The Curse of Instant Gratification

Welcome to the generation of the Ys. We are from the generation where MTV told us that if there wasn’t change and excitement in every 2 minute clip to change the channel. We grew up watching TRL which was only 60 second clips of the best and most exciting part of a 3 minute music video (really? We coudn’t watch the whole thing?) We love bullet points (Quick and to the point right?) Don’t grab my attention in the first 30 seconds? Good luck keeping my focus. We read headlines only. If that. Don’t like your job? Quit. Fighting with boyfriend? Dump him. If we invest, we want money instantly. We want to lose weight, we want it now. We want fast and exciting or we are bored. Instant gratification. Attention span of a 5 year old.

I’ve probably already lost your attention.

When it comes to investments we have such a short focus – which is exactly opposite of the approach we need to take. If we put money in stock or a mutual fund, we expect to make money that year (You might say: “THAT YEAR!?!? It better be that week/month!”) but that is not the point. Long term focus. If you look at charts of the market, every fund fluctuates.  Leave it in there for 20 years and you will have plenty of money from it. It is that need of instant gratification that hurts our generation’s investing habits.

Another approach. If you put $150 into an IRA each month for the rest of your life you will be set for retirement.  Whoa. OR you can use that money to buy a new pair of heels. Did you hear me ONE new pair of heels. That may give you blisters or potentially go out of style (since you are so cutting edge) or you may simply step in the crack of a cobblestone sidewalk and break the heel. Someone is bound to spill something on it if you wear it out. 15 years from now you wont have those shoes. But 15 years from now you will have made interest on that IRA and have a more secure future.

Don’t quit on your investments if the market goes down (unless you are playing the stock market). Don’t refresh your mutual fund screen every day hoping to earn more money. PATIENCE. It is a virtue and one that is completely missing from our generation. Be savvier than that. Kick that curse of instant gratification in the face and set yourself up to be a rich girl down the road.