I think I found THE answer... LOL

Avatar for phoenixmama
iVillage Member
Registered: 03-20-2003
I think I found THE answer... LOL
5
Wed, 05-07-2003 - 3:06pm
Just a thought that occurred to me as I was responding to zaboz's post just now. And it's so obvious I'm surprised it never occurred to me before. Maybe it's so simplistic it's silly, I don't know.

Obviously there is no single best money strategy that works for everyone. Some people may want to concentrate mainly on paying off debt, others may pay minimums and put more toward savings or buying (with cash, of course) the things we want or need.

I just realized it's all on kind of a timeline. Past, present, and future. We used to buy things now and intend to pay for it in the future. Today, we may or may not still have the stuff we bought, but we're still paying for it and will continue to do so until it's gone. Meanwhile, we're trying not to create any new debt. What debt does, is make us pour our present money into the past. When we're finally debt-free, our money will be ours for the present and the future, we will no longer be financially tied to the past.

So, right now, each of us can find our own balance of where we want to put our money today. We can put as much as possible to the past to get done with it; we can put some to the past and some to the future; or we can put some to all three, enjoying some of it in the present.

Or maybe it's just my mid-week babble session. ;-)

~Jen

Avatar for zaboz
iVillage Member
Registered: 03-26-2003
Wed, 05-07-2003 - 3:39pm
I think you're right. One of her points was that we like to "punish"

ourselves because we spent away our future (or present I guess).

So in order to try to make things right we madly scramble to pay everything off.

But if we're not careful we push it too far and have nothing left for our present needs.

So you have to find a happy medium that allows you take care of things that

you need now- car insurance, clothes, even vacations instead of pouring everything into your past mistake.

If you spend every spare dime on your debt, why

get out of bed everyday? You have to have something to look forward to besides

the magic "I'm out of debt". I think that's why so many people get out of debt

and say it's anti-climatic. Their lives don't instantly change like you sometimes

think they might.

This was a real eye-opener for me. I guess I appreciate that she factors in

how you FEEL, not just the financial aspect. I really related to the guilt

and the "punishment" aspect. I got so sick of feeling guilty over buying

things like plants or even underwear! My DH and I work a combined 80 hours a week, if not more. I deserve new underwear when mine wear out! And plants make me happy so

I deserve a few of those too! It's just always in the back of my head "I could have put that toward the credit card". I'm done with that feeling! I'm sick of living for the day we're out of debt!

Ok, calm down.

It's babble day all around! Go on, someone else babble. It feels good!

iVillage Member
Registered: 03-28-2003
Wed, 05-07-2003 - 4:07pm
I think the most important lesson to learn is how to save. Saving is the key to a successful and debt free future. There will always be bills to pay - yesterday, today, and tomorrow but learning to save and be prepared is the only way to stay out of debt.

I read that one of the differences in rich people and poor people is rich people earn interest and poor people pay interest.

iVillage Member
Registered: 03-28-2003
Wed, 05-07-2003 - 5:45pm
I forgot to mention I've been in the poor group for a very long time.

jb

iVillage Member
Registered: 05-09-2003
Fri, 05-09-2003 - 2:09am
Hi I was just surfing around, and stumbled onto your post, and YEA that makes a lot of sense! You're right, that is one way of looking at it. Example, I buy a car in the present, which I'll be paying in the future, which will soon be the past, but I'll still be paying for it in the present. I know this all makes sense to you, and to me, but I'm not sure about everyone else reading this. LOL... Maybe I'm also having a babbling rambling day! hhaha. Anyway, everything we do with our money WILL affect all three. Wow. I'm like so enlightened, it will surely make me think TWICE before splurging on something and spending money I should have saved for the FUTURE! :)

Lilly

iVillage Member
Registered: 03-26-2003
Fri, 05-09-2003 - 3:13pm
This whole string has just been very freeing for me. I am trying my best to save money, and I felt GUILTY because I took advantage of a book deal that gave me over $100 in books that we wanted and needed for about $12. $12 in the big scheme of things is not much, especially since my motivating factor was that the one book we wanted was about $50 by itself.

I am also getting a good deal for some music - but I won't place another order right away as I won't really need to, and can get more music when things settle a little more financially. (We currently have NO music in the house except two songs - and it is driving this former music major nuts!)

~Brit

Mom to two wonderful girls!