The Dangers of Average Financial Goals
What are your financial goals?
Is your goal to live a comfortable life? Is it to be financially stable? To be as wealthy as your parents?
Many people have this vague financial goal of having enough money to live a comfortable life. To not be in debt, be able to take a vacation once a year, have a nice home, etc.
I’m here to tell you that the goal of living a ‘comfortable life’ is totally and completely 100% bullshit.
It’s a dream that you’re sold at the expense of your soul (in my humble opinion).
Let’s break down the numbers and talk about what this ‘comfortable life’ actually means. Let’s say you make $150,000/year as a household (which is actually above the national average of $57,000 – $59,000/year). After taxes, paying health insurance, and contributing to your 401K, you’re down to about $95,000/year or $8,000/month.
Now let’s factor in your car payments for 2 cars ($600/mo), gas for those cars ($240/mo), rent or mortgage ($2600/mo), utilities ($325/mo), groceries ($650/mo), eating out ($400/mo), and entertainment ($250/mo). If you have student loans ($300/mo), which most Americans do, you’ll have to add that in. Plus the non-recurring expenses like gifts ($5000/year) and your annual vacation ($6000). You’re left with less than $20K at the end of the year. Have kids? Now you’re down to $0. And you haven’t even put anything in savings.
You see, once you do the math, that $8,000 a month doesn’t actually go that far. It’s barely enough to get you by, to be average and to live an average life. We’re taught that this is good enough. That to ask or expect for more is to be greedy.
When you have an abundance of money it gives you the freedom and flexibility to live the life you want and love. It amazes me how many people are tricked into thinking an average life is appealing, something to strive for, or even noble.
Why not go above average?
Take a moment to just entertain the idea. What could you do with above average money. What kind of extraordinary life could you live? Forget about being realistic for just a moment and let your imagination run wild.
Go ahead, I’ll wait.
Now why not strive for that goal?