With gyms around the country beginning to open, Aussies are itching to return to the gym and begin sweating out the quarantine fifteen.
The rush to return is no surprise, according to a 2019 study, on average, Millennials spend approximately $1020 per year on keeping fit. But, have you ever thought about what your workout style says about your finances?
While of course, these observations are not entirely scientific, in my years as a financial advisor I have found that people's choice of workout can say a lot about their lifestyle, their risk aversion and how disciplined they are, which all carries over to how we deal with money.
So, whether you’re a gym bunny or prefer to workout in the great outdoors, here’s what your workout of choice says about your finances.
The Up-Market Gym Bunny
Who wouldn’t love an all-inclusive gym, with saunas, yoga studios and impressive weight rooms all rolled into one place with fresh towelettes never more than a couple of steps away?
The Up-Market Gym Bunny enjoys the finer things in life too, whether or not they can afford it.
This person is either a meticulous saver and investor, always ensuring they have enough to indulge in a little luxury, or they’re a treat yourself and worry about the consequences later type of person.
The Weight-is-Weight Lifter
While some of us enjoy the luxury of up-market gyms, others know that weight is weight, and your muscles don’t know the difference between Rogue plates and off-brand, mismatched and rusty steel.
Those of the weight is weight mindset don’t like to spend where they don’t need to. They’re careful and controlled, and nothing makes them happier than seeing their bank balance go up, just like their bench PB.
Whether they practice in a studio, or with a mat in nature, Yogi’s are ritualistic with their practice and know that slow and steady wins the race.
They’re all about consistency, taking care of the pennies so the pounds look after themselves, and making small investments that will pay off in the long run.
The Murph WOD-er
Serious crossfitters are driven by the social atmosphere of the box, are extrinsically motivated and always pushing to hit their next PB.
They’re social, thriving off spending time with family and friends. They’re competitive, always pushing to be their best self, but want to bring you along for the ride with them.
Crossfitters are careful enough with their money that they never need to worry, but their budgets are agile enough to allow for spontaneity.
Whether it’s boxing, Brazilian Jiu-Jitsu, rugby or roller derby, those who love contact sports thrive on the high of risk.
They know the penalty for mistakes is high, so while they routinely make risky decisions and big investments, they do so methodically, carefully researching and honing in on their skills to ensure their move is the right one.
All you need is a good pair of shoes and headphones, and runners are ready to get their endorphin fix - anywhere, any time.
Runners are dedicated, they’re competitive and controlled but prefer to workout with less risk and focus.
Shoes on, run, no thinking. The runner wants to be comfortable and successful, but they don’t want to be constantly rethinking their investment strategy, and checking the stock markets.
The verdict - What can you learn from working out?
While many of us view spending on health and fitness as investing in ourselves, it’s important that your investment doesn’t go to waste.
You don’t want to be living outside of your means, spending hundreds on boujee gyms and personal training sessions if it’s going to affect your financial security.
Similarly, even the cheapest of workout options is a waste of money if you’re not using it. For example, don’t invest in a gym membership if you truly love team sports.
Like all purchases, when budgeting for fitness, you need to draw the line between necessity, and luxury.
For those with a moderate disposable income, spending on your fitness is probably a necessity.
However, will the brand new spin studio next to your office really provide a better work out than your no-nonsense budget option?
Will treating yourself to the fancier option cause you to fall short on other expenses? Asking yourself this question can help you to decide whether to splurge on a slice of luxury or stick to your old faithful.
Darren James, AMP Financial Advisor
Darren James, of MBA Financial Strategists, is an Authorised Representative of AMP Financial Planning Pty Ltd, ABN 89 051 208 327, AFS Licence No. 232706.
Any advice given is general only and has not taken into account your objectives, financial situation or needs. Because of this, before acting on any advice, you should consult a financial planner to consider how appropriate the advice is to your objectives, financial situation and needs.