A Yachtie's Guide to Personal Finance

You can even.

Quick story, I was sitting in my cabin thinking of things I could write about but kept going round in circles.  I then heard laughter coming from the crew mess and I thought, instead of sitting here why don’t I go and ask my fellow crew members about what they thought of personal finance & investing.

The collective response was inspirational – “ I put it in the too hard basket” – and suddenly I had found my new article! 

I get it, this stuff is boring and hard. Humans typically chose the path of least resistance and science has shown we are hard wired to avoid things that make us uncomfortable nor do we want admit to ourselves we aren’t fulfilling our potential.  And honestly, if this wasn’t a passion of mine I too wouldn’t want to be faced with someone telling me about personal finance & investing. 

The only way I would get over my apprehension would be if someone I knew and could relate to had done it, a friend or relative for example. 

I’ve found a lot of repetition in the answers people have when I ask why they haven’t optimised their personal finances or started investing.  These include, but are not limited to: 

  • It’s too hard or I can’t be bothered so I just leave it 
  • I wouldn’t even know where to start
  • I don’t have enough money 
  • I’m young and don’t need to start this early 
  • I want to buy a house (or similar) so just want to save
  • I don’t want to admit to myself that I haven’t been making the most from my money
  • Your upbringing around money might effect your current attitudes 

Money causes stress and naturally we want to avoid stress and therefore we avoid our personal finances. This unproductive cycle only makes matters worse in the future. 

Being unable to deal with your money typically leads to debt and debt is commonly associated with anxiety or even depression.  I know that’s all a bit serious, but it’s common within our capitalist society and its important we recognise this. 

Money stress is no joke

Changes must be made to ensure a safe financial future and we all know that small adjustments create bigger changes. 

‘I know I should be doing something better with my money, I just don’t know where to start’ – sound familiar? With all the information available these days this excuse is no longer acceptable people!

I recently featured on a podcast about money and I was asked what advice I would give to people.  My answer was long yet simple and below I have paraphrased it.  

Just do it now, get started now on something financially positive.  Read a book, a blog, listen to a podcast, watch a video, speak to a friend and make positive financial decisions now so you don’t have to look back in 10 years with regret and the classic ‘I should have done this and that’ story. It’s not that difficult and you will be rewarded in the future if you take action now.  

(This link will take you to the podcast, http://millionairesunveiled.libsyn.com/119-guest-interview-net-worth-of-140k-24-year-old-living-working-on-a-yacht)

Side note: I am fully aware that some people just simply will not take any action towards personal finance optimisation and that’s just fine! It’s just like me not being interested in exercising. 

If this is the case then contact me or someone else you trust and have someone else look after it for you.  It will truly be life changing. 

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