Defining Wealth
During my previous post, Demystifying Financial Planning I discussed a lot about "What" I do as a Financial Planner. Now I want to share the "Why" I do the work I do. So, when asked, "Why did you open JBY Financial Planning?". The answer is simple...
I want to make my clients wealthy!
Now before looking at me with judgy eyes, labeling me as just another "finance bro" or "stock jockey" focusing only on a hefty bank account or tax write-offs for your private plane. Let me share with you what I mean when I say the word "wealthy".
To me, money is just a minor component of what it means to be wealthy. "Wealthy", and this is not my original thought and many authors before me have stated, consists of four components…
Money
Energy
Time
Talent
Imagine these as the pillars of a strong building. A lopsided structure, built solely on money, can crumble under the weight of stress, or missed opportunities. Balancing these pillars isn't always easy. Sometimes, the pursuit of money can eat away at our time and energy. Other times, we may neglect to develop our talents while stuck in a draining job.
One of my favorite authors/speaker, Carl Richards, provides an awesome illustration HERE. To be truly "wealthy" we need to find a balance between all four components. And often when we focus on just one or two components, the others will suffer.
So, let's break these break these components down a bit further.
MONEY: Pretty simple and straight forward. In addition to all the non-discretionary day-to-day expenses, it costs money to live in the neighborhood you want to live in, to drive the car you want to drive, eat the food you want to eat, wear the clothes you want to wear, to travel to places you want to travel to and/or buy the touring van you’ve dreamed of owning. Money always has been and always will be a source of how we achieve these lifestyle goals.
ENERGY: Think of this as your inner fuel. Physical and mental energy allow you to pursue your goals, engage in activities you enjoy, and live a fulfilling life. When you're energized, you can tackle challenges and bounce back from setbacks.
TIME: There are only so many hours in the day, days in the week, weeks in a year, and years in a lifetime. Having control over your schedule allows you to prioritize what matters most, invest in personal growth, and build meaningful relationships.
Time also applies to our youth and ability to learn and build skillsets. Warren Buffett is 93 years old and has a net worth of $136,500,000,000 (Forbes). I unfortunately don't know Mr. Buffett personally, but I would bet he would exchange most of his money for an extra 10, 20, 30+ years of living. Which leads to the last component...
TALENT: We all possess unique skills and abilities. Your human capital is your most valuable asset, and honing your talent can unlock incredible potential. Whether it's writing, coding, teaching, or fixing things around the house, talent allows you to contribute to the world and create value.
Here's the reality: a relentless pursuit of money often comes at the expense of other aspects of wealth. We've all been there, sacrificing time and health for that extra paycheck.
That's why my approach is different. I work with individuals and families to create a personalized plan that fosters wealth in its entirety. It's not just about future retirement; it's about living a rich and fulfilling life today.
This philosophy struck a chord with me recently. After a particularly demanding week, my wife and I felt our energy zapping away. At a time when I should have been focusing on writing and growing this business, we packed a bag for a spontaneous getaway to our camper by the lake to spend quality time with the family.
The picture taken last weekend below of an early morning walk with my five-year-old daughter and our puppy captures a moment of pure, genuine wealth. I wouldn’t exchange an experience like this for all the money in the world. (Hear that Mr. Buffett, you can keep your shares of Berkshire Hathaway! 😊)
My goal is to help you create your own definition of wealth, a wealth that goes beyond the bottom line. Let's build a plan that empowers you to live a life brimming with energy, purpose, and meaningful connections.
At JBY Financial Planning, we don't just focus on numbers. Our goal is to partner with you to define and achieve your own unique version of wealth. Whether it's prioritizing family time, pursuing a passion project, or simply having the energy to enjoy life to the fullest, we'll help you build a financial roadmap that gets you there.