Expat Financial Advice | Wealth Building | Financial Behaviour

Week 18: Marriage, work and funded contentment

Written by Sam Instone | 06-May-2021 10:11:01

This week, my colleague Stuart Ritchie was invited to talk to The National about financial advice for newlyweds.

What’s important for a healthy, happy relationship with money?

More on this topic below, along with a few more interesting reads of the week.

Let’s start with marriage (and family).

Experts say transparency is the cornerstone of any successful relationship – you should be as honest about your finances as with everything else in life. You can read the full article in The National here.

This, of course, comes in the week where we learned billionaire Microsoft co-founder Bill Gates and his wife, Melinda Gates, announced they would end their 27-year marriage.

With an estimated $130 billion net worth, this piece talks about how they plan to split their wealth which seems to be well thought-out..

Interestingly, American Express found that over 90% of couples consistently defer talking about money to their partners and kids.

Why is “money” such a thorny subject? Money skills are rarely taught in schools so it’s up to parents to teach their children how to value and work with money. This article shares some fun, simple ways to introduce finance to your child.

A few weeks back I spoke about legacy.

Most of our clients wish to help their children and grandchildren financially and to keep that assistance as equitable as possible. Some may need more, others less, and those needs can change over the years. Here are a few ways parents and grandparents can efficiently provide money and support to their kids and grandkids, without jeopardising their own financial security or family harmony.

Onto work. For most of us, financial security comes from hard work. But what exactly is work?

This piece says that to have a successful retirement, you need to start with a proper understanding of work.

What is it about work that’s rewarding that we never want to lose?

And, once retired, what is it about work that we want to eliminate?

As the author sees it, work provides five meaningful rewards.

Finally, in case you missed it, I spoke about the millionaire mindset in The National’s latest podcast this week.

But what exactly is the millionaire mindset and how do you manage your money like a millionaire?

I am really focused on Brian Portnoy’s idea of funded contentment, or the ability to underwrite a life that is meaningful to you (as this is accessible to all and not purely a measure of net worth).

There is so much cutting-edge research on this area (looking at happiness and mindset) that can help people live more meaningful lives, as well as make better decisions (financial or otherwise.)

You’ll hear my insights here.

What is your relationship with money?

Whether you know it or not, you’re shaped by your experiences when it comes to dealing with money. Most ‘normal’ people slowly build wealth over the course of their lifetime by periodically saving and investing over many years. This gives you time to adjust as your income and wealth grow over time.

People who come into fast money, however, don’t have that same adjustment period. While it can be fun to dream about, this article shows that not everyone can handle everything that comes with it.

 

A question for you:

What can you do today to help you behave yourself to wealth and not misbehave yourself to poverty?

 

This week's meditations

"Far and away the best prize that life has to offer is the chance to work hard at work worth doing."
- Theodore Roosevelt


"Whenever you are stuck searching for the optimal plan, remember: Getting started changes everything."
James Clear

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Have a great weekend and enjoy the ‘light’ reading! 

 

Director of Wealth Advice Stuart Ritchie's thoughts in 'Marriage and money: Top tips for newlyweds to find financial bliss'

Yahoo Finance's article 'Bill and Melinda Gates already decided how to divide wealth: Divorce is not something to waste money on'

Anna Attkisson for Parents: 'Teaching Kids About Money: An Age-by-Age Guide'

Wealth Management's 'Playing Fair with Family and Money'

Joe Kesler in Humble Dollar: 'Secret Sauce'

The National's Pocketful of Dirhams episode with Sam Instone 'Who wants to be a millionaire?'

Ben Carlson's 'Overnight Millionaires'