This week I am testing myself like I haven't tested myself for months. Maybe longer.
If you read my last post you may recall that I touched on the somewhat taboo subject of money. My most favorite subject ever.
I have pretty much always been a good money saver. I remember when I was, like, eight or nine years old and I had a $10 bill. I saved that bill for months and months and months. I generally have a hard time spending money. My philosophy is basically: "use it up, wear it out, make it do, or do with out."
And then I started receiving a weekly paycheck and slowly and surely I sanded away at the standards and rules I'd set for myself. My thought process went from, "My shoes have holes in them, time to start keeping an eye out for a secondhand pair/really good sale" to "My shoes have holes in them, I'm off to Payless."
See how that works? I went from not knowing when I would next come into contact with some green to knowing what I had would be replenished at the end of the week. I cut myself slack, without evening noticing.
I still save money like a little miser, about seventy percent of the money I make goes into my savings account. An account I never, ever touch except for (hopefully) well thought through purchases. (The only purchases I can think of that came out of savings would be my iPod several years ago, laptop last year, and car two or three months ago. Also car related expenses which I basically count towards the cost of the car.)
The other percentage of money I make gets spent on gasoline, work lunches, the weekend/wants, and clothing/shoes/personal care. And you know what, when it comes to the end of the month and I have to pay my "bills"? I ain't got me no moolah.
That's the problem right there.
The solution I am going to attempt: I'm withdrawing a set sum from the ol' bank this week. A fraction of what I normally spend each week. I'm taking it out of the bank so that the money I have is in three different places so I can keep it organized, one account for savings, the other for collecting the money needed for those pesky "bills," and my allowance in cash.
Cash so I can see what I am doing with my weeks allowance. Plastic fantastics are so useful but there is no, "your balance is now ---" after each transaction. Also because if it is not with the bill money it will be easier for me not to dip into the money I shouldn't be dipping into.
I don't know how I am going to make what I am giving myself last for seven whole days. But, knowing me the way I do, this system will make not spending what I shouldn't be spending easy for me.
And blogging about it? All kinds of accountability.
(The jar of spare change on my dresser? My fall back plan if I end up eating newspaper. lol)
1 comment:
Money isn't taboo to me so please forgive if I go on too much about it too.
Wow this post really made me very happy!!! Because you are doing things that really show wisdom and will help your future so much and probably your future husband!!!
You surely will bless your future by this attitude of saving 70% of your income. This is very similar to how I was when I was young.
By the time I was 18 I pretty much saved 70% of my cash and it all went to college and helped me out alot as my parents couldn't help and I couldn't get loans.
I got married while in College and my wife had a good amount of loans. Then I graduated college with some loans, but paid them all of by the time of the 6 month grace period so I went to college interest free and my parents helping with groceries a few times!!!
My wife's college we paid off in 1 year after that as she was planning on going to be an at home mom. We paid off our college loans (4 year college in 1.5 years by being very frugal). By the time our baby was born we had about 3 months and our college loans paid off and this made it easier for her to stay home, much easier..
I'm not as frugal as I used to be but I think this is normal as long as you are always going forward. I do tend to sometimes not do as much stuff though and miss events though.
I want to use whatever money I have for the kingdom too so I am careful with it other times when people come over I don't care about how much something costs because I love people more. Kind of odd, but frugality sometimes changes as life goes on, not sure why.
As you get my age (epicly old) you might begin thinking about investing. I spend time reading investment books and stuff like that and I really enjoy that type of stuff because if someone sells you something for $.50 that has an intrinsic value of $1 it's always nice. I surely wish I could have spent a bit of time in high school thinking about investing as well as saving. I really would have liked to just hold onto some dividend paying stock the whole time and never looked at it.
Also when people freak out you can buy good companies with long term competitive advantage that last the test of time (For example : Coke, Disney, Nike, big names with awesome gross margins and stuff, etc). So you just wait around with your cash until people get all figured out and do analysis on the real underlying business, etc and buy when people over compensate for something bad. This has worked sometime but long term it is very good.
However I am careful to not take investing and stuff like that too far where I am not open to giving more and more based on needs that arise. I would give it all away if there was a real need, but I do want to handle inflation
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