Good morning, good afternoon, good evening. Depending on the part of the world you’re in. This is Jonathan Satovsky of Satovsky Asset Management. And on today’s episode of “Seeking Wisdom, Wealth, and Wellness,” I want to talk about the nature of financial advice.
Many people, when I talk to them in America, they’re like, “what do you do?” and I never really have a good answer. However, when I step back and I go to foreign places and I see how people live, the reality is that financial planning, the root of it, is helping people live a better life, helping people live a richer life, and helping people get financial freedom. And there’s a simple mathematical formula for that, which is that you basically need 50 times the amount of money that you want to spend, which is equivalent to a 2% spending rate, and you can have unlimited freedom.
But in order to do that, the mathematics, as you get older, seem hard to conceptualize. But when you’re young, if you save and invest, and you compound your money, and you have a longer-term perspective with delayed gratification and are able to see through the ebbs and flows of life, you have limitless potential.
But you need a coach. You need someone to keep you on track. Otherwise, it’s easy to fall off track. And that type of stewardship—a lifetime relationship of stewardship, is priceless.
So, that’s the nature of advice. That’s the nature of financial planning. If you don’t have one, get one. Get someone you trust that isn’t imbuing you with the anxiety of the day, but helping you see beyond the moment, toward 10, 20, 30, 40, 50 years out for a vision of a life that gets you out of the anxiety from the headlines for the moment, on your path to Wisdom, Wealth, and Wellness.
Have a great day.