Believe it or not, resilience, accountability, leadership, respect, patience, and perseverance are not the only things we can learn from sports -— there are plenty of important money lessons, too. If you are not convinced, then here are five money lessons from five different sports.
Basketball: Staying disciplined
To reach the top and deliver a good game, basketball players must have a bottomless pit of self-discipline. They have to be committed to eating a healthy diet, working out regularly, and spending hours upon hours training.
To build wealth and achieve financial freedom, you also have to embody the same self-discipline and self-control. There are plenty of ways you can learn how to be more disciplined about money. The American Psychological Association's recommendations include tracking your spending regularly, avoiding temptation from credit cards, and automating savings.
Chess: Learning how to give certain things up
Before chess players capture their opponent's king, they often give certain pieces up first. The same rule applies to money management. In order to attain a certain goal, there are things you have to let go of. For instance, to save enough money for that dream vacation in Bali, you might have to let go of your daily Starbucks coffee.
The key here is to remember that it is only worth giving a piece up if, after doing so, you end up in a better position on the board. So before tapping into that emergency fund or retirement assets for a new car, think twice. Which one should you give up to be in a better financial position down the road?
Baseball: Diversifying and thinking globally
To access the best talent, Major League Baseball teams jump from one country to another to scout for players. A list of money lessons noted how this international approach is something that you can definitely apply when trying to build wealth.
In addition to investing in markets that you are familiar with, you should also consider emerging ones that offer strong potential growth. For instance, you can take a look at the performance of other currencies and international commodities. By looking beyond the usual, you stand to enjoy a wide array of benefits, such as diversification, increased protection, and reduced taxes.
Poker: Sticking to a strategy
When it comes to mental sports like poker, nothing is more important than a strategy. However, for players to arrive at a sound one, they must first know the game by heart. This guide to poker hands points out how a thorough understanding of hands and how they compare with one another is a good first step to figuring out a strategy. Different poker players have different ways of dealing with the cards they’re dealt — and it’s up to you to figure out what kinds of strategy you can thrive in, and to stick with it.
The same can be said for personal finance as well. To successfully save money and be better at managing your income, you have to have a plan and strictly follow it. A well-curated plan will not only help you stay focused on your goals, but it also provides clear-cut ways for you to achieve them. For instance, your strategy can help set your budget and outline unhealthy money habits you have to eliminate.
Football: Having a coach
In most team games like football, players are able to perform to the best of their ability because they have someone to guide them. Coaches come up with the right game plan that takes into consideration the unique abilities and talents of each player. If you are struggling to manage your finances on your own, maybe it's best for you to have a coach, too.
With a trusty financial advisor, you can aptly allocate your assets and achieve your financial goals systematically. You would also be able to avoid certain risks because you have someone who understands the market better and takes your risk appetite into consideration. If you need help with money issues do contact us here at TechGirl Financial.
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