Admittedly, I have a distinct advantage over most people when it comes to this particular challenge. Most people, probably don't have $20,000 just sitting around waiting to be doubled. So how did I come up with this money?
I did it the old-fashion way. Actually, inheriting the money is the old-fashion way. I did it the second-to-oldest-fashion way. I saved. I saved every cent I could and didn't buy things that I didn't need. My obsession with saving almost borders on the ridiculous. There were times I literally had to develop a SPENDING PLAN, so that I would loosen up the purse strings and actually spend some of my money. I earn a very good living, and I live very modestly. This has allowed me to save a tremendous amount of money over the past few years. Enough so that I could probably take five years off of work, and still be in OK shape. I wouldn't do that, because I actually like working, but it is feasible.
As Rick points out in his post about this site, I love to talk about money. I especially like to help my friends realize how important it is to save money, and not get into a cycle of constantly buying what you want whenever you want it. Through hard work and discipline you can get to a point where you can either quit your job or start a crazy idea like trying to double your money. If you are lucky, you can do both :) I have gotten to the point where I have zero debt of any sort. I don't have any credit card debt, student loans, or car payments. Since I don't own a home, I don't have a mortgage. It is times like this, when I don't have any income, that it really pays off.
I can't talk about saving money without posting my all-time favorite SNL skit on the subject, Don't Buy Stuff You Can Not Afford. I laugh every time I see it. The sad thing is, there are lots of people just like this couple.
Steve Martin says it best when he ask, "I think I got it. I buy something I want, and then hope I can pay for it, right?" You would be surprised how many times I have had a conversation with someone just like this.
Hey there! I found your blog while reading Rick's, and found this incredibly interesting. Just letting you know that I'll be following your journey :D
ReplyDeleteGood luck!
Yeah, funny video but with some truth in it!
ReplyDeleteBy the way: Ever hear of the book "Rich Dad Poor Dad"? Quite a fun book in which this guy talks about how to get rich! Check out the website: http://richdad.richglobal.com
Thanks for following along guys.
ReplyDeleteI have read some of Kiyosaki's books before. Some of his ideas are valid, but others are not. He really does try and make it seem like it is so easy to make millions in real estate. I actually partially blame him and a few others for the real-estate bubble I think we are in.
It's not that he ever said, "Buy real estate at any cost" . Quite the opposite in fact. But his books made it look so easy, and people often only grab at the main idea of a work. So most only got out of it, "Buy real estate, get rich".
I have never seen that sketch before. Funny!
ReplyDelete[...] in an earlier post, but when I thought about it, realized there was much more to it than just save, save, save. Over the next several days, I will dive a little bit into my personal life and let you all in on [...]
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