The Time Value of Life

Deferred gratification, according to Wikipedia, is the ability to wait in order to obtain something that one wants. It is considered a personality trait that is important for life success. We have all been taught to work hard so that one day, we won't have to.

However, therein lies a problem: we don't know how long we can defer gratification to, ie. we don't know how long we are have to live.

In finance, there's the concept of the "time value of money" which means due to compound interest, it's always wise to start accumulating and investing early in life. Einstein said "The most powerful force in the universe is compound interest." As a result, some of us try to save what we can, deferring gratification from the fruits of our labor, and try to build towards a better tomorrow.

Unfortunately for some, due to illness, accidents or other unforeseen calamities, tomorrow never comes. They deferred gratification dutifully most of their lives and yet they never get to enjoy the results of their sacrifice. On the other hand, there are those of us who didn't save enough and was unfortunately blessed with long lives (especially with the help of modern medicine). The money soon runs out before the end of their years and hugely affect its quality.

Therefore this big unknown : the length of our lives, plays tricks on us all. Should we work hard, live thrifty and save as much as we can for a better future that might never come? Or should we seize the chance when we are young and enjoy all the sweetness there is only to face the prospect of a long old age in bitterness and destitute?

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