One piece of wisdom that resonates with investors is his take on building wealth. In the late 1990s, during a shareholder meeting, Munger said, “The first $100,000 is a b****, but you gotta do it.”

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This statement emphasizes the initial hurdle many face in accumulating savings. Munger’s bluntness highlights the challenge of reaching that critical first $100,000.

“I don’t care what you have to do," he said. "If it means walking everywhere and not eating anything that wasn’t purchased with a coupon, find a way to get your hands on $100,000."

The reason behind Munger’s focus on this initial amount? The power of compounding. Once you have that base, the path to greater wealth becomes smoother. With compounding returns, $100,000 can grow significantly over time, providing a strong foundation for long-term financial goals.

“After that, you can ease off the gas a little bit,” he said.

Munger made this statement in the mid-1990s, and when adjusted for inflation, $100,000 back then translates to roughly $200,000 today. However, the core principle of his advice remains timeless. Many financial advisers today echo Munger’s sentiment: Accumulating the first $100,000 is the hardest and most important.

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Munger’s words are a wake-up call. Achieving financial security often requires short-term sacrifices and discipline, but the long-term rewards can be life-changing. By persistently working toward that initial $100,000, people can set themselves up for a brighter financial future.