When I received an advance copy of Carl Richard’s book The Behavior Gap, I read it cover to cover in one day. It’s rare that I come across original thinking in the personal finance world and I wanted to bring some of that original thinking to you.
I was fortunate to spend some time with Carl and we recorded our conversation about money its impact on our lives. Carl is known for taking complex financial issues and breaking them down into simple to understand drawings that could fit on the back of a napkin.
One of my favorite drawings from Carl depicts the relationship between money and happiness. Carl explained how we face this contradiction in life where we feel that if we can make just a little more money we’ll be happy, but we’re also told that money doesn’t buy happiness. According to Carl, there is truth in both statements. Be sure to listen to his explanation.
The Financial Planning Industry
We talked about the personal finance industry in general and Carl and I share very similar philosophies. “We’ve fallen prey to this idea that complexity is some sort of intellectual gift,” Carl said.
The industry tends to over complicate the financial planning process by focusing on a product called the “Plan.” When I asked Carl about these plans, he was very clear. “Financial planning is a process…not a 2” binder. A Financial plan is worthless, the process of planning is vital.” I couldn’t agree more.
When I asked him to sum up the message of the book, Carl told me, “If you’re trying to make sense of all these important decisions. The reality is financial planning is about making incredibly important decisions under an extreme uncertainty.”
Carl has been generous enough to offer the first 20 of my readers an 8” x 10” print of his Fear/Greed drawing that is perfect for framing in your office for client discussions.
To get your copy of the print, simply order The Behavior Gap at Amazon and forward a copy of the book receipt to the email address: book(AT)behaviorgap.com (replace AT with @)and be sure to include “Offer from Chuck Rylant” in the subject line. Include your shipping address in the email for delivery of the print.
You can learn more about Carl at behaviorgap.com and also sign up for his free newsletter.
All images included here are owned by and used with permission of Carls Richards.