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Unusual
Ways Newsletter
(Subscriber Access Only)
(Subscriber Access Only)
We tend to think about things the same way over and over, as though our perspective is the only valid one. This is true in money matters as well as other areas of life. For example, if you are working at a job you probably think of your income as hourly or weekly pay, or as an annual salary. It is rare that a person considers it in all three ways, let alone the others ways it can be seen.
That's a problem if you want to be more creative in how you look at money - and creativity pays. For more powerful ways to think about money, you need to get away from your usual viewpoints. You need new "money perspectives." That's what this issue of the newsletter is about.
Hourly Or Annual?
Why would it matter which way you look at the money coming into your life? A simple example or two will make it clear. Imagine if a man told you that he made $200 per hour. That might sound great until he adds, "Yeah, I spend an hour each week at the unemployment office and get a check for $400 every two weeks." That doesn't sound nearly as exciting.
Every perspective you view money matters from will give you different ideas. For example, if you think about making as much as you can per week, you might pass on a job that pays a great hourly wage, but which only offers you ten hours of work. It might get in the way of a better full-time job. On the other hand, work which can be done at any time (like some internet businesses) would be ideal, because you can fill your spare time with money making efforts.
Personally, I value time above all else. I have many things I do or would like to be doing other than work, and fortunately, my wife and can live with a wide range of income on an annual basis. Therefore, I have always thought from a perspective of flexible work time at the highest per-hour rate I can manage. This has meant a variety of jobs and businesses over the years.
Look at money issues from the per-hour perspective, and you'll see things a certain way. For example, you'll find yourself thinking things like, "It will take five hours to rearrange my bank accounts, but I'll make $200 more in interest per year. That's $40 per hour for my efforts in the first year alone." If you have work that can be done anytime, like this writing of mine, you'll figure how much income per-hour you average. If it's $25 per hour, you'll realize that you can pay $15 per-hour for a house cleaner, and spend that time saved writing, because you'll be further ahead.
Of course there are many other perspectives possible here. Here are a few:
* Looking at your income as an annual amount, you might decide that as long as you make as much money, you would like to work just nine months of the year and have three months off. Being a teacher comes to mind.
* Looking at your business income as a per-item profit, you might think of ways to sell more products, while looking at it as profit per-hour you might consider raising the prices to sell less, work less and make the same amount.
* Another way to look at your income is as future income. What will you be making in ten years? This will have you thinking of investments like real estate, or starting a business.
* You can also look at income in terms of what it will buy. In this case, you might consider a move to a town or country where your income will get you more of what you want. A job at $12 per-hour in some towns may actually buy you a better life than one at $18 per-hour in more expensive cities.
Motivation-Based Money
Perspectives
Why do you want to make money? Is there another way to accomplish the same thing? When you look at your financial life from the perspective of why you choose to make money, it get's you thinking of the ways you make your income and even the alternatives to making more money. This is hinted at in the last item above. If you need income for a certain lifestyle, and you can buy that lifestyle for less, you may no longer need to make more money. What are some other motivations?
* To have a dream life? We get sucked into the dreams which require more money. Then, when we have more, we are not as thrilled as we thought we would be. In surveys, most people think they would be satisfied if they made just 20% more than they do. Of course, this means the ones making 20% more want another 20%, and the ones making more than them... you get the idea. No one seems to be satisfied with what they have. More money could be very useful, but perhaps only if we already know how to use what we have in better ways.
* Security? If you want more financial security, there are certainly other ways beyond an ever-increasing income. After all, many a rich man has lost his fortune. Perhaps even on a lower income you would be more financially secure with a smaller home (smaller payments) and fewer debts. Regular small investments might also make for more future-security than regular pay raises.
* To pursue you interests? Often people get stuck in the mentality that they will someday make enough money to do the things they want to do. If you recognize this motivation, you can start to explore how you might start following your passions now. The money becomes less relevant then, and you may even find a way to make money doing something you enjoy.
* To make your family happy? If this is the reason you work hard and try to earn more, you might question whether it is effective. If you are making yourself unhappy and working too many hours, is it possible that you could cut hours and expenses and have a happier home? Or if more money is really needed, could the whole family get involved in an interesting business?
* For power? Some people certainly equate money with power, and to an extent that make sense. But this begs the question of why power is wanted? To make one happier? Does making more money make one happier? Possibly, but only up to about the average income according to the research. Beyond that it seems that the pursuit of money for its own sake or for power just leads to more stress. (Note that getting rich isn't the problem, but the motivations can be.)
* Just to survive? Some people may pursue money just to pay the bills. They may have cheap or free interests, like reading, spiritual pursuits, or writing poetry, so all they need money for is the necessities of life. In this case it would make sense to look at the easiest ways to honestly earn a livable income, without regard to future prospects or creating financial wealth.
There is a question you can ask yourself to generate new money perspectives:
What would you do or buy if you had unlimited money right now?
This is a way to explore what is truly important to you. Money, after all, has no value other than what it can be traded for. When looking at what you would do if you had an endless supply, you can start to find ways to move towards those goals now. You may not need as much money as you think when you start now to pursue the things you value instead of hoping to get rich someday in order to buy them all then.
Note: This is part of the "Unusual Ways"
Newsletter.
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