Abacus Wealth Management

Personal Finance is More Personal Than it is Finance

There is a reason why they call it ‘Personal Finance’. It is personal. There is really never a guarantee that something will work for you just because it worked for someone else. We all have differently sized pockets. We are all looking for different experiences and we have also been through different financial experiences.

Therefore, no matter how much praise the reviewers give a product, or how much ‘financial literacy’ you will receive, it always boils down to you. What business writers and financial analysts will give you are pointers, an anticipation of outcome by generalization of previous experiences. Pesatalk for example will give you simply guidelines, with ideas that you might pick or choose to leave.  One cannot tell how these ideas will apply to your situation.

Carl Richards, in his book “The Behavior Gap,” advises us to ponder how this advice we receive applies to us, before we make any decisions. He writes:

It’s true. Planning for your financial future is personal. It has to be. A good plan will be unique to your situation, and what is right for your situation may be a disaster for your neighbor. So ponder how the advice you encounter applies to you before you make important decisions about your money.

Tim Maurer, a financial planner, educator and author likes to go by this line: “Personal finance…is more personal than it is finance.”

 

 

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