A brief personal reflection this week but meant to factor in to short-term and long-term personal and family financial planning.
In the past week I was given sad news of the sudden and far-too-soon passing of not one but two old friends. Both were in the prime of their lives with spouses and young children, working and doing good in their families, workplaces, communities, and faiths. Certainly, the last thing on my mind was writing a TGIF 2 Minutes edition about these two people.
But upon further reflection on their lives, it was too compelling not to make a statement about YOLO, or You Only Live Once, and the spending on the YOLO category. I am not certain, but it is likely that these two people lived full lives with few if any regrets. In this light, there is a strong case to be made to figuring YOLO into a budget.
All of my clients already have a rainy day, slush or emergency fund, or monies earmarked for unforeseen events. A good number of my clients also have a “FUN” bucket. This bucket is tapped into for whatever is considered “fun”, but it gets pretty practical pretty quickly: weddings, vacations, and the like.
Where the YOLO part comes in, is to make sure that the “FUN” bucket is allowed to be tapped into at least enough to, if reasonably possible, do things that will prevent future regret for not “splurging” from time to time. Or to prevent regret for not splurging at all.
Sadly, but for solid reasons, the preciousness of life is part of financial planning. A financial adviser who is worth her or his salt makes sure to spend time on hopes and dreams as well as practical goals, and, yes, the “what if I could do this one thing to make my life up to this moment really satisfying?”.
In memory of two awesome, awesome individuals and the families who survive them, be inspired to live life to the fullest – in both big and little ways – even if it takes a bit of planning, and splurging. Peace.
This material has been prepared for informational purposes only and is not intended to provide, and should not be relied upon for, tax, legal or accounting advice.