121 | Reality Eats Speculation for Breakfast

I don't have a clue how investment returns or cost of living will change over the next few decades.

Even if we trick ourselves into using historical figures, the reality is that assumptions are a nice urban walking trail while reality is a strenuous hike with boulders to climb and weather to endure.

The way you generate income and set money aside isn't any more certain either.

Gutting out a miserable career in the name of modest raises and bonuses each year is not a win in my book.

Nor is pretending that our savings rate will remain steady year after year when life has a tendency of surprising us on the good and bad side all the time.

At best, these kinds of speculation put us on the hook for knowing more about the future than it is possible to know.

At worst, they lead us down the rabbit hole of debating speculative assumptions or trick us into projecting a hypothetical future that will torment us year after year.

A detailed projection slyly turns assumptions into gospel and turns a calculator into a "plan".

On the other hand, it's hard to argue what has happened in the past.

People who like their work will find that their income is more sustainable.

People who are intentional with spending will find that they experience more contentment.

People who have saved before will find it easier to save the next time.

People who have navigated seasons of investment loss will find it easier to be patient in the next downturn.

Reality is hard to argue, easy to access, and practical to reflect upon - and establishing a common understanding of it is the only way to move forward into an uncertain future.