Rewriting the Rules of Money: It’s More Than Just Stuff

Dear Grace and Steven, 

These first few letters are going to be about psychology, thinking about money for what it really is. Most people aren’t motivated to give a lot of thought to money because all it means to them is a new possession or getting this month’s bills paid. That’s no fun. You’ll find its more fun to think about it when it means things that actually do play a role in your life’s happiness. It’s REALLY fun when these thoughts turn into seeing ever growing investment balances.

People tend to lie to themselves when it comes to money. Those with big incomes like to say it’s not important, but it sure is important for them to show off their big house or fancy new car. Don’t be fooled. Many of these people are living unhappy lives working unfulfilling jobs that keeps them on a treadmill of staying unhappy just to buy that next possession that they think will bring them joy. If a possession brings any joy at all, it is very short lived.

Then there’s the other side of the spectrum. Those that don’t have money also like to pretend it’s not important. This is obviously proven false by the incredible stress they face when they struggle to keep up with their bills. Debt adds to this stress exponentially.

Avoiding this stress is not just important; it is absolutely essential for maintaining our overall well-being and happiness.

So I’m going to encourage you to think about, and then talk to each other, about your financial life. I’m sure you feel like you already do this but I don’t mean income in and expenses out. I mean where you’ve been and where you want to be financially as your lives progress. I think a great way to start is to pat yourselves on the backs for all the things you’ve done right and the successes you’ve had in the short time you’ve been managing these issues yourself. If those don’t come immediately to mind, I’ll start you with some I know of.

  • Double income. You’re a team and you’re both working hard and bringing in money

  • No student loan debt. A huge number of people your age have tons of student loan debt and have no degree or a degree that is worth nowhere near what they paid for it

  • Housing: You aren’t locked into a long home mortgage that is more than you need

  • Not overspending on vehicles and taking on car loans with the expensive insurance that comes with it

  • Paying down your medical bills. The money you’ve been forking out for that unexpected debt should be easily converted to savings once those bills are gone

  • No cable bill. $150 or more per month for television spending is common and unnecessary

I’m sure you can think of more that I don’t even know of. Celebrate them. Get in the habit of celebrating your financial successes. It will never get old.

Love, 
Dad

- Paul Mollenkopf is the author of Once Upon a FI

Next
Next

The Simple Path to Wealth by J.L. Collins: Lessons on Money, Happiness, and Freedom