Podcast Details:

Podcast Title:  Financial Idioms and What They Might Really Mean…

Podcast Series: The Maven’s Keys to Financial Contentment

The Maven’s Keys to Financial Contentment is my idea that true financial contentment can be found when an overlap of money and beliefs occur.  Many people ask the question of how to be “financially content” and this is a discussion to uncover those answers.

Link to Show Episode

Today, our conversation is about the language we use around our finances. You may or may not believe that words are just containers for our emotional thoughts.  What we speak or say about something is truly how we feel it about.  Note:  Ever been around someone at Happy Hour and they start to reveal “TMI” (aka too much information)????

When it comes to our finances there are several things that we say or have heard others say that are popular in our language (“financial idioms”) and I think these statements have an underlying meaning that could really reveal a lot about where we are financially and/or emotionally.

For example…
  • My spending is “out of control”.  What does that mean?  Well at first glance, you’d say that this person is recognizing a lack of discipline with how much they spend possibly in relation to what they make.  But think about what it looks like when other things are out of control or get out of control (e.g. a car).  To say that your spending is “out of control”, you may very well be dealing with a discipline issue.  But, aren’t you really saying that you don’t know what you are doing? You are likely playing in an area where you need more education/knowledge.  Another saying similar in connotation could be “living paycheck to paycheck” or I keep having to “rob Peter to pay Paul”.  All these statements suggest a lack of knowledge in regards to implementing a strategy to allocate resources properly.
  • I hear a lot of individuals say “they don’t have enough time”.  Similar statements could be:
    • I can’t afford to do that
    • I wish I had more time to do that
    • I’m too old for that

All these statements relate to an issue of stewardship.  Stewardship is just an old word that means to “manage” something–which is by the way, different from ownership.

NEWSFLASH:  You are really the owner of nothing.  

All successful and wealthy people understand this concept which is why they are so content with giving away what they have because they realize they are ultimately stewards. People like Bill and Melinda Gates and Warren Buffett do things like the “giving pledge” because they realize that they are not owners, they are just stewards.  To me, when people say “I can’t afford to do that”, or something similar it tells me they don’t really understand their role as a manager/steward.  Stewards are in control of an asset.  And can manage it to their wishes, but eventually, have to give an account to the owner for what they have done.

Consider your time as an asset, in which you have full control on how you spend it.  Therefore, it is imperative that you utilize or spend that time responsibly since you receive the same amount as anyone else.

#finlit
#behavioralfinance
#behavioraleconomics
#moneymindset
#financialidioms

 

Helpful Links:

About Me:
Dominique Henderson, CFP® is founder of DJH Capital Management, LLC., a fee-only, registered investment advisory firm specializing in comprehensive financial planning and wealth management.

#FinancialLiteracyBootCamp

Sound bumps provided by www.bensound.com