their earnings for life.
“You would probably pick the one you responded the best to, the one who has the leadership qualities, the one who is able to get other people to carry out their interests,” said Buffett. “That would be the person who is generous, honest, and who gave credit to other people for their own ideas.”
3. Your life’s success can be summed up in one word: love
In the biography The Snowball: Warren Buffett and the Business of Life, Buffett explains that the highest measure of success in life comes from how many of the people you want to love you actually do love you.
Buffett points out that although some individuals die wealthy and have buildings named after them, “the truth is that nobody in the world loves them.” Ultimately, the true measure of how you’ve lived your life is based on love. “The more you give love away, the more you get,” said Buffett.
These three principles may sound simple, but living them consistently requires intention and discipline. And perhaps that’s Buffett’s larger lesson: A successful life isn’t built on knowing more. It’s built on making better choices about what—and who—matters most.
—Marcel Schwantes
This article originally appeared on Fast Company’s sister website, Inc.com.
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