Are Your Short-Term Actions Ruining Your Long-Term Wealth?

Long Term Gain

Long Dhosas Taste Better

I must be the biggest donkey on Earth because I just spent an egregious amount on a handyman to fix some things. I’ve had a funky bathroom window that would not close properly for years in my main San Francisco rental. I tried to fix it, but couldn’t. My tenants never complained over the years, so I let it be. The window is in a small bathroom without a vent, so having the window slightly cracked open helps relieve moisture.

Then one fine summer day my tenant’s neighbor below decided to start grilling on their little deck. Smoke would waft into the bathroom and through the rest of the apartment. So when my tenant texted me to fix the window, I said “no problem” and found a handyman on Craigslist immediately. He is actually a licensed contractor on Craigslist with “no job too big or too small.” In retrospect, I used a sledge hammer to push in a thumbtack.

He stopped over to visit my tenant directly and gave an estimate for $225. I told my tenant to tell the handyman everything else she’d like fixing while he was there besides the window. She mentioned a broken dimmer switch, and a faucet cap that needed replacing. Perfect. Fixing three things in one visit every year or two isn’t that bad.

Although $225 sounded steep at the time, I agreed to the estimate because I figured he would take at least an hour to do all the work, buy the parts, and commute back and forth for two visits. I was also happy to not have to physically go out there and meet the handyman for either visit. I asked the handyman whether I could get a discount if the work took less than a couple hours, and he said it was flat fee. Fine.

I told my tenant to tell me how long he took to fix everything so I could see whether I was getting my money’s worth. She texted back, “Maybe 15 minutes, no more.”

Damn! What a moron I am!

Five Sure Signs It’s Time To Move On From Your Job

move-on

Grey Skies On The Horizon

At some point or another, you will be passed over for a raise or promotion. The goal is to actually start strategizing about your future BEFORE this unfortunate event occurs.

Perhaps part of the reason why some men make more than some women is because men are more aggressive in having the compensation talk with management. Back when I was working on Wall Street, I made sure I had a very serious heart-to-heart talk every two years with my bosses about compensation and promotion. I very clearly laid out my goals about when I wanted to get promoted, and how much I was looking to make, in a respectful way of course.

Before each sit down, I made sure my performance to date was solid. I included a short five-to-eight page powerpoint presentation to demonstrate the progress of the business under my leadership. The goal was to make it easy for them to pay and promote me, and it worked. By 27 I was promoted to VP and then to Director by 31 where I stayed for three years until I left to focus on writing.

Towards the end of my career I knew that I would never reach Managing Director. I would have needed to relocate to Hong Kong or New York, and then prove myself for another three years before getting the nod. My manager was at least five years older than me based in NY and wasn’t even an MD. How the heck was I ever going to get ahead? I wasn’t. Once we realize our limitations, we must be happy with what we have or do something. I always like taking action, so I negotiated a severance.

Feel You Have To Donate To Your College Alma Mater?

Jon Stewart W&M Alumn

Jon Stewart W&M Alum

Recently I was contacted by an old college classmate to donate to our 15th reunion at The College of William & Mary. He told me our reunion fundraising goal was $500,000 and we’re at about $323,000.

I told him, “Sure, no problem,” and proceeded to forget about the pledge until I got the gift request in the mail. The solicitation gave me the options of giving $19.99, $50, $100, $250, $500, Other, or a 5-year pledge of $X. Payment methods included credit card, check, or donating directly online with the option of designating where my gift will go. Nice job making it easy for alumni to give guys.

I was all ready to write a check for $200, when I started thinking back to my interactions with my classmate. We studied abroad together in Beijing in 1997 and I remember him hooking up with a girl right after I had hooked up with her a month earlier while we were still in Virginia! The girl and my ex and him were all going to Beijing. It made for a somewhat awkward situation where our small study abroad group ended up being dividend into two groups: 1) the super cool group, and 2) the not so cool group (his group and the girl of course).

By the time we landed in Beijing, I had already made amends with my ex-girlfriend, so it’s not like I was jealous or angry of my classmate for messing around with this other girl. It was just weird as can be – like a love trapezoid. As a young man, you’re trained to emotionally move on quickly or else. Think back to your college days when it was just one big love fest. You don’t recall? Hmm. Maybe it was just us then.

Anyway, thanks to the wrong reunion co-chair contacting me, I’m not so sure if I should give anything at all. Instead, I’d rather spend an hour writing this fun post and discuss the topic with all of you.

The Financial Samurai Podcast Episode 1: Genesis

Financial Samurai Podcast Dear Readers,

Welcome to The Financial Samurai Podcast! I decided to start a podcast to try and connect with readers in a new way. I’ve been writing online since 2009 and I feel very comfortable whipping out any sort of writing fairly easily. I thought it would be fun to mix things up and good practice since I hardly ever speak in a public setting. Things will probably be a little rough at first, but I’m sure the podcasts will get better through practice over time.

The initial goals of this podcast are to:

1) Provide a new medium of communication for those who prefer listening, rather than reading.

2) Provide a new way to convey ideas that aren’t as easily captured in my writing.

3) Improve as a speaker.

4) Be a friendly voice when you’re feeling confused, lost or down.

5) To go on a new adventure. It feels great to do new things.

The Conquer Cancer Foundation: Funding The Hopes Of Many

Conquer Cancer Foundation Tom RobertsRecently I had the pleasure of participating in a Conquer Cancer Foundation event at the home of my friend, Dr. Thomas Roberts and his beautiful wife Susan. Tom used to be an attending staff oncologist at Massachusetts General Hospital and an instructor of medicine at Harvard Medical School before joining Farallon, one of the first hedge funds in the world to manage university endowments.

My favorite thing about Tom is not that he’s a very smart and successful guy. The thing that stands out most about Tom is how nice and thoughtful he is. You might think a man of his stature wouldn’t bother hanging around with someone like me, yet he’s been nothing but kind and magnanimous with his time. We met on the tennis court several years ago and have been good friends ever since.

Tom is on the board of the Conquer Cancer Foundation and I’ve promised to help him spread the word about this devastating disease that has affected so many. Although I cannot match the funds that many generous benefactors have offered, I do have an online platform to help raise awareness. My grandfather died of skin cancer before the age of 65 and my good friend’s father was recently diagnosed with bladder cancer. It seems like everybody I know has been affected by cancer to some degree, whether it be a family member, close friend, neighbor, or colleague.

Here are some cancer statistics:

* One out of every two men and one out of every three women will be diagnosed with cancer in their lifetime.

* There will be over 1.6 million new cancer cases diagnosed and nearly 600,000 cancer deaths in the US in 2014.

* Cancer remains the second most common cause of death in the US, accounting for nearly 1 of every 4 deaths.

* There are nearly 14.4 million survivors worldwide.