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How To Live And Finish Rich

Today I went to the gym (woo hoo small victory!) for a fitness class, and the teacher shared that 45 days into the new year, people start to fully give up on their new year’s resolutions.

I reflected for a moment – have I given up on my goals? I had a few intentions for the year and to be honest, they have become a bit unclear – so today I am making three new resolutions (focused on fitness, finance, and fun).

On that note, I recently saw a great interview with entrepreneur and author Marie Forleo, and financial education teacher and author, David Bach.

One thing that David said really inspired me as it’s a helpful tip for any area of your life.

He said, “When your values are clear, your financial decisions become easy.” I’m sure this is true with other aspects of your life.

The interview below is long, but totally worth your time to watch to re-inspire yourself to take control of your financial destiny.

You can watch the interview below, and I also shared a few “Aha moments” and #truthbombs that you can take a look at a glancegwen wants to to

Notes from the Episode:

3:07 – Start with your values. It is the most important thing. “When your values are clear, your financial decisions become easy. We don’t do what we know we should do, and that’s because there’s a disconnect. The way you break through the disconnect is through knowing your values.”

5:36 – Goals are really important, but they’re not where you start.

9:20 – Building wealth can free you to live your most authentic self.

9:58 – The power of automation

10:30 – “Budgeting” doesn’t work. In the real world, people hate budgeting. It’s like dieting.

11:45 – There are six or seven things that you automate. David’s dedicates only 10 minutes per month for personal finances. He shares six “baskets” to figure out where to put your money.

15:30 – The latte factor – the idea that we spend small amounts of money on little things.

18:53 – For seven days, track your latte factor. (And if you can’t do it for seven days, do it for one day). The only key here is to not change your behaviour. And to be honest with yourself.

We inflate what we earn in your mind, and decrease how much your expenses are.

22:13 – How do we start getting on the same page about money in a relationship? “Money issues break apart American families.”

23:31 – Create a money date with your partner to discuss finances. Have a time when you’re both ready. You will likely not want to do it, but at least start. Perhaps start with the positive, and not go right to what your partner is doing wrong.  

25:57 – What are mistakes people make once they’ve made some money and want to get to that next level? “The hardest thing to do is make your first million, and the easiest thing to do is lose it.”

31:30 – The power of taking a sabbatical. David took a “radical sabbatical.”

37:34 – You don’t have to be rich to live rich.

38:42 – We need to get more life in our lives.

40:19 – The Challenge

I was truly inspired by the end of the interview, when David was sharing about his radical sabbatical and how we need to start living more. It was truly inspiring and I hope you can implement a few of the ideas in this episode!

-Gwen

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