These questions were adapted from an excellence book on money management by Carl Richards–The Behavior Gap: Simple Ways to Stop Doing Dumb Things with Money.
Richards was dealing mainly with investment decisions but I tweaked them a bit to apply to any decision. I look at them almost everyday; they are:
- If I take this action and I am right, what impact will it have on my life and the lives of my family and those I serve?
- What impact will it have if I am wrong?
- Have I been wrong before?
Often the difference between success and disaster is stopping long enough to take a second look just before making the plunge. These three questions have helped me on numerous occasions to stop long enough to take that second look.