Thread: Are You Good With Money?

Here is something I was told at the age of 19 when I started working as an apprentice. The old man (prolly about 58) I was working with asked me how much money I make. I told him "50% of what you make, you know that". He asked me again the next day and the next. After a week he starting talking more to me, which non of the other Journeymen would believe. He said that he always pays himself first no matter what. Then he would pay his bills. So I started doing the same. I'd get my paycheck, deposit it in the bank then write myself a check which went into another account. Didn't matter how big the check was... I got paid first... after all, who was I working for anyway???
There were times I paid myself a dollar ad there were times I paid myself a $1000.... but I got paid first, ALWAYS!
I did this for 30 years and never touched a penny in that account. I won't say what the end number was, but if you do this you will see your money grow faster than you might think. Over the past few years I've turned the money in that account into real money.... gold and silver.
I can't remember that grumpy old man's name, but I thank him every time I look at what his words helped me achieve.

When I was an apprentice (2nd year Ironworker) an old foreman told me to take 10% of whatever I made and put it in a savings account and forget it was there. I wish I had listened to him.

Even when I was a young kid, my father always told me to never spend more than you have in the bank.

Sure, there are times when one must become enslaved to a financial institution for a given period of time, but there's hardly ever an instance when one must live beyond their means. To survive is one thing; to keep up with your neighbors is an entirely different issue altogether.

What is so wrong with spending only what you have? The cost of living has increased the past couple decades, but that's been the case since immemorial. However, did our parents and grandparents not make due with a comparably meager income? Did they not raise you in a neighborhood and home that wasn't beyond their means? What, exactly, is forcing you to live on credit/debt and other things you don't personally own?

Personally, I've always been fairly good with money thanks to my father. At the time, even with his good income, I thought he was being somewhat shrewd. It's now that I find he was only preparing for situations unforetold; namely, his death.

Thanks to him, I still have a roof over my head. Thanks to him, I have as much food as I can consume on any given day. Thanks to him, I have the money to deal with any reasonably serious situation that may arise. Thanks to him, I've learned that back-to-basics is the way to go.

Thanks, Dad.

I'm very good with money. Mostly because I'm usually broke enough that I have to be.

I've never had any debt over a couple hundred dollars, and on the very rare occasion I do owe money, I pay it back quickly.

I can easily become very bad with money. Just little things, that quickly add up to a big amount of money spent. But I'm hyper-aware of it, and I do a few things to keep my spending in line.

1. No credit card. Never have, never will.

2. I pay my rent when I get my paycheck, even if it's early. I also go shopping that day. So everything I absolutely need is paid for immediately.

3. I don't wander into shops. Once I'm there, I'm doomed. So I just don't.

I absolutely micro-manage my finances. I have to, to keep myself from over-spending.

But it's simply become habit now. I've had to do it since I was 18, and while there are people who will help me if I get into trouble, I really don't like to use it.

Mostly, I'm in foreign countries by myself. So I have to make sure I am reliable enough to keep myself afloat.

"My other piece of advice, Copperfield, said Mr. Micawber, you know. Annual income twenty pounds, annual expenditure nineteen nineteen six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery. The blossom is blighted, the leaf is withered, the god of day goes down upon the dreary scene, and in short, you are for ever floored. As I am"

Charles Dickens

Originally Posted by Frankenstein

I owe a few grand on the cards. I could probably pay it off in one to two months if I resolved to do it. But my problem is I'm actually good with money - I can budget to the cent, my problem is I only need a bit of money to live off and so I only work part time with enough hours to earn that amount. Then I go and buy crap and spend any money I had left over. So here I am at 35 with no money. Fortunately I have a few assets, and generally the stuff I buy is good and lasts for ever.
But thanks for raising the issue, Jim. I'll keep it in mind and will report back in a few months.

I thought an update might be fun.

I have just bought some of those expensive items I was talking about and have added about $13,000 US to the list.

However, have taken on a few more jobs to help pay for them, and, unfortunately, will have to sell at least two of my beloved razors.

So, to answer the original question, it's not looking good.

i am pretty good with money now. just a few years ago i was like my friends go out and blow a paycheck in a weekend and not remember anything but whats on the camera and a sun burn to show for it..
i dont make odd random purchase any more i tend to ask myself do i really need this. the only exception is when it comes to motorsports or my primary means of transportation. if it needs it to stay in top mechanical shape it gets it no questions asked(if it was an expensive part)...i just dont get to go out and play that weekend. or go out to eat somewhere nice... i do have 1 credit card for those large purchases, but i rarely use it i would rather take money out of my "fun fund" for that
i wish that some of you here could see what some people blow money on around this place........i have gotten bored here and made some stupid purchases like an xbox...but it def helps the time go by alot faster when your up all all night with nothing to do bored out your mind

In the last two years I have:

- sold my house.
- sold/paid off 2 cars.
- paid $4,000 in credit cards.
- have actual emergency money.

Dave Ramsey rocks, that's how the wife and I started the "debt snowball."

The hope is that in 3 years we will have all our student loans paid off.

JT

I listen to Dave Ramsey on the radio from time to time. He just make "common sense", and really makes it sound easy.

I believe my freshman year of college credit card companies used to set up tables around the college and hook you up with a sweet shirt, gift card, etc if you signed up with them. I think this is against the law now though.