10 Reasons to Continue Procrastinating and Not Worry About Investing Now Positive Returns
Are you currently investing? If so, good. If not, are you hiding behind any of these reasons?
1. You actually believe Social Security will be around for anyone under 40
I've got bad news for you. Social Security will be dead by time you are old enough to receive it. Why?
The whole system is just about bankrupt (some say as early as 2017). This is simplified but there are
several factors involved in this problem.
1) The baby boomer generation is too big compared with the generation that follows it. There will be more
people receiving benefits, while fewer people pay into the system.
2) People are living longer than ever meaning that they receive benefits for much longer than the system
was originally set up to handle.
3) Wages in the U.S. are not increasing as fast as they did in the past which means that less money is
being collected and going into the system.
2. You want your quality of life to drop dramatically when you retire
Retirement years are often called the "Golden Years" where supposedly you get to travel, hang out with
grandkids, and enjoy life. Generally speaking, those things cost money. Given that pensions and Social
Security will be non-existent, where will that money come from? If you guessed "me", then you're on track.
Without investing for your own future your quality of life stands to drop dramatically just as you should have
the time and freedom to enjoy it. There is no reason to get caught off guard.
3. Working until you die is something to which you look forward
Having a job you love and would be willing to work forever is everyone's dream. However, you must
consider that other life circumstances will make it difficult, or even impossible to work your entire life. The
company your work for, or started, could fail and you could lose your job. A loved one might fall ill and need
constant attention. You could get sick and be physically or mentally unable to keep any job, much less the
one you had prior to getting sick. Being able to work into your retirement years is great - having to work in
your retirement years is not great.
4. You believe the world, or your life, is going to end very, very soon
If you truly believe this, why are you wasting your time looking around my site? Go have fun!
5. Being dependent on your children or grandchildren sounds like fun
I probably do not know you, but I'm willing to guess that you do not want to be a burden on others,
especially if it is because you did not plan your own finances properly. Frankly, asking your children for help
financially must be an extremely embarrassing experience. Avoid it.
6. You will become a millionaire by starting your own business
While I do not speculate on your abilities to run a fantastic business, the numbers out there on business
failure rates are not pretty. Having a profitable business is difficult (but worth the effort in my opinion) and
the statistics on becoming a millionaire by starting a business are downright disheartening. That being
said, if you are in the process of starting/growing/owning a business, investing will not hinder that effort.
You can do both and have your investments as a safety net should one be needed.
7. You will inherit from a wealthy relative
Really? Want to be friends?
Seriously though, that is great if you are in that position, but most of us are not. While we may get
something from our parents or another relative, it 1) will not be much and 2) is by no means guaranteed. So
given that most of us stand to inherit very little, I conclude that banking on an inheritance is not a good plan.
I won't even mention how people who build their own wealth are happier than people that are given money...
8. You play the lottery and plan on winning one day
Really? Want to be friends?
If you do play the lottery, this may hurt to hear, but playing the lottery is a waste of your money. You aren't going to win. Did you
know that some studies show that the lottery is played disproportionately by poor people? Want an easy
way to stay in a difficult financial picture? Keep playing the lottery and expect it to return the money you
have spent into it.
9. You can "catch up" later when you have more money
Some basic principles of math are going to argue against you.
10. You believe that today is the only day that matters
What, are you 8 years old? If so, cool, just deal with today. However, if you are an adult, this idea is
ridiculous. Adults plan for the future. Period. Get started today planning for your future.