PIMD welcomes Physician on fire As our guest post. POF is a personal finance website created to inform and inspire both physicians and our patients with insightful writing from a physician who has achieved financial independence and the ability to retire early.
Indifference may not be the best word to describe others’ treatment of money. Ambiguity isn’t right either.
People seem to care about money and they certainly want more of it, but I don’t see many people making smart and sometimes difficult choices that will help them. Actually increasing their money and achieving financial independence.
My wife and I were talking about this. I was talking about people wasting money in pointless ways and he said “a lot of people just don’t care about money.” I guess not, but how could they not? Without thinking, I blurted out, “But it makes no sense to me, because money is everything.”
I realized what I said and how it sounded, and I backed off a bit. I wasn’t going to launch Gordon Gecko style.”Greed is goodSpeech, but I had a valid point.
What I meant was money something.
Money can be many things.
Money wants to be what you want it to be.
Who doesn’t care about one of these things listed above? No one I know. But if I don’t know you and you care about literally none of the above, I’m sure you can come up with a list that you really care about yourself. I promise you that there will be something on your list that money can buy.
Because money is everything.
You should care about money
Money is a taboo subject in many circles; Most people don’t like to talk about money. I’m not like most people in that regard.
At home, we discuss money openly. I want our boys to grow up smart with money, and work can’t be done off topic.
There are many reasons I want my sons to care about money and I think you should care about money too. Above is a lot of information – that money can be directly exchanged for many things that can improve your life, the lives of your loved ones and those who may live thousands of miles away.
But there is more to it than that.
The fact is, there are many people out there who actually care about money and intend to get more. Some do great things or start useful businesses that serve their communities.
Others get more money the easy way — by taking it from people who don’t seem to care much about money. You don’t want to be on the receiving end of such a transaction, do you?
How can you avoid being taken in? It starts with taking care of money. Not because you’re greedy, but because you care about things other than money, and you understand that those things could be possible or done better if you were a stronger steward of the money you’ve earned.
When you take care of money, and you increase your income and savings rate, you are more likely to develop a money surplus. You have a surplus, you need to be a little greedy, and you May be more charitable Without harming your ability to live the life you want to live.
Without a surplus of money, it’s hard not to be at least a little greedy with money. You must put on your own oxygen mask before helping others.
Taking care of money is not greed. In fact, it’s quite the opposite. Taking care of money will ultimately put you in a position to be less greedy with it.
How to care about money
To take care of money, you first need to understand it better. A basic education in personal finance It’s a must if you care at all about money, and I’ll share some pointers on how to become educated about money below.
You must understand how money enters your life and how it leaves.
Money usually comes to you through income earned from your main job, A side gig, and the return on your investment. You may receive money in the form of gifts from living friends and family or as an inheritance from those who are no longer alive.
Money exits your life in many ways, and if you’re going to take care of money, you really need to Get a handle on them.
of tax The number one money drain for many high-income professionals. With our progressive tax system, you’ll pay your fair share, but do what you can within the law to avoid unnecessary overpayments. Tax-efficient investment And Tax-deferred retirement contributions Two such examples.
The cost is another primary money stealer. Some are necessary, many are not, and if you care about money, you will monitor your spending. You can track it closely with Mint.com or Personal Capital.comTrack loosely using it A good rewards credit card And work with a checking account, or a strict budget if you must.
Once you understand how money comes and goes and how much it flows, you will have an idea of your savings rate (Here’s your calculation) I challenge people to draw a wider gap between the two, asking what they notice half bus their take-home pay.
Finally, know how much money you have. Track your net worth (sum of assets minus liabilities) and aim to increase it. Have goals. Financial freedom is a great one, and there are many Steps you can celebrate Along the way.
How to talk about money
When you think about money and the good things it can bring you, your family, and mankind, you’ll want to talk about money.
Talk of money starts at home.
Talk to your partner about money. have a period Family budget meeting. Review your net worth from time to time. Calculate how long it will take to pay off your debt and see what you can do Get debt free faster.
Talk about your money goals together. Consult each other for all purchases in a set dollar amount, such as $100. If you’re single, write down your goals or talk about them with a confidant.
Delay large purchases for 24 or 48 hours. Maybe a week. Make sure spending is in line with your goals.
If you have kids, be honest about the cost of things — not the toys they play with, but the disposable batteries that power those toys, the electricity that keeps the lights on, and the heating, cooling, and utility bills you pay for the comfortable lifestyle.
I don’t think it’s too young to introduce the concept of money to your kids. Your children need to learn about money because money is everything.
How to learn about money
There are several books that will pay for themselves a thousand times over. If I could pick three that I’ve read, I’d go with it Millionaire next door, How to think about moneyAnd White coat investors (for physicians) or The only investment guide you’ll ever need (for everyone else). For further reading and resources, see My extensive recommended list.
I do my best on this site to educate people about all aspects of personal finance with a focus on high income professionals. Here are a few posts to get you started:
You can find plenty of other great material online if you know where to look. For example,
As mentioned earlier, be sure to be aware of how you personally spend your money. You keep your wallet, checkbook, Credit cardAnd bank accounts if you’ve never tracked them closely before
There are many ways to learn about money. Whether you learn best from books, audio, video, or Private conferenceThere is a medium for you.
Is money everything?
“I don’t care much about money. Money can’t buy me love.” – The Beatles
Well, money isn’t everything. Money can’t buy me (or you) love. Nor can it buy friendship (at least not the true love or true friends you want to have).
Meaning is not the cry of a newborn baby or a walk in the woods on a crisp fall afternoon. Meaning the sun does not rise in the east, set in the west or be eaten by the moon in rare eclipses.
Money, however, is a great convenience, and spending, donating, or saving money will not only improve your own life, but money can make life better for the people and things around you.
From the quote Farnoosh Toravi From his speech at FinCon17, “The desire to make more money should not be your goal; It should be your obligation. It should be your responsibility.”
I love the late Joan Rivers. “People say that money is not the key to happiness, but I always thought that if you had enough money, you could make a key.”
If you choose not to care about money, you are choosing not to care about some of the most important things in this world. Money may not be everything, but money can improve, enhance or become almost anything.
If you care about yourself, your partner, your neighbors, your children’s future, and the world you live in, it’s time to take more care with your money.
How much do you care about money? Do you agree with the pledge that could mean almost anything? Am I greedy to feel this way?
No Comments
Leave a comment Cancel