What’s at Risk

Key Takeaways

  • Most of us tend to be underinsured and unrealistic about how many terrible, unexpected things can happen to us in life.
  • Life and disability insurance are essential for protecting your family if the breadwinner(s) die or cannot work due to a serious accident or illness.
  • Some risks you can control, such as what happens to the Three Ps—your person, property and portfolio.

Optimism Bias

Key Takeaways

  • Humans tend to overestimate the likelihood of good events occurring and underestimate the likelihood of bad events occurring.
  • It’s good to be optimistic about your investments, the economy and your personal future, but make sure you plan for the possibility of negative events occurring.
  • Without planning for a financial or personal setback, you could face a bump in the road from which you and your family never recover.

Wealthy Reading

Key Takeaways

  • Although reading is in decline, there seems to be a strong connection between affluence and those with lifelong reading habits.
  • Harry Truman once said, “Not all readers are leaders, but all leaders are readers.”
  • Research shows that keeping your mind sharp and staying abreast of current events boosts your emotional IQ and better equips you to deal with complex decisions about your money.

Joyful Messes

Key Takeaways

  • Whether at work or at home, messes can create negative energy that make you feel powerless.
  • The Four Ds can help you unclutter your home and work life: Do it, Delay it (for later), Delegate it or Destroy it.
  • A messy desk is often a symptom of a cluttered mind or overwhelmed life.
  • Eliminating clutter will make you feel lighter, more productive and more joyful.