Overcoming 'Money Dysmorphia': Unlocking the Path to Wealth
Ali Katz, an estate lawyer and founder of the Family Wealth Planning Institute, identifies a phenomenon she calls "money dysmorphia," which refers to a distorted view of one's wealth that leads to poor financial decisions. Many individuals believe they are not wealthy enough to engage in estate planning or investing, but this perception is often untrue. Katz emphasizes that even compared to the global population, most Americans are considered wealthy. Estate planning is crucial regardless of wealth, as it allows individuals to designate how their assets will be distributed and their healthcare and financial decisions handled. Similarly, financial professionals argue that investing is not reserved for the wealthy and is, in fact, a key pathway to building wealth. By starting early and consistently investing even small amounts, individuals can take advantage of compounding interest and significantly grow their wealth over time.