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The Wise Investor

These savings must be invested wisely. Only then,
only once you have done all this, will your financial
position begin to improve. When you have done this,
your finances will be better with each passing year.
Before you know it, you will have independence and
choices you never dreamed of."
"Oh," said Kate. It was a weak response in the
circumstances, but she couldn't think of anything
better to say. Kate decided it would be better to
keep quiet and listen carefully to what her
grandfather had to say.
"Go on, John," she said with encouragement.
"First, let's talk about your income."
"Don't depress me," said Kate with a laugh.
"When we spoke last week," John continued,
"you told me your pay rise had been delayed. You
were depressed, and a little worried too. Think back
to the last pay rise you had, dear. How did it feel?"
"Wonderful," said Kate. "It wasn't much, but it
was extra money that I hadn't had before. It was a
really good feeling."
"Now tell me," said John, "how did you feel three
months later?"
"Well, just normal," said Kate, a little unsure
where this was leading.
"So you weren't any richer," her grandfather
continued, "you felt the same. Sure, things were a
little easier, but it didn't solve your problems. In fact,
your worries about the future were probably exactly
the same.
Your long term problems hadn't changed in the
slightest. You felt a little richer in the short term, but
even that faded within a few months.
You were back where you started, making ends
meet each week and each month. If the last pay
rise made no lasting difference, what do you hope to
gain from the next one?"