The Truth About Wealth: It’s Not Just Money

by | Dec 15, 2022 | Wealth Management

I recently came across a LinkedIn post that stopped me in my tracks. In just a few phrases, this post put into words the careful balance our financial advisors, wealth managers, and tax consultants help clients maintain every day. It reminded me of why Cook Wealth emphasizes the importance of holistic care and real-life values— not just bottom lines and filed returns. 

Here’s the post… See if it stirs the same kind of reaction in you:

Lie: Money is the only type of wealth.

In reality, there are 5 types of wealth:

  • Financial (money)
  • Social (relationships)
  • Physical (health)
  • Mental (knowledge, faith)
  • Time (freedom)

The pursuit of financial wealth can rob you of the others.

Don’t let that happen.

– Sahil Bloom

 

Before it became a money-centric term, “wealth” referred to the welfare of people

The English word “wealth” is derived from the Old English term “wela,” which can be translated as “well-being.” That antique word wasn’t just about money— it included both your material possessions and your health, knowledge, and experiences. 

But today, the word wealth is nearly always focused on money. It’s often considered both a measure of success and a key determinant of your social status. It’s also a source of power, a tool (for better or for worse), and a lifelong pursuit, for some. 

In short, these five forms of wealth aren’t new news. Wealth has always meant so much more than money. But it’s easy to forget.

What would happen if we pursued not just money, but all 5 aspects of wealth?

That’s a question we ask, live, and plan for every day. 

Our best client relationships are attuned to every aspect of wealth. We listen carefully to the needs (both spoken and unspoken) of our clients, from their physical health goals to how they hope to spend their time— and every ambition in between. 

Our clients share their health concerns, marathon training schedule, and favorite meal kit delivery service. They talk about their spiritual growth, how their values color their goals, and how they want to impact the world through giving and volunteering. And we chat about how they hope to spend their time— and where all their time is going now.

As we put together a balanced wealth plan, we watch for ways the pursuit of any of the five types of wealth may be minimizing the enjoyment of another. We help our clients discover new ways to balance the pursuit of financial gains with the pursuit of peace, experiences, and giving. And we adjust the plan when needed, making room for the inevitability of change along the way. 

Our role isn’t to tell our clients how to live their lives. And that’s a role we’d never wish for! But we partner with every person, couple, and family to help them find the balance between time and wealth, experience and health, and saving and giving. 

Finances are deeply personal, and so are our client partnerships

Not long ago, a member of our tax compliance and advising team sat down with a potential client and asked, “How’s your business doing? Like really doing.”

After a long pause, she answered, “I honestly couldn’t tell you.”

As they continued the conversation, she realized she had become so caught up in the everyday— meetings, decisions, and putting out fires— she didn’t know where her company stood. And she certainly hadn’t taken the time to enjoy the fruits of her hard work. 

When we say tax compliance is about so much more than numbers, we mean it. Because we take the time to have these big-picture conversations about where you’re going, what you truly want, and how your financial and tax plan is a conduit— not a finish line. 

Cook Wealth cares about every kind of wealth

We understand the value of every type of wealth, and will strive to help you maintain the right balance for your situation. Because life is about so much more than money— it’s about how you enjoy it in the meantime. 

Ready to put an integrated financial and tax plan in place for you or your business? Book a quick call with our team to start the conversation.