The application of an investment framework and structure to wealth creation is important, however it is worthwhile remembering that the vision for investing is more about a person understanding their own values and what it is that makes them happy and fulfilled individuals.
In an Australian Unity Report titled ‘What Makes us Happy’, a Golden Triangle of 3 elements for happiness is outlined:
– Strong personal relationships
– Financial Control
– Sense of purpose
The research shows that it is a balancing act, as any single element in isolation is not enough to achieve overall personal wellbeing.
Closeness and support from people who remind us we are loved and valued provides us with the emotional resources to deal with life’s messier moments.
The power of money to impact our wellbeing lies in its capacity to alleviate stress and provide an environment that makes us content and secure, and while income up to $100,000 can be directly linked to wellbeing after that money and wellbeing become less intertwined.
Awareness of what we care about most provides us with a compass to achieve a sense of purpose. Is it a job that provides not only financial security but also an opportunity to make a difference and help other people? Is it volunteering at the local surf lifesaving club? or deciding to invest either time or money in your children’s or grandchildren’s education?
As noted, it really is a balancing act that can lead to internal conflict if we make decisions to enhance or favour any of the above elements over another. An example of this may be having a strong sense of purpose to create a beautiful garden while neglecting the fact that doing this everyday may not provide us with the required income to achieve financial control. Or accepting a highly paid position that requires a lot of travel at a time of our lives when we may wish to spend more time with family.
At Income Solutions we embrace a financial planning process that ensures that the creation of wealth reflects not only financial goals but also an individuals’ sense of purpose and values, leading to a more comprehensive approach to achieving not only increased financial security but continuing personal wellbeing and happiness.