Is Income Linked to Fulfilment?

According to Management Today magazine (Oct 2011 issue), the 'magic number', after which job satisfaction and fulfilment are no longer affected by income, is $71, 675.

It's not clear how this number is calculated...

I would have thought that in reality, there is no magic number. Certainly not a number we would all agree to.

What I do think is important however is having clarity of what really gives you satisfaction at work.

Of course income is important but I don't believe it is the most relevant measure.

The Australian Institute of Management (AIM) conducted an Employee Engagement survey last year to understand the impact of monetary incentives. The study showed that employee satisfaction is most heavily dependent on 'being valued and understood' with over 40% of respondents marking this as their primary need. Other key factors included:

'good relationships with co-workers'
'good relationships with my manager'
'new and interesting challenges'
'feeling valued by the organisation'

Pay ranked 10th on the list.

So whether there is a 'magic number' or not, what is apparent is that pay should never be your sole focus.

At the end of the day if you aren't performing tasks that energise you or are not producing an output that you are proud of, what good is more money?

I'd welcome your thoughts as always!

- RW

6 Tips To Be Better at Budgeting!

I'm no financial planner but what I can share with you are a number of strategies that my clients have developed to help them budget more effectively.

1. The first step is to be totally honest with yourself about your outgoings and take action to make positive change to your spending habits:

2. Go through your bills and list all your outgoings: mortgage/ rent; utilities; fees; loan/visa re-payments; car maintenance; clothes; children; travel; social; sport; hobbies; groceries; weekday lunches; weekend meals and entertainment; professional services (massage, hairdresser, chiropractor) etc. Don't stop until you have everything listed and you get a reality check as to where all your money is going; you might want to make sure you're sitting down!

3. Decide what can be cut from your list of outgoings: what can you easily do without? Simple things, like taking lunch to work three days a week, could save you over $1000 a year! Now decide what you are going to do with all that money you will save each month!

4. Make a solid monthly commitment to clear any credit card debt. Avoid 'impulse buys' by leaving your credit card at home!

5. As soon as you get paid (by your employer), pay yourself i.e. transfer money immediately to a savings account (away from your everyday account). You won't even notice it's gone and will steadily help you to build a healthy reserve!

6. Invest in a qualified financial planner to help you get on top of your finances and start planning for your future. Always seek advice from a trained professional. - RW

Does Money Really Bring Happiness?

I came across this quote today:
“If you work just for the money, you’ll never make it…
…But if you love what you’re doing, success will be yours.”
Ray Kroc, the founder of McDonald’s, said that.
No-one can deny that the glorious Golden Arches of McDonald’s represent a phenomenal success story. McDonald’s was only established in 1955 and now serves 60 million customers daily and boasts whopping annual revenues of US$25 billion.



Ray’s philosophy obviously counts for something… but Rays point, of course, is all about our definition of ‘success’.
How about making a couple of nips and tucks to Ray’s quote?

“If you’re chasing the dollar that’s all you may ever get.
But if you love what you do…
Not only will you enjoy deep satisfaction, you’ll probably get the dollar too.”

It even rhymes! Nice.
- RW



© Rebecca Wells, Ask Rebecca How 2010.