Adding Plates to the Other Side
You're at the gym, using a barbell. Maybe you're squatting, or perhaps the bench press. While changing out the weights, you inadvertently add too many plates to one side of the barbell, causing the entire apparatus to become uneven. Things start to become dangerous, and if you're not careful, the whole thing could crash and injure you.
I'm feeling a bit like that today. On the heels of my Leading Kids to (Financial) Hoarding post, I received a ton of positive responses from you all: e-mails, texts, DMs, and even phone calls. Generally speaking, it was a collective "I'm glad someone finally said it." I'm so grateful!
However, I also received some messages on the other side of the ledger. Most notably, from Ryan, my friend I've never actually met...that I should totally meet....that I can't believe I haven't met. I know Ryan as an extremely thoughtful person and always provides constructive feedback. So when I saw his comment, my immediate reaction was, "Uh oh, I think I need to add a plate to the other side of the bar." In an attempt to drive my point home, I think I inadvertently added too many plates to one side of the barbell.
My goal wasn't to diminish or demean the role of saving, but rather try to redeem the value and dignity of spending and giving in a culture that ridicules them. I wanted to lift two up, not push one down.
At the heart of the matter, saving is the art of discipline and delayed gratification. It's one of the simplest, purest, and most tangible forms of it. In other words, it's a tell. If we can practice the art of discipline and delayed gratification with our resources, those characteristics and strengths can translate into virtually every other area of life.
From a more practical perspective, saving is the proactive pursuit of avoiding debt. Take cars, for example. The average new car payment in America now exceeds $700/month. It doesn't take any discipline or delayed gratification to walk into a dealership, sign the loan docs, and walk out with a shiny, new car......and a boatload of debt hanging around your neck. The disciplined and self-sacrificing act of saving, on the other hand, will lead to a significantly better outcome. It journeys us to a place where we have a greater appreciation for our purchases, make different decisions doing so, and won't impair our financial life with expensive and prohibitive payments. This same principle can be applied to virtually every other area of money:
Travel
College
Phones and other technology
Insert your purchase here
Saving is also a protection mechanism for when life kicks back. Saving up sinking funds and an emergency fund can (partially) shield us from many of life's challenges: job losses, medical emergencies, house maintenance, car breakdowns, and a number of unexpected situations.
There are only three things we can do with money: spend, save, and give. Want to know which one is most important?
D: All of the above.