As we weave our way through life, our financial success depends on many factors. The amount of effort to obtain a degree, an advanced degree or learn a trade are good examples. Whether you live within a budget and start contributing to a high yield savings account or 401K early in life are other factors to consider.
Something that isn’t discussed nearly as often is equally important. It could be the one major item that either holds you back or launches you toward long term financial success. What is it?
Simple. The company you keep.
Human beings and our various personalities provide an infinite array of complexities that would be difficult to define. For this exercise, we’re going to severely dumb it down by placing people into three categories: Vacuums, Downers and Uppers.
Vacuum
“I forgot my wallet. If you pay for it this time, I’ll get you back.”
Have you experienced a similar scenario in the past? If yes, you’ve been interacting with what I would refer to as a Vacuum. We all know what a vacuum does, it sucks. If you let them, people in this category will suck up your money faster than you can make it.
The favors will start small, paying for a coffee or a fast food lunch. They will eventually escalate to paying for a round of golf, footing the bill for a hotel room or paying for the majority of a vacation package. For your own sanity and wallet, avoid these people like the plague.
Downer
“I don’t have the money for that, I’ll never get ahead.”
Eeyore would’ve had a grand time hanging out with a Downer. The rest of us, not so much. In the case of a Downer, the world is at fault for all of their problems. According to them, they’ll never be able to climb out of their current situation without help from you or an army of other people. Although they’re not asking you for money on a daily basis, they’re not exactly inspiring you to reach further and do better in your own life.
I’m not advocating for you to avoid these people altogether or never offer assistance when asked, far from it. We should offer assistance to those less fortunate than us when we can; however, there’s a harsh reality. Filling your circle with a group of Downers isn’t going to advance you spiritually, emotionally or financially.
Upper
“Sure, I’m available. How can I help?”
An Upper is an achiever. Self motivated and secure, an Upper has no need to ask you for money because they’re managing on their own just fine.
They’re able to provide you with advice, encouragement and continually point you in a positive direction. Surrounding yourself with a majority of Uppers will provide the kick in the pants you need to get up everyday and feel like you can do it, whatever “it” is. Discussing financial matters like retirement planning, college savings and debt reduction is normal. In the end, you have a team of people that want you to succeed.
Although it’s difficult to fill your entire circle with Uppers, having them make up a majority of the people you associate with will go a long way toward helping you achieve financial success.
Let Winnie the Pooh deal with Eeyore.
He’s got more experience.
