Key Points:
Maximize Life Enjoyment: Money should be used to create memorable experiences and achieve personal goals, as experiences provide more lasting value than material possessions.
Time Your Spending: Spend strategically at the right times in life when you can derive the most value (e.g., travel when you're physically able, or invest in family experiences when your parents are still around).
Avoid Over-Saving: Saving too much for retirement can lead to missed opportunities in your younger years and a surplus of unspent money at death.
Give While You Live: Share wealth with loved ones or causes when it can make the most impact, rather than leaving it as an inheritance.
Health and Wealth Alignment: Consider your physical and mental capacity to enjoy money at different ages, prioritizing spending when you're healthy and active.
Plan for Declining Returns: Recognize that the value of experiences
diminishes with age due to health or energy limitations, so front-load
meaningful spending.
The
concept of a timeline bucket is an extension of the "bucket list" idea, but
with a focus on timing. Instead of a generic list of things to do "someday,"
timeline buckets involve categorizing your life goals and desired experiences
into specific time periods based on when they’ll provide the most value.
Perkins emphasizes that certain experiences are best enjoyed at particular
life stages due to health, energy, or circumstances.
By assigning experiences to specific "buckets" tied to age or life stage, you prioritise spending money and time on activities when they’ll have the greatest impact, ensuring you don’t defer dreams too long or miss out due to declining health or opportunity.
This approach helps you allocate resources intentionally to maximize fulfillment across your lifespan. Here's a list of items on which I spent a significant amount of money to gain these experiences:
Young Adult (20s-30s)- Peak physical energy for demanding adventures.
- Fewer responsibilities (e.g., pre-family or early career).
- Travel builds lifelong memories and broadens perspectives.
My Experiences
- Learned photography
- Earned an advanced diploma using my own money
- Obtained a degree using my own money
- Purchased my first luxury bag
- Started traveling in Asia
- Became a pet owner
- Fly overseas for concerts
Early MidLife (30s-40s)
- Financial stability supports bigger investments like travel or property.
- Still young enough for active, romantic, or adventurous trips.
My Experiences
- Enjoyed frequent travels to experience new adventures in exotic places (e.g. Russia, Iceland, Africa, Greece)
- Experienced Paragliding
- Saved $100,000
- Bought an HDB flat
- Owned multiple dogs
- Hired a personal trainer
- Dined at fancy restaurants
- Enjoyed luxury experiences with my dogs (e.g. hotel stays, cruise dining)
Early MidLife (40s-50s)
- Career stability allows meaningful spending on family or personal goals.
- Health still supports active adventures.
My Goal/Experiences
- Went skydiving
- Cleared off my mortage
- Started investing in equities
- Picked up bouldering and wall climbing (again)
- Reached FRS in my SA account
- Explore ways to generate passive income
- Leave the corporate world and pursue freelance/part-time work that is more fulfilling and align with my passions
In my 20s and 30s, my spending was driven by instant gratification and
lifestyle. I poured money into luxury items.
Travel was a priority, with
frequent trips to exotic destinations, often prioritising experiences over
budget. Dining out was another indulgence; I often spent a lot with friends
at trendy cafes/restaurants, savoring gourmet meals.
Back then, my financial
goals were vague, often centered on earning enough to sustain this lifestyle
without much thought for the future (since there was no such content on
Youtube too).
Now in my 40s, my mindset has shifted dramatically
as I focus on a journey toward financial freedom. The fleeting thrill of
luxury experiences has given way to the lasting security of investments.
I’m
now channeling funds into retirement accounts and other investments. Travel
is still part of my life, but I reduce to 1-2 trips per year. Dining out at
fancy places has taken a backseat to budget meals, with occasional splurges
reserved for special moments rather than weekly habits.
The
transition wasn’t easy. It required unlearning habits, resisting societal
pressure to “keep up,” and educating myself on investing.
But the clarity of
purpose in my 40s—prioritising wealth-building over short-term
indulgence—has made every dollar feel more purposeful. I’m investing to
live.