A Dog's Eye: The Ultimate Investment

I didn't read The Barefoot Investor from cover to cover, but I still reviewed it and I'll
explain why. I didn't read it all because not all of it is relevant to me at the moment. I gave it a five star review because it rings true. Despite the failings it shares with all self help books, it has an undeniable credibility. It is also inspirational, funny and very practical. This is the kind of book you buy and read through, then re visit those sections of most interest depending on where you are at. Later, you'll pull it off the shelf and dive in for some more wisdom from someone who clearly knows what he's talking about. I felt really encouraged after reading The Barefoot Investor. If you're a bit messed up with your money -most people are- get yourself a copy.

It's probably a timing thing...it's definitely a timing thing for me. I added this book to my 'to read' list two and half years ago when I was in the middle of a financial crisis. I didn't read it then, but as I had hit rock bottom, I sought help elsewhere, entering into a Part 9 debt agreement with a debt consolidation company. The type of company which Scott Pape doesn't endorse, mainly because they charge a lot for the service. It cost me over five thousand dollars in fees to have this company help me, but it has been worth every cent.

I was never good with money and the yardstick by which I measured success was how often I struggled. For most of my adult life, I have just gotten buy. Always having to make decisions based on the cheapest option, or whether a particular purchase was necessary or not. Saying no more often than yes, and much more often than I wanted to. I learned quite late that I was a stingy person. I had inherited, or absorbed by observation, the parsimony of my father. I also made selfish decisions about how to use my money, some of which had terrible consequences. I am still living with the consequences of those choices.

Over the years, I've learned two major lessons about money.

1. I am called to be generous, not stingy. There are many verses in the Bible which speak against stinginess, but when I read this one, I was convicted. Years and years of calling myself a good steward of money, and being careful, covered up a mean spirit.

"One person is generous and grows all the more wealthy, but another withholds more than he should and comes to poverty."                                                  (Proverbs 11:24)

2. God is my provider. When I lost my job in 2018 and was down to my last two hundred dollars, I recall looking in the mirror, and seeing the anxiety written on my face. God spoke to me, asking a simple question: 'Do you trust me?' For most of my working life, I worked for wages: regular pay deposited into my account. My lifeblood. The second great lesson I learned when I answered God's question honestly with a 'no', was that Christ is my lifeblood. After confessing that my trust was not in God, but in my job, I decided to really trust God instead of just saying that I did. Very soon afterwards, I got a job; a very good job in which I am still employed.

"My God will supply all your needs according to his riches in Christ Jesus."     (Philippians 4:1)

How does this post about financial security connect with Christmas. Simple really. Among other things, Christmas is a celebration of giving. We celebrate the birth of Jesus Christ, God's greatest gift to mankind: the messiah, the saviour. His was the ultimate investment; an investment in people. In us, his children. This investment is a gift which keeps on giving because God is so generous.

The Barefoot Investor speaks only very briefly about the virtue of generosity, but it is in fact the true key to financial freedom. God is generous and we should be too.

The Aussie Spirit

I love how parochial we Australians get in times of disaster when we pull together and help each other. The never ending media coverage on the recent floods and the even more recent storm of the century, has strongly focussed on the efforts of people in assisting other people in times of need. Strangers helping strangers and neighbours helping neighbours. Everyone pitching in to alleviate the suffering and clean up the mess. And all those people who weren't able to physically help out have donated huge amounts of money. Unity in suffering.

(By the way, if you didn't give anything you are a bad Australian, an uncaring, and mean spirited person. But don't worry the flood levy might still extract your contribution.)

The Aussie spirit of helping your mate has been frequently mentioned and continually held up and celebrated as though it is unique. As though it is a thing which lives in all of us and bursts forth when required. We must feel great sorrow for people in other countries when they face disasters because the only people who rush to their rescue are Australians. And if we don't charge in to save the day then they are all damned. The only people who give money are Australians because we are the most generous people on the planet. Praise the Aussie spirit. Go Australia.

Too much? Sure but, obviously Australians aren't the only ones who help their neighbours. It does add to the feelgood vibe post catastrophe though, and that's okay. Of course, people help each other in times of need. People even risk their own lives for others. People are certainly capable of generosity, goodness and sacrificial love. This is excellent and praiseworthy but it's not some mystical Aussie Spirit, or even the so called human spirit. These characteristics that are manifested in troubled times are Godly characteristics. They originate with God. We can be generous and good and we can risk our lives for each other because that is what we were designed to do. Made in the image of our Creator who is the ultimate source of all that is good.

Let's celebrate goodness by all means but is it too much to ask that we give God some credit? Rabbitting on about alleged triumphs of the human spirit stinks of conceit when we exclude God and claim divine attributes for our pitiful selves. When was the last time you gave God a bit of glory and praise?

Generosity versus Greed

How much effort and cash is expended by people to help themselves compared with helping others? This is a frightening question which many will shy away from asking. Many more will not want to hear the answer. The truth can be troubling, to say the least. Truth often is. Despite its outrageous propaganda Al Gore's documentary, An Inconvenient Truth, was well named. Facts can be sledgehammers. Facts can make us squirm and sweat, even make us sick. Contestable? Debatable? Controversial? Yes to all three, but people react and respond to the truth differently, and regardless of whether you agree or not, truth is truth. Not liking something or not believing in it does not alter the reality of it. Some things are true and that's all there is to it.

Former British Prime Minister, Benjamin Disraeli is believed to have once said there are three kinds of lies: Lies, Damned Lies and Statistics. At the risk of being accused of using statistical acrobatics to support my case, I offer the following shocking facts.

The 2005 Boxing Day tsunami was arguably the worst natural disaster the modern world has ever seen. Australians responded to the cry for help from the people affected and by the organisations that moved to alleviate their suffering and begin the rebuilding process. Roughly $100 million dollars was raised by Australians alone.It was a fantastic effort and a wonderful display of generosity. In that same year however, gambling losses by Australians totalled $17.5 billion dollars. Read that sentence again. It's not a misprint. Here's more; total giving by Australians to non profit organisations in 2004, personal and corporate, was $11 billion dollars. Gambling losses in the following year were $17.5 billion.

Statistics from Giving Australia in 2005 showed that Australians donated 0.7% of GDP on a per capita basis. That puts us behind the Americans, the British and our friends across the Ditch. A more recent survey by Commsec showed that Australians spend more on gambling than they do on some bills. $2292 on gambling versus $1830 on gas and electricity bills, for example. Illuminating isn't it?

Why? That's the question. Why are Australians addicted to gambling? Hope. Most of us struggle a little financially, and whether our wallets are fat or emaciated, we would like a little more. The desperate need we feel for more, the belief we have that more money will solve our worries, that having more will make us complete, make us more content, that winning a fortune will rescue us from the prison of our boring jobs with their insufficient incomes, all translates into an addiction. Our hope is in gambling: the small chance that we will get lucky. The statistics say we spend more on this addiction (and I haven't even mentioned alcohol and cigarettes) than we do on helping others.

That's pretty sad, isn't it?