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I can’t take credit for the headline here. Actually Jonathan wrote it for my section of My Money Journey. I like it so much I use it on my blog too.
It articulates one word to me – responsibility, in this case financial and related matters.
We talk a lot about financial literacy and the lack thereof, but I don’t see even that as preventing basic prudent decisions about, saving, spending.
My grandson came home from high school yesterday and told his father the teacher in his financial management class told them to always spend on themselves first. At first my son was shocked until he realized my grandson was being funny.
The real message from the teacher was always save first before you spend your money. It’s a good habit I have followed all my life even when the saving part was only the change in my pocket at the end of the day.
I maintain that all but the truly poor at the economic bottom can follow this strategy relative to their income. The idea is to get into the habit and grow it as income grows. When I was working and received a raise I increased savings a bit each time. It may have been in the 401k or the amount for savings bonds or stock purchase plan by $5.00 a pay day, but always something.
Many mutual funds don’t require a minimum purchase so there is plenty of opportunity.
There are many things we can’t control, but if we are prudent with the things we can, life today and tomorrow will be better.
I agree I shouldn’t judge. But I also have zero patience for people in self-created situations that complain and blame the world: the boss, the “boomers” who had it way better (ha!); the other side of the political aisle and everyone else except the guy/gal in the mirror. Nothing is ever their fault.
The taxpayers who didn’t go to college or who worked to paid off their own loans should pay theirs. They should be able to skip exercise and overindulge on bad foods, while enjoying unlimited free health insurance that also includes generous copays and benefits. They dismiss 401ks and planning for the future while filling social feeds with trips and shiny things, then are angry that social security isn’t enough to live on.
There’s a HUGE sense of entitlement that we must stop indulging. I promise not to judge others’ poor habits if they promise to stop blaming the rest of the world as their default reflex.
I agree that we shouldn’t judge or impose our thinking on others, and that this concept of saving for retirement is relatively new to the history of man. I’ve read this post several times and I’m not getting the vibe that people are being judged.
My experience with this issue comes with time spent as a union rep and a driver-salesman working on a beer truck. Prior to 1988 we had a 401k that had no employer contribution, and a separate defined contribution pension funded with about $1 per hour.
I was passionate about negotiating a company match to the 401k. Delivering beer is a brutal job, it’s common for physical maladies to force early and unwanted retirements. I argued that it was in everyone’s interest to increase savings so that drivers could retire before becoming disabled and becoming a workers compensation liability for the company.
The companies wholeheartedly agreed and gave us a 50% match up to $2k per year. Drivers were earning between $60 and $90k at the time, good money in a low cost of living city. It was common for guys to have nice homes, nice cars, boats, snowmobiles, and etc.
I did my best to educate people. I’d even do the math so their % got them at least the maximum contribution from the company.
Often times my efforts were in vain, and I suspect that Quinn’s experience as an HR guy was similar.
You are absolutely right. Nobody is being judged, just relating the reality of peoples irresponsible behaviors. People can be influenced by their environment, but we grow up and exercising personal responsibility is required – except for the few, no excuses.
My experience over decades is as you describe but worse because it included 401k, pensions and health benefits.
Not everyone has bad genes as an excuse and it was easy to become frustrated with the lack of responsibility in their own interest after time and effort to educate, advise over and over.
We offered training, financial advice and planning – all types of services free. We tried to include spouses and yet very few workers wanted to take the time for their own benefit.