July 10, 2021

Personal Finances, the true way of wealth and prosperity?

Personal Finances, the true way of wealth and prosperity?

We all have heard it, “make a budget, track your expenses, live within your means, etc etc” But, is it really worth it?

I’m sure you have heard or read these headlines before: “Do you want to be rich?” “Do you want to retire at your 30's” “How to get from zero to one million dollars” 

followed by: “Invest $5,000 and your money will work for you”, “start businesses and create different income streams”, “Get two more people in the pyramid and you’ll be a millionaire”. All valid reasons of course (the latter one is dubious speculation) *sarcasm*.

As I’ve written in some articles before, we are bombarded every day from everywhere about successful and wealthy people who amassed their money in this or that way. 

Of course, we don’t see behind the screens and how these people worked their asses off to accomplish what they have today, the discipline and willpower that made them who they are. 

The true way to wealth

We have to accept it, money is a big factor in our lives.

Those headlines at the beginning work in many people because money is this thing that gives us security, it fulfills many of our carnal desires and makes us look greater than we are (according to us).

But, as most people don’t really know a true way to acquire wealth, they take these “easy” paths that, if they’re not scams, are usually way harder than they seem and end up discouraging them. 

I‘d love to say that money shouldn’t really matter and sing Kumbaya, but it is a fact that money is an important part of our lives. Some would say “money is just a tool” and others “money is the only thing that matters” but wherever you are in this money spectrum, you have to admit that everybody needs it.

And no matter how you make your money, if you are a 9 to 5 worker, a solopreneur, a business owner, or even if you still receive a “mesada”, we say in Spanish for allowance, there is one simple and real way money and wealth that everyone needs to do at some level.

Track your money

Tracking your income, your spending, and savings, the patterns, and psychology behind it, plus learning a few finance concepts like interests, debt, investments, etc. These simple things make the glorious path of Personal Finances.

Personal Finance is THE way to reach your financial goals, it is a discipline that you’ll have to build throughout your life as one of the most important habits you’ll need. 

I won’t go in-depth about the steps to get into personal finances, I’ll be writing about this later. Just wanted to leave here the importance of it and to encourage you to start by taking 15 min of your precious time each week and counting your spending. B

By doing this, little by little with discipline and constancy, you’ll see yourself trying to manage your money here and there, start making a plan, and putting a structure in your financial life. With time, you’ll see the results in your pocket.

The true way to prosperity

Now, I want to make this clear. Wealth is all about money, prosperity is about happiness.

I know, ok. It is such a cliche for me to say this, but I’ll repeat it as many times as needed, “money won’t bring you happiness”. 

How many times do we need to hear this to start believing it?

In one of the best podcast episodes I’ve heard, Shaan, from My first million podcasts, defines money in a way that really resonated with me, when asked “how much money will be enough for you to stop?”

“Money is a token or a way to measure the most valuable asset we all have, time. When you work for someone you are giving time of your life in exchange for money, value for “value”. If you have the opportunity to hire someone, you're buying his or her time (and expertise) for money or a wage at the end of the month. So, when I reach a point of fully controlling my whole time, not needing to exchange it for money at all, but doing whatever I pleased with it. That would be enough. And is different for each person, it depends on how much time you ask from others (spending).”

Anyways, prosperity for me is having enough, a prosperous person is, not only the person who has money but the one who is free to use it, that person that is happy with what he or she has and, more than money, the person who recognize and appreciate the other assets in this world. Family, friends, life, and the time that is given to us.

Maybe not the ending you were looking for but I wanted to end a post on a positive note for once haha. Let me know if you agree with this concept of money or write in the comments your concept. 

Written by johanam

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Comments
JustMegawatt
Posted On Jul 10, 2021

All great advice here, perfectly worded

johanam
Posted On Jul 10, 2021

@JustMegawatt Thank you, my friend!

iyazo
Posted On Jul 11, 2021

I do agree that money is like a complex way of assigning a value to our time. I've actually become HAPPIER since I became homeless and started staying in the shelter's residential program because here I don't need to worry as much about money- we get free meals, rent is on a sliding scale according to income, and we're actually not allowed to work for the 1st 6 months of the program in order to focus more on self-care, recovery, and healing. It's been a tremendous relief in that respect, regardless of the stigma attached to being homeless and poor.

johanam
Posted On Jul 11, 2021

That is very interesting. I hope you take the best from the experience.
One of the happiest years in my life it was when I studied in Boulder Colorado for a semester. And, although I depended on money and had a few nice gigs teaching piano and being a line cook in a local dinner, my financial worries were very little as I stayed in a house for all of us and we got tons of food and clothing from donors of the program. I never though that my happiness might have being linked to that freedom.

Is something that I'll be thinking about. Thanks a lot my friend!

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