“Net fulfillment over net worth” — this is the thesis by author Bill Perkins. But is it realistic goal or meant for just the privelleged or those living in First World countries?

Quotes

Staying the course instead of making bold moves feels safe, but consider what you stand to lose: the life you could have lived if you had mustered the courage to be bolder.

Everyone’s health declines with age. Wealth, on the other hand, tends to grow over the years as people save up more and more. But worsening health gradually constrains your enjoyment of that wealth as more and more physical activities become impossible to

Elizabeth Warren came up with the popular budgeting formula called the 50-30-20 rule. 50% for what you need to live, 30% for what you want to spend on and 20% to save.

Many economists, on the other hand, think that thrift among young people is generally a bad idea.

So, clearly, people who, back in their working years, would have said they were saving up for retirement are not actually spending those retirement savings once they reach retirement. They are definitely not on track to die with zero.

… as his wealth grew, his leisure time seemed to diminish. He seemed to think that if he made more money, he could then do more—but in truth, he wasn’t doing more.

Living on a shoestring when you can afford more deprives you of those experiences and makes your world smaller than it needs to be.

Death wakes people up, and the closer it gets, the more awake and aware we become. When the end is near, we suddenly start thinking, What the hell am I doing? Why did I wait this long? Until then, most of us go through life as if we had all the time in the world.

Lessons:

1. Experiences are valuable. We should spend money on experiences.

2. When we spend our money is important – if you leave everything to enjoy till your later years, you may not be healthy enough or mobile enough to enjoy what you want, such as exercise, travel etc.

3. Your memories are your most treasured possessions.

4. It would be more useful to give your inheritors your money earlier, when they can enjoy the morning better.

Criticisms:

1. Only well-heeled people can really appreciate this book. Those who are living paycheck to paycheck will scoff at his recommendations.

2. He shares an anecdote about a friend who borrowed a high-interest loan from a loan shark to travel the world at a young age. He says his friend’s decision to travel the world at a young age was right – I don’t disagree with that, but getting debt to do so? I disagree – debt can set you back for years if not decades if carelessly taken.

3. Good philosophical ideas but thin on how to apply these ideas.

My thoughts:

Boy does this book ramble on and on and on. It should have been a blog post.

However, this book validates what I’ve done with my life. For example, I could’ve gotten a high-paying job instead of becoming a journalist, a profession not known for financial rewards. But I enjoyed the experiences that came along with the job. I travelled the world, got to meet famous people and lived through amazing experiences. While my journalism career didn’t fatten my retirement funds, it gave me a wealth of memories, experiences and friendships.

Me quitting a job I love, leaving Malaysia to move to Australia and retraining as a healthcare worker was a financially risky thing to do. And, honestly, my retirement fund and savings have suffered for it. However, I can look back on it and appreciate the fact that I’ve really lived my life and have done what many people wouldn’t do!

Yes, there were times when I wondered whether I should’ve done the financially smart thing — invest in a financially rewarding career, stay in that lane until I’m an expert and get a job in a corporation, earn five figures per month by 30. But I think I did the right thing to take the risks I did, to live life instead of prioritising my retirement fund.

But in all things, there must be balance — we need to know when to pull back on this need to “live life” just as we need to know when it is “enough”. Knowing this is the tricky part.