Learning From Other People's Financial Regrets

The Internet is a fantastic place for people who love lists. You can find lists of the 100 best books ever written, the 100 worst movies since movies began, and a list of nearly every piece of clothing Kate Middleton has ever worn.  The most recent list to draw me in was "35 Things I Wish I Had Done Before Turning 35."  It was written by business executive Hemal Jhaveri, who is, as the title suggests, a few months from her birthday.  

I've never met Ms. Jhaveri, but I could relate to some of the things on her list, like how she still gets wistful over a missed loved connection here or there, over not having traveled the world and the fact that she didn't have a band or go to enough rock shows. I feel her pain.

But what really caught my attention was that a full 20% of her regrets have to do with money. 
She explains how she wishes she had spent more money (#1 on her list); bought a beautiful pair of boots (#6); taken a low-paying but more fulfilling job (#12); let her dad pick up the tab more often (#20); bought a vacation home (#26); and donated more money (#31). 

The real kicker is number 4 on her list (right after wishing she had hooked up with a hot guy from New Zealand she met in a bar and not having worn a leather mini-skirt).  It's her regret that she didn't learn how to invest her money earlier. And she's not alone. Writers from Psychology Today, LifeHack.com and CollegeCandy.com talk about how common it is for people to look back on their 20s and wish they had made different financial decisions in that decade.

Financial regrets usually focus on two things: investing and debt.  Specifically, people wish they had invested more and taken on less debt during their 20s.  

These regrets make sense considering how investing and debt both work. 

Two of the most important components of responsible investing are time and consistency.  The longer you have to invest and the more consistent you are in socking money away, the more money you will have down the line (say, when you're coming up on a pivotal birthday and looking at what you have to show for your past years of work).

When it comes to debt, time and consistency work against us with equal force. Debt seems to haunt us forever and is consistently taking money we'd rather be spending on something else.

It's no wonder people look back on their first decade of adulthood and wish they had done more to put time on their side when it comes to their money.
  
Which brings me back to other people's life lists. Bucket lists (of both plans and regrets) are good reads because they give us a glimpse into another person's life.  But they can also give us some guidance if we're willing to listen.  

Every person who opens their hearts about their money woes gives a gift to those of us who are a bit younger and still setting our financial paths.  

Let's listen to their experiences and use the lessons they teach us to create our own financial success stories.   

And if we're also inspired to travel a bit more or talk to that cute bartender, all the better.