Do you live within your means?

reply to post by citizen smith


I agree! I know many people in huge debt and now they are freaking out because of it. I have friends who live way beyond their means and are losing everything now. I feel bad for them but IMO they did it to themselves. I was raised in a lower class family but my mom did a good job of teaching us how to save and handle our money so we wouldnt have to worry or "suffer" as she use to say. My mom was a single parent who worked 2 jobs, put herself through school and raised 3 kids and we never really lacked anything. I dont understand why people have to have such fancy cars or lavish gifts when they cant even afford them. Our family vacations were to my grandparents and I was happy with that. My mom would never spend thousands of dollars to take us to some fancy retreat, it was not needed or necessary. IDK maybe it's just the way I was raised but I have always been good with keeping a budget and living by it. I have written out budgets for many friends of mine lately. It's hard to live by one when you are not use to it but if you follow it you should be fine.

Yes, I live within my means.
Going debt-free was my spouse's idea. When he first proposed the idea I was skeptical. Debt is normal, isn't it? My parents had always been in debt. I had watched my father pay his mastercard bill with his visa, and vice versa, and take out not one but two mortgages on his house. It was a radical idea to pay off the credit cards and then only use them for emergencies, to make extra payments on our mortgage, and to live within our means. After a while, I became as enthusiastic as my husband about debt-free living, but our friends and family thought we were crazy. When we moved into our current home, we were advised to take out a home equity loan to fix it up. Instead, we decided to pay off the mortgage first, then make repairs on a pay-as-we-go basis. Today we have zero debt, not even a mortgage. My husband has been laid off mulitple times, lost his job a couple years ago, but we still have our house. Meanwhile, the people who formerly encouraged us to embrace debt are struggling financially and telling us they wish they had done what we did.
In a way, I'm sorry I haven't been able to provide a nicer home, furnishings, etc. for my kids. But on the other hand, I think they have gained a much stronger sense of financial and personal responsiblity than many people, something money can't buy.

I absolutely live within my means. No debt whatsoever, not even a mortgage. I work to live not live to work, meaning I won't be working 60 hours a week to pay off an over extended home loan or fund fancy vacations.

I've never felt the need to buy buy buy. Don't misunderstand, we have a nice big TV, two top of the line computers ect; but everything we have is bought and paid for with cash. We live in a nice apartment close to our jobs so we don't need a car, which means we save lots of money there and walking keeps us in shape to boot.

Let's say I lost my job tomorrow, meh. It wouldn't be great, but it wouldn't be devastating either.

We lack for nothing, have savings, have a nice life full of friends and experiences and we don't need to be in debt to do it. And in case you're wondering, no we don't have fancy schmancy jobs either - nether of us felt the need to take out loans to fund an education.

It does annoy me people blaming the bankers..ooh the evil bankers - an easy scapegoat when in fact the only ones to blame our ourselves.

I am proud to be debt free. It gives me more freedom then most of the people I know who are slaves to their jobs, their mortgages and the government.

I 'could' live within my means better if 1/3 of my income wasn't being taken away from me by the government in the form of taxation. They are not living within their means so why should I? They are spending my money on stupid stuff.

The world economy is falling apart because people are buying flat panels and mcmansions at an enormous rate? Give me a break.

Has anyone heard of inflation? Has anyone seen the price of food lately?

It's a messed up and flawed system.

[edit on 3-4-2009 by tallwater]

Hello all! Back from a company meeting. They'll try to keep us working
but yadda yadda, expect it to be slow and ANOTHER month before gear up season. Luckily the unemployment pays the bills because we dont overextend! We could probably last at least a year with no income at all!

We spent alot of our savings on this alternative power system and dont regret it! Have already started to recoup the costs.

Thank you for your stories and posts and your welcome Citizen Smith!
I tried to just let the people see how it can be done.
Some may think it is normal to be in debt!
You are a slave, plain and simple! good point!
You have to stay on the ball or you get charged every little thing also!
Even when you watch carefully you will get nailed for something!
Then there is always theft to worry about with the pfishing etc.....
I dont know how many times I have caught something just by being aware
all the time of my accounts!

Wow, no mortgage? How would that be? Great job! Hear that everyone?
It can be done!!! I sure dont make alot at my job but we live fine!
I always wanted a new computer and a flat screen and I figured at that point, I would have it all! And I still feel that way. (Heated car seats would be really nice though! A person has to be realistic! Dont deprive yourself
of everything but be smart and efficient with what you have.
Got the flat screen! It is a 32" to fit in the ent. center! Nothing huge!
It is efficient and I can run it and other stuff easily with my alt power!

Take a walk instead of a drive to save and get exercise! Play a game outside instead of turning on the tv and letting it run all day with no one
even watching it anyway.
Whats up with having lights on the during the day anyway? Open the curtains!
Lots of little things one can do and it saves you directly!

It is not all the consumers fault for sure, but as to how much?
I'd say quite a bit. Like I said we elect these people and put
up with it! This system is built on credit and banking! How can we expect different? Some in charge are not as honest as we are!
We've had either lawyers or oilmen in charge, should explain most of it
right there! Oh and one actor! What a coinkydink! Does kinda feel like
a friggin' game show sometimes !!!

In my hometown the banks have THE BIGGEST AND NICEST buildings!
Oh beside the mormon wards!!
That tells me by common sense who has the money!!!
Hate to get all religious or whatever here but there does seem to be
a huge plan! If one does not realize it, one is not 'awake' yet for
lack of a better way to put it or 'enlightened' may be more appropriate.
Think of a band of financial demons and they are let loose! Its not mans deal, its TOO BIG! And its bigger than any one man or indeed one country
can fix! Is this not apparent? If you belive in God, which supposedly 80%
of americans do, you have to believe in the other side also. Will stop there with that.

Great posts and you all choke me up!
mblahnikluver, you have a smart Mom! Feel lucky~!
Many do not have the slightest clue. My friend admits he cant run
a household budget but hes a manager of a business? wtf?
(same one that listens to limbaugh religiously btw)
I think it is ONE BIG COPOUT! Cry me a river,
but I bet you got a fancy car sittin in the parkin lot depreciating as we talk!
Its costing you AND its costing you AND you cant afford to drive it anyway!
Or a big one to make up for lack of other stuff when you could have been
driving something else saving on gas all this time and now you could buy one on a buy one get one free sale, sale one, make your money and still
have some in the bank for the rainy day that somehow always seems to show up sooner or later! Whew!~

Trouble is it gets you there the same. You can waste water or save some
for your kids type of deal, but in this case its oil!
There are always repercussions even if we dont realize it!
I see this happen everyday in a big way! Look at car wrecks!
One person takes their eyes off the wheel for a second and others
have to pay! There was a headon here yesterday! A 17 year old kid
was changing cds or something and killed himself and just about
killed someone else over something that was stupid and could have been avoided by WATCHING THE ROAD! Other people suffer for the ineptitude
of others every time!

Thanks again for your posts! I appologize if I dont respond to each individual one but I would rather not take more space than neccesary!
(of course, theres that frugality thing coming into play)
I appreciate all your posts and star them accordingly!
Again, much peace and respect to everyone and I do have hope
in our tenacity! One way or another we will get through this....


Holy moly, didn't mean to write a book! I'll jump off now.
Thanks for putting up with my garbledy gook!
You guys and ATS kick a**! Live long and prosper!

[edit on 3-4-2009 by dodadoom]

Yes, we absolutely do. We put away in savings about as much as we pay in monthly utilities and our mortgage. Food and odds and ends is another story. We do splurge on good food and good drink. I plan on raising chickens and starting a garden one day and learning to homebrew and make wine. We're putting fruit trees out this weekend, and starting a vine. We live in a rather rural area, but we are surrounded by "the keeping up with the Joneses crew" and when we first moved here, it was really hard for me because I drive my old beater (still runs like a champ though) and hubby drives his...but they are both good vehicles that get you from A to B reliably.

Anyway, everyone else around here has new, new, new everything. I don't think there is a vehicle older than 2006 on my road. It's a very pretentious area, but no one around here is filthy rich, or even rich. It's a sickening vibe to live around, and it sucks. I'm glad we are strong enough not to give into the temptation to jump into the BS, but I admit, I get tired of the stares we get from our neighbors because we haven't added a cookie cutter landscape, I drive the beater to pick my kid up from the little Pretentious Village School and most of them know my husband makes really decent money. Looking around some places, you'd be hard pressed for evidence that our economy is in the porto-john. The only ones I know that live as we do, is a single mother and her kids down the road. Oh well, guess I am kinda jealous, but I hope our modest lifestyle and sacrifices will pay out in the end.

Originally posted by tallwater
The world economy is falling apart because people are buying flat panels and mcmansions at an enormous rate? Give me a break.

No, people who can't really afford flat panels and mcmansions were given loans at an enormous rate.

Has anyone heard of inflation? Has anyone seen the price of food lately?

Primarily because of the gas prices. Driven high by the people who can't really afford flat panels and mcmansions and were given loans at an enormous rate to buy big SUVs. Which were pumped with enormous rates of gas paid with credit cards with enourmous rates of interest.

I believe your post is well intended however I will except no responsibility for the alleged financial collapse of the world economy. Mind you ,it isn't as if I haven't tried. I have been very persistent in asking Wells Fargo to raise my current paltry credit limit of $5000 to seven or eight hundred quadrillion. I have also been relentless in my quest for a voice in the: FRB IMF WB IFC BIS. I am now going to charge a Rototiller and prey I don't push the world to the brink of economic armageddon. So tomorrow, if you all mysteriously awaken on the street, broke, homeless , hungry and NAKED. I DID IT!!!!

Definately, I save more then 60% of the money I earn each year. Fully own 2 properties and my place of business. I rent one property, it's a unit in an apartment block at the beach but the property where I reside doesn't rely on the power grid much (have solar installed and it's not to be cost effective, it isn't or because I believe in global warming, I don't. I just like to rely on the government as little as possible), grow some of the food I eat and have a water tank.

In case your wondering I did not grow up with a silver spoon, I grew up in an ophanage and learnt at a very young age the only person I could rely on is myself. If my parents could abandon me so easily then it would be even easier for the government or a stranger to do the same. This may be far from the truth and I have met many kind people in my time but I don't feel safe relying on other people and I think it's for the best regardless. That said, I have absolutely nothing against those who don't live within their means (many of my customers don't i would imagine) or even those who live on government money. Life is short, try to enjoy it if you can... I envy those who aren't burdened by the trust and security issues I have to be honest.

i]reply to post by Xwino

I believe your post is well intended however I will except no responsibility for the alleged financial collapse of the world economy.

[

So tomorrow, if you all mysteriously awaken on the street, broke, homeless , hungry and NAKED. I DID IT!!!!
Good job!

Accepting responsibility starts at home! Thats a start!
Thank you for noticing it is well intentioned, because it is!

reply to post by Jacob08

Thank you for your post! Thats fantastic!
I mean the part about saving 60%! I consider myself very lucky
to have the parents I did. It could have easily been worse.
Thanks for your honesty and candor. I feel as you do with my panels,
I did it because I dont trust easily. And of course not being rich, I
am counting on the savings from utilities also!
Doesn't seem like much because the rates are going up all the time!
But its still cheaper to save instead of spend! People have to practically
freeze to death because power IS so expensive!
There are people out there you can trust but, money is in control of
people for right now. It pays to be cautious! Literaly!

I wanted to post this:
www.time.com...
A good article and highly ironic for this thread!
I started a thread here on if this crisis is good for America in the long run!
I didnt find anything close in the search of topic. If you're interested:
www.abovetopsecret.com...


[edit on 3-4-2009 by dodadoom]

Well I'm going to blame corporations and banks anyways. Can somebody tell me why the average CEO of a major corporation earned as much as 41 factory workers in 1960, and 206 factory workers in 2007? Why have wages for average workers been falling dramatically over the past 40 years?
Average CEO Compensation

[edit on 3-4-2009 by tallwater]

I re-visited this thread this evening because honestly,in spite of the "market rally",most of the news this week has been negative and rather frightening to me and reading the posts here has given me a smile,a bit more hope,and confidence that no matter "what" might be coming our way,we will be okay.
Good to know that there are people are there who are like-minded and I thank you all for your candor.

For the last 5 or 6 years I noticed an enormous increase in the number of fully-loaded, super-lifted, custom-wheeled, toy hauler towing, personal watercraft, atv owning mid- twenty year olds flying past my place of work, mid-day, to destinations unknown and I've found myself wondering how long the borrow and spend could go on.
Guess I got my answer.
No credit cards in my family.
Well researched mortgage (promptly paid upon receiving the bill)
Groceries in bulk when applicable.
Only occasional dinners out with the family.
Yes, well within my means.
I plan on leaving something for my kids.(unfortunantly the government doesn't care)

I have never gone into debt. I live within my means so does my girlfriend. We have only one income right now but we're ok for the time being. I'm trying out different things right now, I figured what better time?

I'll pick up some part time work soon and pad my savings a little. Hopefully things turn around, but the facts aren't there, so I'm prepared for that too.