Building a Structurally Sound Foundation: Can You Really Have More with Less?!
Taking that first critical step on the path to financial glory means you being ABSOLUTELY okay without stuff. – ADHERE TO STRUCTURAL INTEGRITY
Spending a substantial amount of time in the real estate world has got me thinking about the construction of a foundation and how there are a number ways to build the foundation of a home. Determining which way is a better and stronger option depends on soil condition, location, and some other factors. But the type of foundation we’re going to be discussing here today is not the building of your brick-and-mortar house, but rather the construction of your financial house. It goes without saying that the more structurally sound something is, the longer it lasts in life. The same goes for your financial house. In fact, a powerful and secure financial house can extend across many generations like the Rothschild and Rockefeller families. These families have had enormous wealth for several hundred years. How and what they did to obtain this wealth is outside the scope of this article, so I’ll stay on point- The grandchildren and great-grandchildren of these families still have this tremendous wealth because of the construction of a strong foundation that has been passed down. A foundation passed down that encompasses their values on the way money is spent, handled, and invested. These values are the critical lifeblood of a strong and lasting financial foundation.
So what’s the best way to begin building the foundation of your financial house? I’m going to give you the most practical and relevant one that applies to the vast majority of us that started from scratch or were not raised extremely wealthy. And that method is this: Having an ANTI- Keep up with the Joneses mindset (KUJ). The keep up with the Joneses mindset is so toxic, and is the biggest obstruction to anyone, particularly those that do not already have a fully built financial house. So many otherwise hard working, driven, and generally intelligent individuals almost completely annihilate their chances of real wealth and a fantastic lifestyle shift because they consciously or subconsciously feel the need to consume and follow other consumers. I know it’s tough because of the amount of information, advertisements, and cunning marketing ploys we encounter every day. But today, before we start to cover anything further, I’m challenging you- No, I’m pleading with you to turn this switch.
This switch is going to be difficult and unnatural for many- perhaps for a very long time. But the improved progress on the construction of your financial house will quench and even extinguish your desire to purchase and consume over time. One important note I’d like to point out here is that I will always practice what I preach. In addition, the methodologies, strategies, tools, and resources will mostly be ones that I have utilized myself so that I can provide first hand REAL feedback and advice.
Thankfully, my wife and I are both penny pinchers, so following this method is relatively easy, overall. Although I do have my tendencies on occasion to splurge on some clothes or new gadget, it is easy for me to remind myself to come back and adhere to structural integrity. Adhering to the structural integrity of your financial house cannot be done without intentionally developing an ANTI- Keep up with the Joneses mindset. Taking that first critical step on the path to financial glory means you being ABSOLUTELY okay without stuff. Being okay without following the latest fashion trend, having the newest iphone, TV, or that car in the garage with a high monthly payment. By doing so, you will begin setting yourself free- free from restrictions that hold us back from the biggest things that we want to do in life- starting a business, traveling the world, or using your true gifts to impact the world in an amazing and positive way.
What we are doing here are following minimalist practices so that we can have more with less. One example that comes to mind for me are the LED TV’s that we have at home, which are around 8 years old, paid for, and running strong like most everything else. We likely will not replace them for years, or until they cease functioning. Most of the things we do have we take care of and make them last many years, and when we do have to buy we make sure to buy things at a discount, on sale, or gently used. We are adamant about using our money to build our financial house, not fill the inside of our brick-and-mortar house with stuff. Can you really have more with less? Absolutely, you sure can. When friends come over to visit us, I really am not concerned with what they might think about the age or quality of our stuff, because I can see and visualize my financial house. Having a deliberate ANTI- KUJ and minimalist mindset brings more contentment by detaching yourself from things and simplifying life. I can’t stress enough- this needs to be the biggest focus, at least for a while until your financial house is built.
As you begin to set the foundation to your financial house, think about the things that you can get rid of. Compile as many things as you can that you know you will likely not use in the next several months or years. Take a Saturday morning and have a garage or a yard sale. I recently had one, and even though I didn’t make a whole lot of money, the most freeing part was getting rid of the stuff and decluttering the house! J Speaking of decluttering, another easy way to get rid of stuff is to use the App DECLUTTR. DECLUTTR is a business that will buy your used phones, games, books, and other things. I got a pretty decent offer on some items that I’ve sold through them, and they made the payment to me lightning fast! I highly recommend using them for certain items as a quicker and easier solution to putting together a yard sale. Once you start the process of decluttering, you’ll feel good about yourself, (If you’re a true Hoarder, then it may be much more challenging), have a cleaner home, and an extra little stash of cash that should ideally be used to 1. Save and build an emergency fund, or 2. Pay down debt if you have at least several months of income already saved. And remember as you go through this process that, like constructing a house, building a structurally sound foundation is not going to be as exciting as picking out your upgrades, kitchen counters, and bathroom features. It will be less noticed and less appreciated, but it is unquestionably the most important piece to building and maintaining an incredible financial house and a life of financial victory.
“The ability to discipline yourself to delay gratification in the short term in order to enjoy greater rewards in the long term is the indispensable prerequisite for success.” – Brian Tracy
