The "No Brainer" Rules for my Daughter

What I told my daughter about compounding interest, marriage, career choices, and debt.

The Backstory

A few years ago, my oldest daughter asked me for guidance on money and life as she started looking toward her own independence. She didn’t want a lecture; she wanted a roadmap.

I wrote this in January 2021 but have added to it over the years. This is the core philosophy of Lowe Intelligence: actionable rules that compound over time. This list is not my own invention alone. It is wisdom compiled from many sources, mentors, quotes, and books that made a significant impact on my life. I have distilled those lessons into this roadmap.

Part 1: The Money Mechanics

• Invest early and often. Time in the market and dollar-cost averaging are your friends. The early bird gets the worm!

• Understand the "Eighth Wonder of the World." As the saying goes: "Compound interest is the eighth wonder of the world. He who understands it, earns it; he who doesn't, pays it." Get on and stay on the right side of the math.

• Time in the market is critical. Do not try to time the market. That’s gambling, not investing.

• Save a minimum of 20% of each paycheck. More is better.

• Pay yourself first. Put your finances on autopilot and automate everything.

• Take the free money. Take full advantage of your company 401k match and other benefits.

• Keep it simple. Invest consistently in a broad market diversified ETF like Vanguard Total Stock Market Index (VTI, VUG, VOO, VT).

• Build the fortress. Create an emergency fund that will last you 3 to 6 months with no income.

Part 2: The Traps to Avoid

• Debt is the enemy of options. The more money you owe, the fewer choices you have. Use debt carefully (like for a home or starting a business), but avoid consumer debt entirely. It restricts your ability to quit a job, move, or take risks. Don’t be the one that pays compounding interest.

• Credit cards are tools, not crutches. Responsible use (paying it off every month) establishes history. Never spend more than you earn.

• Protect your digital identity. Your wealth exists on servers. Secure it with strong, unique passwords and Multi-Factor Authentication (MFA). Freeze your credit. It is easier to protect your identity than to recover it.

• Hard No’s: Avoid whole life insurance, day trading, multi-level marketing, and timeshares. These are systems designed to benefit the seller, not the buyer.

• Just say no to drugs. Substance use is a biological tax on your health and your clarity that limits your future options.

• Without faith, every obstacle feels like a dead end. With it, every obstacle is just a detour. Faith is the internal compass for your journey. Whether it is faith in a higher power, faith in yourself, or faith in the future, it provides the strength needed to endure setbacks.

• Don’t be late. This applies to your classes, your dates, your work assignments, and your bills. Being on time is a reflection of your character. It shows respect for other people's time and discipline in managing your own obligations.

• Show up. Consistency is often more important than talent. By simply being present and reliable, you have already done what many others will not.

• Money changes relationships. If you feel compelled to help a friend or significant other financially, give it as a gift, not a loan. Expecting repayment is the fastest way to ruin a friendship. If you can't afford to give it away, you can't afford to lend it.

• Lifestyle creep will destroy you. Keep it at bay. Live a modest lifestyle. As Theodore Roosevelt said comparison is the thief of joy. Remember, don’t spend more than you earn.

Part 3: The Life Strategy

• The Goal: Financial freedom to facilitate your happiness is the goal. Do not take your eye off that goal, ever.

• Your Career: Find a job that supports your standards and use your free time for passion projects. Identify what you are naturally good at and commit to becoming an expert in that field.

• Study every leader. You will encounter both good bosses and bad bosses. Learn from both. A good boss shows you the standard to emulate, while a bad boss provides a clear map of what to avoid. Every manager is a lesson in how to lead.

• Partnership: Marry someone who is financially responsible, does not have bad debt, has similar goals as you, loves you, and is committed to you. As Warren Buffet said “The most important decision you will ever make is who you marry.”

• Friendship: Who you hang out with is who you will become.

• Integrity is your bond. Do what you say you are going to do. Reliability is a superpower.

• Hardship is a signal of growth. When a task or a season of life feels heavy, remember that struggle is the process of you getting stronger. Just as muscles grow through the resistance of exercise, your character builds capability through the weight of challenge. If it were easy, it would not have the power to change you.

• Embrace the awkward. Growth requires you to be a beginner. If you never feel embarrassed, it means you are not pushing your boundaries.

• Resilience: Show up, try, learn, try again, fail fast, and learn from failure.

• The PACE Plan: Have a Primary, Alternate, Contingency, and Emergency plan for major life decisions.

• Death happens; be grateful for the blessing you had. Loss is an inevitable part of the human experience. Instead of dwelling only on the void left behind, focus on the gratitude for the time, the lessons, the wisdom, and the love and friendship you were fortunate enough to receive.

• Moderation is the key. Living at either extreme, whether through intense frugality or reckless spending, creates a life of imbalance. Find the middle ground that allows you to enjoy your present life while still securing your future.

• Indecisiveness is a decision to not make a decision.

• Collect memories, not stuff. Consumerism will weigh you down.

• Fear is the enemy. Fear is the only thing that will hold you back from achieving your goals.

• Mindset is everything. As Henry Ford said, whether you think you can or you think you cannot, you are right. Your attitude toward a challenge determines your success.

The Lowe Down

I told my daughter that the 50-year-old version of herself is depending on the decisions she makes today.

Building a happy life isn’t found in get rich quick schemes. It is found in the consistent execution of these rules. Some of it is math. Some of it is mindset. But all of it is necessary to build a life you’ll enjoy living.

The best systems are built through shared experience. If you have a rule that has passed your own 'no-brainer' test, I want to hear it. What would you add to this roadmap? The next generation needs your advice.

It’s a no brainer!