Life can be unfair.
Why am I not born into a super rich family?
Why am I not born with super model good looks?
Why am I a peasant?
Oh, did I hear someone say it is unfair that this peasant is relatively wealthy?
Is it unfair that I have what I have today?
Well, in a way, it is.
I am being honest when I say luck plays a part in life.
However, if the sour grapes just focus on when and how I have been lucky, then, they might have to stay sour or even turn bad.
Why do I say this?
Life is also fair because, unless we are very unlucky or lucky, we are rewarded or penalized for the decisions we make.
Remember the three P words.
Prudence in personal finance means not spending more money than we make.
If we are more prudent than most, all else being equal, we will save a big part of our income.
Being prudent, we will keep our needs simple and our wants few to avoid wealth destruction.
Pragmatism in personal finance tells us not to complain that the system is against us.
Feeling sorry for ourselves is rarely helpful.
Instead, we should see how we could make the system work for us so that we are more successful in wealth creation.
Patience in personal finance is something, unfortunately, many do not have.
Patience is required for most of us to save a substantial amount of money, patience is required for compound interest to work and patience is also required to build a portfolio of investments that generates meaningful income.
Being patient avoids wealth destruction as we delay gratification.
Being patient helps in wealth creation.
For any peasant (i.e. an average person) who wants to be wealthier, being prudent, pragmatic and patient can hardly be wrong.
Related posts:
1. The secret of my success.
2. Impressive but am I lying?
3. AK is showing off his CPF.
Hi AK,
ReplyDeleteI liked how you talked about Pragmatism and felt it applies to life as well. Coming from a poor family, I blamed my parents for the environment they grew me up in; feeling that one can "easily" be capable if nurtured in a positive environment because they have less obstacles,struggles and worries. You know the feeling when you see your peers working less as hard and ending up at same or better places (such as the luxury of studying full time or overseas, rich kids traveling to Europe while the poor works part-time etc.) Finally after so many years, I finally came to senses to stop this negativity and blaming. And I believed that is called being pragmatic as a start.
Hi F88,
ReplyDeleteIf we are born whole and healthy, without any physical or mental handicap, we can make our own fortune in life. Of course, it doesn't hurt to have some advantages in life. I know what you mean and it is not easy to stop feeling the way you did but you did. I am glad. :)
My Shi Fu AK
ReplyDeleteFully agree what you said. I will forever remember the 3Ps
Hi Holly,
ReplyDeleteThey will help to make anyone's life better. :)
The 3P also applies to a country financial management.
ReplyDeletehttps://www.todayonline.com/world/we-cannot-afford-malaysia-pushes-back-chinas-big-projects
Corruption along with big spending.
Hi RayNg,
ReplyDeleteI am sure they do. ;)
Philosophy is the bedrock of all knowledge and will guide all our actions in life. :)
Peter Somtam says...
ReplyDeleteThere are 2 side of camp.
One group trust and want to put more to the max and other wanted to take out whatever it is as they do not trust CPF
As the author had mentioned again and again what is the purpose CPF and CPF life.
We should have the 3 P which the author had mention many time.