What is money? Not the FIAT-gold discussion, but the essence of money.


So we all know the story behind the birth of money, how the ancient people decided to have a common exchangeable value item, taking the place of the barter system.

I think today’s everyday people don’t keep in mind the fact what money is.
In my opinion, it is perhaps the best invention of mankind!
Money holds work, sometimes hard-sweat work.
People get paid for their work. Which is not only their energy, but also their time. We know everyone only has limited time in their life. Some say you can’t buy time. In the end they will be right, however, to a certain extent, you can buy time.
You can pay for someone to do something that you were supposed to do, but you decide to do something else. You can pay your friend to take your wife to the airport, because you want to rather watch a game. Ever seen a billionaire standing in line and waiting? Possibly, but a rare case 🙂
In Hungary we get paid less for sometimes the same work as our fellow Western-Europeans or my American friends. Our energy and time is valued less. I got over this, no big deal.
(Expenses are indeed cheaper, but in the end these circumstances end up providing a lower living standard as the price of many things are the same as everywhere in the world, the price a Mercedes will be the same (or higher due to taxes)).
So I ask myself, would I want to pay $5 dollars for a Starbucks coffee (I work roughly for net $46/day), for which I work almost an hour? No waaaay! Oh and by the way I did not even include that I am ‘only’ able to save 50% of my monthly net salary. – I know this % is great! This is my only reason for financial hope by the way.
I love cars, the above analogy would translate to this question, now including savings: A car I would love to buy, costs around $49.000 – brand new. Would I work and save only(!) for this car, for 8 straight long years? Hell no!
I think too few people ask themselves when buying stuff, how much they work for such. Bringing this thought further, how much time and their energy that item or service is truly worth. Some might think I am Ebeneezer Scrooge, but I’m not. I’m living below my means.
I think it is important not to spoil. The biggest mistake can be to spoil ourselves. As it is ‘me, me, me!’. Then we can spoil our family and friends. By doing so, we would set furthermore a very bad example, and dig even deeper in expectations and sourness (people tend to expect always more and in the end we can’t provide it). Buying unnecessary stuff is valuing yourself low.
My girlfriend expects me to buy an apartment, later a family house (honestly, she thinks ‘we’ would buy these, but as she can’t save with her current salary, the equation is with me alone).
We do have a small 60m2 house which my family gives out to rent. But my girlfriend wouldn’t want to move there as my mom would be too close. But I’m not sure if she understands that I would need to work for 8 long years just because she doesn’t like my mom being close. (Otherwise she loves my mom, at least I think so 🙂 )
I want to have more money. We all do. Some more, some less. Some want other things. There are many other things we can buy with money, so in the end I think people don’t want money bad enough, because they don’t understand well what it actually is. When it is a top priority to become rich, I say it’s a good thing as it could also make you value your time and energy. By doing so – by getting rich – you can increase the value of your time and energy.

As an investor what to do in your spare time?

What does an investor usually do? What to do, while our money is working?


Firefighters are fighting fire, doctors are curing patients, but what does an investor do?
Investing in many type of financial vehicles, then anticipating a positive return, hopefully also aiming to beat inflation and market averages.
Right, but that is something actually the market does, the values, returns and other metrics change, so most of the time an investor is actually waiting to see if the setup is working, then furthermore studying, checking markets and always making small corrections. Just like driving a ship or any other vehicle.
So as a small investor, what should we do, when our investments are in good position and we just need time to pass by? Shall we just check our investments and the market in 6 months, 1-2-5 years from now? Shall we check it several times per day?
I don’t know the answer, I don’t think anyone does. I think the answer actually varies from person to person. Depends on how easily our hands are shaken by markets. Can we stick to our initial plan (because an investor should have a plan), can we fight our emotions when the markets are taking a nosedive jump or when everything is sparkling and our greed is knocking on our doors?
I tried not to look at my stocks for a day. I think I lasted for 5 hours in between the market open and close. It felt good. I was able to concentrate and focus on other things.
But when I started I didn’t know what to do. I was asking myself, how I could become a better investor, while my investments are still shaping to succeed or fail.
I had the below ideas:
– focus on building personality, on sharpening the force of will
– read articles and books generally on investing and learn, also memorize and later use new tactics, tools and strategies in real life. I just bought Essentialism by Greg McKeown. I pretty much enjoyed Robert T. Kiyosaki’s books so far (Rich Dad, Poor Dad).
– starting an investing game, like virtual stock market game
I think all the above is very useful. I think what very useful can be is the virtual stock market game. Having several portfolios and trying out different strategies, having our risk taker personality match our rule follower one.
So I can recommend to use time, as time is also an asset we all have, but usually never value enough.

Time and efficiency – I mean a different sort of efficiency than what you think


I don’t think there’s not a single soul out there who hasn’t heard of the importance, on how we should squeeze everything we can from our time. Be efficient!

Set your mouse scroll faster – it will take time for you to adjust, but will win time on the long run.
Prioritize your tasks
Learn how to typewrite
Check out recipes that only take less than 20 minutes
and the list goes on and on…
Most of us wake up in the morning, think about what we must do. It’s usually going to work. It’s the same case for me, I have a full time job and work from 8:30 AM till 5:00 PM. Then I try to make myself go jogging for an hour. I’ll get home tired. My girlfriend will arrive and we’ll chat, watch a movie, play on a game console, perhaps read a book and have dinner (of course there’s more than that).
The point I’m trying to make is that we all have a daily routine. As a matter of fact, at the age of 30, I think my daily routine hasn’t changed much since I started working, roughly 6-7 years ago.
So I want you to zoom out from thinking how to be efficient, from the mouse scroll speed level to your life level.
I asked myself, am I efficient with my life?
I know how this question could fill books with content and I don’t want to discuss family, children and things like that. My blogging aims on personal finance and getting rich.
So I rephrased my question: by having no other option than having a full time job (I’ll discuss this in a later post), am I being efficient in making money?
I started reading many rich man advice ideas and I got a clear answer to my question: no.
I need to read, learn, debate and ask others on this matter – so please comment and debate my ideas, because we’ll get better in the end.
Our daily routine tasks are wrong, the prioritization is wrong. To learn new things, listen to new ideas and get different glasses to see the world through different shades is important. Then I will have a chance to see and think different. Because the rat-race lifestyle is not leading anywhere.
So I started reading, I started writing this blog. I watch interviews with rich people. Shark tank, Dragon’s Den (Canada, UK) I keep watching and other CNBC shows too.
I feel that I am improving and I value this feeling very important. I want to develop my skills further and gain information on anything that can prove useful in my goals.
So what truly matters is that I know my destination and each step towards that will help me get there. Please join me in my journey and if you can help with your ideas.