“When I was five years old my mother always told me that happiness was the key to life. When I was in school, they asked me what I wanted to be when I grew up. I wrote ‘happy’. They told me I didn’t understand the assignment and I told them they didn’t understand life.” – John Lennon

Even though my parents did not literally say “Go to school, Get good Grades and Get a good paying job”, every of their actions made me feel that going to school and getting good grades is the route to a good financial future. I did go to school and I got good grades but was not particularly exceptional financially. Rather I continually saw examples of people who did not finish school but who made it to the top despite all odds. We have examples in Abraham Lincoln (President of the United States), Bill Gates (Founder of Microsoft), TD Jakes (Pastor and Author), Steve Jobs (Founder of Apple) and Mark Zuckerberg (Founder of Facebook) to mention just a few. These men are successes in their different field of endeavours even though they dropped out of school at different stages of the school system. I also heard today about some men in my country who have become industry giants without any degree to their names. Don’t get me wrong! Education in itself is not wrong because it helps train skilled workers to support any nation’s economy. The success of the men mentioned above, however, makes it obvious that formal education is not necessarily what guarantees success or our financial sufficiency in life. Why then did we have to go through the formal education we all go through if it might not guarantee our success.

As an adult I wish my parents had taught me about money as a child. I wish they did not just leave me to find my feet on my own. I wish they taught me:

1. That money is only a means of exchange for value. If I can add value to other people I will make money irrespective of what kind of job I do. The earlier everyone realises this the better. No one makes money only because they went to school. If you are schooled but can’t add value to others you will not make money.

2. That people who don’t have the personal visions and goals for their future usually don’t achieve much, financial status is not excluded. Even though I was a very good student who made good grades I did not know that financial freedom was the goal I was supposed to set for myself. I kept at financial security until I discovered it will never help me achieve my dreams.

3. That it is better to be either a business owner or an investor with respect to making money rather than an employee or a self employed business person. Over 90% of the world’s wealth are managed by business owners and investors even though they are just about 10% of the world’s population. The remaining 10% of the world’s wealth is in the hands of employees and the self employed who are about 90% of the world’s population.

4. That I can only be rich if I manage my money properly irrespective of what my income is. I wish I was taught how to budget and live within my means. I wish I was taught to give to the needy. I wish I was taught to ensure that my savings was safe from me. I wish I was taught that I must invest in myself even if my employer did not do that because I am the architect of my own future.

5. That I needed to invest my money after I have saved. Savings is not the end. It is only the means to an end. I also wished they taught me that I needed to take risks when it comes to investments. Being risk averse is to remain poor.

6. That passive income is more important than active income. I wish I knew that I will have to do whatever work I do all my life, irrespective of whether I like it or not, if I never work towards having passive sources of income. I wish they taught me that I could only live my dreams when my passive income was high enough to take care of my living expenses. Only then can I live life to the fullest.

7. That I needed to teach myself about money after they have given me the basic knowledge. Knowledge does not end with school. Life is a continuous classroom and we only stop learning when we die.

What do you wish you were taught about money? I will like to hear you.

Photo credits: Corbis

– Gbonjubola Sanni