Recently, Dallas was talking to his father-in-law who is a personal injury lawyer like Dallas’s wife. They were comparing professions, discussing interactions with clients and difficulties that sometimes arise. One of the things they discussed was medical negligence – that is, where a medical professional has made a mistake or given the wrong diagnosis. Whether or not a medical professional was wrong can be a bit of a grey area, whereas a medical outcome speaks for itself – that is, if you go in for a knee surgery and come out with your shoulder bandaged up, you know something’s gone very wrong. This is probably why surgeons will confirm multiple times that it’s your left knee!
This example is very specific, but we are using it to illustrate the fact that any outcome relating to your health is usually quick. That is, if you get the wrong operation, you’ll know about it fast. If you eat and drink ‘til the cows come home at Christmas, you’ll know about it as soon as you stand on the scales.
But with financial decisions, the complete opposite could be said. The decisions you make now probably won’t have an outcome for five, ten or fifteen years – making it difficult to see what you are doing right, and what you need to change.
Due to this, it can be hard to make good financial decisions because positive outcomes are such a long way away. And likewise, you may not know the impact of a bad decision for years to come.
We encourage you to trust your instincts when it comes to your money, and just as you would with your health, seek a second opinion if you think you need to. Trust that gut feeling!
Financial Advisers can’t offer you any health advice (and that’s to your benefit!) but can offer a second opinion on your finances, regardless of whether you have a financial adviser or are doing it yourself. It’s easy to think we are on the right track, when often we are not. Your financial position is like eating well – you won’t see results right away. It’s not fun, nor easy, to cut out all the bad food all at once. It’s not easy to get on the right track with your finances immediately, either – but if you start to make small changes now, you will see long-term gain.
Our main advice is: always remember to think long term. Short term pain for long term gain.
