Most people think of wealth in terms of net worth, investment returns, or retirement savings. Those things certainly matter. However, after years of working with physicians, technology executives, and retirees, I've come to believe there is another form of wealth that deserves just as much attention, margin.
Margin is the space between what you earn and what you spend. It's the room in your schedule, finances, & life that allows you to handle challenges without feeling overwhelmed.
Lately, I've found myself appreciating margin more than maximizing. Not necessarily a larger home, a nicer car, or a bigger investment account. Instead:
- More flexibility.
- More breathing room.
- More time with family & friends.
- The freedom and confidence to say NO.
In fact, when I speak with physicians pursuing FIRE (Financial Independence, Retire Early), I often wonder if what they're really seeking isn't retirement at all. What they seem to want is more control over their time, more flexibility, and the ability to practice medicine on their own terms.
Financial Margin
Financial margin certainly provides options. Life rarely unfolds according to plan. While investment returns receive most of the attention, financial margin often provides the greatest peace of mind.
Calendar Margin
One of the most common challenges I see among busy professionals is not a lack of money, it's a lack of time. Calendars become crowded, commitments multiply, and the overall pace of life simply accelerates. Eventually, many find themselves asking, "When did life become this busy?"
Periodically ask: What can I delegate? What can I simplify? What can I stop doing?
Sometimes saying no creates more value than saying yes.
Health & Relationship Margin
Health, wealth, and financial wellness are often discussed as separate topics, but they are deeply connected. Your ability to enjoy retirement, care for loved ones, pursue meaningful goals, and maintain independence depends heavily on your health.
Are you creating enough margin for:
- Sleep
- Exercise
- Recovery
- Relationships
Financial independence is far more rewarding when you're healthy enough to enjoy it.
A Mid-Year Reflection
As we enter the second half of the year, consider where you might benefit from a little more space. Perhaps that means:
- Spending a little less.
- Saving a little more.
- Reducing unnecessary commitments.
- Simplifying part of your financial life.
- Spending more time with loved ones.
I've come to believe that true wealth isn't simply always having more, it’s having enough, and having the margin to enjoy it!