How Health and Finances Are Similar

I am overly obsessed with different areas of my life. I focus hard on one area and go all in. This is evident in my finances and my health. Whenever I concentrate on one, the other suffers.

I made the most amount of money when I was fat, lazy, and miserable. My sleep was off, my relationships were in shambles, and I was sinking deeper into diabetes.

I transformed my fitness over two years, losing 100+ lbs. At the same time, I neglected my finances, burning through savings and retirement with no job and no way out.

My turning point was the realization that the two areas of my life were similar. The principles that resulted in success in the two areas were identical; the same goes for failures.

Most people are Broke and Fat

There are countless statistics on the average American's debt of $6,000, not including student loans, auto loans, or mortgages

We are battling an obesity epidemic. We eat crap junk food and don't move around. We sit inside all day, taking pills to ease metabolic issues. The gym memberships go unused.

It may not be your fault

Schools drive fear about fitness and don't teach financial literacy. We were programmed to be factory workers. We are making the smallest to survive off the shitty advertised food.

Family only sometimes helps. Not only do they pass your genetics, but they also influence your eating habits and finances. If your parents were bad with money, there is a high chance you could have gotten a better basic foundation. It's the same with eating. Some were not fortunate enough to be fed the proper diet growing up. You must develop the pallet or learn to maintain a balanced diet.

Then, there is society as a whole. Society teaches that budgeting and managing your finances isn't sexy. They stereotype that it is only for Type A personalities, nerds. The same goes for fitness. Gym bros get a bad rep for being vain and egocentric. Or worse, we are conditioned to believe we are beautiful regardless of health. That's a topic for another day.

Here are some ways I found that health and finances are similar when viewed through a struggle lens.

Both are Emotional

Health

We dread going to the gym despite it being the best option for our physical and mental well-being. We tell ourselves that we will start next year when we know deep inside that we should start today. We overeat when we are stressed or sad. Some would argue that poor health is a direct result of a poor mental state.

Finances

Splurges and uncontrolled spending during lows and highs. We would rather not look at our statements for fear of disappointing ourselves. It's easy to swipe your credit card when you don't see a way out of the hole you dug yourself. Emotions push our actions when it comes to money.

Unexpected Events Limit Progress

Health

Eating out at restaurants can be tricky when trying to eat healthy. Events like weddings, holidays, and birthday parties make it easy to justify overeating. Maintaining a gym workout with travel takes work. Life throws curveballs all the time, and without a proper foundation, we tend to go back to our bad habits.

Finances

Big items hit you like surprises when you are least prepared. Your emergency fund runs dry when life events happen. Weddings, vacations, children, college, and so much more go unplanned. We ignore life events and struggle to play catch up on credit card bills and other debt.

Our Timeframe is Too Narrow

Health

We worry about losing weight fast or going to the gym for a "summer body." We jump on fad diets, hoping they're a miracle cure that will fix all bad habits. We spiral up and down, thinking that short-term motivation will become a discipline in the long run. We severely underestimate the work required to lose the last 15 lbs.

Finances

We jump on the latest money-crazy ride at the highest highs. We spend thousands on the newest course, even when we know nothing about the current state of our finances. We invest and pull out instead of going for the long run. We buy into rich-quick schemes to fix our years of bad budgeting.

Making Changes isn't Complicated

In fact, the process for success in both fitness and health is the same. Based on my past experience, I've condensed it into a few manageable steps.

7 Useful steps to manage your finances and your health

• Start Today

• Keep it Simple

• Use Logic

• Gamify

• Be Flexible

• Gradual Growth

• Plan for the Long Run

Let’s break down each one below.

Start Today

Health

It's easy to say you will start in the future. The New Year Goals are an imaginary construct to delay the start date. Each day you waste slows down your progress.

Health compounds in both directions. Figure out where you want to be and make a stand to not waste a single day. Eating healthy and moving around doesn't rely on your New Year's Resolution. Start today!

Finances

Everyday choices impact how the rest of your life will play out. It's easy to put off looking at your net worth or budgeting. We often set goals at New Year's to improve certain aspects of our finances, but we delay the date. If we do start, we often don't stick to it. Start today by being conscious of where your money goals are and how to plan for the future.

Keep it Simple

Health

We don't need to initially optimize for a million things. Start with the basics. Get your walks in and set up a basic gym routine with easy-to-complete goals. Focus on showing up and doing the work to get the habit started. There is no need to over-optimize for muscle growth or max lifts at the start.

Stick to a low-carb diet below your maintenance calorie goal requirements. Decrease as you make progress. Don't jump on fad diets or crazy workout routines.

Finances

You don't have to track every penny. It is a good thought exercise, but it is not required daily. Split your money spent into categories. Make sure you allocate the right amount each month.

I love the following breakdown from Ramit Sethi:

• 50% Fixed cost

• 25% Guilt Free Spending

• 15% Investments

• 10% Savings

Every few months, check in to make sure you are on track.

Use Logic

Health

We often plan to transform our health when we are at our lowest. We seek external validation from peers to motivate us. It's important to find your reason why. Why are you choosing to transform your health? Is it to look better, or is it to live a better life?

The more we question ourselves, the more we must stick to the long-term transformation. Remind yourself why you are going through the transformation. Do not focus on the short-term resistance.

Finances

We see money as almost lifeless. In reality, it has a deep impact on our day-to-day emotions. We tend to overspend when we are sad. We avoid looking at the budget when we know we mismanaged the money for the month. It is important to know what milestone you are trying to hit.

Focus on the life you want to have when considering large purchases. Use the 24-hour waiting rule before a large buy.

Gamify It

Health

Leverage fitness apps like Fitbit, Apple Fitness, and MyFitnessPal. See how many days in a row you can track your calories. I found tremendous help by not losing my Hevy app 4 times a week lifting streak.

The social dynamics can also help. Get a buddy to follow you there and comment on each other's workouts.

The advanced level is to build out your own character level-up guide like in video games. Create target milestones for your health and watch as you progress on the character arc—reward milestones with cheat meals or travel days.

Finances

Budget apps like YNAB and Mint make budgeting almost enjoyable. You start assigning every dollar a job and gain satisfaction when you direct it. Rather than it disappearing every month. I combine that with goals or milestones.

Like in games, you invest early to hit bigger and bigger payoffs. Start with simple stuff like paying off debt. As you grow and have more income, you start planning for big purchases like cars and houses. It's not all about spending; it's also about tracking and gamifying how you save.

I like to track how much money I have invested, give it fancy titles, and reward myself with a nice meal.

Be Flexible

Health

You won't be perfect. We all have that cookie or run out of time for a workout. Don't beat yourself up when you fail a streak. Restart and try to go longer the next time around. Don't give up because you missed a workout or eat bad one day this week. Keep your eye on the longer aim.

Don't try to "make up" for the previous mistakes; wash them from your mind and start fresh the next day. We don't want to build up mental weights that limit your incremental progression. It's about the entire journey, not the little pit stops.

Finances

A strict budget is a sure way to fail. Sometimes, we overspend, adjust, and keep advancing with bigger goals. You going to stop at Starbucks. You are going to splurge for your spouse on their birthday. You will treat yourself to a fancy meal while you travel; it's ok. The purpose is to avoid beating yourself into thinking you cannot achieve your goal. Instead of learning, you can adapt and adjust.

It's not about being frugal all the time. It's about being mindful of where your money goes. You can plan for items that others may see as fancy. It's about the long run and where you want to end up.

Gradual Growth

Health

We need to be more aware of what is required to get healthy. So many advertisers use the "lose fat fast" slogan for a reason. The truth is that building muscle and losing weight is hard. Building the routines and habits that lead to a healthy lifestyle takes a while. This isn't to discourage you but to mentally prepare you for the requirements.

You cannot do it all in 1 day. That is the quickest way to not continue day 2. It's better to do 3 full-body 40-minute workouts a week, leaving you ready to return for more. Instead of 2 hours of workouts 4 times a week, making you hate the gym.

Start walking a couple times a day after meals for 20 minutes instead of running 5 miles daily. It's better to start slow, track your progress, and increase the difficulty as you grow. It helps with the gamification aspect.

Finances

Nothing great comes fast. If you survey most millionaires in America, you will get a similar story. They invested early, built a company, and lived a modest lifestyle.

Don't optimize your investment portfolio with high risk when the debt is piling up. It's a losing battle.

The easiest way to fail:

• Investing into "get rich schemes"

• Falling into the internet hype like cryptocurrency pump and dumps

• Joining shitty courses with wild promises

Be boring. Live below your means. Pay off debts now and invest for the future. As you start getting raises or your business grows, don't fall into the income trap. Don't increase your baseline. Instead, invest more in yourself and your income-producing assets.

Nothing beats time in the market.

Plan for the Long Run

Health

Consider where you want to be 20-50 years from now. Do you want to struggle up the stairs? Will you be able to pick up your grandchildren? Do you want to be in a wheelchair and have countless medications?

We often think in such short terms. Get fit by summer, fit for New Year, fit for our wedding. In truth, we should change our habits now to make our end goals automatic.

Plan for slow incremental progress in how you eat and work out. Put it in your mind that it will take years to be where you want to be. Don't see it as a soul-crushing realization. Think of it as a debt you accumulated and how to pay it off. Once it's paid off, you are rewarded with feeling better and having more energy.

Then, you enjoy the fruits of your labor with a passive body. One that requires minimal effort to maintain as you age.

Finances

Like health, finances use the power of compound interest. The faster you reach a stable state, the more you can invest later. Investing is the most sure way to get to financial prosperity. Compound interest is magical but cannot be leveraged if you simultaneously compound debt. Interest on credit card debt is powerful in the other direction.

Passive income is one of those myths in most cases except for stocks/bonds/income-producing assets. Build the life you want through finances, not through shady get-rich schemes.

The principles for success in health and finances are the same. It takes effort to make a change and stick to a plan. It takes work to track progress and make adjustments as you grow.

With the New Year approaching, there is nothing better you can do for your future than to take charge of your life today.

Make small, meaningful changes that will set you on the right track to a passive body and income.

Thank you for reading

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