I need to save up for my vacation

[Moonbear]

I think what happens is that she pisses her money away once she gets her paycheck and then boom, you need to actually live for 2 more weeks and she needs the loan again. You'd think something like that is impossible too! The ramifications of doing it are unlike most other things that take a long time to realize. You realize you just screwed yourself over on a bi-weekly basis with this though.

Amazing, isn't it? The last place I worked paid faculty on a monthly basis. It didn't matter to me, and, in a way, I liked it better because I could just sit down and pay the bills once a month and not worry about paying half now and half in two weeks. But, my sister was nearly incredulous when I shared this at some point. She couldn't imagine how I could live with getting one paycheck a month. It's like she could only budget one week at a time on a weekly paycheck.

Then again, for some reason, the university had also decided to stop paying the grad students monthly, and instead paid them their entire stipend in one lump sum at the beginning of the year (I think it was year, it might have just been a semester basis). Thankfully, someone decided to offer them a financial planning type seminar to make sure they budgeted appropriately to make it through to the end of the year. But, boy, did I wish someone did that when I was in grad school! I'd have popped half of it straight into a CD to earn some real interest for 6 months until I needed it, kept a month's worth in a checking account, and put the rest into some other savings account (savings accounts didn't get the pathetic interest then that they do now). I'd have made some nice interest off it before needing to spend it. Actually, I probably could have saved more, because without having to spend it just a little at a time, I could have stocked up on essentials in bulk at a discount rather than having to pay full price whenever I ran out.

 

[TheStatutoryApe]

I think what happens is that she pisses her money away once she gets her paycheck and then boom, you need to actually live for 2 more weeks and she needs the loan again. You'd think something like that is impossible too! The ramifications of doing it are unlike most other things that take a long time to realize. You realize you just screwed yourself over on a bi-weekly basis with this though.

I had a co-worker who did that. Just about every other week he was on an online payday loan site while he was here at work or on the phone with one of those places. At the same time he had a brand new SUV, a tricked out cellphone, a walkman type TV, and a portable DVD player. And that's just what I saw him bringing into work, I have no idea how much else he may have had that he probably didn't really need.

 

[Kazza_765]

I think what happens is that she pisses her money away once she gets her paycheck and then boom, you need to actually live for 2 more weeks and she needs the loan again. You'd think something like that is impossible too! The ramifications of doing it are unlike most other things that take a long time to realize. You realize you just screwed yourself over on a bi-weekly basis with this though.

Well, that's me exactly. But then, I'm a student, my average income is only a fraction above the poverty line, and I have almost zero responsibilities. I pay the rent and the bills (usually on time), because the government gives me enough money to cover that, with almost enough left over to buy food as well. I'll go out and spend $80 for a big night on the town, and then live on rice and soy sauce for the next week. But hell, its fun, and I love it, and right now I wouldn't have life any other way.

 

[Kazza_765]

I had a co-worker who did that. Just about every other week he was on an online payday loan site while he was here at work or on the phone with one of those places. At the same time he had a brand new SUV, a tricked out cellphone, a walkman type TV, and a portable DVD player. And that's just what I saw him bringing into work, I have no idea how much else he may have had that he probably didn't really need.

Lol. I ride a bike, have a 4 year old cellphone, an old school discman I got for $20 dollars and some tokens from the back of cereal packets, and if I want to watch a DVD i got to do it in my computer.

 

[JasonRox]

I totally agree with Pengwuino.

I've actually had the same thoughts about vacations recently too, since my mother just got back from one.

I agree with TSA that it's all about instant gratification. People always say "I deserve this... or that...", but I don't think anyone deserves anything, with regards to things that are outrageous.

At the same time, I don't agree with the views of Cyrus of being almighty of saving every dime or nickle or even COUPON! I was like this before, saving every penny and working hard and all. It affected my life to the extent that I didn't like it. It wasn't a "suck it up" it's life kind of thing. I was working too many hours for a student, just so I can save a nickel. I have closed so many doors to opportunities that I could have taken because I wanted to save a nickel. This in the end impacted my life, just like those who spend too much. In the end, I learned my lesson. I spend in moderation, not too much nor too little.

We can all learn from Aristotle.

 

[Pengwuino]

I say if they deserve a vacation, then they deserve the pain in the butt the bills are to pay :)

 

[tribdog]

I've been living beyond my means most of my life.

 

[Cyrus]

At the same time, I don't agree with the views of Cyrus of being almighty of saving every dime or nickle or even COUPON!

No, I don’t save Coupons, I never said I did that. No, I don't around looking for ten cent savings, no I don’t go around telling people how much money I have, no I don’t work excessive hours to save every penny. So stop putting words in my mouth, you don't know me or 'people like me'. When I said I save every dime, I meant it in the sense that I don't buy things unless it is absolutely necessary. Things like: I don’t buy new cloths or new shoes, I bring my lunch from home as opposed to buying my lunch when I am at school. Places I can avoid spending, I do. I don't go on vacations or trips, I don't want to buy a new car, I don't try to get my hair cut every single week, I don’t buy video games, etc. I put my money in the bank, so that 15 years from now, I can do whatever I wish with my money, because I will have enough of it not to worry about being financially insecure or in debt. Why do I have to defend myself on my positions because of words other people put in my mouth? This is ridiculous, and I am getting tired of it.

 

[Moonbear]

Well, that's me exactly. But then, I'm a student, my average income is only a fraction above the poverty line, and I have almost zero responsibilities. I pay the rent and the bills (usually on time), because the government gives me enough money to cover that, with almost enough left over to buy food as well. I'll go out and spend $80 for a big night on the town, and then live on rice and soy sauce for the next week. But hell, its fun, and I love it, and right now I wouldn't have life any other way.

$80 is a lot for a student to spend for a night out! We used to find a lot to do for free or very cheap. But, since I've been talking about balance here, what I'd suggest is that instead of spending $80 and having nothing left, set aside $20 for fun (you can still see a movie or go to a modestly priced restaurant for that) and put $20 into savings, and you still have $40 to buy food so you don't have to eat rice and soy sauce for a week. If you put away just $20 every week, at the end of the year, you have already saved over $1000 even before including any interest you can start earning on it. When you get out of school and have a better paying job, you can start setting aside a little more each month, and it won't be long at all before you have enough for a downpayment on a house.

 

[tribdog]

I disagree. I think it is better to have six days of rice and soy sauce then one monster shrimp and lobster and steak pig out fantastic meal. Go to extremes see the highs and lows not just the average.

 

[JasonRox]

No, I don’t save Coupons, I never said I did that. No, I don't around looking for ten cent savings, no I don’t go around telling people how much money I have, no I don’t work excessive hours to save every penny. So stop putting words in my mouth Chroot and JasonRox, you don't know me or 'people like me'. When I said I save every dime, I meant it in the sense that I don't buy things unless it is absolutely necessary. Things like: I don’t buy new cloths or new shoes, I bring my lunch from home as opposed to buying my lunch when I am at school. Places I can avoid spending, I do. I don't go on vacations or trips, I don't want to buy a new car, I don't try to get my hair cut every single week, I don’t buy video games, etc. I put my money in the bank, so that 15 years from now, I can do whatever I wish with my money, because I will have enough of it not to worry about being financially insecure or in debt. Why do I have to defend myself on my positions because of words other people put in my mouth? This is ridiculous, and I am getting tired of it.

Why are you so sure you will have money in the future?

That's the whole point of spending in moderation.

I apologize for "putting" words in your mouth.

Another question for you, if you say you don't go around talking about your savings plan and all, then explain why you do it here (on PF) and why we should have believed that you don't do it elsewhere? Now, this is why I thought that you were the person I described. Of course, you can be a totally different person online.

 

[Cyrus]

Why are you so sure you will have money in the future?

Because I will avoid spending more than I have right now, I will put it for my future rather than instant gratification.

That's the whole point of spending in moderation.

Yes, that's all I was trying to say. Perhaps it came out too strong though.

I apologize for "putting" words in your mouth.

Its ok, I was just getting fed up.

Another question for you, if you say you don't go around talking about your savings plan and all, then explain why you do it here (on PF) and why we should have believed that you don't do it elsewhere?

I don't follow you. I said I don't go around talking about the amount of money I have, that's all. Not on how I plan to make money, if that's what your asking.

 

[Moonbear]

I disagree. I think it is better to have six days of rice and soy sauce then one monster shrimp and lobster and steak pig out fantastic meal. Go to extremes see the highs and lows not just the average.

I thought it was more satisfying when I was able to buy my first house.

 

[Moonbear]

Yes, that's all I was trying to say. Perhaps it came out too strong though.

I think it did come out too strong. I misunderstood the same way it seems everyone else has. It sounded like you were saying you weren't planning on doing anything fun for the next 15 years, just so you could squirrel away every dime. It sounded too much like my father and that's why I had to share that story. Yes, you want to be sure your family is provided for should something happen to you if you have a family, but you also want to enjoy being with them and having some fun together in the present so they'll have memories of more than just you working your fingers to the bone to leave them well-off. I think that's what everyone reacted to. But if it was just a misunderstanding, then that's fine And ultimately, you have to live your life how you choose anyway.

 

[Cyrus]

Yes, you want to be sure your family is provided for should something happen to you if you have a family, but you also want to enjoy being with them and having some fun together in the present so they'll have memories of more than just you working your fingers to the bone to leave them well-off.

Im not planning on having a family until I know I have some money in the bank moonbear. I really don't want a family before 35. When my parents came to this country 30 years ago, they had a suitcase. They worked their asses off, sometimes 18 hours a day, and I mean insane amounts of hours so that I could have a better life. I appreciate what it takes to EARN money, that's why I am amazed at how willing people are to stupidly waste their money. If my parents could come here with a suitcase and do well, I have no respect for people that were born here and could not succeed, and piss away money they DONT have. It came out strong because pengwuino's origional post was strongly polarized in the other direction, people spending money they DONT have to go on vacations.

It sounded like you were saying you weren't planning on doing anything fun for the next 15 years, just so you could squirrel away every dime.

I will do things fun once in a while but not all the time. Once I have a wife and kids, THEN I will take them on vacations, because they are more important to me than going on trips left and right with friends right now. I can go on all the trips I want with my kids in the future. That’s worth the sacrifice in my book.

I don’t need warren to lecture to me about "extremism is bad," or that I am a bunch of kindergarteners talking about brain surgery. Just because I am saving money does not mean I am doing it so that I can sit there and "count it and salivate over it". I have my reasons why, so respect it and don't prejudge me. Not all of us have families that live great lives with loads of money, warren, some of us have to save to support our families and have money saved for the future incase something bad were to happen.

 

[JasonRox]

Cyrus, from how I see it now, it seems like you got a good plan.

It did out pretty strongly before too.

I agree though with the family thing. I don't want to start a family or even get married until I am financial strong personally. And I hope she is too because I don't want to marry someone into the whole instand gratification thing because that would create lots of problems.

 

[Moonbear]

Cyrus, from how I see it now, it seems like you got a good plan.

It did out pretty strongly before too.

I agree though with the family thing. I don't want to start a family or even get married until I am financial strong personally. And I hope she is too because I don't want to marry someone into the whole instand gratification thing because that would create lots of problems.

Yes, once he elaborated, it doesn't sound so bad. I fully understand waiting to have a family until you're financially secure, children are expensive! However, you might change your mind about that 35 thing, unless you're planning on marrying a much younger woman. But, that's one of those things that will fall into place naturally, and finding the right woman will come first. Jason, I used to think like you did too, don't get married until I'm financially secure myself, but I think that mentality led me to pass over relationship opportunities I shouldn't have passed up. If you meet the right person, go for it; they don't come around all that often. You can always hold off having the family together while you save together. And, if she's right for you, she'll share that perspective on finances anyway. Afterall, if you're very careful with your savings, you probably wouldn't find a spendthrift to be very attractive anyway.

 

[Chi Meson]

Yes, once he elaborated, it doesn't sound so bad. I fully understand waiting to have a family until you're financially secure, children are expensive! However, you might change your mind about that 35 thing, unless you're planning on marrying a much younger woman. But, that's one of those things that will fall into place naturally, and finding the right woman will come first. Jason, I used to think like you did too, don't get married until I'm financially secure myself, but I think that mentality led me to pass over relationship opportunities I shouldn't have passed up. If you meet the right person, go for it; they don't come around all that often. You can always hold off having the family together while you save together. And, if she's right for you, she'll share that perspective on finances anyway. Afterall, if you're very careful with your savings, you probably wouldn't find a spendthrift to be very attractive anyway.

I married my wife when I was 27 and she was 25. We had our first kid when I was 35 and she 26 (How did that happen?) No, she was 33.

We lived like campers in a tent until the first'un came along, then we shelled out our savings for a decent downpayment and got a great house. This year (after our third and final kid turned one) we got us our second car. The first one lasted 14 years for us. Still runs "good." (Anyone need a 200k Volvo? Cheap!)

In short, I'm agreeing with everything Cyrus has been saying, and I'd like to add that the plan works quite well. And I get my hair cut every six weeks.

As I grow older I begin to understand why some people say that the poor deserve to be that way. I don't agree with it; some people don't deserve to be as rich as they are, and some are stuck in a poverty spiral. But anyone who has pissed away what they have and dug themselves a trench for the sake of a fleeting thrill, I can't really shed a tear for them.

 

[tribdog]

I thought it was more satisfying when I was able to buy my first house.

sometimes I really want to make mad passionate love with you.

 

[fourier jr]

hey think about this: my younger brother is 21 & a nurse making ~$27.00/hr, no kids on the horizon, still lives at home, pays $300/month rent. so he has tons of $$$ & nothing to do with it (actually went to peru in oct but it only cost ~$500 & had to pay back ma & pa for other traveling he did but that didn't cost an arm & a leg either). so he put $3000 into an rsp (or is it rrsp?). last year he made $400 on it in interest. he says in 10 years (when he's 31) it'll have compounded, etc & grown to $25,000... ('swelled' is a better word ) & that's if he just sits & does nothing but wait. he's going back to get his bsc(n) right now so in a couple yrs he'll probably make more $$$, & have more to put into his rsp since there are no plans for kids or any other major expenses yet. (eg. house, etc) i don't know how much he'll have by the time he's 40 or 50 but i can imagine it will be a stupendous amount, if in 10yrs it grows from 3000 to 25000 & compound interest is (very close to) exponential growth. he says it doesn't compound continuously (ideal) but compounds monthly (not bad, but not as good as continuously). i should really do the same thing. i like some of the other ideas in this thread, like buying repo'ed houses & renting them out, researching the stock market, etc.