Extend your financial lifetime so that you continue to control it

Time is our most important, most valuable resource. The time we don’t have is limited to the maximum. It is very interesting to see how different methods we define. Average people from January to December think about annual periods, companies have quarters, and students have semesters. The question arises of the need to extend or shorten the time spent on your finances? Would you rather focus on larger units or focus on small ones?

The value of time

The value of time

Make a bank account where every day you get $ 86,400 in your account!
This will not stay tomorrow. It is reset every night, whatever you use during the day.

So what can be done?
Of course, use ALL!

We all have such a bank. This is the time.
Every morning we are 86 400 seconds richer.
It is reset every night, lost, whatever we used to reach our goals.
It never remains in balance. There will never be more than a second.
Every new day opens a new bill and burns the rest every night.
If you fail to use it, the value of your current deposit will be lost. You never get it back. Not signed next day.
You have to live in the present, using today’s deposit.
Invest to make the most of your purchase.

To understand how much a year is worth, ask the student who needs to be repeated.
To understand how much a month is worth, ask your mother who brought the baby to the world.
To understand how much a week is worth, ask the weekly editor.
To understand how much an hour is worth, ask the lover who is waiting for the meeting.
To understand how much a minute is worth, ask the passenger who missed the train.
To understand how much a second is worth, ask the car who was unable to avoid the accident.
To understand how worth a tenth of a second, ask the athlete who won the silver medal at the Olympics.


The trap of the five-year period

The trap of the five-year period

Older people can remember the five-year plan management. It is no coincidence that, at any time in the last 20 years, we asked a Hungarian who did not own a property when he wanted to own a home, and then, without exception, everyone replied “within 5 years”. This is certainly a practical reason, as statistics show that an average Hungarian, with his average salary , can collect the entire purchase price for his own home in Pest County in 10.5 years .

This is a sum that is not necessarily extended to thousands of units, as it would be the beginning of an endless journey. Instead, it is a “more pleasant” feeling to think that “I have one or two times over the 5 year plan” and then I reached the goal. In Hungarian, our brains are deceived by not wanting to solve the problem in 5 × 365 = 1 825 days packed in 1 825, but in 1 × 5 years as one single task.


The problem begins with the fact that the five year plan is not the solution to everything


If you want a car, you’d like it in 5 years

If you want a dream holiday, then no later than 5 years

If you buy an expensive computer, you take it for 5 years

If you buy an expensive pair of shoes, then “for 5 years it will be good”

So the 5 years is a universal timeframe, with one of our problems with extremely few components, amazingly sprawling over the years, because our brains do not have to solve 1 825 tasks, but concentrate all the time within that timeframe!


Notice that we are limiting our opportunities and stressing ourselves completely unnecessarily, which ultimately turns into total indifference due to inadequacy (giving up our remaining years and abstaining). Who’s 30 years old is now over 6 periods. There are still 7 periods remaining from his active years.

Of course

this is not the 7 period, as who would dream of reaching the peak of their own preferences at the age of 50, such as their first home. This is how the 3 active-upper periods disappear from the active years based on this logic. Since we don’t have the money to start now, we’re starting to have a “5 years from now, we will have our own apartment project”. So the next 1 period has also been lost in self-realization.

What’s left for us?

A total of 3 periods in our active years when we wouldn’t be disappointed yet. We are talking about the age of 35-45 years. And then you are thinking about retiring at the age of 45, rather than going for a 20-25 year loan. So we managed to take another 5-year period from the formula. We narrowed down our options to two, ie 2 options.

Of course, at the age of 40, it would be right (based on our own preferences) to sit in a normal car and at least once a year to go on vacation. So the housing project can be more difficult to implement here, so the really suitable timeframe is really “ my own home within 5 years”. With this calculation, we narrowed our chances for ourselves to an option that, if we omit, ends life and begins a period of vegetation and compromise, that is, deriving our lives…


It is worth managing the timeliness of goals dynamically

Think about what if you were thinking about quarterly cycles? In fact, you would have 320 periods throughout your life, which means you have much more mistake than you currently have for yourself. It sounds good, of course, but I firmly believe that spending on your home or similar financial unit would be feasible on a quarterly basis. However, planning a vacation from a financial point of view can be excellent for quarterly purposes (for example, I’m pulling my belts for three months now and saving my vacation).

The goals should be placed in one of the 5 categories above, so we have successfully defined our time frame. So, for example, a cinema could fall into category 2, while a car purchase would go to 5th. At the New Year, a typical weight loss vowel can clearly fall into category 4. We also need to handle these categories flexibly and define them individually. What we should pay attention to is not to change the categories constantly, because then nothing is worth it.

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