First, you have to consider the intention of the education system. If the government wants you to depend on them to make decisions for you and run your life, then they want you in debt, working so hard and long that you can’t question their actions, and dutifully paying your exorbitant taxes. They don’t want you to learn financial independence or literacy. In Canada right now, we don’t even have a budget and that is a basic financial foundation for democracy.
I think it’s incredibly valuable to realize that most truly wealthy people don’t try to look rich. Chasing that image is just a status game with no real payoff.
As Naval Ravikant says: “Play stupid games, win stupid prizes.”
Instead, it’s far better to adopt a frugal mindset early on. It's not about penny-pinching, but about avoiding lifestyle inflation as your income grows throughout your career.
This was a highly shareable 101 piece on the fundamentals of personal finance (something that REALLY should be taught in schools). I have to wonder though, how does one get this far, and still not uncover (or do the DD) on Bitcoin?
Thanks Tobias, a few years ago I ran into this concept and it is interesting to see how many complex issues we have around finance. It's a coulourfull palette..
I wish I had this knowledge back in college and can’t understand why it isn’t taught so simply like this and isn’t taught more in schools for how important it is
Absolutely love this Tobias! Would you be able to shed more light on the borrowing rather than liquidate paragraph? It's the only bit I didn't quite understand so far in the article.
At 21, I read The Wealthy Barber. I picked a career in a location where I could afford a home, as opposed to in the big city where I would be stuck paying rent. Sure, the salary was higher in the big city but if you can over huge ticket item from renting to owning, then you are owning not consuming. All the difference! I retired at 47, all thanks to financial acumen.
I really enjoyed this piece. I especially appreciate how you frame money as a tool for freedom—freedom from unnecessary stress, from being trapped in the wrong job, and from the pressure to constantly “keep up.” Your point about consistency over perfection really lands; the basics, practiced steadily, often beat cleverness.
Thanks for your post! I often find that information about finance isn't the most accessible (especially if you haven't got a background in finance) but in this post you made it really digestible and practical!
I believe personal finance should be taught in grade school just as reading, writing and arithmetic.
Great post.
Thank you!
First, you have to consider the intention of the education system. If the government wants you to depend on them to make decisions for you and run your life, then they want you in debt, working so hard and long that you can’t question their actions, and dutifully paying your exorbitant taxes. They don’t want you to learn financial independence or literacy. In Canada right now, we don’t even have a budget and that is a basic financial foundation for democracy.
Thank you Tobias🙏🏽
I red the 2 first books you proposed and I personally consider them as assets.
The Psychology of Money is not really about money, it’s about us.
It’s the mirror that shows how our fears, dreams, scars, and egos sit behind every dollar we earn, spend, or save.
Thank you Terod!
I agree, those books definitely are assets.
I‘m glad that this resonated with you!
Really interesting read, Tobias. I appreciate you introducing this topic from psychology and not on money tactics.
Thank you, Rachel!
I truly believe the mindset and psychology behind it are almost as important as the practices themselves.
I will definetly engrave in my memory "Buying back your time" as a goal to make money.
Thanks for this clear, practical breakdown, Tobi! The psychology behind money management is often overlooked but so crucial.
I especially like the emphasis on behavior over intelligence and how volatility can be an opportunity rather than a threat.
Curious — what’s the best habit you recommend people develop early on to build a strong financial mindset?
Would love to hear others’ thoughts too!
Thank you!
I think it’s incredibly valuable to realize that most truly wealthy people don’t try to look rich. Chasing that image is just a status game with no real payoff.
As Naval Ravikant says: “Play stupid games, win stupid prizes.”
Instead, it’s far better to adopt a frugal mindset early on. It's not about penny-pinching, but about avoiding lifestyle inflation as your income grows throughout your career.
This was a highly shareable 101 piece on the fundamentals of personal finance (something that REALLY should be taught in schools). I have to wonder though, how does one get this far, and still not uncover (or do the DD) on Bitcoin?
Thank you, Russ!
I agree that it’s becoming increasingly important to understand Bitcoin’s inner workings and its purpose, and it certainly deserves its own space.
That said, going into it here would have made this post far longer than intended.
Impressive article
Thank you Joyce!
Thanks Tobias, a few years ago I ran into this concept and it is interesting to see how many complex issues we have around finance. It's a coulourfull palette..
Thanks Patricia!
It really is..
I wish I had this knowledge back in college and can’t understand why it isn’t taught so simply like this and isn’t taught more in schools for how important it is
Absolutely love this Tobias! Would you be able to shed more light on the borrowing rather than liquidate paragraph? It's the only bit I didn't quite understand so far in the article.
Great Post
At 21, I read The Wealthy Barber. I picked a career in a location where I could afford a home, as opposed to in the big city where I would be stuck paying rent. Sure, the salary was higher in the big city but if you can over huge ticket item from renting to owning, then you are owning not consuming. All the difference! I retired at 47, all thanks to financial acumen.
I really enjoyed this piece. I especially appreciate how you frame money as a tool for freedom—freedom from unnecessary stress, from being trapped in the wrong job, and from the pressure to constantly “keep up.” Your point about consistency over perfection really lands; the basics, practiced steadily, often beat cleverness.
Hi Tobias,
Thanks for your post! I often find that information about finance isn't the most accessible (especially if you haven't got a background in finance) but in this post you made it really digestible and practical!