Money has many uses.
Hundreds of years ago, if you were a corn farmer and wanted some meat, you could have easily gone to the market place and barter exchanged your produce for different goods. If not, you would have needed to keep trading your produce until you had found alternate goods that the meat supplier would have been happy to purchase. In a nutshell; your product only had value if someone wanted it.
Once money was invented, and started being used as a medium of exchange, it became possible to buy what you needed. Or, you could have simply stored and accumulated your wealth until you were ready to spend. As the corn farmer, your produce now became more useful as it could be exchanged for money.
The problem with money is that it can be used to buy not only items that you need, but also items that you want. Needs and wants not the same… and this disparity often creates a lot of stress for individuals who should stick to a budget.
Recently, a member of the public requested to become a client of Northwood Financial Services cc. She was surprised when we declined her request and decided not to take on her case.
We declined the individual on the basis that she was not able to admit honestly as to why she landed in trouble with her finances. This specific individual had wants that far exceeded her needs, and these desires – such as requiring new outfits that displayed wealth to her peers – were hindering her personal finances and budgeting ability.
After 25 years in the financial sector and financial planning industry, we have noticed stark patterns that arise with regards to our clients and their relationship with money. If you’d like to read more in this topic, or are interested in requesting to become a client of Northwood Financial Services cc, have a read through of our document: Your Relationship with Money.
We also have a number of free resources that might be of interest to you.