Especially in times of market uncertainty or volatility, our attention tends to be sucked into the bottomless vortex of pointless prognostication and aimless activity. Yet, if you have a good plan in place, educated apathy is generally the most profitable move. As the sage Warren Buffett reminds us, “The stock market is designed to transfer money from the active to the patient.”
But investing is just one part of wealth management—and it’s likely the element over which we have the least control. Therefore, regardless of the markets’ machinations, we can absolutely continue to make progress in our financial plan beyond our portfolio. Furthermore, this progress can feel especially empowering—and act as a healthy distraction—as everyone else is fixated on the ticker tape.
In a recent video short from productivity guru Daniel Pink, he encourages us to act in a way supported by the science suggesting that one of the best ways to maintain forward momentum is to acknowledge our progress periodically. Almost certainly riffing on Teresa Amabile’s work on the progress principle, Pink encourages us to maintain momentum in our daily work by writing down three bullet points at the end of every day that acknowledge our progress.
Amabile’s research and her co-author, Steven Kramer, suggest that neither money nor recognition are the most powerful motivators in the workplace—but instead, the sense of making progress in meaningful work. “Of all the things that can boost emotions, motivation, and perceptions during a workday,” Amabile says, “the single most important is making progress in meaningful work.”
So, how could we apply this principle effectively in our financial planning? The temptation is to limit our purview to the numerical, and while this may be the most convenient, thanks to the countability factor, it’s often not the most accurate. Here’s why: The numbers don’t tell the whole story.
Most obviously, your investment portfolio changes value daily, regardless of your personal efforts. And oftentimes, we purposefully choose to reduce our net worth for great reasons. For example, once you’re in retirement, the chances are very good that your net worth will be purposefully and periodically reduced through the regeneration of your income and, quite possibly, a thoughtful gifting plan.
Similarly, when your kids are in college and you’re using your 529 plans to pay for their learning experience, your net worth is reduced—even as your children’s lives are enriched. In this case, you’ve gained personally even though you, by definition, have less financially.
What, therefore, CAN we count as progress toward our financial goals, if not our net worth? Think less about the number of dollars accumulated and more about elements of wealth that have been activated.
“True financial success isn’t just about accumulating wealth—it’s about activating it,” says Doug Liptak, the founder of the wealth management firm (for which I work), SignatureFD. “When we regularly reflect on our financial progress, we don’t just see numbers grow; we see the impact our money has on our lives, our families, and the world around us. That’s what gives financial planning real purpose.”
Doug proposes a four-fold mental model to help us reframe wealth management through a more purpose-oriented lens. Notably absent is any IRS code or financial jargon. He argues there are only four ways that we can deploy our wealth. You can:
- GROW your investments and income potential.
- PROTECT your family, lifestyle, and property.
- GIVE to the people and causes most important to you.
- LIVE confidently with financial freedom.
Here’s how we can utilize this mental model and satisfy the progress principle:
Every year, we can set the intention to activate our wealth by activating an element in each of the four above categories. Then, we can track—and acknowledge—our progress quarterly, thereby fueling our financial future. And while there’s not necessarily an optimal order in which each can be activated, you may consider the following paradigm to help you get started:
Quarterly GPGL Financial Wins Framework
- Q1 – Grow: Start the year with a focus on growth—investments, savings, career, and personal development.
- Did I increase my 401(k) contributions?
- Did I learn a new skill that will boost my income?
- Did I make progress toward a major financial goal?
- Q2 – Protect: Spring is a great time for a financial security checkup—insurance, estate planning, and risk management.
- Did I review or update my insurance policies?
- Did I check my beneficiary designations?
- Did I take steps to protect my identity or cybersecurity?
- Q3 – Give: As summer winds down, shift the focus to generosity and impact—both financially and beyond.
- Did I give to a cause that matters to me?
- Did I help someone financially (or with my time or expertise)?
- Did I plan for tax-efficient giving (e.g., donor-advised fund contributions)?
- Q4 – Live: End the year reflecting on how money has enhanced life and well-being. This is about aligning finances with values.
- Did I spend in ways that brought me joy and fulfillment?
- Did I experience meaningful moments with my family or community?
- Am I happy with my financial choices this year?
You’ll likely note that some of the examples offered aren’t even explicitly financial. That, too, is quite purposeful because our wealth is about far more than money—it includes our time, influence, energy (health and wellness), and relationships, four resources that many would argue are scarcer and more valuable than our financial assets.
However, if you are looking for additional elements that may well be effectively activated within your financial planning, here is a more comprehensive recategorization of implementation items that could help move you forward in your finances.
This quarterly approach helps ensure that you’re moving forward throughout the year, personally and financially, while also enlisting your recognition of recent progress to fuel your longer-term goals.
Financial success isn’t just about what’s in your accounts—it’s about what your wealth enables you to do. By tracking your progress through the Grow, Protect, Give, Live framework, you ensure that your money is actively working for you, your family, and your future. The power of progress is that it builds on itself—momentum fuels motivation.
Therefore, as you move through this year, don’t just check your net worth. Check in on the impact you’re making. Because true wealth isn’t just accumulated—it’s activated.
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