Thursday, 23 August 2012

Outcomes or Behaviour?

Control is a funny thing.

You want to sell your house? You can put it on the market, but you can't make anyone buy it. You want to get to work on time? You can leave early, but you can't control traffic.

What makes you think you can 'be financially independent' just because?

You can't wish yourself to making, building or protecting your intended lifestyle. There is no magic formula.  You can't control the outcome.


(See, I can't even control if someone takes down their video)

There are however, SOME things you can control. Behaviours.

You can't control interest rates, but making home loans payments is something you can manage. Investment market returns are volatile, but you can control how much you invest, and the structure you choose to utilise. You can't really control your health (although there are things that you can do to give yourself the best chance), but you can protect yourself from unforeseen events.

So here is an example of the difference:

Outcome Focus
  • I am going to retire comfortably
  • I'd like to go on a holiday next year.
  • She'll be right

Behaviour Focus:
  • I am going to invest $x into super and pay an extra $x off my home loan.
  • I am going to put aside funds for a holiday
  • I am going to protect myself from unexpected sickness /accident.

So to summarise, behaviours are things you do consistently. They are manageable, and things that you can control. They are things you can do now, and not have to wait for in the distant future.

There is no doubt that these behaviours have an outcome. but that isn't the focus. The 'outcome' is nothing more than a direction. and the behaviours are the little steps, taken often to get you and keep you on the right path.

Thanks Master Oogway.


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