As my birthday approaches this year, I’m reminded of a day from 25 years ago when a large envelope appeared in the mail with a note on the outside in Grandma Centsei’s familiar handwriting.  The envelope felt heavy and thick, and my anticipation of a card that might contain a bit more than just the customary birthday joke was very palpable.

The big day finally arrived, the envelope torn open, and the source of this “mystery bulk” revealed: two fresh, crisp twenty dollar bills.  In disbelief, I examined the bills closely, taking in their texture, weight, smell, taste (just a small lick, I swear)… their very aura. With such a thorough examination, I soon realized that these bills were truly a magical: they even had d sequential serial numbers.

I couldn’t believe my luck!  What were the chances that two bills like this would end up in my hands on my birthday (actually, not as unlikely as you would think, but try telling that to an eight year-old)?  Would someone pay a million dollars to me someday for this rarity? Could I frame them for all my friends and family to admire? The possibilities were endless.

In the coming days, reality set in.  More specifically, a new video game went on sale at Toys R Us, and the excitement of defeating the final boss now far outweighed the pride of framing duplicate Andrew Jackson portraits in my bedroom.  A seemingly insurmountable impasse had arisen: if I spent my money on this game, then my chances of being able to afford the more expensive new bike I wanted would basically be put on hold until my next birthday, basically an eternity.  What’s more, I wouldn’t be able to buy something even bigger and better down the road. If I saved even more money, maybe someday I’d be able to pay my little brother to do my chores for me! Now, the possibilities were truly limitless. My visions of the possible opportunities were growing like wildfire.

I remember going to my parents with my dilemma (conveniently omitting the little-brother-servitude bit), thinking they must have run into a conundrum like this before and could shower me with waves of deep financial insight.

Instead, their answer, which was less than half the length of a presidential tweet, really struck me:

“Well, it’s your money, so it’s your choice”

Deep indeed.

Money buys you choices.  Not material goods. Not status.  Not convenience. Not power. Not respect.  Not fulfillment. Not success. Not peace of mind.  Not even happiness. Choices.

There’s no question that money can be a means to many these things, but it is not an end itself.

The study of personal finance is one in the same as the study how we make choices.  Money is nothing more than a measure of your ability to make decisions for yourself, both now and in the future.  That’s why it’s so important to learn how to manage your money well.

The implication of money’s connection to choice is obvious throughout society.  High levels of wealth mean having countless product and lifestyle options. Low levels of wealth mean few, if any, choices.

Wealth is a spectrum, but for the sake of simplicity, consider the following scenarios that might arise in everyday life, as viewed from the perspective of a high wealth vs a low wealth individual:

	High Wealth $$$	Low Wealth $
Location	Many factors for decision:  Distance to work Quality of the school systems Neighborhood safety Traffic Proximity to family/friends Culture	One factor:  Cost of rent
Housing	Many factors:  Rent or Buy Square footage Floor plan Storage Amenities	One factor: Whether the landlord will accept me
Children’s Education	Many factors:  Reputation Public/Private/Charter Boarding Location Religious focus  Extracurricular activities College Preparedness Staff Quality Culture	One factor: Dictated by city/town school system
Food	Many factors:  Nutritional goals Dietary needs Taste preferences Brand Convenience Ethical standards	One factor:  Giving family enough to eat this week
Healthcare	Many factors:  Doctors preference Hospital preference Prescription needs  Preventative care options  Mental health care availability  *All paid for by insurance	One factor:  Whether I can afford this or have to put it off (again)
Cars	Many factors:  Car, SUV, or truck,  Size Brand Milage/hybrid/electric Environmental/ethical standards Durability Amenities Financing availability	One choice:  Public transit schedule
Financing/Loans	Many factors:  Lowest interest rate Financing length/terms Customer service Ethical standards of lender	One choice:  Whether they will even lend me money
Household Maintenance Outsourcing	Many factors:  Cleaning Landscaping Appliance repairs Remodeling Painting Childcare Amenities	One choice:  Keeping the household afloat without hired help
Free Time	Many factors:  Time with my children Time with friends and extended family  Club/groups Hobbies Volunteering Vacationing Education Developing new skills Working out Maintaining health Resting/leisure	One choice Number of second/third jobs that can be fit in
Financial Planning	Many factors:  401K’s,  IRA’s,  Pensions,  Real estate, Investments	One choice:  Getting through until the next paycheck

(It’s not wrong to want to be in the left column, and I assure you that you can)

We’ll examine wealth, poverty, and how social class affects one’s outlook on life in future posts, but today’s message is short and sweet.  Human beings pursue money not because we are selfish, but rather because people value forging our own paths. Whether that path involves buying the shiniest new iPhone, stealing an expensive dinosaur skull, achieving financial independence, starting the world’s most successful charity, or just collecting sequential bills, you deserve that choice.

This blog will consider how we all can (hopefully) use our money more wisely to obtain… and retain… the greatest power on Earth: the power to choose.