Every now and then a book comes along that’s so stupidly simple you almost feel cheated for not knowing it sooner. The Richest Man in Babylon is that book for me. Written in 1926 by George S. Clason as a series of parables set in ancient Babylon, it reads like bedtime stories for your bank account — except these stories have made more millionaires than most modern finance gurus combined.
The core message is delivered through Arkad, the titular richest man in Babylon, who basically drops seven dead-simple rules that still work in 2025:
- “Start thy purse to fattening” — save at least 10 % of everything you earn. No exceptions.
- “Control thy expenditures” — live on the remaining 90 %, even if your income doubles.
- “Make thy gold multiply” — invest your savings so they work harder than you do.
- “Guard thy treasures from loss” — only invest where your principal is safe.
- “Make of thy dwelling a profitable investment” — own your home if you can.
- “Insure a future income” — think superannuation, side hustles, rental properties.
- “Increase thy ability to earn” — keep learning, keep levelling up.
That’s literally it. Seven rules told through camel merchants and clay-tablet lenders, yet I’ve watched mates who went from overdraft to six-figure portfolios just by following the first two.
My favourite parable is the one about the five laws of gold. A rich man gives his son a bag of gold and a clay tablet with the laws. The son blows the gold partying, comes home broke, and only then reads the tablet. Lesson? You can hand someone the map, but most people only follow it after they’ve been lost in the desert.
I started applying this stuff in my twenties when I was earning $55 k and drowning in HECS and credit-card debt. First paycheck of every month, 10 % went straight into an untouchable account before I could spend it on beers or Uber Eats. Within two years I had an emergency fund. Within five I had my first investment property deposit. Now that same 10 % habit quietly turns into five-figure investment income while I sleep.
The Richest Man in Babylon isn’t sexy. There are no Lambo photos, no crypto pumps, no “manifest $10 k by Friday” nonsense. Just timeless, boring, brutal truth: pay yourself first, spend less than you earn, and make your money work harder than you do.
If you’re tired of living paycheck to paycheck, grab a copy (it’s like $12), read one parable a night, and actually do what it says. Six months from now your bank balance will thank you, and twelve months from now you’ll wonder why schools never taught this stuff.
The richest man in babylon didn’t get rich by luck or inheritance — he got rich by following rules anyone can copy. Turns out the secrets from 4,000 years ago still compound at 7–10 % today. Funny how that works.
