Posted on 08/16/2010 9:15:33 AM PDT by CSM
Have you considered satisfaction with less things throughout life?
Despite being the most affluent generation the world has ever seen, 54% of Americans have saved less than $25,000 for retirement. We're sacrificing our retirement to support our lavish lifestyles—big houses, cars, boats, flat screens, you name it.
Few people can embrace the idea of cutting back their lifestyle and settling for the basics. But, if you're going to "do what rich people do," as Dave says, forget about impressing your neighbors. Instead of seeking satisfaction in what you buy, why not consider gaining satisfaction from a simpler lifestyle?
Proof That Simpler Lifestyles Work For more than 30 years, Dr. Thomas J. Stanley has studied the habits of wealthy people, revealing his findings in several books, including Stop Acting Rich and The Millionaire Mind. His groundbreaking research has uncovered the truth about the lifestyles of the wealthiest Americans.
Dr. Stanley posted a letter from "Mrs. C.C." on his blog, thomasjstanley.com. Mrs. C.C. has a net worth of more than $1 million, but she has never made more than $60,000 a year. "I have accumulated most of my net worth by living below my means," she said. "I have everything I want, but I have learned not to want too much."
In another letter, "D. Termined," who, at age 55, has a net worth of $2.4 million, describes his family's lifestyle. "I think I paid $67 for a pair of shoes once, and my watch is a Timex," D. Termined said. "My wife has shopped at thrift stores for many years and uses coupons extensively."
There are no granite countertops in his $200,000 house, which was paid off more than 10 years ago. Money saved on the house payments went into savings.
Mrs. T, who is also financially independent, gives 10% of her income to charity, put four kids through college without debt, shops at T.J. Maxx, and drives a Ford Taurus. She told Dr. Stanley, "I am extremely happy with my life."
"Here is yet another case to support my strong contention that satisfaction in life does not come from what you can buy in a store, but rather from the values, beliefs and behaviors that most wealthy people possess," Dr. Stanley concluded.
Finding Balance
While it is important to save and invest for the future, it is also okay to enjoy nice things. Denying yourself the pleasure of new gadgets when you can truly afford them is no healthier than buying gadgets you can't afford.
Some people will be compelled by fear to save more than they need to. Instead of spending money to feel good, they save money to feel good. But the effect is the same—you can never save enough money to feel totally secure if fear is driving you.
I think you may have missed the point of the article. He is saying we don’t need to live above our means but below. When we live below our means we can put money away for our future. When we live above or even up to our means, it is unwise. How much is that brand new flat screen TV going to mean to the person that borrowed to buy it when they are still making payments on it with no retirement?
We buy virtually ALL of our non-food items on craigslist or at garage sales. That said, my wife will get clothing at sales at major stores. Typically she will buy something that had a list price of, say $50 that was discounted at $30 but was finally marked down to something like $7.
BTW, notice I didn’t say “thrift stores”. They work, but garage sales are better. They are also more fun.
And during the winter there are lots of estate sales. People don’t really seem to care what time of the year they die. And since these sales are usually indoors and craigslist offers an easy way to advertise them, they are a whole new gray economy for all of us.
FWIW, I have gotten some AMAZING stuff for literally pennys on the dollar at these events.
“IOW Obama and the Clintons have won. They have pushed americans (sic) into accepting living with less.”
Actually, it has nothing to do with Obama or Clinton. It’s called common sense...and its roots are divine. ;-)
Thank You! :)
Please add me as well. Thanks in advance :)
>>No new cars (they are holes in the road for money).<<
Although I generally agree with this, when I bought my Scion xB I noticed that all the used ones were only one or two thousand less than a new one. So I bought a new one. I got exactly what I wanted with a full warranty. In that case it was definitely worth it. But other than that, I agree.
I hear what you are saying, but disagree. People in the past were just lighting dollar bills on fire.
They were borrowing $$ they didn't have, to buy things they didn't need.
They were practicing values contrary to what built this country.
That wasn't what Jimmy Carter was saying with his “wear a sweater”, America in retreat message.
Want to retire wealthy? Buy my book on how to retire wealthy. But do NOT buy it from a used book store or worse, a garage sale. And do not borrow it or lend it. I need to retire off the proceeds from the book.
LOL!
I figure we are saving in at least 3 ways by not having satellite TV: not paying the satellite bill, not exposing my family to TV advertisements, and by having more time to do things by hand or make more money.
Did the coffee thing already. I love my iced coffee, but swinging through Micky D’s every day was costing me $1.99. I teach so I work 185 days per year. Just my work days cost me $368.15 per year! I bought a plastic iced coffee cup with a heavy duty straw at Walmart for $5, I double brew my coffee at night and put it in the frige, and the next day I just add ice and whole milk.
I’m also in the process of drying herbs I raise in my garden. I think I might try to sell the extra on Craigslist.
When we had our first child we added up the cost for my wife to go to work and we made 50 cents an hour. She was working about 25 hours a week at the time. I picked up 2 extra hours a week and she stayed home. Came out ahead that way.
“Anybody have any frugal tips today?”
Work for cash and don’t report it.
I don't agree they have won as yet. They've certainly maneuvered America to the brink of collapse using the fruits of our labor to do so.
While progressives think Cloward-Piven a successful scheme to wrestle control of our country, we have a "Galt Option". By spending and producing less, we starve their beast.
Do you really need that cellphone? Also, there are cellphones and then there are mini-computers with built-in cellphones - the costs between the two are huge. Or, consider a pay-as-you-go phone (Walmart’s new plan is 7 cents a minute).
My daughter recently went shopping for clothes and spent $65 at Goodwill. We estimate the same clothes would have cost over $500 purchased new at full price. (She needed them for a new job, and didn’t have time to check out garage sales.) She’s also bought quite a few things that she took apart to make into something else - especially silks. The price is way lower than buying silk new.
Can you add me, please?
Thank you!
Yes, we definitely started coming out ahead when I quit my teaching job—even though we had two more kids after that. I would guess a large portion of families are paying for the “privilege” of having two absent parents.
I confess that I’ve gone to thrift stores to get something I need NOW. Random computer cords are a good example. And you can now get a $50 HDMI cable at thrift stores for in the $1 range.
Part of the charm of garage sales is the “treasure hunting” aspect. But If you need something NOW and want it cheap, the thrift store IS the answer. IMO.
The great thing about both is that you are starving the beast if you are in a sales tax state.
You're also helping to save America by not contributing to the liberal media that uses the funds to promote the progressive agenda. Taxes not collected on your monthly payments can't be used to further our demise either.
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