How Inflection Points Shape a Financial Life

Each of us have just a handful of non-financial decisions in our lives that become inflection points for our financial future. Where we go to college, who we marry, where we worship, and where we live all shape our future in a myriad of ways. Because these decisions are made one at a time, we don’t think of them as changing the direction of our lives, but they often do just that.

Where You Attend School

In many cases, where you go to school directly impacts who you marry since college romances sometimes blossom into more serious post college relationships. So, your life partner, your financial partner, is often chosen because of the decision you made in the first instance to attend that particular school. Random perhaps, but meaningful nonetheless.

Who You Marry

Much of a successful financial life depends upon a cohesive relationship between spouses on money matters. This is a pretty tall order when you think about it since we all have different financial DNA from our parents that impacts how we think about money. We have different life experiences, work experiences, and all of these experiences color our money temperament. Who you marry is a huge inflection point, either positive or negative, for your financial future.

Where You Worship

Where you choose to worship also dramatically impacts your financial life. The friends you make there and the common values you share create a framework for all types of life decisions including those that are financially oriented. A word of caution. When meeting with prospective clients it is commonplace for us to find that the couple has been utilizing a “financial advisor” from their church only to find out they were just being sold inappropriate  investments. It seems common values can create a fertile environment for investment and insurance product pushers. Beware!

Where You Live

Where you choose to live, not only the state and city, but the neighborhood also can be an important inflection point for your future. A good friend and professional colleague of mine out West, lives across the street from the house where he was raised by his parents. This has meaning and purpose to him and is a foundational element in both the present and future for his family. We sometimes see this same scenario in our part of the country as well.

Your financial life is comprised of thousands upon thousands of little, mostly meaningless choices that you make every day. A few choices, however, have far greater weight and can dramatically change the direction of your financial future. Start there.

Related: Will Your Money Last as Long as You Do?