I quit my job at the start of this year, and I have none lined up. Before you guess, I wasn't burned out or paid below the market rate. On the contrary, I quite enjoyed my job. The weird thing is good jobs are not designed to be risky enough to give that adrenaline rush, which makes you go beyond your comfort zone...

Simply put: It was time to take more risks! Start something of my own and go nomadic!

That was me, but why should you take risks?

Calculated risks ➡ possibly more rewards ➡ guaranteed less long-term regret

The idea is to introduce calculated risk to be uncomfortable and reduce future regret. Rewards are a byproduct, which might not necessarily be financial.

🤞Risk

A risk could be any drastic change in your life. They are dependent upon risk-tolerance and safety net. Keeping the risk-tolerance constant, one can take more risks if there is a better safety net. I mean, you could take more risk if you have $100,000 as compared to $50,000 in savings. You could be more willing to explore your sexuality if you have better emotional support.

In this ideal case, Risk is directly proportional to Safety Net.

Typically, risk tolerance tends to decrease when one starts building a better safety net. That's when we get comfortable. The trick is to be aware of this.

🔒 Safety Net

Safety net stands on top of financial & emotional support on one side and talent & learned experience on the other side. This evaluation is unique to everyone. It could consider the following:

✅ Savings, investments, passive income, spouse (income, health insurance)

✅ Work experience (ease of getting a job)

⏺ Health and relationships

🔽 Leverage (loans, etc.), liability (insurance, assets, dependents)

🤩 All while having fun

Isn't it all a game anyway? If you're not having fun taking risks, then it's not worth it. In that case, reevaluate your risk tolerance or increase your safety net before taking that risk.

Are you taking the appropriate amount of Risk that your Safety Net enables?