Top 10 financial hacks

There is no point being a successful entrepreneur, or selling a startup if we have no idea how to handle the money we get. So here is my top 10 financial life hacks.

  1. Spend less than you earn, no matter what that amount is. The net result is happiness.
  2. Allocate cash to savings & investments before anything the day you get your profits, pay or dividends.
  3. Never go into debt for anything which does not appreciate in value.
  4. The real definition of an Asset: Anything that puts money in your pocket. The accounting definition of an asset is flawed.
  5. Do not trade stocks. Trading makes the broker and tax man rich and you poor.
  6. The greatest financial instrument is ‘compounding’. It only happens when we hold assets, not by trading them.
  7. If you can’t afford a consumer product in cash, you can’t afford it.
  8. There is no such thing as ‘financial engineering’. It was invented by Wall street to trick you.
  9. The best type of share investment is an Index Fund. They are investments in civilization. If that fails, we have bigger worries than our money.
  10. Invest more in education than entertainment & ‘things’ and you will outdo society financially.



  1. Jussi Pasanen · April 13, 2011

    Very solid advice.

    Jussi (@jopas via twitter)

  2. Gold Coast Websites · April 13, 2011

    Awesome advice, I’m putting this somewhere that I can evaluate against often.

  3. John Ngo · April 14, 2011

    I like the idea of an index fund as an investment in civilisation. Where’s the plug for the ‘Sammartino Method’?:)

    John (@jngo via twitter)

    • Steve Sammartino · April 14, 2011

      Ok – here’s the plug as suggested by John. A podcast I did on Investing called ‘The Sammartino Method’ – it’s afree download on this link – It is the extended version of the top 10 financial hacks listed here.


  4. Luke McCormack · April 14, 2011

    Forget about @scottpape! @sammartino has just dropped his Top 10 Financial Hacks to make you rich & famous.

    Luke (@lukemccormack via Twitter)

    • Scott Pape · April 14, 2011

      thanks guys, good advice!

      Scott (@scottpape via twitter)

  5. Xavier Shay · April 14, 2011

    Excellent financial advice

    Xavier (@xshay via twitter)

  6. Tim Beveridge · April 14, 2011

    Spoken like a true financial Jedi master

    Tim (@timbeveridge via twitter)

  7. Nick Crossman · April 14, 2011

    No such thing as ‘financial engineering’ HA! What did I spend 100k on?

    Nick Crossman (NSCrossman via twitter)

  8. Aaron Rutley · April 14, 2011

    Solid advice.

    Aaron (@AaronRutley via twitter)

  9. Pete Sanders · April 14, 2011

    great financial tips

    Pete (@petesanders via twitter)

  10. Lawrence · April 14, 2011

    This should be taught in schools to kids that are of on the verge of discovering materialism.

  11. Alex · April 15, 2011

    Sound advice. Just want you to know that you’re an inspiration to many wannabe entrepreneurs like me.

    • Steve Sammartino · April 15, 2011

      thanks Alex – good to know your getting some value from it. I reckon, a lot of entrepreneurs would do well to learn a little more about finance.


  12. tim clark · April 15, 2011

    Great advice. Is setting clear investment objectives #11?

  13. Kuba · April 16, 2011

    Let’s try virtual office to start Your business at low cost!

  14. Pingback: Top 10 financial hacks (via Start Up Blog) « The Citrus Collective
  15. tom · April 27, 2011

    Hey Steve. nice post. I listened to the sammartino method podcast – also very interesting. I was wondering if you still invest via Vangaurd and what your opinion of the availability of Barclay’s i-shares Exchange Traded Fund in Oz is? I’ve heard they offer a broader range of investment opportunites? Any chance of a post on your approach to investing in real estate? Cheers!

    • Steve Sammartino · April 28, 2011

      I don’t think the Barclays fund is on Australia. I’m still with vanguard. I mix my investment 50/50 between the ASX 300 and the Hedged International fund.

      Real Estate – I have some views on. I think there are ‘more’ valid strategies in real estate than shares. I say this because the investor can influence the returns more strongly in real estate as we can have a management influence in the actual returns, where shares it is invest and wait. I’ll write a post on my top 10 Real estate investing tips.


  16. Eric Hannan · June 11, 2013

    Great article, I definitely agree with you. I think that small businesses in particular need financial startup money as well. However, small business owners need money from small business lenders.Therein lies the problem. Small business lenders are often times hesitent to offer money becuase of the duration that the company has been open. At iBank, however, we have created a network that matches small business owners with lenders. This would help small businesses greatly. Hope this helps!

  17. Pingback: Top 10 financial hacks « Start Up Blog | A WordPress Site

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