3 Piggy Banks

There is a principal, which is used by people who became rich. Robert Kiyosaki calls it “3 piggy banks”. Mark Allen mentions this principal in his book “The Millionaire Course“. I follow this principal now. And I am going to share the 3 piggy banks principal with you.

First of all, what are 3 piggy banks? One of them is savings. It is the money, which you save for yourself in order to use them somehow in future. You put away money for a rainy day.

The second piggy bank is your investments. Money that you invest in something: shares, bank deposit, mutual funds, bonds, business etc. You could invest in your education too. This piggy bank is for increasing money.

The third piggy bank is for donation and charity. It is the money that you give to someone. Giving away part of your income and supporting different charity organizations, we care of each other. This piggy bank encourages you to gain more in order to give more.

Ok, I have to create 3 piggy banks, right? Right. But how can I do it if I spent all money that I get or even more? It is easy, really. Turn on you consciousness and start with 10% decision using The Law of Accumulation. Continue save 10% of you income every month until you get used to do it. You have to make a habit. It is easy to live on 90% of you income, really. When the habit is formed, you could start create another piggy bank. And then the third one. This way I have come to “3 piggy bank” principal.

Other way is proposed by Robert Kiyosaki in his video program “60 Minutes to Getting Rich“. His advice is to start putting 1$ to each piggy bank. Is it easy? I am sure, everybody, who has desire, could do it. Then start putting 10$. 100$. 1000$. 10000$. And continue to increase, until you will save 10% of you income to each piggy bank.

Put regularly 10% of your income is the principal. Another principal, which will help you to do it, is called ‘pay yourself first’. It means, when you receive money, you have to pay to your piggy banks before you will pay to someone else – government, stores, salespersons etc. Pay yourself first.

The idea of 3 piggy banks is the following: rich is who saves a lot, but not who earns a lot. There are a lot of people on the Earth who have earn a lot of money but they spend a lot of money too. If they are fired one day, they could not manage with their expenses for a long time. 3 piggy banks principal allows you to create passive income which will cover your expenses, when you earnings instantly drop down. You keep, you invest, you give away – that is why you are rich.

If you apply 3 piggy banks principal in your life, you will gain great effect. You have real abundance in your life; you have all what you want. You feel good, because you give a lot of money to others. And you do what you love to do.


#1 Scarlett on 10.22.08 at 8:06 am

You write very well.

#2 Baker on 02.22.09 at 11:31 pm

Great points.
I also heard about this 3 years ago, on 60 Minutes to Getting Rich by Robert Kiyosaki. I have done this ever since. Below is my version of the 3 piggy banks.
I like your version, it goes more in depth than mine, but same principles apply.



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