We are all used to checking the balances of our bank accounts, these days we can do it in a matter of seconds on our phones.
When it comes to knowing the value of our savings and investments we tend to be in one of two camps: checking them regularly and knowing how much we have or only having a vague idea at best.
Neither is necessarily right or wrong; whilst it is important to have financial clarity continual checking up on your wealth can be detrimental because it can lead to short-term behaviours that can actually be wealth destructive, particularly with investments because it leads to a tendency to react to short-term noise.
If you are reading this it is likely because you have some interest in understanding your financial position and how it relates to your financial freedom.
But, as a client described it to me the other day, what if we are focussing on the wrong balance?
What if the bank balance we need to measure is the time we have left? Would your attitude to work, life and money be different?
“The Bank of Cash is Getting Larger But the Bank of Time is Getting Smaller.”
You might be aiming to grow your wealth to a particular net worth because you think it is how much you need, but what if you actually need less?
Your focus is on one metric but it might be the wrong one.
A more appropriate metric might be to know how much is enough. (watch this webinar if you are interested in knowing more)
Enough for you to be able to live your ideal lifestyle without money worries. In other words, to be financially secure and financially independent.
Because, if you are focussing purely on how much you have by the time you get to that arbitrary figure (£1m, £2m, £5m, £10m?) it might be too late for you to enjoy it.
You probably know of someone who has worked hard for a long-time only to die shortly after retiring, leaving a spouse with unfulfilled dreams and nobody to share retirement with. Don’t have the same regrets.
It starts with knowing what is important to you and what your priorities are now and for the rest of your life.
What are the things you absolutely must do with the time that you have left?
If you would like help working how much is enough for you get in touch.
