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Going the Distance

Going the Distance

Without careful planning, your money will never go the distance for your retirement.

Well, unless you win the powerball or stumble upon buried treasure.

The simple fact is that retirement can last a long, long time and often be expensive. According to the Federal Reserve, the average American can expect a retirement of almost 20 years, requiring $1.2 million.¹

How long would it take you to save $1.2 million? Even if you could stash away your entire paycheck, it would likely take over a decade. Factor in the daily costs of living, and decades may become centuries.

Unless, of course, you leverage two simple strategies…

Strategy One: Maximize the power of compound interest.

Strategy Two: Start saving today.

These are time-proven strategies that anyone can leverage. And they can mean the difference between your savings running out of steam or lasting as long as you do.

Let’s start with strategy one: Maximize the power of compound interest…

Compound interest can supercharge your savings. Instead of taking centuries, you have the potential to reach your retirement goals just in time!

That’s because compounding unleashes a virtuous cycle. The money you save grows on its own over time.

But here’s where the magic happens—the more money you have compounding, the greater its growth potential becomes. Even a fraction of your paycheck can eventually compound into the wealth you may need for retirement.

Think of it like changing gears on a bike. Savings alone is first gear—good enough for going down hills or casual jaunts through the neighborhood.

But for reaching greater goals, you need more power. Compound interest is those extra gears—it’s an advantage that can radically improve your performance.

That leads straight into the next strategy: Start saving today.

The longer your money compounds, the greater potential it has for growth. To prove this, let’s crunch the numbers…

Let’s say you can save $500 per month. You find an account that compounds 10% annually.

After 20 years, you’ll have saved $120,000 and grown an additional $223,650 for a grand total of $343,650. Not bad!

But what if you wait another 11 years? Your money will more than triple—you’ll have $1,091,660!

The takeaway? A few years could be the difference between reaching your retirement goals and coming up short. The sooner you start, the greater potential you have to get where you want to go.

No more sporadic saving when you feel the panic. No more burying your head in the sand because you don’t know what the future holds. No more fear that your finances won’t cross the finish line.

These simple strategies can help you go the distance and retire with confidence. Contact me if you want to learn more about building wealth!


¹ “Retirement costs: Estimating what it costs to retire comfortably in every state,” Samuel Stebbins, USA Today, Feb 11, 2021, https://www.usatoday.com/story/money/2021/02/11/retirement-costs-comfortable-in-every-state-life-expectancy/115432956/


Can Cold Showers Give You Superpowers?

Can Cold Showers Give You Superpowers?

Study after study has shown that hopping in the shower and turning the handle towards C can have tremendous benefits.

It’s claimed that doing this can boost your mood, enhance metabolism, and increase focus. One experiment even found that ice baths and breathing exercises can reduce the impact of illnesses like E. Coli.¹

But why? And more importantly before you dive into a frozen lake, how?

The science of cold showers and ice baths is actually pretty simple.

Cold showers suck. They feel terrible. The first drops of arctic water that blast your back or face seem to turn off your brain. Your heart starts racing. Your vision may get blurry. You start thinking, “how can I make this stop?” In other words, you enter full on survival mode.

And that’s one of the best things you can do for your body.

Why? Because your body floods with chemicals to make sure you survive.

Dopamine levels soar. That’s the chemical that makes you pursue goals, like getting out of the shower alive.

Adrenaline surges through your body. That’s the chemical that makes you want to move and scream and focus and escape.

Your body starts torching calories. That’s so it can maintain a stable body temperature.

And those chemicals and processes persist once you turn off the water. That fight-or-flight response gets replaced by a profound sense of calm focus that can last for hours.³

That’s not counting the mental toughness benefit. Every time you step into that stream of cold water, you’re training yourself to endure something unpleasant. You strengthen your ability to overcome fear and to do hard, yet beneficial, things.

There are some critical factors to consider…

Don’t take cold showers too often.

Eventually, you’ll get used to shock and minimize the benefits. According to Andrew Huberman, a Stanford professor, you should aim for 11 minutes in cold water per week.²

Don’t expose yourself to dangerous situations.

Diving into a frozen lake on your first day could lead to panic and even death. Start with an uncomfortable, but safe temperature in your own shower in your own house, and build up your tolerance.

Don’t take cold showers if you’re trying to build muscle.

Cold showers are perfect if you need to eliminate muscle soreness. But it also impacts muscle hypertrophy, slowing growth. So if you need to quickly recover from workouts, take cold showers. But if you’re trying to gain mass, opt with your normal shower routine instead.

Cold showers provide a host of benefits, from boosting your mood to aiding in weight loss. But it’s important to start slowly and increase the intensity gradually to avoid any negative consequences. So if you’re looking for a way to improve your mental toughness and boost your productivity, add a cold shower to your routine. Just make sure you do it safely.


¹ “MR ICE: Men’s Health Chills With Iceman Wim Hof,” Alex Harris, Men’s Health, 27 Apr 2022, https://www.menshealth.com/uk/health/a758182/big-read-mh-chills-with-iceman-wim-hof/

² “The Science & Use of Cold Exposure for Health & Performance,” Andrew Huberman, Huberman Lab, May 1, 2022, https://hubermanlab.com/the-science-and-use-of-cold-exposure-for-health-and-performance/

³ “Cold Shower for Anxiety: Does It Help?” Kristeen Cherney, Healthline, June 22, 2022, https://www.healthline.com/health/anxiety/cold-shower-for-anxiety


What You See Is What You Get: The Power Of Visualization

What You See Is What You Get: The Power Of Visualization

Imagination is underrated.

We live in a world of dollars and cents, ones and zeros, and cold, hard facts. Dreams and hopes are great, but results will always be our number one priority.

But what if your imagination mattered?

What if your mind’s eye actually held the key to success? There’s strong evidence that actually visualizing certain outcomes can reduce stress and empower you to achieve your goals and dreams. It might sound like voodoo, but it’s actually not! Here’s how it works.

Mind and Muscle

Your brain is connected to your body. Your brain registers things that happen to your arms and legs and ears and lets you know if they’re good or bad. A soft blanket? Good! Stubbing your toe? Bad!

But the connection between your brain and body goes both ways. Imagining an action in your mind can actually improve your performance in real life. There’s plenty of anecdotal evidence for this; legends like Arnold Schwarzenegger and Muhammad Ali.¹ ² But there’s also research to back it up. People who imagined exercising certain muscles gained almost as much strength as people who physically exercised!³

Visualization can also reduce stress. Studies have found that novice surgeons and police officers who receive imagery training feel less stress and have less objective stress.⁴

Some visualization tips

Imagining yourself on a generic island paradise in 15 years is just daydreaming. The key to effective visualization is specificity. Be as precise as possible. Break down how you’ll achieve your goal or throw that game-winning pass into as many tiny movements as possible, and imagine how you’ll execute each one. Incorporate your senses; what will you smell and hear when you finally achieve that goal?

Verbal affirmations can also help with this visualization process. Take a page from Muhammad Ali, and tell yourself that you’re the greatest every morning before you get breakfast! Even better, say your goal out loud before you go to bed or eat lunch. Writing up a mission statement that you read daily or making a vision board of images that inspire you are also ways to boost your visualization!

Just remember that one of the key strengths of visualization is that you can do it anywhere. Develop your goals, make them as specific as possible, and then start imagining!


¹ “The Power Of Visualization And How To Use It,” Lidija Globokar, Forbes, Mar 5, 2020, https://www.forbes.com/sites/lidijaglobokar/2020/03/05/the-power-of-visualization-and-how-to-use-it/

² “Seeing Is Believing: The Power of Visualization,” A.J. Adams MAPP, Psychology Today, Dec 3, 2009, https://www.psychologytoday.com/us/blog/flourish/200912/seeing-is-believing-the-power-visualization

³ “Seeing Is Believing: The Power of Visualization,” Adams MAPP, Psychology Today

⁴ “The Power Of Visualization And How To Use It,” Globokar, Forbes,


Your Workspace May Be Hampering Your Productivity

Your Workspace May Be Hampering Your Productivity

It’s not your imagination—your cramped, beige cubicle might be torpedoing your productivity.

Research has shown time and again that your work environment plays a critical role in your level of focus, analytical thinking, and creativity.

So if you have the freedom to do so, here are a few ways to spice up your workspace to maximize productivity.

Alternate sitting and standing

It turns out that standing desks aren’t just a fad—they can actually boost productivity.

According to Andrew Huberman, a neuroscientist at Stanford University, research has shown that halving your sitting time at work can…

  1. Reduce back and neck pain
  2. Boost cognitive performance

And best of all, you don’t need a fancy contraption to make it happen. Simply stack some boxes or books to lift your computer and monitor—voila! Now you have a standing desk.

Maximize lighting

At the start of your day, increasing your light exposure can boost your focus. Why? Because your body and brain are conditioned to respond to sunlight. It’s a powerful trigger that your day has started and you need to get it in gear!

So first thing, go outside and sit in the sun for a few minutes. When you’re in the office, turn on overhead lights, lamps, and ring lights. If you can, work by an open window. You might be surprised by the impact it has on your alertness and focus.

Just be sure to tone down the intensity as the day wears on so your body knows it’s time to settle down, relax, and hit the hay. Bright light exposure when it’s too late can be detrimental to sleep, especially looking at your phone less than an hour before you want to go to bed. The light shining in your eyes tells your body that you need to stay awake.

Leverage ceiling height to switch mental gears

You read that correctly. The height of your ceiling can help you toggle between analytic mode and creative mode.

High ceilings tend to promote creativity and brainstorming. Low ceilings promote analytical thinking.

It’s called the cathedral effect, and for good reason. Think about how you would feel stepping into the Chartres Cathedral vs. say, your basement. One creates awe, wonder, and an appreciation of beauty. The other forces you to zero in on only what’s in front of you, like that load of laundry you forgot about.

So as a rule, try to do your creative thinking in high, open spaces. Do your analyzing in closed, dull, non-distracting spaces.

Try one or two of these strategies over the next week and see if they impact your productivity. I’d love to hear about your results!


Credit Score vs. Credit Report

Credit Score vs. Credit Report

Your credit score is a big deal. At the least, a low score can saddle you with high interest rates, or at the worst, prevent you from getting important loans.¹ It can even be a roadblock to renting a house or getting a job!²

But what exactly is a credit score? And how is it different from a credit report? It turns out the two have a close relationship. Let’s explore what they are and how they relate to each other.

Credit Report. Your credit report is simply a record of your credit history. Let’s break that down.

Many of us carry some form of debt. It might be a mortgage, student loans, or credit card debt (or all three!). Some people are really disciplined about paying down debt. Others fall on hard times or use debt to fuel frivolous spending and then aren’t able to return the borrowed money. As a result, lenders typically want to know how reliable, or credit worthy, someone is before giving out a loan.

But predicting if someone will be able to pay off a loan is tricky business. Lenders can’t look into the future, so they have to look at a potential borrower’s past regarding debt. They’re interested in late payments, defaulted loans, bankruptcies, and more, to determine if they can trust someone to pay them back. All of this information is compiled into a document that we know as a credit report.

Credit Score. All of the information from someone’s credit report gets plugged into an algorithm. It’s goal? Rate how likely they are to pay back their creditors. The number that the algorithm spits out after crunching the numbers on the credit report is the credit score. Lenders can check your score to get an idea of whether (or not) you’ll be able to pay them back.

Think of a credit report like a test and the credit score as your grade. The test contains the actual details of how you’ve performed. It’s the record of right and wrong answers that you’ve written down. The grade is just a shorthand way to evaluate your performance.

So are credit reports and credit scores the same thing? No. Are they closely related? Yes! A bulletproof credit report will lead to a higher credit score, while a report plagued by late payments will torpedo your final grade. And that number can make all the difference in your financial well-being!


¹ “The Side Effects of Bad Credit,” Latoya Irby, The Balance, Mar 4, 2021, https://www.thebalance.com/side-effects-of-bad-credit-960383

² “The Side Effects of Bad Credit,” Latoya Irby.


How to Make the Most of Your First Job

How to Make the Most of Your First Job

So you’ve just started your first job. Congratulations!

Whether you’re a highschool student working a cash register or a fresh-out-of-college graduate who just landed a cubicle, a first job often comes with a steep learning curve. But don’t let that weigh you down! This is your once in a lifetime opportunity to start your financial journey strong and develop skills that will last you throughout your career.

Here are two simple steps you can take to make the most of your first job.

Start saving. A first paycheck is a magical thing. It makes you feel like the hard work has finally paid off and you’re a real adult. You might just become unstoppable now that you’ve got a regular income!

But that empowerment will be fleeting if you spend everything you earn.

It’s absolutely critical that you begin saving money the moment your first paycheck arrives. This practice will go far in establishing healthy money habits that can last a lifetime. Plus, the sooner you start saving, the more time your money has to grow via compound interest. What seems like a pittance today can grow into the foundation of your future wealth if you steward it properly!

Evaluate your performance. There’s much that you can learn about yourself by studying your job performance. You’ll get an idea of strengths that you can leverage and weaknesses that you need to work on.

But most importantly, you might discover moments when you’re “in the zone”. You’ll know what that means when you feel it. Time slows down (or speeds up), you’re totally focused on the task at hand, and you’re having fun.

That feeling is like a compass. It helps point you in the direction of what you’re supposed to do with your life. Do you get in the zone when you’re working on a certain task? With a group of people? Helping others succeed? Pay close attention to when you’re feeling energized at work and delivering quality results… and when you’re not!

Above all, keep an open mind. Your first job might introduce a passion you’ll pursue for the rest of your life… or it might not. And that’s okay! Whatever it is and wherever it leads, be sure to save as much as you can and to pay attention to what you like. You’ll be better positioned both financially and personally to pursue your dreams when the time comes to make your next move!



Flow And The Secret Of Productivity

Flow And The Secret Of Productivity

Peak human performance.

Operating at your full potential consistently sounds too good to be true. We all want to accomplish more at our jobs and around the house. But a million little distractions always seem to throw us off course. Sure, we all have flashes of inspiration, but many of us settle for a fraction of our true capabilities.

But there’s a better way.

Researchers have discovered that high productivity doesn’t have to be limited to short bursts. There’s actually a very specific state of mind that results in stunning levels of output that’s triggered by certain psychological factors. It’s called flow, and understanding how it works may change your life.

What is flow? Technically speaking, “Flow is a cognitive state where one is completely immersed in an activity… It involves intense focus, creative engagement, and the loss of awareness of the self.”¹ Think of it like this: what’s your favorite quarterback thinking about when he’s making a game winning play? Almost nothing else besides what he’s doing in the moment. That state of total concentration on the task at hand is what defines flow. Other sensations follow. Decisions seem to make themselves. You lose awareness of what’s going on around you. Time either seems to fly by or you see things in slow motion. And, most importantly, you feel awesome. You’re “in the zone.”

Achieving flow. You’ve almost certainly achieved this flow state at least once in your life. But it probably doesn’t seem replicable. You were just on during that highschool football championship game or playing that local show with your buddies or giving that presentation. Fortunately, research hasn’t just described flow; it’s discovered a few factors that contribute to achieving peak performance.

The first flow key is to establish goals. Your brain loves objectives. It loves feeling like it’s accomplishing things. Having a clear outcome in mind will help you tune out the distractions that don’t matter and hone in on what does. Identify your desired goal, outline in detail how you’ll accomplish it, and then proceed to the second flow key.

The second flow key is the balance between challenge and boredom. Very often, facing a difficult task doesn’t naturally induce deep focus. It actually can make us feel anxious, scared, and avoidant. However, a mundane and simple activity, like washing dishes, doesn’t require the brainpower to trigger intense concentration. Flow lives in the happy medium between those extremes of crushing anxiety and mind-melting boredom. You have to have the confidence that you can actually crush the challenge at hand, but also not find it too easy or boring. Dial in your ideal difficulty level before you start a project. Expect more from your mundane responsibilities and get help for the daunting ones. Raise the stakes for your performance but make sure you don’t drown in the process!

The third flow key is immediate feedback. Let’s say you’ve hired a coach to help you master a skill. Would you prefer them to write up an annual review on your progress or give you tips, critiques, and advice as often as possible? Think about all the bad habits and practices you would develop without their regular oversight. You might discover you’ve been doing things wrong for a whole year if you’re only getting an annual checkup! Instant feedback allows you to constantly refine your process and execution while also setting up micro goals for you to accomplish. It’s a simple way to add a dash of challenge to your daily routine that locks you in and helps you achieve peak performance. Seek out frequent feedback. Ask your boss or co-workers or coach to give you critiques as often as possible. That constant stream of input will either make you feel good about what you’ve accomplished or give you new obstacles to overcome!

Achieving this state of peak performance isn’t always easy. There’s a cycle to entering flow that includes a difficult first phase. It’s hard work for our brain to enter into total focus and concentration. This first barrier is where most of us quit because intense concentration doesn’t feel great at first. But overcoming that initial resistance can open up a whole new world of productivity and performance. Use the three flow keys, push past the opening waves of discomfort and get into your zone!


¹ “Flow,” Psychology Today, accessed Sept. 24, 2020, https://www.psychologytoday.com/us/basics/flow


Tips For Handling Criticism

Tips For Handling Criticism

Receiving criticism is rarely fun.

Having flaws in your work pointed out to you can be a stressful experience and seriously affect your mood and self-image. Even criticizing someone else’s performance may make you feel uncomfortable and self-conscious.

But criticism is incredibly important. When done correctly, it can empower us to improve our weaknesses and maximize our strengths. But first, we have to learn how to receive criticism well and not let our egos get in the way. Here are a few ideas!

Pause and reframe. It’s easy to react poorly even to the best intentioned criticism. There’s an emotional leap we make where something simple like “I think this could be said better” gets interpreted as “you’re dumb and made a dumb decision and will always be dumb.” But that’s often our own emotions or insecurities talking and unnecessarily connecting dots. Next time you’re facing criticism, try taking a deep breath and pausing before you respond or react. You can also take that pause to reframe the situation in your mind. Is this really your boss seeking to degrade and destroy you or is this an opportunity to learn and improve?

Know your value. One of the key factors in how you handle criticism is how you value yourself. Even gentle advice can deeply hurt someone who has a low estimation of their worth. To them, it may seem to confirm their suspicion that they’re really not that useful and that they should probably just give up. The same goes for people who are dependent on praise and approval. Criticism can make them feel like they have to perform like a superhuman to earn the approval of the person criticizing. Until they do that, they’ll be a nervous wreck!

The key to overcoming these barriers is to understand that you have value in and of yourself. Part of that worth comes from your accomplishments and skills, but some of it comes down to your mindset. What do you tell yourself about yourself? Have you really studied the art of self-confidence? Start developing the skills it takes to know your own worth and watch as your attitude towards feedback changes!

Consider the source. It’s also worth remembering that not all criticism is created equal. There’s some feedback that might not be worth taking seriously whatsoever. Your nagging grandmother, your impossible to please friend, and your nitpicking coworker are probably not the best places to turn for useful critiques and advice. But bosses, experts, and mentors? That’s where you need to put aside your pride, remember that you still have value, and actually listen.

You might be surprised how these simple steps can transform your perspective on criticism. Suddenly, the advice and critiques of others seem less like threats and more like opportunities. There’s so much wisdom walking around in your peers and mentors. Learning how to handle criticism like a pro opens up access to a whole new world of experience and ideas that just might change your life!


A Lotto Bad Ideas

A Lotto Bad Ideas

A full third of Americans believe that winning the lottery is the only way they can retire.

What? Playing a game of chance is the only way they can retire? Do you ever wonder if winning a game – where your odds are 1 in 175,000,000 – is the only way you’ll get to make Hawaiian shirts and flip-flops your everyday uniform?

Do you feel like you might be gambling with your retirement?

If you do, that’s not a good sign. But believing you may need to win the lottery to retire is somewhat understandable when the financial struggle facing a majority of North Americans is considered: 78% of American full-time workers are living paycheck-to-paycheck, and 71% of all American workers are currently in debt.

When you’re in a financial hole, saving for your future may feel like a gamble in the present. But believing that “it’s impossible to save for retirement” is just one of many bad money ideas floating around. Following are a few other common ones. Do any of these feel true to you?

Bad Idea #1: I shouldn’t save for retirement until I’m debt free. False! Even as you’re working to get out from under debt, it’s important to continue saving for your retirement. Time is going to be one of the most important factors when it comes to your money and your retirement, which leads right into the next Bad Idea…

Bad Idea #2: It’s fine to wait until you’re older to save. The truth is, the earlier you start saving, the better. Even 10 years can make a huge difference. In this hypothetical scenario, let’s see what happens with two 55-year-old friends, Baxter and Will.

  • Baxter started saving when he was 25. Over the next 10 years, Baxter put away $3,000 a year for a total of $30,000 in an account with an 8% rate of return. He stopped contributing but let it keep growing for the next 20 years.
  • Will started saving 10 years later at age 35. Will also put away $3,000 a year into an account with an 8% rate of return, but he contributed for 20 years (for a total of $60,000).

Even though Will put away twice as much as Baxter, he wasn’t able to enjoy the same account growth:

  • Baxter would achieve account growth to $218,769.
  • Will’s account growth would only be to $148,269 at the same rate of return.

Is that a little mind-bending? Do we need to check our math? (We always do.) Here’s why Baxter ended up with more in the long run: Even though he set aside less than Will did, Baxter’s money had more time to compound than Will’s, which, as you can see, really added up over the additional time. So what did Will get out of this? Unfortunately, he discovered the high cost of waiting.

Keep in mind: All figures are for illustrative purposes only and do not reflect an actual investment in any product. Additionally, they do not reflect the performance risks, taxes, expenses, or charges associated with any actual investment, which would lower performance. This illustration is not an indication or guarantee of future performance. Contributions are made at the end of the period. Total accumulation figures are rounded to the nearest dollar.

Bad Idea #3: I don’t need life insurance. Negative! Financing a well-tailored life insurance policy is an important part of your financial strategy. Insurance benefits can cover final expenses and loss of income for your loved ones.

Bad Idea #4: I don’t need an emergency fund. Yes, you do! An emergency fund is necessary now and after you retire. Unexpected costs have the potential to cut into retirement funds and derail savings strategies in a big way, and after you’ve given your last two-weeks-notice ever, the cost of new tires or patching a hole in the roof might become harder to cover without a little financial cushion.

Are you taking a gamble on your retirement with any of these bad ideas?


Sources:
The Balance: “What Are the Odds of Winning the Lottery?” 11.7.2017
USA TODAY: “Can’t keep up – More Americans living paycheck-to-paycheck.” 8.24.2017

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