Fast Cash vs. Delayed Gratification


Is your search to obtain fast cash based upon a real need or is it actually just the result of a desire to purchase something this instant?  At first glance, the answer to this question would appear to be obvious for most of us.  However, the fact is that the answer will vary depending upon how you define “need” in your life.  A good general working definition for this discussion is that a need is a condition or circumstance that requires supply or relief. 

Just about everyone would agree that purchasing a brand new fleet of Ferraris isn’t a need by most definitions.   However, what if I were to ask whether the purchase of one Ferrari is a condition that requires immediate supply?  Most of us would probably still agree that the purchase of a Ferrari isn’t a real need.  But, what if you were the owner of a Ferrari dealership and an integral part of your marketing plan is based upon the fact that everyone in town knows that you drive a gold Ferrari and your old Ferrari just died.  Is it now a need?

Now, let’s say that your 4 year old car has blown a head gasket and it will cost $1,000 to repair it?  You learn that you can buy a brand new Mustang that you really like but it will require you to make a $3,000 down payment out of pocket.  If you have zero cash and you are going to have to get some funds quickly, do you have a need for $1,000 in fast cash or a need for $3,000?  

From an objective point of view, you probably don’t actually need $3,000.  Chances are that most people would say that you might have a need for $1,000.  And, some might say you don’t even have a real need for $1,000 because you could just take the city bus to get around town until you have made enough money to pay for the repair or purchase the Mustang.

But sometimes we want to purchase something and it almost becomes an obsession.  So, we convince ourselves that our want is, in fact, a need.  Then we rush around and act as if getting fast cash to make our desired purchase is somehow extremely urgent when it isn’t urgent at all. 

Often, if we  are honest with ourselves, we will realize that we have the ability to make better choices regarding money.  This is where the concept of delayed gratification comes in handy.  Delayed gratification is defined in Wikipedia as “the ability to wait in order to obtain something that one wants.”  Another definition is the act of passing up short-term gains in order to obtain long-term rewards.

If we want to really get control of our finances and become wealthy then we simply have no choice but to master the discipline of delayed gratification.  Doing so takes time, patience, and practice but it is a skill that can be learned if we are committed to our financial future.   

There is an interesting free little test at http://www.happypsych.com/ that gives feedback on your ability to delay gratification.  As a bonus, if you take the test you will be entered into a lottery to win $100.

Enjoy!


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