The Importance Of Generosity
In my financial planning practice, there are certain principles that I believe lead to financial and investment success (you can view them here). While most of the principles relate directly to making sure people have enough money to reach their goals, one of the principles listed may seem counter-intuitive, and that is the principle of giving generously. Some would question why I list that principle or care if people give or not, as it should be a personal decision, and it is. Obviously, I can’t and wouldn’t try to force someone to give, however, I do encourage it. I want people to experience financial contentment, regardless of the size of their portfolio. Though money can provide certain privileges, I’ve observed that contentment isn’t directly tied to net worth.
I include giving generously as a principle for financial success because of the perspective it can bring. What is great about giving is it’s a win-win, you help others and yourself. If giving is done purposefully, for causes you’re passionate about, it can provide perspective on the blessings in your life. Generosity stirs something inside of us that brings joy. So, while most principles I utilize are for our financial well-being, generosity is for our emotional well-being.
It turns out this idea and my experience aren’t unique. There are numerous studies that have found the same conclusion. Click here to check out a recent study by Fidelity that found childhood giving traditions create happier, more charitable adults; and for thoughts on how to start giving traditions that include your children in acts of generosity.
Just maybe there is something to what the Bible says on this topic:
It is more blessed to give than receive. Acts 20:35
A generous person will prosper; whoever refreshes others will be refreshed. Proverbs 11:25
Advisory services offered through Arbor Point Advisors. Securities offered through Securities America Inc., Member FINRA/SIPC. Arbor Point and Securities America are separate companies. CA Insurance #0E88557