Being Less Stupid #3 - 401K investing
Hello and welcome to the Being Less Stupid newsletter. In this edition, I share about the importance of investing in 401K, designing process around daily tasks, and teaching and learning family values
💰 Invest in 401K Early
Many people ignore investing for retirement funds knowing the importance of it. I was one of them. By starting ten years late, I will be missing on millions of dollars on returns. By signing up for 401K, you will be getting just 3% less on your take-home salary. But this 3% will return millions for your retirement. If you have not already signed up, please do sign up for 401K now.
🎡 What is your process?
In the Info refinery newsletter, Jechave talks about the importance of defining the process for the things we do every day. He writes,
“I suspect that a lot of people would be surprised to realize they don’t have clarity over processes/things they do on a daily basis…
Not everybody likes checklists/processes, they think they constrain you. But I believe that is exactly their purpose, whenever you feel the constrain, revaluate it. Is there anything that needs to be changed to reflect a new piece of reality? They shouldn’t be static, they should be a dynamic evolution.”
I think the “process” (system, checklist), will help us if we write down the exact steps we follow or should follow. It will not only help us save time, it will help us identify what is not working and improve it to make it work better. We can build processes and systems around day to day things like exercise and cleaning to bigger life things like saving and investing.
Jechave recommends the book “Work Clean” by Dan Charnas to learn about developing systems. I think Checklist Manifesto by Atul Gawande would be a great read as well. Would love to know about your personal systems you follow.
I am going to write about my process for Saving & Investing, Tracking my Time and
Reading & Taking Notes.
👨👩👧👦 What are your family values?
James Clear brought up this idea of talking about mission and vision statement for families like how a CEO would do for a company. I loved the below response from Samantha. I am going to try this with my kids. It will be a great experience to discuss, teach and learn about family values from our kids. Do you discuss family values with your kids?
