ISSUE – Instant gratification is only an issue when it supersedes all else, the outcome of which is inevitably living day to day. People who live day to day will usually become reliant on a benefactor. The state, the family or varying organisations. People who live day to day are also likely to be manipulated by – the benefactor. Often the same people but others enter the picture – employer, landlord, bank, finance company, ‘friends’, online trading, retail consumables, utilities, casino, race track, credit card company. The weak of mind are susceptible to influence and the ‘marketers’ know it. Temptation abounds.

We all know the problem exists because we either possess the trait ourselves or know someone else who does. For some it is food, for others materialistic, for some it’s an addiction such as gambling or drinking or drugs, and others, simply spending. Money burning a hole in one’s pocket. Some people can’t walk past a bargain or a two for one offer, some justify and rationalise. ‘We need a new people mover, the kids will be safer’ ‘our washing machines old’ ‘the motorbike will give me a new lease on life’ ‘going to the pub with the boys is a hard earned right’ ‘I really do need to upgrade the wardrobe’ ‘we haven’t upgraded the car in over 3 years’ ‘the cellphone came with a great monthly deal and unlimited texts’ ‘the bedroom suite has 24 months interest free’ ‘we used our Air Points’.

We also know that behavioural habits with money, health or relationships will ultimately determine – the journey and the destination. In other words our life and our lifestyle is the measure of combined daily decisions and daily disciplines. The accumulated affect of what we have thought and what we have done up to today. Or what we have allowed others to do to us, up to today, without realising who is in charge of our destiny. We may have thought the purchase or habit or occasion would make us feel good or make us feel better. ‘we can buy a moment of happiness’ only to slide into a bout of anxiety or depression – when reality demands payment.

RATIONALE – why is it in such a wonderfully ‘free’ and democratic country we can experience such high proportions of bad outcomes. High suicide rates, child beatings, depression, chemical dependency, alcoholism, obesity, diabetes, cancer, personal debt, government debt, divorce, solo parents, welfare fraud, disproportionate crime and justice participation. If we don’t lead the world in these experiences we are certainly nudging for medals in the top three.

If it weren’t so serious and dysfunctional you would almost laugh and brush off the commentary as obviously a deluded mind or representative of some Central American or African country. Somewhere, where the leadership was corrupt, the bureaucrats unaccountable and the justice system run by the crime syndicates or the inmates.

Perhaps we think it’s really not that bad. I’m ok Jack. We have a nice house, two cars, the kids are in a good school. Sure, we are both working, a bit tired at night, need the weekends to recover. Or we have a good time whilst we are young/youngish and will get more serious about stuff in our later years. That other stuff you are talking about – health, money, relationships, is not an issue with us at the moment.

And that’s the problem. It is an issue, it just hasn’t manifested yet – but it will. The law of cause and effect is unrelenting and inevitable. We suggest you seek guidance sooner rather than later.

Recommendation

1. Enjoy instant gratification but balance it with programmed long term goals
2. Fund both with automated savings – money for now and later
3. Build a cash reserve – use it but replace it and maintain it
4. Programme and plan for the three must do’s – pay off the house, replace income in retirement, educate the kids
5. When you budget for the long term you can spend in the short term without recrimination
6. Set mutual goals, together – write them down
7. Measure your health regularly – at lease bi annually, and take advice
8. Have a ‘good time’ fund, use it regularly and however you like
9. Pay cash for non income earning purchases (apart from your home)
10. Start investing sooner rather than later – in growth assets
11. Read a little positive stuff every day – and have an opinion
12. Work at your passion and be passionate about your work
13. Live life on purpose not through someone else’s purpose
14. Offset risk by insuring assets and income
15. Think about our society and do someone a good turn – every day
16. Big decisions require logical and rational thought – don’t let emotion prevail
17. Always know ‘the numbers’ – set financial expectations and monitor at least annually
18. Market volatility is not risk – buy in gloom sell in boom
19. Market declines are temporary – inclines are permanent, have ‘faith’ in the capitalist system
20. Common sense and education will determine income but financial habits will determine wealth.