psychology Archives - Page 2 of 2

July 13, 2020July 13, 2020

The Simple Systems to Kicking Monetary Ass

The often-touted rule-of-thumb for achieving financial independence is to secure 25 times one’s annual expenses via intentional saving and investing. Even though these are simple systems, we know from the second or third grade that multiplying things by 25 produces much bigger numbers than the thing itself (our spending in this case). Therefore, it seems absolutely outlandish to imagine saving that much money! Outlandish, I tell you!

So, as with many difficult endeavors in life, the tendency is to focus too narrowly on the distant target, and then immediately get overwhelmed. And in doing so, we may never start in the first place. Behaviors remain unchanged; the status quo is preserved.

How can a series of simple systems be implemented to change our lives forever?

April 13, 2020April 14, 2020

Market Timing: Why It (Still) Doesn’t Work

Oh boy! Nothing like a good bear market/recession quick-slider combo to stir the simmering pot in the investing world! There’s no need for a long introduction. Let’s dive into the meat: why market timing still doesn’t work.

March 23, 2020April 3, 2020

Shocking Headlines of the 2008 Financial Crisis

(And Why They Are So Important Now)

I don’t want to talk much about the novel coronavirus today. I want to talk about money, because that is what I do here. Money may not be a priority for you and your family now amongst a spreading virus. However, I want to calmly acknowledge that the world is also facing a very real personal finance threat, one that could be far more impactful for most Americans than the virus itself (which I’m not taking lightly). Before we make rash decisions in a time of panic and hysteria, let’s examine some important headlines from the 2008 financial crisis and why those messages are so incredibly important right now.

March 16, 2020August 9, 2021

The Sky is Falling: Lessons from the Coronavirus

Happy Monday! What a week! The coronavirus is spreading like southern Kudzu and is now officially a pandemic. Social distancing is suddenly the new order, flaming a wildfire of fear and panic, crippling the economy. The stock market is currently down 20% from its February high. The S&P 500 dropped 9.5% in a single day. And then the very next day the market bounced back 9.3%. We have entered bear market territory, ending the historic 11-year bull market run. OPEC meddling crashed oil prices. And I just quit my job. We have (had?) big plans for a new way of life. So, what’s changed?

October 21, 2019October 21, 2019

Retirement? Don’t Worry, I’ll Be Fine!

I’m assuming roughly 100% of people reading this post envision some sort of eventual retirement. You might view this as a subject only worthy of future consideration, but it will happen. There’s no way you could be making a living wage in your 70s and 80s, right? In this post we’ll examine why you might be out of a job sooner than you think, and perhaps without a safety net. But this isn’t all dark clouds and cold rain my friend, for we can solve this dilemma with such little effort. And we can start today. Let’s go!

August 12, 2019August 12, 2019

Fear: Here’s How It’s Holding You Back

Do you ever pass on requesting vacation because you fear your work ethic will be called into question?

Do you avoid international travel because everything seems so different?

Are you convinced that crime is getting worse, so you should take more drastic measures to protect yourself and your family? Crime has in fact fallen sharply.

Above are just a few examples of how fear dictates our actions and inactions on a daily basis. Frankly, every week I fear that you, dear reader, won’t like what I write here. Boy, I sure hope you do. But are we letting our lives pass us by because we fear the unknown?