Gratitude, Giving, Financial Health
Written by Melissa Spencer & Keith Spencer
“Why do we do a thankful tree?”
Our 4-year-old asked the question as he stretched precariously to place a construction paper leaf on the highest branch he could reach.
I don’t know when we started the tradition. I think it was at least 10 years ago now. But every day between November 1 and Thanksgiving, each member of our family writes something they are thankful for on a construction paper leaf, and adds it to a “Thank Full” tree made of discarded branches.
The things we are thankful for range from serious (our house, food, G-Pa) to pretty hilarious (dirt, “my pinky toe”, that our dog has fur). But it’s not really about the specific things we’re thankful for; it’s about recognizing how blessed we are and fostering an attitude of gratefulness.
And by the time we reach Thanksgiving our “Thank Full” tree is exactly that.
Gratitude & Giving —> Financial Health
Since I’m a financial planner, you may be assuming I’m coming at this from the perspective of encouraging you to improve your financial health, which will lead to a state of gratitude about your finances, which will enable you to give to others.
Better Financial Health —> Gratitude —> Giving
Of course, I whole-heartedly believe you should strive to improve your financial health.
But I also think the equation above is backward. It can work that way, but my opinion is that the equation is better written like this:
Let’s see if we can unpack that a bit.
Intentional thankfulness
Intentional thankfulness is a great practice year-round, not just at Thanksgiving, because it helps change our perspective. When looking at finances in particular, viewing them through a lens of thankfulness and gratitude can ultimately lead to better financial health.
Gratitude can lead to:
Less wasteful spending and impulse buying
When we’re focused on the blessings we have, rather than the things we don’t, we will naturally spend less and lifestyle inflation is less likely to occur.
Helping us think long-term when it comes to our investments and money
Feeling discontentment rather than gratitude about the current state of our finances can lead us to pursue quick fixes, short-term thinking, get-rich-quick schemes, and, ultimately, poor returns.
More resilience when things go wrong
Things inevitably will go wrong with our finances and in our lives. But if we start in a place of thankfulness, we’re able to withstand those times better.
Improved relationships
Few things disrupt finances more than not being on the same page as a partner. If, as a couple, gratitude is the starting point, including gratitude expressed toward one another, that can lead to a better partnership, more aligned thinking, and less chance of divorce.
Financial freedom faster
When we get to a place of being content with what we have, we may realize that we don’t have to keep working and working to get to a “better” place. If we look at what we have with gratitude, we may realize we could live a little more simply, and enjoy more years of financial freedom. There truly is such a thing as enough when it comes to wealth.
Helping us consider others
It’s been said that no matter how bad things get, someone always has it worse. When we consider just how blessed we are, it can reveal to us the needs of those around us. Few things bring greater joy than helping someone in need and feeling like you made a difference in their life.
Giving
Ooh, did we hit a nerve with that last bullet point?
I know it does for me.
Too often, my thoughts are all about me, me, me. I need to continually strive to do a better job of considering others.
A primary way to do that is to practice the art of giving.
As described in the section above, gratitude can lead to giving. But it can work in reverse too. When we give, it can encourage gratitude. It can show up as gratitude that we have the means to give in the first place; that is, gratitude for our money, our health, our time, our talents, and those that are in our lives.
The act of giving may seem like a backward step on the path to financial freedom. After all, money given away can’t be put directly toward our financial goals. However, there is a reason it’s included as its own box on the Circle of Financial Health:
Why do we aim for financial health and freedom? Because the quality of life and peace of mind it provides makes the effort worthwhile. What could be more worthwhile than knowing we’ve made a real difference for someone else in the world during our lifetime?
Different types of giving
Giving money is powerful. It can make a material difference for a person, organization, or charity. Whether it’s $10 or $10,000,000, the impact is real.
But giving doesn’t have to be solely financial. There are other types of giving, such as:
Contributing our time to a cause, organization, or person.
Lending physical and/or emotional support.
Praying for or encouraging someone.
And the recipients of our giving vary as well, ranging from a church, to humanitarian causes, to the next-door neighbor, to our children.
Completing the Circle
Looking back to the Circle of Financial Health, I would say that giving is not only an important part of the Circle. I would say it actually completes the Circle. Without giving, you don’t have a full circle, and don’t have true financial health.
As Winston Churchill once said:
“We make a living by what we get. We make a life by what we give.”