What is meant by delayed gratification?

Delayed gratification refers to the ability to resist the temptation for an immediate reward in favor of a larger, more valuable reward that may come in the future. This involves enduring short-term discomfort or forgoing immediate pleasures to achieve a greater goal later. In financial terms, this concept is essential for making wise decisions, such as saving money instead of spending it immediately, investing for the future, or focusing on long-term financial stability rather than short-term gains. By practicing delayed gratification, individuals can cultivate discipline and patience, which are key components in effective financial planning and achieving significant life goals.