expectations http://www.wisebread.com/taxonomy/term/8291/all en-US The Secret to Successful Investing Is Trusting the Process http://www.wisebread.com/the-secret-to-successful-investing-is-trusting-the-process <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/the-secret-to-successful-investing-is-trusting-the-process" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/financial_chart_on_chalkboard.jpg" alt="Financial chart on chalkboard" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>To a great degree, the biggest threat to your success as an investor is <em>you</em>. Making investment decisions based on fear, greed, a hot tip from your brother-in-law, the headline of the day, or any of many other flawed inputs can wreak havoc on your results. What's needed instead is a trustworthy investment <em>process. </em></p> <p>It should be rules-based, time-tested, easy to understand and execute, and it should be one you have enough confidence in to stick with in good markets and bad.</p> <p>Here are three broad types of investment processes to consider making your own.</p> <h2>1. DIY</h2> <p>You can absolutely invest on your own. The recommended process involves following traditional rules of asset allocation, using an online calculator or questionnaire to determine your optimal stock/bond mix, choosing investments accordingly (index funds that represent each desired asset class are the easiest way to go), and rebalancing annually. Or, you could choose an appropriate target-date fund, which would simplify the asset allocation process.</p> <p>DIY is the least expensive investment process, but also the one that leaves you most vulnerable to emotion-driven portfolio tinkering. After all, the process I just described, whether you choose your own index funds or use a target-date fund, is essentially a buy-and-hold strategy. That means you need to have a strong enough stomach to handle the losses that will come with a bear market, trusting that the process will deliver respectable gains over the long haul. (See also: <a href="http://www.wisebread.com/9-costly-mistakes-diy-investors-make?ref=seealso" target="_blank">9 Costly Mistakes DIY Investors Make</a>)</p> <h2>2. DIY with help</h2> <p>You could subscribe to an investment newsletter that takes a rules-based approach to implementing an investment style you agree with (value, momentum, etc.). This process is DIY in that you maintain your own account at the broker of your choice and you make the trades, but it's &quot;with help&quot; in that the newsletter tells you exactly what to buy or sell.</p> <p>This is more expensive than a pure DIY approach because you have to pay for a subscription to the newsletter (from as little as $100 to more than $1,000 per year). Newsletters typically aim to beat the market through a more active process, providing buy and sell recommendations based on objective, rules-based criteria designed to identify undervalued, high-momentum, or otherwise attractive investments. They can also better protect you from being swayed by emotion because a trusted outside authority is guiding your decisions.</p> <h2>3. Work with an adviser</h2> <p>Here the key is understanding the <em>adviser's </em>process. First, does he or she work as a fiduciary? That means the adviser has formally agreed to only recommend investments that are in <em>your </em>best interest and to disclose all fees and commissions. Next, how does he or she make investment decisions? Again, you're looking for objective rules you understand and agree with and the adviser's discipline to follow the rules.</p> <p>Working with an adviser is usually the most expensive process you could employ (typically, you'll pay 1 percent of the value of the portfolio they manage for you). However, it <em>may</em> also provide the best protection from yourself. For one thing, a good adviser acts as a therapist during times of market stress, talking clients out of emotional buy or sell decisions. For another, the adviser typically has direct control over your portfolio; you don't. (See also: <a href="http://www.wisebread.com/ask-these-5-questions-before-deciding-on-a-financial-advisor?ref=seealso" target="_blank">Ask These 5 Questions Before Deciding On a Financial Adviser</a>)</p> <p>Each of these processes could guide you through any market. But you have a role to play as well. Here are two ways you can tip the scales further in your favor:</p> <h3>Manage your expectations</h3> <p>The market ebbs and flows and so will the performance generated by even the best investment process. Your willingness to accept some down months, and even some down years, will go a long way toward helping you stick with your chosen process.</p> <p>Having some sense of what to expect will help. If you're taking a DIY approach, you can see how various allocations have performed over the years (see Vanguard's <a href="https://personal.vanguard.com/us/insights/saving-investing/model-portfolio-allocations" target="_blank">portfolio allocation models</a>). By the same token, you should understand how a newsletter's strategy, or an adviser's, has performed during past bull and bear markets.</p> <p>While past performance won't tell you exactly how each process will perform in the future, it can help manage your expectations. That may not make riding out a downturn <em>easy</em>, but it should make it <em>easier</em>.</p> <h3>Tune out the noise</h3> <p>Adopting a trustworthy investment process will not silence the headline writers, investment analysts, or your coworkers who like to brag about their latest investment conquest. However, it should help you turn down their volume and keep you focused on following your chosen process. (See also: <a href="http://www.wisebread.com/want-your-investments-to-do-better-stop-watching-the-news?ref=seealso" target="_blank">Want Your Investments to Do Better? Stop Watching the News</a>)</p> <h2 style="text-align: center;">Like this article? Pin it!</h2> <div align="center"><a data-pin-do="buttonPin" data-pin-count="above" data-pin-tall="true" href="https://www.pinterest.com/pin/create/button/?url=http%3A%2F%2Fwww.wisebread.com%2Fthe-secret-to-successful-investing-is-trusting-the-process&amp;media=http%3A%2F%2Fwww.wisebread.com%2Ffiles%2Ffruganomics%2Fu5180%2FThe%2520Secret%2520to%2520Successful%2520Investing%2520Is%2520Trusting%2520the%2520Process.jpg&amp;description=The%20Secret%20to%20Successful%20Investing%20Is%20Trusting%20the%20Process"></a></p> <script async defer src="//assets.pinterest.com/js/pinit.js"></script></div> <p style="text-align: center;"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/u5180/The%20Secret%20to%20Successful%20Investing%20Is%20Trusting%20the%20Process.jpg" alt="The Secret to Successful Investing Is Trusting the Process" width="250" height="374" /></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/matt-bell">Matt Bell</a> of <a href="http://www.wisebread.com/the-secret-to-successful-investing-is-trusting-the-process">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-the-risk-averse-can-get-into-the-stock-market">How the Risk Averse Can Get Into the Stock Market</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-essentials-for-building-a-profitable-portfolio">5 Essentials for Building a Profitable Portfolio</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/9-costly-mistakes-diy-investors-make">9 Costly Mistakes DIY Investors Make</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/4-ways-to-keep-envy-from-ruining-your-retirement-investments">4 Ways to Keep Envy From Ruining Your Retirement Investments</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/8-money-moves-to-make-before-you-start-investing">8 Money Moves to Make Before You Start Investing</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Investment decisions diy investor expectations financial advisers gains portfolio stock market strategy Mon, 23 Oct 2017 08:30:06 +0000 Matt Bell 2038342 at http://www.wisebread.com The Secret to Time Management and Work-Life Balance http://www.wisebread.com/the-secret-to-time-management-and-work-life-balance <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/the-secret-to-time-management-and-work-life-balance" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/pocketwatch_0.jpg" alt="Hand with pocketwatch" title="Hand with pocketwatch" class="imagecache imagecache-250w" width="250" height="141" /></a> </div> </div> </div> <p>Somewhat ironically, I've been sitting in front of my computer displaying a blank page and the title above for the last half hour, while gazing out the window. The window in question happens to be revealing a constantly changing gorgeous autumn landscape aboard the epic Trans-Manchurian train from Moscow to Beijing; which is part of the <a href="http://www.theprofessionalhobo.com/category/train-travel-2/ultimate-train-challenge/">Ultimate Train Challenge</a> &mdash; a 30 day trip from Lisbon to Saigon, all by train.</p> <p>As so often happens, I'm trying to multitask &ldquo;life&rdquo; and &ldquo;work&rdquo; in a precarious &mdash; and frequently unsuccessful &mdash; balancing act. (See also: <a href="http://www.wisebread.com/the-fallacy-of-multitasking">The Fallacy of Multitasking</a>)</p> <h3>Work-Life Balance</h3> <p>The idea of delineating between &ldquo;work&rdquo; and &ldquo;life&rdquo; unto itself creates an unhealthy divide in our lives. Some people would say that if you love what you do for a living, it shouldn't be considered &ldquo;work&rdquo;. I disagree with this philosophy; I need to earn money to live, and although I love my <a href="http://www.wisebread.com/location-independent-career-basics">location-independent</a> writing career, it also impedes on the other things I love to do in life (for example, hiking, cooking, volunteering, conversing, and of course, traveling).</p> <p>What's important about this (almost cliché) concept of &ldquo;work-life balance&rdquo; is that we need to consciously understand the choices we make and how we manage our time.</p> <h3>Time Management</h3> <p>Here's another cliché that is so often used but so rarely understood or applied. We have software programs that analyze the time we spend on our computers, day planners to manage our busy schedules, and sometimes assistants to handle the work we just don't have time for.</p> <p>Even with these tools, do you get everything done in a day that you need to? Do you go to sleep at night feeling satisfied with the work you got done, as well as all the &ldquo;non-work&rdquo; activities you wanted to do?</p> <p>I know I rarely do.</p> <p>And I believe it's this feeling of constant self-dissatisfaction that perpetuates the continued pattern of work-life balance and time management issues dominating our lives.</p> <h3>Another View: The Three Pillars of Life</h3> <p>There's a school of thought that says there are three pillars of life, and that we can only excel at two of them at a time. These pillars are career, relationships with family and friends, and health and fitness.</p> <p>This makes sense. If you are focused on your career and your health, you'll spend 8-10 hours a day at the office (and commuting to and fro), and another 2-4 hours a day training for that marathon. Your family and friends will consequently fade into obscurity.</p> <p>If family and friends and career are important, your exercise regime will likely take a back seat. And so on.</p> <p>So already, with this philosophy, we are forced to make decisions in our lives about which two of the three pillars in life we want to excel at (or the one pillar we're prepared to slack on).</p> <p>But I wonder if it really has to be that way.</p> <h3>Juggling It All</h3> <p>So back to my Trans-Siberian window-gazing (I mean, working) experience.</p> <p>As a <a href="http://www.theprofessionalhobo.com/2011/04/the-last-four-years-of-full-time-travel/">full-time traveler for five years</a>, I have the simultaneously enviable and almost-impossible task of balancing my location-independent <a target="_blank" href="http://www.wisebread.com/so-you-wanna-be-a-travel-writer">writing career</a> with a life lived fully on the road. Contrary to popular opinion, I don't sit on the beach every day drinking girly drinks and lapping up the sunshine. In fact, I put in almost as many work hours as most other people do &mdash; I just happen to be doing it from varying far-flung locations around the world. In my &ldquo;spare time,&rdquo; I learn to live life (shop, cook, socialize, etc) in the way of the local culture I'm visiting.</p> <p>I also juggle staying in touch with family and friends, researching and booking onward travel arrangements, and regular volunteering.</p> <p>In fact, despite my having traded in the &ldquo;rat race&rdquo; for what was supposed to be an &ldquo;early retirement&rdquo; of sorts, I recently found myself in an entirely different rat race &mdash; volunteering 30 hours per week in trade for my accommodation and food, and working almost another 30 hours per week on my writing.</p> <p>When I realized this predicament in a stress-induced frenzy one day, I reduced my volunteer obligation to 18 hours a week. This, I figured, would buy me the down-time I craved for socializing, relaxing, and hiking.</p> <p>Instead, to my confounded surprise, after creating space in my day, my time filled up with things I can't even account for. And I was still going to bed every night feeling tired, scattered, and frustrated that I hadn't gotten everything done that I wanted to.</p> <h3>A Solution: Managing Expectations</h3> <p>But maybe it's in the expectations I had set that I blundered. As efficient as we can be at times, maybe we can't do everything we want to. Maybe it's in the concept of <em>excelling</em> at the pillars in life (a very North American tendency &mdash; to want to be the best of the best or nothing at all) that we err.</p> <p>What if we were to shoot for the stars, but be happy when we hit the moon? What if we forgive ourselves just a bit for not being the superstars we know we are, instead allowing ourselves to gaze out the window of an amazing <a href="http://www.wisebread.com/europe-on-the-cheap-take-the-train">train ride</a> and simply appreciate the beauty around us?</p> <p>I had intended to write three articles today. Instead, I'm finding myself gazing out the window, and I'll be lucky to complete one article between day-dreaming sessions.</p> <p>And you know what? That's okay.</p> <p>My time management and work-life balance comes from within, is controlled from within, and whether I go to bed tonight feeling satisfied &mdash; or not &mdash; is entirely up to me.</p> <p>How well will you sleep tonight?</p> <h2 style="text-align: center;">Like this article? Pin it!</h2> <div align="center"><a data-pin-do="buttonPin" data-pin-count="above" data-pin-tall="true" data-pin-save="true" href="https://www.pinterest.com/pin/create/button/?url=http%3A%2F%2Fwww.wisebread.com%2Fthe-secret-to-time-management-and-work-life-balance&amp;media=http%3A%2F%2Fwww.wisebread.com%2Ffiles%2Ffruganomics%2Fu5180%2FThe%2520Secret%2520to%2520Time%2520Management%2520and%2520Work-Life%2520Balance.jpg&amp;description=The%20Secret%20to%20Time%20Management%20and%20Work-Life%20Balance"></a></p> <script async defer src="//assets.pinterest.com/js/pinit.js"></script></div> <p style="text-align: center;"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/u5180/The%20Secret%20to%20Time%20Management%20and%20Work-Life%20Balance.jpg" alt="The Secret to Time Management and Work-Life Balance" width="250" height="374" /></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/nora-dunn">Nora Dunn</a> of <a href="http://www.wisebread.com/the-secret-to-time-management-and-work-life-balance">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/7-ways-to-have-a-better-day-at-work">7 Ways to Have a Better Day at Work</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/does-money-really-buy-happiness">Does Money Really Buy Happiness?</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/america-is-the-no-vacation-nation">America Is the No Vacation Nation</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/you-are-what-you-do-16-ways-to-improve-your-body-language">You Are What You Do: 16 Ways to Improve Your Body Language</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-jobs-proven-to-make-you-live-longer">5 Jobs Proven to Make You Live Longer</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Career and Income Lifestyle Personal Development expectations time management work-life balance Mon, 02 Jan 2012 11:36:10 +0000 Nora Dunn 845869 at http://www.wisebread.com Will high inflation persist? http://www.wisebread.com/will-high-inflation-persist <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/will-high-inflation-persist" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/expected-inflation.png" alt="Graph of expected inflation" title="Graph of expected inflation" class="imagecache imagecache-250w" width="250" height="177" /></a> </div> </div> </div> <p>Every financial calculation that you make is influenced by your expectations for future inflation:  how much to borrow, where to put your savings, and whether your last raise was a reason to celebrate or to start looking for a better job.  Even small decisions, like whether to buy a couple extra cans of tomato paste, are affected.  No dollar amount or interest rate is good or bad, except when compared to inflationary expectations.</p> <p>Among the people who care most deeply about inflationary expectations are the people at the Federal Reserve who set short-term interest rates.  The reason they care is simple:   As long as inflation expectations are low, a brief shot of inflation through the economy does only moderate harm.  That changes once people start to expect higher inflation.  If that happens, getting back to a normal low-inflation environment requires a higher and longer-lasting level of pain throughout the economy.</p> <p>The Fed uses various kinds of data to get a handle on inflationary expectations.  Recently, two measures have started to give very different signals.</p> <p>One way to estimate inflationary expectations is to subtract the yield of inflation-indexed Treasury notes from that of ordinary Treasury notes.  The difference ought to be the inflation rate that investors are expecting.  The green line in the graph shows that calculation for 5-year Treasury notes.  The expected inflation rate is a bit above 2%, and has actually been dropping lately.</p> <p>Another way to gauge inflationary expectations is to ask people what inflation rate they&#39;re expecting.  The University of Michigan does that every month.  The red line in the graph shows their results.  Until about a year ago, the survey result pretty much tracked along slightly above the &quot;Treasurys minus TIPS&quot; calculation (higher, but by less than a percentage point).  Since about April of last year, though, the University of Michigan survey has spiked up, and the difference between the two estimates now stands at more than 2.5 percentage points.</p> <p>The implied rate from the TIPS is an estimate of inflation for the next 5 years, so one reading of the difference is that people expect the current surge of inflation to be temporary.  The series of Fed rate cuts since September last year strong suggests that the Fed thinks that inflation will come back down.  Fed policy makers have said as much:</p> <blockquote><p>Survey measures of households’ expectations for year-ahead inflation rose further in early April, but survey measures of longer-term inflation expectations moved relatively little.</p> <p>-- <a href="http://www.federalreserve.gov/newsevents/press/monetary/20080521a.htm">Minutes of Federal Open Market Committee, April 29-30, 2008</a></p> </blockquote> <p> I think it will be worth keeping an eye on that &quot;Treasurys minus TIPS&quot; calculation.  If the 5-year expectation of inflation begins to rise like the 1-year expectation of inflation, expect the Fed to take strong action.</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/philip-brewer">Philip Brewer</a> of <a href="http://www.wisebread.com/will-high-inflation-persist">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/could-trump-bring-higher-interest-rates-and-inflation-consider-these-money-moves">Could Trump Bring Higher Interest Rates and Inflation? Consider These Money Moves</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/oh-noes-inflation">Oh noes! Inflation!</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/stag-hyperinflation">Stag-hyperinflation?</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/inflation-is-going-away-for-a-while">Inflation is going away for a while</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/why-saving-money-is-harder-today">Why Saving Money Is Harder Today</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Personal Finance expectations federal reserve inflation Sun, 25 May 2008 21:07:20 +0000 Philip Brewer 2123 at http://www.wisebread.com Live like royalty on $20,000 a year http://www.wisebread.com/live-like-royalty-on-20-000-a-year <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/live-like-royalty-on-20-000-a-year" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/town-hall-paisley.jpg" alt="Town hall in Paisley" title="Town Hall in Paisley" class="imagecache imagecache-250w" width="250" height="181" /></a> </div> </div> </div> <p>I&#39;m stealing the title for this post from the cover of a magazine that I saw back in the early 1980s. It caught my eye especially, because at the time I had just gotten a raise and was, in fact, making $20,000 a year. I was intrigued enough to pick up the magazine and glance through the article, only to be terribly disappointed. The author had a very different notion of how royalty live than I did.</p> <p>I didn&#39;t buy the magazine, and I&#39;ve always kind of regretted it, because, once I got past the cognitive dissonance that the title created for me, it actually wasn&#39;t a bad article, about the same topics that we cover here at Wise Bread. It was all about finding bargains, making do, and ways to get what you want by spending time instead of cash.</p> <p>The only specific piece of advice that I can remember doesn&#39;t apply exactly any more. Airlines were still in the throes of deregulation, and there was a constant stream new cheap ways to fly, usually various versions of flying standby. Their example involved something like waiting until three days before your vacation and then scrutinizing lists of destinations for cheap deals. My reaction was, &quot;This is how royalty travels? They decide where to vacation based on where the cheap flights are going? I don&#39;t think so.&quot;</p> <p>Now that I&#39;ve had 25 years to think about it, I have a very different perspective of how royalty live. My wife, for example, spent a few nights in the home of a member of the Balinese royal family. They had been deposed some time earlier, and much of their wealth had been seized, but they had a house and rented out rooms--the princes and princesses would all squeeze together to vacate a room for a paying guest.</p> <p>They key here is when you think &quot;royalty&quot; don&#39;t think &quot;Queen of England.&quot; Think &quot;pretender to the Dalmatian throne&quot; or the descendent of some Raj or Khan.</p> <p>What would you do, if you really were royalty? You&#39;d never rule (nor, if you have any sense, ever want to). Give that, you&#39;d be <em>just like you are now</em>, except that you&#39;d have all the extra baggage that comes along with being royal--history, other people&#39;s expectations, family traditions and aspirations.</p> <p>Seize the advantages of being a commoner!</p> <ul> <li>Your family still has aspirations, but they&#39;re both modest and amendable. If they don&#39;t match your own, work to guide them to a better match.</li> <li>Think about your family traditions. Hold onto the ones that you value; abandon the others.</li> <li>Except for your family, ignore the expectations of others. It won&#39;t even occur to them to despair of the future of your house or your family line.</li> </ul> <p>In fact, when you think about it, the fantasy of being royal is being able to do whatever you want. The reality is that being a commoner makes it much easier.</p> <p>The key here, as in most things, is to <em>think clearly about what you want</em>. Your big advantage over royalty is that, once you know what you want, you have many fewer constraints than a royal does in arranging your life to achieve your goals (rather than the goals of your subjects).</p> <p>Figure out what you want from life. It may well be the case that you can&#39;t get everything you want--but you can get almost anything that you want, if you make that thing a priority, and arrange your life to get it.</p> <p>You can get much closer to the fantasy of living like royalty than most royals ever do.</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/philip-brewer">Philip Brewer</a> of <a href="http://www.wisebread.com/live-like-royalty-on-20-000-a-year">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-6"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/19-frugal-ways-to-entertain-teenagers">19 Frugal Ways to Entertain Teenagers</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/6-money-lessons-you-can-learn-from-your-pets">6 Money Lessons You Can Learn From Your Pets</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-affordable-alternatives-to-pet-boarding">5 Affordable Alternatives to Pet Boarding</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/free-ways-to-celebrate-father-s-day">Free Ways to Celebrate Father’s Day</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/7-frugal-living-skills-you-should-be-teaching-your-children">7 Frugal Living Skills You Should Be Teaching Your Children</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Frugal Living Family choices commoner expectations royalty Sat, 08 Dec 2007 15:00:38 +0000 Philip Brewer 1478 at http://www.wisebread.com