How Can Your Lifestyle Affect Your Financial Plans?
You probably know that saying – You are what you eat, right? What people tend to miss in their life is the fact that their lifestyle reflects their finances as well.
Moreover, how you live is actually what builds or challenges your financial aspect of life. Therefore, life planning is so different than financial planning. Why? With life planning the focus is on what you want to be and not on your financial side.
This is where the first mistake happens, as finance are such a major part of everyone’s life. So, you shouldn’t be mesmerized with life planning without strong insight into your financial capabilities. Your lifestyle demands money. That being said, you should educate yourself on how you can have the lifestyle of your dreams and strong finances at the same time.
Is There The Ideal Lifestyle?
Many blame baby boomers for the strong idea of having a perfect lifestyle. From a modern point of view, baby boomers are former flower children who grew up with their ideals on one hand, and the corporate world on the other one. So, their aim in life become having the ideal lifestyle. For them, money become even for creativity, family, service, spirituality and any other emotional aspect that can lead to strong personal satisfaction.
That’s the main reason why we have so many doctors today who wanted to be painters or teachers. Many of them would change their current careers from those that give them butterflies. There is only one problem – money. Yes, money plays a big role when it comes to living the ideal lifestyle.
You Need To Give Something, To Get Something
If you want to create an ideal lifestyle you need to understand that you can’t escape the money or even the lack of it. For example, if a bus driver wants to be Bill Gates it will be difficult, right? But, if the attorney wants to trade his hand-made suit for a good hammer and open a local repair shop he will be able to easily cash in, right?
Although its a lot about the money, it is also a lot about the right perspective. So, if a bus driver still wants to become Bill Gates he would work with someone to help him get there. That someone could be a financial adviser to determine how to develop the financial plan that will help him realize his personal goals.
People are willing to give up on some things to get what they desire. You simply have to do with less to achieve your goals. Surprisingly, it works for many. Skipping the month-long trips to Europe or giving up the big house can do wonders for personal finances. If living in a small apartment frees up enough cash to increase time spent on private piano lessons, some people are willing to do the effort. Moreover, if someone wants to change the corporate hours for a life-long career of dog grooming, some serious cut in pay will be done willingly.
When you don’t like what you do and you are not happy doing it, and moreover you know how you’d rather spend your time, life planning makes more sense and can help you make the transition easier and faster.
You Get To Do With Your Life What You Want To
If your goal is solely a retirement, with occasional trips and regularly paid bills, that’s one thing. But, if your goal is to open the next best bakery, that’s another thing. So, change your mindset. Don’t ask yourself – “How much do I need to save,” but ask yourself, “How am I willing to change my lifestyle to achieve my goal?” And repeat that question every single day.
Once you answer that question, everything else is just mechanics. The decision to pursue a lifestyle change is always personal and it can involve massive satisfaction or enormous disruption. So, before you leap, examine your motivation and your financial resources. Once you do the talk with yourself, you should come up with the plan that will get you there.
Planning is everything, especially when you are dealing with finances, and moreover with personal finances. And if you ever get tired of planning and changing your lifestyle, just think about your ultimate goal and what you want. And don’t forget, like Benjamin Franklin, said it – “By failing to prepare, you are preparing to fail.”