Don’t judge others just because they’re stupid and you’re smart

Don’t judge your friends and family just because you are smarter than them with your finances, unless you want to end your relationships. People don’t like to be told what to do, or how they are living a meaningless consumerist lifestyle. Finance is a very touchy subject to many, including family members. I know some people who avoid talking about money like it’s some kind of disease or hide how much money they make or how much money they spend.

I have always been very open with my parents and siblings about how much money I make, how much I am saving, and what decisions I am making financially. So when I plan for the future, whether it is buying a house, college savings for my kids, savings for my retirement, buying a car or anything else, the more information I have the better. I think it helps when you can compare to others and see what financial decisions you need to make and tweak. But families are different and some people don’t feel comfortable talking about finances. My wife, for example, doesn’t talk to her family about it. However, if you do share financial information, it is very important to avoid being judgy!

You may know someone who is financially strapped and lives paycheck to paycheck because they are spending like an idiot. You may want to call them out on their stupid spending, but obviously you will only end up alienating them if you do that. If you have friends and family you want to help, there are ways to slip things in conversation to see if they really do want to learn about finances and saving. Usually, I make fun of myself for being cheap, telling friends I organize the dishwasher a specific way to save washings or that I make my own laundry detergent, soap, and deodorant. Most of the time people are either amazed or think I’m a nut, but either way it’s a great conversation piece! People love those who can make fun of themselves!

If they seem at all interested and want to know more, then you can tell them other ways you are able to save money. If they look at you like you have a third eye or just laugh at your frugalness, that’s okay as well, as you had a fun moment at your expense! If they want to continue to live the consumer lifestyle, buying expensive cars that they can’t afford, putting vacations on their credit card with no intention of paying it off, going out to eat with a large family 3 times a week - hey, that’s fine - let them be the consumers who keep the economy going.  These are the kind of people who keep the S&P 500 going up and up, increasing your net worth and allowing you to retire early or live a carefree life.

But try not to judge those people who want to spend money like it’s going out of style because you may actually be able to help them out here and there. And who knows how that karma will come back to help you?!