Monday, June 27, 2011

Financial freedom tag-team

It's important to choose a spouse carefully, it seems. According to the book that I'm reading, "The Millionaire Next Door", it mentioned that for a large proportion of the millionaires that they had interviewed, their spouse are more frugal than them. The constant complain about their spouse is that they can't get them to spend money!

The book mentioned about having quality offense and quality defense when playing this game of financial freedom. One of the couple, usually the male, would play good offense. They would go out and earn a lot of income. It's mentioned that most of these millionaires interviewed have higher household income than average too - so that's the offensive side. The spouse, usually the wife, would stay at home and play quality defense. They are the ones who would manage the household, making sure that as a whole family, they not only stay within budget but way below their income. That's the kind of tag team playing that I found it interesting.

It's hard to say who is more frugal - me or my wife. For the little things (those that cost less than $50), I'm the more frugal ones. I always have to remind my wife not to overspend on such things. However, for big ticket items, my wife is the more frugal one. She would have to remind me that even though I have the means to afford, we should still be careful on how we spend it. For the recent resale flat purchase, I have to convince and reassure her that the 40k cov is worth the money. Same thing goes for the renovation. I guess my wife and I are not spendthrifts and each of us are more frugal than the other depending on the amount spent! That makes us a compatible tag team partners because we defend each other weak points, haha!

Nacho Libre - I absolutely love the movie!

On the flip side, it's very hard to be financially free if your spouse do not support the idea. The journey towards it involves making sacrifices now so as to enjoy greater rewards in the future. Not everyone wants to reach the end point, that I understand. If one of the couple wants to climb a mountain, the other has to belay the ropes and egg each other on, supporting and encouraging each other along the way. If there is only one person actively climbing the mountain, the other would drag along and act as a complaining dead-weight behind you as you climb. It's still possible to make it to the top, of course, but it makes the journey unbearably difficult.

Thus for those of you who so desire to reach the top of the mountain, choose your other half wisely. Pick the characteristics of the person that you think would aid you, for I believe that a marriage is like a partnership - it should benefit both parties, and not just to one only (or worse - none). Choose a tag team partner that you can synergise with - if you play quality offense, pick someone who play quality defense for instance. You can't pick both who play good offense (because you might spend all that you earn), nor both who play good defense (because playing defensively all the time might take too slow to reach the end). When all the beautiful face and great body fades away with age, what is it that still endears you to your spouse?

*This article is contributed to IM$avvy financial portal, which is managed by Central Provident Fund Board and supported by MoneySense. This site has a noble aim of promoting financial literacy to the general population.


financialray said...

Hi LP,
Yes, the other half is very important when it comes to our financial goals.
I believe most women, like my wife, leave financial planning to their husbands and often they are defensive players. So for instance, if I know my wife is conservative when it comes to investments, I have to be more offensive. No reason why I should keep 6 months of my salary in the bank for emergency funds when my wife is already keeping 12 months.

Singapore Man of Leisure said...

It reminds me of Kenny Bee's ex-wife: eat oil heavy heavy!

But who am I to comment? Single as single can be! Ah! The unbearable lightness of being...

Anonymous said...

Hi LP,
Behind every successful man there is a complementary woman. That's why she is called your other half.

"When all the beautiful face and great body fades away with age, what is it that still endears you to your spouse"?

Of course, enjoy recollecting on all the memories of togetherness.

i also really envy seeing 70+ years oldies, helping each other to cross the road or whatever they are doing. It makes me think how a wonderful human relationship they must have had even until now.

So it's always good to find the half of your life, for you don't walk alone anymore.

coconut said...

haha don't talk nonsense, love is blind.

i'm "stack" with my wife whether for good or for bad, i accept.

coconut said...

no offend LP (i realised i'm rude), please keep writing, you are good.

Singapore Man of Leisure said...

Will my future wife be committed to me? Or will she only be involved with me?

No money no honey?

Nah! I prefer to have an optimistic view on life.

That's why I like that post on your significan other so much :)

I wish I had Jessie's girl!

Financial Journalist said...

40k cov is so high. If your income has not exceeded the limit, look at your MP for help.

steven said...

to download the PDF ebook below

beary said...

Alas the die has already been cast for me. Will just have to see how we can manage from here.

Anonymous said...

Hi LP,
I agree with Coconut "love is blind"(that's why we say you "fall" in love and not any other verb)and successful marriage is made in "Heavens".
In fact in most successful marriage, husband and wife have some resemblances in one way or another; especially looks and mannerisms besides complementary characters. Don't believe me? Then start observing couples. Especially older couples.

coconut said...

yes LP means good cause and advice, however hardly applicable.

for the married one, we can't simply get rid of our partner and find a "better" one, like we do in the stock market.

for the single, well tell them they are not suitable with one another and see what will happen, i wouldn't dare haha.

so who is left to take the good advice?

la papillion said...

Hi financial ray,

I think if you're married, you have to consider another variable in the equation - and that's your spouse. Sometimes, the journey towards FF is much easier or harder depending on whether the financial personality of the couple are aligned or not.

It's really a team effort once you're married :)


Haha, I guess there's good and bad in getting married :) I also heard Kenny B's wife bankrupted him because of her excessive spending...poor thing, no matter how much he earns also not enough to cover the gap that his wife spends lah :)

Hi Temperament,

I prefer to call my wife the 'missing piece' instead of the 'other half'. She completes me, as Tom Cruise would say ;)

I also found those old couples who do things together very sweet and very lovely. It's always heart warming to see such couples :)

la papillion said...

Hi coconut,

No offense taken, don't worry :) What is it that you found nonsensical? Perhaps I can explain myself further?


Now that I know what you're talking about (in terms of commitment and involvement), I see your what you mean!

Jessie's girl indeed!

Hi market strategist,

What income limit? What help?

la papillion said...

Hi beary,

The thing is, the die is never properly cast. Nothing is set in stone. Even water running through granite can cut a deep valley and eventually a if you really want change, I believe you can persuade your other spouse to start with little meaningful baby steps towards your goal :)

Hi temperament,

I also agree that love is blind. Not only is it blind with references to colour, socio-economical background, it can also be blind to personality too. Sometimes, when love strucks, it just have to happen :)

I agree with you that successful couple look alike in mannerism and appearance :)

Hi coconut,

I'm summarising the research findings of the author in the book. They discovered that many millionaires have very frugal wifes. Of course, that doesn't mean that if you go out to find a frugal wife, you'll end up being a millionaire yourself. A implies B but B doesn't necessarily implies A. I've already said that in an earlier post regarding a similar review while reading the very same book.

Thus this is not an advice, but rather an observation that financial freedom journey by a married person is not a single person's effort but a tag team. You'll either be dragged or aided by your spouse.

coconut said...

haha answer until siao. OK agreed and thanks for your understanding.

Anonymous said...

Hi LP can i contact you by your e- mail or phone? i like to consult you on some education matter for my son.

la papillion said...

Hi Temperament,

Sure. It's better to contact me through email:


Createwealth8888 said...

WWF Tag team match. Drag your opponent to your corner and take turn to whack . LOL

Wholsome said...

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