Ask anyone to choose between wealth and happiness, and the answer is almost always happiness. Yet in reality, most people devote their energy in accumulating wealth, often at the cost of enjoying good life experience. Why does this disconnect exist?
We have always been told to save for retirement and rightly so. But what is often missing is clear guidance on how to get there. In the absence of proper direction, people rely on their own instincts to plan for this long-term goal. Many become fixated on reaching the target as quickly as possible, often at any cost. The focus is more on the retirement life while the experience and quality of life to the retirement is overlooked.
This situation has been exacerbated by the recent awareness and trends around achieving FIRE (Financial Independence, Retire Early). While FIRE is often seen as the Holy Grail to lead a happy life, the reality is more nuanced. Many of life’s most meaningful moments, those shared with family during the prime years happen before achieving FIRE because that is when all the family members spend significant time together resulting in a soulful and enriching experience. The concern is that in the rush to reach FIRE, people may sacrifice the very moments that make life fulfilling. While FIRE can be a worthy goal, it is the journey towards it, especially during the vibrant, family-focused years more relishing.
Life has too many variables and is highly unpredictable. Only certainty is today, this moment. That is why it is important to savour each day and every moment, even as we remain mindful of our long-term financial goals. While it is challenging to determine exactly how much to spend now versus how much to save for the future, striking a thoughtful balance is key. Consistently reviewing your spending and savings year after year and making small, purposeful adjustments can pave the way for a smoother, more fulfilling journey toward retirement.
While a reasonable amount of money is essential to meet our basic needs, accumulating surplus wealth does not necessarily lead to greater happiness. True happiness often comes from personal fulfilment, meaningful achievements, rich life experiences, and a sense of belonging not from the mere accumulation of money. In fact, there is often deeper satisfaction in sharing wealth or using it to create positive experiences. After all, when we came to this world, we did not bring anything with us and we will not take it back when we leave hence it better be used for purposeful life.
Let me close with a personal reflection. During our stay in the U.S., life was comfortable. We were earning well, had a close-knit circle of friends, and enjoyed spending time together. Yet, something deeply important was missing. We found ourselves distant from our extended family, unable to be part of significant moments of joy and sorrow back in India. Over time, life began to feel somewhat self-contained, even hollow, lacking the emotional richness that comes from shared family experiences. So, when the first real opportunity came, we returned to India. Back then, it was almost unheard of someone to return from the U.S. for good without a compelling reason. We traded greater financial security for the richness of real-life experiences.
Disclaimer
The writer is a SEBI Registered Adviser and Founder of FinMyn (https://finmyn.com). He provides Fee-Only Financial Planning and Investment Advisory services.
He has advised many clients in India, the US, the Middle East, Southeast Asia, Europe and Australia.
To know more about him, click on https://finmyn.com/about/.