I was stuck with either saving money and paying off debt or enjoying spending while having your bills paid. Let’s just say I’m happy where I’m at with my family now. My wife and I make six figures. But it wasn’t always like this. Now, we managed to pay all our consumer debt. We now just pay the 2015 house, my 2019 Ram, and her 2017 vehicle. Plus the necessary bills of course. We just got the house a year ago. Got a 30 year loan in case something happens but I want to pay it off in 9-12 years so I give way more on principal. But I started to think if it’s worth it sacrificing some spending money or enjoying life financially and pay it off in 20 years or so and enjoy some of that extra money. I mean, I could live tight just to pay the house and the vehicles quickly but what happens if I die right after making the last payment? I didn’t enjoy spending our hard earned money in other things.
So it’s a fine line. Fortunately we have 6 months of living expenses saved and if either one of dies, the house will be paid with the amount we have on our life insurance and then some. But we are simple people. Most of our money goes to electronics. We have 2 iPhone 11 pros, iPhone 11, 3 Apple TV’s, 3 new iPad pros, 2 homepods, 2 MacBook pros, 2 PlayStation 4s, 3 4K televisions, HomeKit thermostat, HomeKit light switches, new fridge with screen, new washer and dryers when we bought the house, etc. So yeah, I love electronics. Hahaha. I have a bad habit of having to get the latest model out there. I get the new iPhone every year for my wife and I and kid. Pay in cash, sell the old ones online. Stupid to do every year but that’s my thing. I chose to do that. But my price of clothing did change. I use to like all expensive clothes. Now, old navy or stores like that are good enough for me. But I do have to have Nikes or Adidas on my feet. And I do Aldo for dressing shoes.
I know I went on and on but the point is, don’t live beyond your means. Save up at least 3 months of living expenses, savings, kids college funds if you have kids, make sure you pay all your monthly bills, and then you can decide what to do with that extra money. Pay off debt, invest, or spend it. Biggest problem people have is that they care of what others think. So they buy expensive **** they don’t need just to impress. Just buy what you like and can afford. If it’s expensive, so be it. If it’s cheap, so be it too. As long as you want that for yourself. You can make $20,000 a year and still live with money left over. You just have to be a realist and live below your means. If you just save $20 a month, that’s still $20 a month you are saving. it can be done.Obviously it’s easier if you make more money. But that’s what we all strive to do in this life. I tell my kid, money isn’t everything. It’s doesn’t come first. But it’s second in line. Because without money in this world, you don’t live, eat, sleep, etc. You need money to live a comfortable life. The more the merrier.