“Talk about money, enjoy peace of mind”
I was on-site hearing about Danske’s new Economic Peace for All project.
The topic was interesting and sparked a lot of thoughts in me as well.
Does money make you happy? Not necessarily, but financial independence can provide peace of mind. The Buffer Fund can even provide an opportunity to start a business, retrain, break out of a bad relationship, move abroad and thus fulfill your dreams. However, 38% of women have little confidence in their financial situation *.
Danske has always chosen the equally sympathetic Arman Alizad as his ambassador for economic peace. There was a talk with Arman about how financial peace of mind is not something that automatically occurs in high-income people. There is no income that we should not waste (except for Amazon actor Jeff Bezos, who will never have time to waste all his fists, for it is simply too much).
There is always more crap we think we need. We can always raise our monthly expenses so high that even with a high monthly salary, sweat drops will rise to the forehead in the latter part of the month. The pursuit of economic peace is not about absolute sums of money. It is about financial awareness.
Uncertainty is stressful. 26% of 18-34-year-olds do not know the amount of their monthly working capital. The longer the last time you check, the threshold for checking your account balance will increase. 13% of the population have never looked at their overall banking affairs (ie loans, credits, and savings). At that point, the threshold has grown into a wall over which it is no longer easy to climb.
And that is why we need to talk about money. With girlfriends, neighbors, bank clerks, and middle school teachers. Among the family. And especially with ourselves, and honestly. When we figure out our income and expenses, the big picture opens up. Once the basics are in order, we can come up with a savings plan, start investing and increase financial self-confidence.
According to a Danish study, 22% of Finns do not feel that their skills are sufficient to invest. Women avoid placement more often than men. But talking about money can make a difference. I wonder if those statistics are not affected together.
* The statistics presented in the post are based on the Financial Peace 2018 report prepared by Danske Bank.