Change the Equation

Things are getting undeniably more difficult for the vast majority of us. Unless you are part of the "1%," the old strategies for getting by just are not working anymore. Heck, not even the Dave Ramsey plan works for most of us because his ideas presume your income matches at least your minimal needs, which is just not the case for most people.

Take the housing conundrum, for example. If you want to live where there is actually a job market, the cost of housing is out of this world. You can indeed find houses for dirt cheap in this country, but chances are that cheap house won't be within a hundred miles of a decent job market.

I don't know about you, but I've been "doing everything right" and am still sinking. The system seems rigged against anyone who is trying to follow a traditional path. We are getting paid too little, being charged too much, and getting fleeced too often. Getting ahead, or even getting by, in the New Normal is going to require the adoption of new strategies.

Any suggestions, ATS?

a reply to: olddognewtricks

Do what you can to expose socialism for what it is, the path to decreased prosperity and the elimination of individual rights for all.

Don't be afraid to call totalitarians by their name, just be sure that you have a solid intellectual foundation to withstand the incessant dissembling that all statists engage in (be it with you or themselves).

a reply to: olddognewtricks

If we listen to any of those who are a success the answer is simple, Sports heros, celebrity singers, actors, stars.
"Never never never never never never say die" Give it 100%, all the time. Never quit. Give it 110%. Try harder try harder try harder. Believe in yourself. BBBEEELLLIIIEEEVVVEEE.

With all these examples of success we know it is possible to win win win. If they can do it so can we. We just have to, well, you know, try harder. All of these examples who are paid big bucks so that once their moment of fame has flickered they can still earn a great living by shilling crap across the airwaves as celebrity commercial spokemen. Winners buy this and winners buy that.

My strategy? First cut ourselves loose of this celebrity culture which inspires us to aspire to false senses of beauty and success. I leave it to others to take if from there.

As I mentioned on another ATS thread, my husband and two adult children are "all in" in purchasing a house together. As my husband and I near retirement our lifestyle choice, hopefully, will be 'Have RV, Will Travel", so we only need a little in-law suite as a home base. My adult children are just starting out in new careers and, as such, their starting salaries aren't conducive to saving money for a down payment for anything resembling a decent house. So, we will sell our existing house and from some of the proceeds put in the down payment on a new home with in-law suite. My son said he is willing to do home renovations, so this will be a big plus in future savings and home improvement to, hopefully, raise the value of the property.

originally posted by: InTheLight
As I mentioned on another ATS thread, my husband and two adult children are "all in" in purchasing a house together. As my husband and I near retirement our lifestyle choice, hopefully, will be 'Have RV, Will Travel", so we only need a little in-law suite as a home base. My adult children are just starting out in new careers and, as such, their starting salaries aren't conducive to saving money for a down payment for anything resembling a decent house. So, we will sell our existing house and from some of the proceeds put in the down payment on a new home with in-law suite. My son said he is willing to do home renovations, so this will be a big plus in future savings and home improvement to, hopefully, raise the value of the property.

That is probably wise. That certainly sounds like it would change the equation in your favor. I wish I could do something like that right now. Maybe when the kids are grown...

Young people can also have shared home ownership with each other, i.e. friends (three way split would be a good idea). A two-storey house can be renovated into two separate living units for optimum privacy, and if it has a basement, they could renovate that into a one or two bedroom apartment and rent it out for extra income. Ideally, this set-up would be less expensive if young people look for a fixer upper already with the plumbing and electrical set-up in an in-law suite, or a basement with another kitchen.

www.realestate.com.au...

a reply to: olddognewtricks

We are having to convert to tiny home living. I cannot afford this world any longer.

originally posted by: olddognewtricks
Getting ahead, or even getting by, in the New Normal is going to require the adoption of new strategies.

The world is always changing and adapting to things we do to get by. What you said above will always be true. No one lives the same lives as their parents. It's impossible.

I think we are going to have to be willing to help eachother a lot more. And combine our money to buy things we can share. It will take a lot of change. Of course, it would be better to change what is causing the problem in the first place...

originally posted by: intunewithmyself
a reply to: olddognewtricks

We are having to convert to tiny home living. I cannot afford this world any longer.

I can't afford it either! Making a decent salary right now but when you take the number of people in my house now and divide what I take home by that number its less than 10k a year per person!!! That may seem like quite a bit of dough in another country but not here in the US. Who can feed, clothe, provide transportation for, provide medical care for, and keep the lights on and the water running and provided for every other need that comes up for one person for less than 10k a year?

I'm beginning to think this nuclear family thing is for the birds. I'm about to go adopt some family from down the street and move then into one side of my house just to help shoulder the burden.

Another way to approach saving money is learn to Do It Yourself and buy secondhand, such as asking for hand-me-down children's clothes and shoes from family and friends.

When my son moved in with his girlfriend they wondered where all their money went. I asked how often they bought take out food...almost every day! That's $20 - 40 per day! If you cook at home, shop at a no frills store, and use coupons this will save you a great deal of money. The dollar stores have some good products, go and have a look.

We need a new exterior door to our outside garbage room, the cost at a secondhand reno store is $5 - $20 and all I would have to do is buy marine grade varnish to seal it against the elements and the varnish will come in handy for other outdoor/gardening projects.

a reply to: InTheLight

The problem is that the gains made from months of diligence and hard work are so often wiped out instantaneously with just one mishap that is out of your control. My wife and I scraped and saved and couponed and did without and fixed for a full year trying to get ahead. All told we cut our costs by about $3200 dollars. Then one night our furnace died on us. Cost $5100 to replace. Had to do it. It was early winter.

So we kept scraping fixing saving couponing and sacrificing for six more months. We were very virtuous and cut our expenses by maybe another $1100. Then our daughter got sick and I got sick.

Twenty thousand dollars.

There is no Dave Ramsey-esque, pull-thyself-up by-thy -bootstraps solution for this.

originally posted by: olddognewtricks
a reply to: InTheLight

The problem is that the gains made from months of diligence and hard work are so often wiped out instantaneously with just one mishap that is out of your control. My wife and I scraped and saved and couponed and did without and fixed for a full year trying to get ahead. All told we cut our costs by about $3200 dollars. Then one night our furnace died on us. Cost $5100 to replace. Had to do it. It was early winter.

So we kept scraping fixing saving couponing and sacrificing for six more months. We were very virtuous and cut our expenses by maybe another $1100. Then our daughter got sick and I got sick.

Twenty thousand dollars.


There is no Dave Ramsey-esque, pull-thyself-up by-thy -bootstraps solution for this.

$5100 for a furnace!!! I appears you were scammed. Some of those heating and air conditioning companies are scammers, I have heard stories.

No there is no easy solution, but friends or family members pooling resources and perhaps renting out a room or a basement apartment takes care of any one members leaving or falling ill.

a reply to: InTheLight

I just checked with my CFO/CEO/CPA (my wife) and I did not get that figure too wrong. In fact it was $5500 but also included other work such as a new AC. My apologies for any confusion of facts.