What rating would you give the following statements on a scale of 1 to 10, one being the least important to 10 being the most important?
1. Money gives me safety.
2. I could do such interesting things if I were rich.
3. Money lets me help people.
4. I could start a fun business if I had money.
If you answered more than five for any of these statements, you are probably buying into some of the common myths about money. Barbara Sher discusses these myths in her book, It’s only too late if you don’t start now. Of course, money is always very important, especially so as we get older. We all need to develop the financial literacy skills to understand and develop personal financial goals. We also need to understand and use the right information and tools for assessing our financial picture. In addition, we need to know where to go for good financial advice. In my own case, I am thankful to my mentor, Sigy, for referring me to a very professional financial adviser. It took me many years to find the right fit for me.
Let’s return to first statement above. Money gives me safety. This is, of course, very relative to each individual. A close friend of mine needs a rather large sum of money for his double-home lifestyle. In fact, he is going to need to work until he is 70 to pay his expenses. Fortunately, he loves the consulting work he does. I and my wife Jackie are much more frugal and require less income.
How about the second statement: doing interesting things requires lots of money? This is also a matter of one’s personal viewpoint. However, it is amazing the adventures you can have on a shoestring budget. The third statement, money lets you help people, does not hold much water as far as I am concerned. If you really wanted to help people, start doing right now. Let’s consider the final statement: it takes money to start a fun business, but not as much as you think. I am building my online business for a very reasonable investment indeed, and I enjoy doing it.
