Daniel Goldstein is the inspiration for the first of my blogs about habits and how they affect our lives.
Daniel Goldstein gave a TED Talk explaining his concept of us each having a Present self and a Future self. He suggested that my Present self wants to spend and does not want to save at all whereas my Future self wants my Present self to save.
His charts explains why my Future self is so insistent as the savings rate in the USA, which is probably fairly typical for most countries, has been declining since the 1950’s whereas the risk of not having enough money in retirement has increased.
Right now according to the McKenzie Global Research Institute, we have reached a point where they predict that two of every three Boomers will not have enough money to retire. Daniel Goldstein suggests that my Present self doesn’t really believe that I will get old or rather I simply can’t imagine it so he has devised a behavioural time-machine to see if by showing what the outcome will be on my Future self by what my Present self does now.
I found his use of a facial ageing app most Impressionable. It has the ability to take your picture and age it to seventy i.e. the Future self. He then uses that too show your Present self picture and cleverly uses the faces with a gauge that the user can move. The Future and Present faces change expression from happy to sad depending on where the user puts their money. If the Present spends less and saves more for the Future retirement Present self is not so happy but Future self is smiling from ear to ear!
He hopes that by using your own face it will impact you enough at an emotional level to change your savings habits while young enough to make a difference to your Future self.
My Future self was not too happy so click here ans start saving today with me to make your Future self all smiles 😀
Go well till next time
Source: To see the whole Daniel Goldstein Talk click here