Last week,
I shared the story of our first attempt at financial planning. Although this
was a valuable lesson, it did not contribute to our early retirement. However, the
lessons learned did get us to where we are today. I attribute any success we’ve
had to this early education and the following five things. First, our parents,
who showed us by their examples what being financially responsible meant.
Second, being a very young family with very limited resources taught us how to
live modestly. Third, an old friend who, when I asked him for financial advice
a long time ago, simply said pay off your debts, short term first, then long
term. Fourth, the book The Wealthy Barber and author David Chilton, who
explained, among other things, the magic of compound interest. Fifth, two of
the most incredible women we have ever had the pleasure to know. These ladies
were/are our personal bankers at TD Bank. When we were ready, both personally and
financially, to build our plan, they took us by the hand and started walking us
through the process, step by step. We are forever grateful to both. More on
them later.
After the
Investors Group fiasco, we became very tainted by the whole financial planning
industry. Over time, as we got older and gained more life experience, the sting
dissipated. Well, it did for me. Fortunately, to keep me grounded, I had a
secret weapon, my wife. She has inherited a long-standing family tradition. She
doesn’t forget. As a couple, we complement each other. In my younger years, I
was the sucker. If it sounded like a good idea, I would be first in line to
take the bait. Her extreme sense of caution would be the virtual slap upside
the head I needed to snap me out of the dream. I am thankful for the red flags
she has raised and, looking back, I wish I had paid attention to a few more
than I did.
Securing
your financial future is important and it is not my intention to devalue all
planners. In fact, I know a lot of people who have had great success working
with some very astute professionals. We understand now that the money we were
investing was not enough to get an invitation to the group of highflyers Fred
was attracting, so he handed us off. From a business perspective (that I did
not have forty years ago), I get it. But it still stings. Truth is, we did not
have the disposable income at that point of our lives to be in this game
anyway, so I guess the outcome was a blessing in disguise.
Nex time,
I’m going to write about the best investment we ever made and how it
contributed to the life we have lived. Hope you can join me.
