Personal Financial Responsibility

I read yesterday’s article after the passing of a relaxing weekend and realized that it’s time to regroup and reframe my message. I have learned that negativity, however well-justified, is not helpful. So here goes with a more positive approach: I invite you to join me in a campaign for personal financial responsibility.

I don’t know about you, but when the world is awash in forecasts of doom and gloom, I find comfort in knowing that I can take care of myself. Recession is a heavy word that needs an equally weighty counterpart. Well here it is: YOU! You have the power to control your financial destiny, regardless of your station in life, but only if you choose to do so.

In fact, your employer can’t do it, your parents shouldn’t do it, politicians will never do it and the market surely won’t do it for you, but you can make personal financial responsibility a driving force in your everyday life. It starts with the recognition that you must address your financial issues head on—no more waiting until a better time (after the holidays, after tax season, after the summer); rather we all must come to see that this process must start right now!

And when I say that it does not matter where you are in your life, I mean it. Think of it like making the decision to go to the doctor for a physical. Some are in perfect health, others are ailing and some think that they are healthy, but they aren’t. Still, we all need to measure where we are and develop either a maintenance plan or a prescription to help us get better. So too with your financial life: you may feel like you have nothing or that you can manage the money yourself, but the development of a plan to help you get where you want to go is key to fulfilling your goals and the process is quite empowering.

Once you have the plan in hand, chances are it will force you to focus on a basic fact: to reach any of your goals, you will have to contribute regularly and faithfully, sometimes at the exclusion of doing other “more fun” stuff in the short-term. But in an industry where promises are nigh, I promise you that if you make this choice and forego a tiny bit in the short run, you will find that retirement is not a lofty vision in the distant but a reality that you can create for yourself.

Here’s another promise: I will be there to help shine a light when the fog rolls in and you can’t seem to find your way. Make no mistake about it, there will be hard times—recessions, market crashes, lay-offs, tax law changes—but through all of these temporary situations, I will try to point out opportunities that will help you be more successful in the endeavor. Can we together try to remember that the goal is not to beat the market or live in a larger house than your neighbor, but to get you where you need to go with the least amount of risk possible? My guess is that if you can focus on personal financial responsibility, you will feel more in control, empowered and never, ever victimized. So let’s get going, stop whining and make something great happen for you!

Thanks to my friend Wally, who inspired this concept and reminded me why I do what I do…