Room for Error - Deepstash

Room for Error

Have a margin for safety.

It’s fine to save for a car, a home, or for retirement. But it’s equally important to save for things you can’t possibly predict or even comprehend — the financial equivalent of field mice.

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katkat_b

Lifetime Learner

“Nothing is as good or as bad as it seems.”

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ROOM FOR ERROR IS UNDERAPPRECIATED AND MISUNDERSTOODD

It’s usually viewed as a conservative hedge, used by those who don’t want to take much risk. But when used appropriately it’s the opposite. Room for error lets you stick around long enough to let the odds of benefiting from a low-probability outcome fall in your favor.

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