Financial Maturity

By May 29, 2015Financial Planning

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Real personal financial success cannot be accomplished until we have achieved a certain level of financial maturity. I believe proper spending, saving, investing, and planning are all learned traits. Accomplishing these things effectively requires us to submit to habits and decisions that do not come instinctively.

Here are a few financial maturity insights:

  1. No Pain no Gain. The good old-fashioned school of hard knocks will kick us into financial shape. Funny how we work so hard to insulate our children from the best teacher of life lessons: life itself. My clients tell amazing stories of how they overcame adversity and learned tough lessons to become the financially mature people they are today.
  2. Be Intentional. When I consult to businesses with retirement plans I am reminded that most people will not be financially prepared for retirement. Why? I think it’s due to lack of intent. We can’t stumble our way into financial maturity, rather we must intentionally seek it out.
  3. Transparency. Our personal finances can be one of of the most secretive corners of our lives. For many of us the next step in finding financial maturity may be to shine a light in some places where we might not want others to see. Hiding bad financial habits from ourselves, our spouse, or others will high-center our opportunity for personal financial success.

Maybe one definition of maturity is the process of changing from instinctive behavior to learned behavior. Instinctively we avoid pain, react to our environment, and keep bad habits to ourselves. Financial maturity requires us to seek change, intentionally plan our actions, and share with others. Writing this post reminds me I still have work to do. What steps are you willing to take to achieve the level of success you are capable of attaining?

 

RS