Monday, May 24, 2010

Are You Financially Offence or Defense?

Over the years I read many financial books, attended seminars, and been in financial professions so I’ve heard many ways to classify people and their habits.  Recently I was listening to something (sorry I don’t remember what) but they used the term Financial Offence and Defense. I had never heard the term before and it has mulled in my brain for days. The more I contemplate the idea the more I realize it is awesome so I wanted to share it with you.

Offence is the ability and focus on making money. Defense is the ability to manage the money frugally and wisely. Now with that simple definition think of a number of people you know including yourself. Which category do they fall into?  Me, I’m by far a natural defense player. Any name or family member I can think of I can immediately decide which player they are. Cool isn’t it?

Now for the interesting part. We naturally gravitate to those things that are easy to us and are our inclination. For example, since I am a defense player I always read and attempt to figure out how to be a better defense player. But, what I realize is that I need to learn more about offensive if I want to improve my game. Make sense?

I recently read The Millionaire Next Door. One of the things that was interesting was that it mentioned that the husband was usually the primary wage earner (offence) and the wife was usually frugal and managed the money (defense). Between the two of them they were a winning team.

Isn't this is exciting? I like simple things. When we remove all the sales pitches, long explanations, and personal analysis of why we do what we do just give us the simple answer and we can go with it.

Knowing this, isn’t it easy to see why some individuals or couples are more successful than others? Now I’m not talking about the gamblers, big spenders, and those with obvious financial flaws. This is for the hard working, diligent people who can never seem to get ahead. Maybe they are losing the game because they have not recognized or worked on the area they lack so they keep missing the touchdowns.

I would be very interested in knowing what the readers would call themselves so I hope you will humor me and write it in the comments. You can put anonymous if you don’t want your name out there. My guess is that most In The Trenches readers are defense. Why? Because you are reading blogs about frugal living, saving money, and cutting back. If you were offense you would be probably be reading about how to invest a dollar to make a million in a month. Am I right?

 Football 7


Olivia said...

So right. Defense to the extreme. The question is how does one become more offense, when it somehow seems so risky? It isn't just a skill set but a whole personality orientation.

Carol Schultz-Weil said...

It's a new and interesting perspective for me also. I came across this blog post a couple of days ago that I found extremely interesting. Although I didn't necessarily think that her personal observations necessarily applied to me I thought the concept was facinating. I plan to read the two books she recommended and will add them to the book corner if they seem to be something the readers might be interested in. Thanks for the comment.

Carol said...

I've been continuing to ponder this subject and think that women may often have a harder time playing offence. At least that's how it has been for me. The reason is simple. Always juggling multiple priorities and trying to keep them all in the air. Job, housework, kids, errands, etc. Sometimes it's just good to relax and go to bed with the day done. Hard to think too much about offence when you're tired. But, we should. We work hard and need to maximize our time and talents. I look forward to reading the two books I mentioned and may do a review on them when finished.