Topic: I need financial advice for my careless uncle. - page 2. (Read 599 times)

Your uncle is living a very bad lifestyles, even a young man who is single is not supposed to spend money on womanizing and drinking like that, let alone your uncle, who is already married and has kids doesn't he listen to his wife? If he does listen, I believe that his wife is even enough to give him advice on what to do and how to do it. This lifestyle will undoubtedly bring a lot of issues for his family because his wife will not be comfortable with it. If your uncle is open to your advice, perhaps he should invest in some successful businesses to increase his money to avoid going back to zero again, or maybe he should invest his money to purchase something like bitcoin, if he is knowledgeable about it, you should show him how to ensure the security of the wallet address.

What your uncle needs is to put to an end to the expensive lifestyle that makes him to go broke. For now I don't think you need a financial advice what a news now is to start living a good lifestyle that will not make him to be spending money on on unnecessary things. People who need a financial lifest advice and people who make wrong investments but since he is not into investment but what takes money for me is the party lifestyle he's just need to be delivered to end the party lifestyle. 

Whenever their is a change of the party lifestyle, the next thing is to help give good financial advice to channel is money into investment that will be profitable for him. But right now it is impossible for someone to make good investment when all his money are being lavish for party and clubbing.

He clearly doesn’t have enough respect for his wife & kids to stop living that way. I’m not sure you can do anything other than tell him he’s not living the right way. Tell him he could lose his wife if he carries on like this but maybe that needs to happen. Some people only change their ways when they lose everything.

That's what I'm talking about ! There are people who live only for themselves, only today, not thinking about tomorrow and not caring about their future. And it is actually pointless to change their mind, he will still be sure that he is doing the right thing. The only "cure" for such cases is only his personal, negative experience, which he will get by continuing this way of life. 
Yes, the heartache remains - that this is your loved one and you would like to help him, but.... Unfortunately, life is not perfect, and there are disappointments in life.
I hope that the person mentioned by the author of the topic will realize that he is just living his life!

Somewhere in you post you said he is seeking financial advice but except that it seemed it’s just you who cares for your uncle and want to help by suggesting something to him. I’m asking because you can’t force change on your uncle no matter what. Everything he is doing, he is very conscious about it but until he comes back to him self or figures he isn’t doing it right, then it may be a really big challenge for you to help him because it’ll feel like pouring water on a stone that has refused to absorb water. If it isn’t him who is asking for the advice, I hope he eventually realizes, and then you can apply the suggestions you may have gotten so far.

I've heard about stories like this how some persons spend excessively on alcohol, partying and clubbing. If they don't blow off everything they've on them, they won't come to their sense. The cycle just keep repeating itself over and over. So I think what your uncle really needs is more than a financial advice from you. He needs a therapist, try convincing him to go see one, also remember to put him in your prayers, he could be under manipulation.

He must be able to change his wayward style of behavior because if not then the money will run out because it is used for unimportant poya poya and does not prioritize family and children, your uncle can still be saved if there is someone who can advise good behavior maybe slowly he will leave this bad thing even though it has become your uncle's habit.

When he was getting paid for his contracting services, did his wife not know about this? Usually the one who is better at handling finances is a wife as well as her advice and suggestions, but when your uncle silently does this then he doesn't want to bother because he wants to have other desires such as getting drunk and playing with women.

Your uncle still has a chance to change especially when you say he is very clear about making money, one thing that needs to be done is how to change his attitude you must know.

A contractor made $5000 grand? Is this weekly or monthly? I'm confused because a contractor is not supposed to earn less than that unless he is working under another contractor or he wasn't straight with his income or perhaps as you said, his lifestyle is also not allowing him to tell you guys his take home salary. Contractors earn a lot but depend on the level of risk they see everyday, the income is more than that amount.

What kind of financial advice do you need exactly. A contractor work depend when they need their service, if they don't have any contract money will not come, now that everywhere is raining for him he should better invest it into something that will yield him better fruit in the future. I don't have a say in what he should invest but he need something profitable and please don't tell him to buy bitcoin because I'm not sure if your uncle is the patient type that will invest into bitcoin.

You guys could also keep the money and when it's enough amount, he could also start a business depending on your location because business depends where you live and what you sell also depends on the demand of your location.

Heart to heart conversations would really be something that he would really be laughing about, just like on what are those earlier mentions that if his wife isnt someone who do able to control him then expect that you
which is out of their family or simply being a relative wont really be that able to convince him. There's no way that could really be able to convince someone on stopping gambling specially that he had been doing
this for a while now and since he's really that earning some good amount of money then he wont really be calling this as a potential issue if ever there's someone who would really be telling this about it.

It would really be just that so normal for a human being to have that kind of hard headed kind of behavior on which they would really be that continuing on things that they would gonna do
as long they would really be that making themselves getting satisfied on what they are doing. Just let him be on what are the things that he would really be doing because
its his money not ours and if he do ends up on getting those huge losses then it is really just that right since its his decisions to made of which it resulted into such disaster.

I am sure that telling him "stop going out to chicks when you are a married dude" is off the tables? I mean that is the most logical thing to say but I am sure he is aware of it and yet still doing, so lets ignore the most obvious (and what he should do) thing to the side for a minute. Diversification on things that has dividends is the way to go without a doubt, that way he would invest all his money into things that would have income, and that means he will put all his earnings into a few different place just in case anything happens, and the dividends that come in would be enough for him to go out and party, he would still have money to spend but also he would have his investments growing. Or... you know, maybe stop doing all that and do what normal humans do, and live a normal life?

You are unlikely to like my answer... But an adult man who has put his entertainment and the satisfaction of his not-so-best needs above all else is an option that is difficult to correct. No amount of “heart-to-heart conversations” will produce results. He will find 100,500 reasons to explain why you are wrong, but he “lives to the fullest, and that’s right.” If a person at his age does not understand what responsibility is, does not know how to manage his “wants”, does not care about his family and friends - do you really think that he can be changed? This is not a child who sometimes does unreasonable things due to lack of experience and understanding. This is a person who has clearly defined his goals, he deliberately leads such a lifestyle. And all your attempts to change something will only lead to a loss of time, energy and faith in goodness, and possibly a deterioration in relationships both with this person and with your mutual relatives or friends.

The only way, provided that his income is not passive, but depends on it, is to simply show him that his income is not eternal, such a lifestyle leads to degradation and therefore in the near future - loss of income, and make it clear that if he If he drives himself into such a state, he cannot count on your regret, support and help when his life collapses because of his actions. Until he himself wants to change, or is SCARED of the prospects, nothing will change... That is. Some kind of “shock therapy” will be more or less effective. Sorry for the not-so-positive forecast.

PS yes, I understand that this is a relative, but in this situation you are not only unlikely to help him, but you are guaranteed to create a problem for yourself. These are people of the “slow suicide” class, but unlike classic suicides, these can create huge problems for those around them who are trying to save them...

Haha, man, he is living to the fullest if whatever is mentioned is true. I mean yeah there is a serious issue with the "savings" side of his income but the rest is just fine. He is trying to live every bit of his life and there is no harm in it. This also depends from culture to culture and country to country by the way. Many of them would see this as a shameful life while others would cherish the moment your uncle is living. But yeah, there needs a disciplined management too. If they are draining more than 90% on their leisure then they should be taught to keep the range below 60% I think. There is no advice for the uncle because if he can make that much money then he must be a smart guy in his field of financing. If he is used to those things then we can not do anything about it. Perhaps, he needs an accountant who can help them push towards a savings mindset.

Moreover, he must be above the mid-age level so he going to be careless about his savings I think. Most of the peeps start saving by this timeline but in your uncle's case, he is a lucky person. Better hire an accountant and let him take that responsibility.

I draw conclusions from your story, your uncle's lifestyle is very bad. because he already has a wife and children, your uncle should be aware that if he does this it will hurt his wife and children. Your uncle still can't control himself that he is old enough and already has a family. It is true that at times like this, financial advice is really needed for your uncle who still likes to spend money, but the first step that needs to be advised to your uncle first is to change this unhealthy lifestyle.

Because financial advice alone will not have any effect if it is not accompanied by new lifestyle changes from your uncle. With income of that amount, you need to be able to plan your finances in the future so that your uncle can retire early and enjoy the results in his old age with his investments.

If your uncle can make so much money and still end up back at zero, he needs a complete lifestyle change and, if possible, proper rehabilitation. At this point in his life, he is married, and his first priority when he earns a lot of money from contracts is to invest in his family and have a steady flow of income that will support him even when contracts are not available at the time.

First and foremost, he needs to reduce and, if possible, stop his lavish lifestyle; drinking and partying without control will only make his life miserable; he could have used that money for the family, getting some drinks and chilling at home or taking the family out on a picnic or something; it would have made him spend less than what he spends on partying, drinking, and womanising.

It would be better for him and his family if he could put an end to all of this and invest the money in something worthwhile. This is the only problem he has that when stopped, he will live a better life than what he does now.

Your uncle's main problem is that even after earning money, he is unable to retain it due to his bad habits. You are asking for advice as your uncle but this advice is what your uncle needs and if he is not able to get out of this bad habit on his own then you will not be able to get him out of this bad habit no matter how hard you try. Advice for your uncle would be to give your uncle full concentration on the work he is involved in and try to occupy his free time with other activities. When you get money ask your uncle to save some money without spending it and the rest can be invested in any other business he wants. Alcohol or woman addiction can't get rid of your uncle so easily but if he lives according to plan and tries to get out of this bad habit then he definitely can.

Advice and lectures will not be ignored by such parents instead to be heard and studied when those of us who are older explain it to them.
People with bad habits like that can be approached when the atmosphere is good because there are times when human nature is present in the midst of the soul experiencing emptiness.
Slowly, following his mood, we can convey that there is something important for him to do for his financial safety so that he doesn't regret it when he is at zero.

It is difficult to give financial advise to your uncle because if someone his opinion then by getting profit he will spend all this amount on useless activities so I think that a person can be financial stable only if he lives a better life through doing good deeds and is spending money on useful things. He first needs advise to live a simple life and then he will move towards the betterment of his finance.

Your statement shows that he is already earning good amount but as he wants to live a luxurious lifestyle so there is a possibility that what amount he earns he will use it without planning. He cannot become financially stable until he makes his habits good and leave to participate in all those circumstances which is wasting his money only.

Lets make it simple. You said he thinks straight when has no money, and that is the answer.
After your uncle got some money again = 70% to his wife and 30% buy crypto or gold but do not let him have an access to that thing.
Maybe his wife able to hold it for a while? because if its not, he will spend it all again.

After a few months/years, he can use the money to expand the business or start a new business.

Keep track of where his money goes and assess whether there are things that could come and go based on what the data looks like. Maybe this may persuade him to let go of all those socializing and extravagance once he finds out that those small expenses per day accrues to a huge number in a month or two.

We often disregard small purchases because we think that it's 'small.' What does a $2 or $3 of beer compared to $5000 anyway? Add that to 10 cans or bottles and you'd still be nowhere near $5000. Though if you look at it, that could easily go towards your gas money or whatever necessity he needs. It might even go to his kids' allowances for the week. Since he doesn't have any data he can easily look at to compare these expenses with, he'll think that he's still good since it's just a small sum anyway.

I myself used to eat out every night because I'm tired after a long day's work. I never really factored in the fact that eating at restaurants or fast food every night will amount to $100 per week, when it could easily be just below $40, and I'd still be eating good and healthy food. After realizing that I'm not saving enough compared to my salary, plus the fact that I live alone and only need to feed and clothe myself, I began keeping track of what I spent, and I'm just surprised that I'm spending $400 a month in a third-world country wherein food shouldn't be this cheap for an individual.

Do not come to your uncle with hostility regarding his situation. Let him see the numbers for himself and he'll easily realize that booze and women cost a lot of money that could have gone to another thing that could help his family.

Do you think he can become financially stabilized with only a capital of $5k, I am not judging you but it just seems a little late maybe if your uncle had bought BTC back in time then he might have been financially free till now but now it seems a little impossible just a little impossible to be financially free with $5k. Well, if he has no other choice and has $5k in his savings then he can invest it in any asset like BTC, ETH, or maybe other assets like stocks and forex, etc.

By the way, I don't think your uncle is straight, (I have no right to judge him and I am not doing it even) just trying to state the fact that money makes us straight or makes us look straight, and when we have enough money we started to behave unpredictable.

invest 25% in BTC and 25% in ETH, and the remaining one can be invested in other alts, I have a video for you that can help you, https://youtu.be/qLHHDRhAleA?si=LJzAeYI9RE63zh24 this video might give you or your uncle some idea. I actually liked this video but DYOR before making any investment, I am not an expert so.