Are Your Bad Money Habits Holding You Back After 60? This Expert Can Help!
Money, in our world, is a very important asset. Could money be defined as something other than paper bills and coins? Join us in discussion with financial advisor Allan Roth, who shares great insight on managing our money past the age of 60. Enjoy the show!
Money is Stored Energy
From a very young age, most of us have learned about what money can and can’t buy us, but have we ever really focused on what money is? Allan has a unique theory about what money is and how it effects our lives.
He says, “I think money is stored energy which gives us choices later in life. As we work, our paycheck creates that energy. Then spending the money uses that energy, but what we don’t spend saves energy. It is that stored energy that we try to grow.”
Money Doesn’t Buy Happiness
We’ve all heard that money doesn’t buy happiness but most of us have had moments in which we doubted that this is true. When we buy a new car, a new house, or pay for a grand vacation, we feel pretty happy. But is our money buying our happiness?
No. What’s happening is that our expectations of what we want to be able to do in life are being met. The money is just the means to make it happen. As our expectations rise or fall, so does our need for money to meet those expectations.
Money and a Lack of Money Can Buy Misery
Likewise, when we have expectations for a lifestyle we want to maintain and we do not have the money to make that happen, we often find ourselves buying misery.
Not being able to retire, not be able to afford the home we lived in while we worked, and not being able to travel with our friends are expectations that can buy us misery if our expectations are not met.
Along these same lines, many families find themselves fighting when money is left in a will or inheritance and one or more parties are not left with the amount they were hoping or expecting. Again, it’s not the money that buys happiness or misery, it’s the expectation of what that money can do.
Change Your Expectations
If you’ve entered the season of retirement and you have not saved enough money to meet your expectations, your focus should not be on how to make more money but rather, how to change your expectations.
Most people find it painful to change their expectations and lower their standard of the ideal retirement lifestyle but the good news is that the pain only lasts a relatively short period of time. Allan says that studies show most people adapt rather quickly.
Involve Your Spouse
If you are married, it’s important for both spouses to be on board with your financial plan. Both partners need to buy in to the plan and own their own expectations and responsibilities. Also, if one spouse should pass away, it’s imperative that the other spouses is familiar with the financial condition of the unit.
Money Does Not Motivate
As Margaret says, “Money can bring us potential happiness, should we have enough stored energy. However, what keeps us really happy, no matter our age, is social engagement. That is the real value of communities like ours.”
Allan agrees that money can motivate for a short period of time, but what truly motivates a person over the long haul is acknowledgement and appreciation.
What makes you happy? If you had a fat amount of money in your bank account, do you think you would be happier? What would you wish for instead? Please join the conversation!