Stop living beyond your means! Stupid is, as stupid does.

I’m getting tired of people complaining that they are having trouble making ends meet in their posts, just to find out that they later on tell us that they once had the world by the balls. And now they don’t.

Cry me a river.

I gave up credit cards back in the Eighties and haven’t had one since. I live cash only. I live within my means and save for my wants. This is just common sense.

Have there been times I wish I had a credit card? Oh yea, you betcha. Circumstances have arisen that have drained my bank account at times, which made life difficult. But I stuck to my guns, so to speak and dug my way out of the mess. There have been times that I have cut out cable, internet stopped using my A/C, etc and lived on basically rice and beans for months at a time.

I retired at 48 and have a part time job (that pays quite well) that helps alleviate the cost of living. But I don’t spend on things that I can’t afford. I make a list of things I need and want and I SAVE FOR THEM.

What is so hard about that, other than exercising patience?

And I have savings for those unknown things as well. I call it my JIC fund. And it is larger than my other accounts. I learned my lessons that life has taught me.

All it takes is a firm discipline.

Ah yup....when yer broke and on the streets yer still living beyond yer means.....
People who work for a living wage are no longer recieving it.....
The average income has not risen for some people in a long while, in fact is has dropped.....
Its bully you have had the good fortune to aquire enough through your efforts to survive at a subsitance level ....
Others have not been so fortunate.....
Corporate raiders like Mitt Romney have helped gut America.....

reply to post by TDawgRex


I agree, this is my get out of debt year. Here in another month I plan to be 95% out of debt. The remaining debt should be paid off easily in the coming months.
I'm not sure I will know how to act.
Everything else after that is being paid for using cash. Seeing that there will be no extra bills I will be able to do just that.
It's like a weight will be lifted and I can't wait. I almost expect my car to break down. It usually works that way after I get out of debt.
Credit cards are the worst to try an get out from. I have them but don't use them unless necessary.
If you do have cc, pay them off the next month if you can. Don't purchase anything you can't pay off within a month using a credit card.

reply to post by TDawgRex


That’s good advice but some people have to learn the hard way.

Credit is a great thing if it’s used properly. You can get out of a pinch quickly with a credit card. However, it’s like alcohol…its good in moderation but can cause big problems if used in excess.

Another I have mine so the rest of you MUST be stupid post What do you want to hear? "yeah, if you are having a hard time during bad economic times you are an idiot!" or "What you don't have a good paying part-time job? you must be stupid!" Callous narcissism about your tenuous prosperity is a child's game and serves no purpose.You are one health disaster from destitution if you are working to live, insurance or not.
APB

Credit and a debt based currency has turned everyone into wage slaves,
Regardless of if you feel like a slave or not. The facts are there.

The elite ruling class make trillions of our resources (as in, the people of the planet earths resources), trillions off your blood and sweat. I make ends meet, i pay my bills.

Doesn't stop the fact that we are owned by the elite ruling class (whether you admit it or not).
Around half the american population is poor, or almost poor.

Thats not living outside their means, thats not being able to afford stuff, like rent or food or gas to continue working for the money they need to barely make ends meet.

go live like that, and then come back and start telling people to 'live in their means'.

There are reasons rome collapsed.
There are reasons the american revolution happened
There are reasons the french revolution happened.
There are reasons the great depression happened.

And they all hold similar issues in comparison to now. The elite ruling class stepped to far. And its happening again, and again.

Do you know what happens in a recession or depression? Said elite start buying land and businesses and resources CHEAPLY, because people are BROKE, and sell stuff CHEAP to have money to barely survive.

reply to post by stirling

I agree that corporations do have it too easy. And that it should be addressed, but that’s another topic.

I have volunteered at homeless shelters and with the exception of those who are mentally challenged, the others always have excuses. They never take responsibility for their own actions. I saw the same thing at the OWS here in Cleveland.

It’s always someone else’s fault.

I know guys who work the docks with me who have law degrees, AUTOCAD, etc…but they are working out of their field nonetheless because they are responsible adults and have mouths to feed. The guy with AUTOCAD experience has even stopped looking for employment is his previously chosen field (which pays more) because he likes doing what he does.

He’s happy…that says a lot. He and his family are fed and bills paid. And the kicker is, he lives a simple life. He doesn’t require the latest gadget or car and lives in a modest house raising his kids. He doesn’t realize it, but I think he is a throwback to the 50’s era.

reply to post by TDawgRex


Nevermind ive seen some of your other posts in this thread which answered my question.

I do think people should live within there means, whatever that means, planning via budgets etc etc. But the game is pretty damn rigged right now. Someone in my situation and many of my friends are essentially being held down.

AzureSky a few posts prior to this hits on some pertinent ideas.

Some people find it hard not to use credit, over here in the UK we have people taking out 4,000% APR loans so that they can pay their mortgage's because they cant afford to pay their bills. Its insane, what are these people thinking, its just making their situation worse.

The above is terrible, and should not be allowed to even advertise in economic climates as we're in now. But in some cases, i think credit is good (id rather nobody in the world get credit, and all have money to buy what we want but, thats not reality)

Take for instance your average working, minimum wage parent - Its very easy for them to get caught up in loans, they not only have bills to pay, but they have clothes and everybody wants decent furniture, a person on minimum wage can not afford this, so they will get credit on a catalogue in which they can pay monthly at very low rates, sometimes even not having to pay until the year after - I think this type of credit is good if the company doesnt give out to people who cant afford it.

Allot of people are now getting cars on finance too. . A load of my friends have new cars and they pay £130 a month with insurance included for 3years, so all they have to pay for is petrol and Tax, which is o.k if you want a nice, new motor. These are the type of things i agree with getting with credit, because they are suplying a service which isnt there just to slam you into debt, its to help you get what you want, without having to have the full money

The credit i dont agree on is fast loans, like the one i mentioned before which charge you 4,000% APR etc. But like i say, its hard for some people not to get them, because they have been left with no job and have bills to pay off which they had when they had the money to pay for high bills.

As for a person living within their means if they do have money to survive, but blow it on garbage - well them people will learn the hard way, like 90% of us did. I know a girl who is currently on £1,500 a month and she rents out a flat which costs £980 (alone) Then she has to pay council tax, utility bills etc - she gets loans out for 5-6 grand every few month, she's currently in over £30,000 worth of debt.

I actually feel very sorry for her and have kind of taken her under my wing as of late. . She's the kind of girl who will buy something even though she cant afford it, just because somebody else has it who she knows and doesnt want to "seem like a bum" One big contributor as to why young girls are in so much debt and feel like they have to spend to keep up is because of social networking. People who boast about their life do it via these places, they will put things on like "just baught £300 watch" "just gone on holiday and spent over "3,000" blah blah blah - but they never put the bad stuff, they always put how good their lives are - this just makes people have a false preconception that their lives should be as good as that persons too - driving them to buy things they dont need, go places they didnt really have to go etc.

Sorry for the rant, but i see allot of people around me dragged into debt because they think they have to live this party life style and go buy jeans which cost £350 - but they think it doesnt matter because "you only live once" pffft - so why fkin blow out all ur money and spend it on # you dont need...baffles me

And once again.
Who has perpetuated the belief that we need to be the most fashionable? with the newest car? the new flatscreen?
WHO ARE WE TRYING TO IMMITATE!?

Oh right, the elite ruling class.
The ones that control the media you see, with the advertising and marketing, sucking in sheeple like a vaccuum who fall for said advertising.
The ones who own all the companies you buy stuff from
The ones who get taxpayer bailouts
The War Profiteers
The ones who own the food,
The ones that own the water
The energy
The medications
The politicians

Not including sending our soldiers to their death to gain more profit.

How much has the fed loaned out now.. 26 trillion? (between 07-2010).
Guess who has to pay that.

YOU DO.

reply to post by TheLieWeLive


Good for you. But a bit of advice, if you have't thought of it already.

Don't attack your CC debt at the expense of your savings. That is what I did and was pretty much homeless once the bills were paid and a life changing event happened shortly after.

Not totally homeless, but sleeping on friends couches and such. Bless their hearts. Needless to say it was a miserable time feeling guilty and all. It did make me address my finacial disciplne though.

But you sound like you have a sound plan.

Good luck.

reply to post by TDawgRex


Your lack of compassion...is very telling. You may have your finances in order.. but you are not superior to anyone on ATS.

Some people are in the process of learning how to manage their finances better...they are trying.

reply to post by caladonea


I believe that I am a compassionate guy, but you may be on to something.

I may be becoming apathetic in regards to this. Maybe too much exposure?

I know everyone has their own story and am hoping that people will read mine and maybe see something similar in themselves.

As you can see, I'm Humbly Arrogant. Arrogant in the fact that I stand by my beliefs, but Humble enough to realize that those beliefs can be changed. I try to keep an open mind.

Originally posted by AmericanPitBull
Another I have mine so the rest of you MUST be stupid post

What do you want to hear? "yeah, if you are having a hard time during bad economic times you are an idiot!" or "What you don't have a good paying part-time job? you must be stupid!" Callous narcissism about your tenuous prosperity is a child's game and serves no purpose.You are one health disaster from destitution if you are working to live, insurance or not.
APB

I have to agree with AmericanPitBull. Your post rings of complete arrogance. Certainly I could say far more, but the Pitbull summed things up nicely.

As far as credit cards go, I maintain two of them. Both are at zero balance. If my heat/ac, fridge or my roof fails, I have something to fall upon when an emergency presents itself. Oh and of course health emergencies.

Glad your tough as nails and live independently on your very own island that is completely self sufficient.

Some people need a picture:

Link to Picture

Originally posted by AzureSky
Some people need a picture:

Link to Picture

I normally love your viewpoints, but I take exception with the pic.

It is only relevent if you believe that is the way things work.

I chose to fight that graph and live life to the best of my ability. We are all individuals and chose our own path in life. Mine just has rocks in it. But I will step on, over or climb them.

Originally posted by TDawgRex
I gave up credit cards back in the Eighties and haven’t had one since. I live cash only. I live within my means and save for my wants. This is just common sense.

Have there been times I wish I had a credit card? Oh yea, you betcha.

Credit cards can be fantastic, they do away with the need to carry around large amounts of cash and they protect you in case of fraud or theft. I've had a credit card since the 70's, I pay the full balance every month and have never in my life paid interest on a credit card. With proper discipline a credit card is an excellent tool. With poor discipline they can be the path to disaster. Personally I think the problem with credit cards here in America is that no one is taught how to manage their finances and to have discipline when it comes to purchasing decisions. Society tells us to use credit cards to buy things we can't afford, and the education system is not there to teach people that society is wrong in this message.

reply to post by n00bUK


No need to apoligize for the rant. This is the rant forum after all.

And I see where you are coming from and completely agree.

The system is rigged, and there are those who still play by the systems rules and they even know it's rigged. But they still play because they want that fancy iPhone or whatever.

That just doesn't make any sense to me.

This is a rant, as such I believe your allowed to "get it off your chest" without thinking about hurting someone elses feelings or displaying compassion.

Here is what people fail to understand, the truth is just true. Some people find it offensive, but it is merely true. If you spend more than you earn, eventually you will be broke. It will be no ones fault but your own. S&F for this thread, can't be said enough!

People are taking OP's initial post and adding on all this anti-corporate nonsense. Just take it at face value and deal with the issue. I think his post is actually somewhat ill-advised. You have to pick at what level you;re going to interact with the world. Having credit cards helps that interaction. You cannot rent a car without one, for example. Shopping online, where you can ultimately find the best deals, becomes problematic. Having a top notch credit score can get you lower insurance rates. Credit is not just about credit; it enhances versatility.

It's paying interest that is a problem. There's an old adage that goes something like this: "Smart people earn interest. Stupid people pay interest." (It may not use the word "stupid," but in light of the OP's post it gets the point across.)

The key to the entire issue is to pay your credit card bill when it shows up in full. That way you pay ZERO interest. The bank has loaned you money for a month and received nothing at all from you. That's treating a credit card as if it were cash and works just fine.

I agree with the OP that the less debt you have the better off you are in an uncertain economy. Any financial advisor will tell you the same thing.