Financial principles have not changed throughout time. The financial terrain and tools have changed but the basic principles are as they always have been.

      Millions of years ago, early humans roamed the earth with the dinosaurs and other prehistoric creatures.  We also call these people cavemen. Cavemen invoke a great visual image of hairy, dirty, uninhibited and primitive humans running around with clubs, sticks and self-sharpened arrows. They dressed with animal hides, vines and leaves. They lived in caves, made fires to keep warm and formed groups. They survived the predators and harsh elements and lived with what they could hunt, gather or create with their own hands. Modern humans love the image of their early ancestors and have used caveman analogy to explain modern human behavior. We have the Man Cave, Palo Diets and Cavemen Philosophies. Numerous television shows, books, toys, animations, commercials and movies have been created representing caveman life.  And, isn’t the caveman everyone’s favorite Halloween costume?

      Early humans didn’t have fast food or paper money. They did have financial practices based on their basic needs for survival. Food, water and shelter were necessary for their survival. Therefore, cavemen had to take certain actions to ensure that they could maintain these basic needs.

      Finances have become very complicated in modern society. We are encouraged to complete detailed budgets and collect countless personal items. We feel that we need the newest clothing, car, electronic items and adornments. We have complex banking systems, elaborate loans and demanding payment plans. Financial experts want us to purchase expensive programs, attend lengthy seminars and implement complicated rules into our lives. Modern day finances seem to be quite complicated, but financial principles do not need to be so complicated. They revolve around our basic human needs and if we take a moment to remember those basic human needs, our financial lives cam become simpler and easier.

      Paleo Finances involve three simple activities: survival, acquiring and saving.

      To live another day, every human needs food, water and some type of protection from environmental elements. Early humans needed to hunt wild animals, gather edible plants and collect water for daily consumption needs. They would have had to move quickly and eat quickly. They had to run from predators and defend themselves constantly. Early humans worked hard and sacrificed comfort to survive. They needed a safe place to sleep where they would not freeze to death or be hunted by predators. Basic shelter may have been a space in the back of a rock or tree stump covered by plant leaves. Before contemplating anything further, early humans ensured these basic needs were met or they did not survive. Generating necessities needed to occur before better living could be obtained.

      Once food, water and basic shelter were consistent enough for survival, early humans could begin acquiring better shelter and items which would improve their lives. This shelter would have been imminently necessary but not adequate for long term survival. Likewise, hunting and gathering in a small area would have its limitations for long-term survival. Once basic necessities had been obtained in a consistent fashion, the early humans could begin to work on acquiring a cave, building sturdier shelter, making tools, bowls and better clothing. Acquiring better living conditions allowed the cavemen to maintain fires and protect their food from predators. Better hunting tools could be made, stored and used. A safer home allowed groups of cavemen to begin to collect resources and use them more wisely. A carcass could be stripped, dried, cooked and used for many different purposes. Food could be stored for short periods of time. Barriers and traps could be created to protect early humans from predators.

      Moving to the saving stage of Paleo Finances occurred when a group of cavemen worked hard, worked smart and worked together for long periods of time. Caveman began to sustain a good lifestyle when food, water, tools, clothing, shelter and safety were sustained. As they continued to work, build, collect and produce, they could begin to store items for longer periods of time. This helped cavemen prepare for emergencies or drought. They also learned to preserve food for longer periods of time. After the cavemen learned to survived, acquired necessary items for sustainability, they moved to saving and storing and only then did they have time to sit back and relax a bit.

      Modern financial principles are the same as paleo financial principles. The tools, terrain, predators and prey have changed but the basic principles have remained the same. The complications of modern society have us wondering what to do next, what to purchase next and what to save. Following the principles of Paleo Finances will direct you.

• Survive – Ensure basic needs are met, work hard, earn and survive.
• Acquire – Acquire secondary items, work hard, earn and collect items to sustain life.      
• Save – Store and collect items for emergency situations and a better future.