Recently, someone recommended I listen to the You Are Not So Smart podcast.
I gotta say, it’s pretty good.
I don’t agree with everything the host and guests say and some of the podcast titles I’d have named differently, but… overall, some very valuable lessons which can be applied to your own finances if you have eyes to hear and ears to see.
Here’s what I mean:
Occasionally, someone will tell me something like “I can’t afford to save any money.” And in nearly every case, I find that the reality is they have plenty of money to save.
Sometimes the issue is they refuse to make saving money a priority (and they know it but won’t admit it). But… sometimes, it’s that the individual is psyching themselves out. They don’t even realize it. They don’t see it.
I’ve had folks write out their budget right in front of me, stare at their own writing, and… even though they had plenty of money to save, these folks swear up and down (SWEAR, I SAY) that they have nothing and that they are poorer than a church mouse on Monday.
When I point out that their income far exceeds their expenses, they STILL insist they can’t afford to save. They say they don’t see how it can be. They don’t believe their own bank account.
This sort of thing is explained by the strange phenomenon of confabulation. Confabulation is essentially a psychological phenomenon where false memories are implanted in an individual, either by themselves or someone else. These false memories become reality for the person… even though they are ACTUALLY fake. Most of the time, there is no intention to deceive oneself and the fabricated memories really do seem real.
The “cure,” so to speak, is intense focus on reality.
Anyway, if you want to shake off your own doubts and get serious about saving money, go read my life insurance buyer’s guide: