Think about this for a moment… there are only 3 possible outcomes for your life. OK… actually there is only one real result. However, there are only 3 ways to get there.
1. You live a long and healthy life.
2. You live a long life, but not necessarily a healthy one.
3. You do not live as long as you expected to live.
When you really stop to think about it, that’s it! So why do we get so bogged down with information that we don’t understand that we end up choosing to do nothing? That’s right, I said “choose”. Or, even worse, we do something without understanding it only to regret it on the other side because it doesn’t do what we ask it to do! Shame on the person who sold it to us…and shame on us!
It’s mind boggling to think that the “richest society in the world” has a financial IQ of around 2 (and I think I’m being generous with that). We teach our practical money skills in this society. We do not learn good habits at home. We don’t learn good clothes at school. However, we learn really bad habits in the “real world.” But by then, it is often too late to change the stress of the situation that many have created for themselves. So we CHOOSE (there’s that word again) to remain ignorant and continue to make the same mistakes throughout life, often regretting those choices.
It is time to be proactive in our financial lives. So here are some things that force you to think a little differently about your money:
1. BE CLEAR about what you are trying to do BEFORE you start doing it
Every product out there is perfect for the right situation. Every product out there is the wrong choice for the wrong situation. THEN… look at the situation BEFORE you look at the product. Think of it similar to looking at a map. How do you draw your route if you don’t know where you are or where you’re going? The answer is… you don’t! However, with our finances, we often try to establish a map before we have any clarity on what we are trying to achieve. Stop doing it backwards.
2. REMOVE THE LABELS from everything!
Here’s a word association exercise… what comes to mind when I mention… life insurance… annuity… mutual fund… disability income insurance… care insurance long-term… 401(k) ) )/403(b)? The list can go on and on. The point is that you probably had immediate reactions to many of those terms. If I now ask you to define what each of those products actually does or how they may or may not suit YOU, chances are most people will give the wrong answers. Those incorrect perceptions end up hurting you sometime later when you expected something to be there. Do yourself a favor… educate yourself on reality, not perception.
3. Use the “3 POSSIBLE OUTCOMES” method to make sure you’re covered!
Don’t think too much about this! If you live a long and healthy life, you don’t want to outlive your money, right? So, educate yourself on which products create a guaranteed income for life. If you live a long but not necessarily healthy life, you need to look at how to protect yourself and your family in case you are treated. If you don’t live as long a life as you hoped, it’s not about you at all! Now, you better have something to take care of the people you leave behind who depend on you.
There are a wide variety of companies and financial products available. Here’s the bottom line… NO ONE cares more about your money or your family than you do! You will never be younger or healthier than you are today! If you’re not taking some time and energy right now to sit down and really talk about what you want to achieve AND WHY, no one else is going to do it for you.
Get Inspired… Get Real… Take Action! That is the only way you can be successful! Stay inspired!