How to overcome the “savings challenge”

We are living in an information-rich age. Nonetheless, there’s still a great deal of confusion about what’s true and accurate, as opposed to what’s spurious.

We know this – but there’s a further factor at work which pervades many areas of our lives as expats. I focus on wealth creation & protection. I notice that many of the expats I chat to want to do something about their financial planning, they know they really ought to, they like the advice I give them.

Yet, often they still fail  to implement.

When I ask them, they tell me they are busy, they will surely get back to me, life is hectic, you know about 2020… Many of them simply disappear from view.

The question is: why?

I am by no means a professional psychologist. I have been fortunate enough, however, to observe and interact with thousands of expats from all walks of life and virtually every country on the planet. Why do so many of us procrastinate?

There are a host of subtle reasons but to my way of thinking, the most obvious is simply that our brains are not designed to think in the medium- to long-term. We are busy fire-fighting at work; focusing on our family and friends; simply taking some time to relax. All of these activities are invariably present-centred.

So, how do we get into a strategic frame of mind and prioritise time to address the things we would rather not face?

Here’s a framework that might help:

Question: if you want to have a big strong oak tree in your back yard or garden, one that gives protection from rain and sun, and is pleasant to look at as well as strong and healthy, when is the best time to plant the acorn?

Answer: 25 years ago!

Question: When is the second-best time?

Answer: now!

What are your challenges when it comes to your medium- to long-term wealth plans?