Not only does the weather have distinct seasons, but so too do our lives.
Our priorities for money changes
When our lives change, so too do our priorities for our money, since money is just a tool to help us buy the life we desire.
A few examples of my own adulthood:
It was easier to save money as a single man than now being married with kids. Since there are more of us, we simply spend more. As the kids grow we expect these costs to increase more, but once they move out will likely have a great reduction in expenses.
It also used to be easy to just invest in stocks, but now that we are in the process of building a house and taking on a significant mortgage, our need for cash is much greater so we have had to put a pause on stock investing for now. If we get surplus income after the build is complete, we will invest back into stocks without hesitation.
I used to think working my butt off to achieve FIRE in my late 40’s was the way to go. But since we have had kids and I have grown I have realised I would much prefer to slow down sooner. As a result, we have found a more ‘comfortable’ level of spending where we feel we are not sacrificing anything today for tomorrow. This has meant income has become less important, knowing that work is still an important part of my life, it is just doing the right work.
These are a few ways in which how we use our money has changed over the last 8 years or so.
I am sure there will be many more changes in the next 8 years.
Change how you spend your money as your life changes
The point is, how we use money changes over the seasons of our lives as we change. Your plans should never remain static, or you may be using your money in a way that is not being optimised for your unique, ever changing desires and lifestyle.
If we kept investing in stocks for example, we may not have enough cash for the new build.
If we kept saving like when we had no kids, then we would be miserable.
If I kept working in my current capacity for another 6 years I would be a wreck.
For me there is no point working frantically while my kids are young and in the house and then finally slowing down when they are gone. The time to enjoy with the family is now. Once they leave the house, the bulk of our lifetime interactions are done.
Too many people want to earn more just for the sake of more. Life without purpose means more may be unnecessary. More could be sacrificing how much time you spend with your kids, your health, or your life balance.
There are seasons in life where high spending is required, such as with kids. Then there are seasons where high spend is not required.
Unsurprisingly, I am not the same person I was 15 years ago. I’m not Peter Pan. Heck, I’m not even the same person I was 5 years ago.
Take a step back occasionally and assess how your own life may be changing before your eyes and make the necessary adjustments. Don’t beat yourself up for changing path or habits. It’s perfectly natural. Sticking to something that isn’t working is madness. Money can be a great tool if used correctly. But know that how you use and view it will change many times over in your lifetime.
The information contained on this site is the opinion of the individual author(s) based on their personal opinions, observation, research, and years of experience. The information offered by this website is general education only and is not meant to be taken as individualised financial advice, legal advice, tax advice, or any other kind of advice. You can read more of my disclaimer here