Wealth Building: why it’s NOT a New Year resolution
New Year resolutions and investments do not make good bedfellows. Oh, you may think that deciding to begin an investment plan in the new year is an admirable thing…but investing for wealth is not something that depends on a particular time for commencement – nor is it something that you only think about in the first flush of the new year. Because wealth building should already be part of your life on a daily basis, not something that has to be resolved upon at year-end happy hour. Wealth building through steady investment should be a lifestyle long before those new year’s eve celebrations.
Money and Midnight
Matching New Year’s resolutions with money rings a whole lot of warning bells. And here are just some:
- Everybody knows that new year resolutions are notorious for failure. Very few are even remembered in the pale, bleary light of New Year’s day.
- The danger of putting off the effort and discipline to initiate your investment is very strong in the first few weeks of the new year. January has a way of eroding new year resolutions like a hot sun on butter. And every month wasted is money lost to your future.
- Timing is everything. If you are 21 and resolving to begin an investment portfolio, well and good. But if you are 41, then things are a little more shaky. How many years of resolutions have you lost, washed away under the bridge of wasted time? With investments, every year that your money is not working for you, is a year lost.
- Investments are not annual considerations, but a lifetime of serious contribution.
- New Year is a time to reflect on bad habits and to think of ways of changing your lifestyle – perhaps losing weight, or learning another language, or perhaps spending more time with family. All of these are pleasant ideas but infinitely changeable. Investing your money is not a thoughtless habit – it is a carefully considered action that operates with conscious intent year in and year out. You don’t invest one year and then the next do something else. It is a life pattern that should have nothing to do with whim.
- Taking care of your money and building wealth should become like drawing breath, and you don’t decide that as a New Year’s resolution because your life depends on it. And your life, as a matter of fact, will depend on how much wealth you build for yourself.
- New Year’s resolutions are very much about the present – what you want to do now, this year, this moment. And resolutions, often by their very nature, demand quick results. Investments are long-term, and require patience and tenacity; they operate for the future, not the short-term present of the new year.
- Investments are not a spur of the moment New Year resolution as the clock strikes midnight. They require in-depth research, considered opinion and advice, hard work, vision and careful planning.
- New Year resolutions often turn out to be big talk and little action. Investments are made quietly, with confidence, and are honed all year by a continual search for knowledge.
- New Year resolutions are a pledge to yourself – and often lost when life gets too difficult and you can just give up. They are tenuous promises that hold you to account – while your investments can be neither discarded nor disregarded. They are your anchor through every year.
Your only resolution
At Foster Wealth we celebrate the new year based on achievement and not purely on intention – although the intention to do better each year is our only resolution. Our track record is not based on whim and happy possibility – but on careful research, shrewd planning, meticulously acquired knowledge, sound experience, good judgment and astute daily decisions. At Foster Wealth you can expect professional, personalized attention all year round. Find out more about us at: www.fosterwealth.co.za