FYI: I believe that one of the most critical components of financial planning is the delicate, ongoing balance of living in Today while planning for Tomorrow.
A few years ago, I was on a seesaw with two of my young sons – them on one side, me on the other (go ahead and judge my lack of parental safety).
Obviously, things weren’t balanced. My side would come crashing down onto the half-buried truck tire, until I’d push up with my legs to swing things to the other side, where the boys would laugh hysterically at the hard bounce they would then receive. Eventually I’d find the proper amount to push off with, and keep the plank somewhat balanced, before I’d need to make some more adjustments.
During this playtime, it dawned on me this is how real financial planning works – finding the balance between Today and Tomorrow.
On one side, you have people who only live for Today. Not thinking of Tomorrow, they allocate almost all of their income and resources for the present.
On the other side, you have those who only live for Tomorrow. Not thinking of Today, they allocate almost all of their income and resources for the future.
A right balance is somewhere in between – enjoying Today while planning for Tomorrow. And there’s no magical, universal formula, spreadsheet, or ratio to figure this out. It’s entirely subjective to each person and family.
Regards,
Ted
https://calibratingcapital.com/today-vs-tomorrowland/
