Comments on: Why You Will Never Get Rich Cutting Your Budget

By: J. Money

J. Money — Mon, 25 Mar 2013 16:14:42 +0000

In reply to Frugalosity. Agreed!

By: Frugalosity

Frugalosity — Sun, 24 Mar 2013 02:32:01 +0000

You may not become rich by cutting back, but you will be less stressed because you will have less bills to worry about & you will have more money to save and/or invest.

By: Uncephalized

Uncephalized — Fri, 13 Jul 2012 18:18:44 +0000

You admit that your spending is $5K+ per month, and you have mortgages (as in more than one), and that there is a gap between your income and your spending, and you have the balls to be handing out financial advice? This whole article reads like a bunch of excuses to justify your unsustainable lifestyle choices.

You are living beyond your means and acting like you know how to build wealth. Which means that you are either blind enough not to see where that inevitably leads, or unwise enough to be able to see but choosing to continue anyway. How ridiculous.

Any person earning even a lower-middle-class income can spend less than they make. The proportion of families who are actually bringing in so little money that they could not possibly make ends meet through frugality is quite small. But stupidity like this convinces many that flatscreens and cable and new cars bought on credit and oversized homes and other such frivolities are actually necessities for a comfortable and happy life, diverting resources away from the actual necessities, causing rampant lifestyle inflation and deficit spending, and destroying the possibility for long-term happiness in the form of financial freedom.

Lastly, if you can’t think of anything interesting to do that doesn’t involve paying money to stare at a video screen, the problem is not a cable TV deficiency. The problem is that you are a boring person. Watching more TV isn’t going to fix that.

By: J. Money

J. Money — Sun, 09 Oct 2011 15:32:53 +0000

I’ll get to packing! :)

By: Sasha

Sasha — Fri, 07 Oct 2011 20:42:59 +0000

Thanks J Money! You can come whenever you want, lol. Only here for another year though…

By: J. Money

J. Money — Thu, 06 Oct 2011 23:04:52 +0000

Thanks for filling in for me Mr. Hank! And for stirring up the pot a bit – nothing like a juicy blog post to get our days going :) I think both sides are very very important to overall freedom down the road, and it seems most people agree. To being happy!

@Matt – Holy crap!! That is incredible!! $52 is no joke my man.
@Tea – Unless you happen to really love McMansions purely for comfort and lifestyle ;) I don’t, but I know some people who do. I don’t think it’s always just for looks… I agree with you for the most part though :)
@Money Beagle – Love it :)
@Molly – Are you trying to turn this into a political debate?? Haha… it’s kinda funny.
@Jeremy Streich – I think you can copy and paste that comment and make a new blog post ;) It’s all interesting stuff! No matter which part you believe in or not. Thanks for taking the time to share it all with us – it couldn’t have been fast, haha… (And I agree w/ the millionaire NFL/NBA/etc players – more money DEF causes more problems for some w/out budgeting. Or at least paying someone to budget for you ;))
@retirebyforty – I don’t think you can cut expenses all the time – alot of people cut to the bare bones and still struggle. But I will agree that MOST people can still find ways to cut and save money… not as much as earning more though I don’t think.
@Jacq – Just checked out your blog — love it!! Gotta keep my eye on it ;)
@Amy – Wow! Good for you – that’s awesome! Our monthly expenses are still over $5,000 :( Though our mortgages account for most of those… stupid things.
@nickel – I like how you show up here on days I don’t write, haha… though I must admit my guest posters are much better writers than I ;) And apparently have catchier titles! Missed you at FINCON brotha.
@MikeTheRed – I think you just made Hank very very happy as that’s what he was trying to convey ;) That you can’t get rich by cutting expenses – though you can live a mighty fine life. To be financially wealthy you really need to make *more* money. Which luckily anyone has the potential to do (and you don’t necessarily have to take on extra jobs to do it if you can work your way up to a nice salar where you currently put in time).
@LaShelle King – I’m glad you have now seen the light!! Are you doing better now? All on track or still working hard? Either way we’re proud of you! :) And wish you nothing but continued success!
@Sasha – Wowwww that is awesome! Way to go Sasha!! I bet you’re gonna inspire so many people :) And at such a young age too, well done. And congrats on the engagement! When should I fly over to celebrate with you all? ;)

By: Sasha

Sasha — Mon, 03 Oct 2011 16:34:56 +0000

Oh and now I’m completely debt free :) I have always paid for every car I’ve ever had in cash and no, my parents have not given me a dime of help, I actually help them out because neither one can work. No one has ever helped me out financially…

By: Sasha

Sasha — Mon, 03 Oct 2011 16:21:48 +0000

I have to say that I agree with Hank. I am 23 (will be 24 next month) and have a Bachelor’s degree (graduated May 2010). I worked 2 jobs through college, and the year afterwards, and saved most of it. Sure I went out but most times I asked myself would I rather spend money or make it? If I got called into work because someone was sick I almost always went in. Because of these sacrifices I was able to pay off my student loan of almost $20,000 only 1 year after graduating which bumped my credit score to 767 and I have $15,000 in the bank. I am taking a year off of working and am living in the Dominican Republic, granted I am not paying anything to be here but I am tutoring English on the side for $27/hour and do that 2-3 times per week so that’s pure savings. I plan to pay for my wedding in cash and have a down payment of 20% for my first house. I was able to do this by taking on an extra income and by making some sacrifices along the way but I didn’t cut out everything I liked to do. I went out to eat occasionally with friends but instead of getting an alcoholic beverage (once I turned 21) or getting a soda or another nice drink I chose the free water because I know that they overprice the drinks so much and I didn’t think it was worth it but I did indulge in it on occasion. I also used the 2 for 1 coupons in the entertainment book and split the cost with a friend. You don’t even have to get a second “job” per se, you can turn a hobby or skill of yours into another source of income such as selling jewelry that you enjoy making, doing a friend or family member’s taxes, or fixing a neighbor’s plumbing. I plan to invest in properties and rent them out in order to have more income and I might even open a restaurant or another business but it was only possible because I sacrificed a little in order to accomplish a lot.

By: LaShelle King

LaShelle King — Sat, 01 Oct 2011 23:02:20 +0000

I am 33 year old divorce mom of 2 kids and wish someone would have sat me down and taught me the importance of creating and sticking to a budget. Unfortunately it has taken me a bankruptcy, credit card debts, living paycheck to paycheck and issues with the IRS to see how important it is to create an emergency fund vs. taking trips, eating out with the family, taking vacations when I can’t afford it.

By: Jaime

Jaime — Fri, 30 Sep 2011 03:30:38 +0000

Everyone is different and needs to do what works for them. I like watching movies and I’m not ashamed of it. We use Netflix and iTunes and we don’t care for cable tv, my bf doesn’t watch sports either, he’d rather hike, work on his cars, etc. So we’re not missing anything. I can cut back to an extent, but at some point you reach a point where cutting back no longer works. You can really cut back so much. At least that’s how it is in my life.

Which is why I’m in college and majoring in finance. I went back to college in my late twenties. I don’t want to be poor in my fifties. I don’t want to be one of those older people that has to work two jobs. My parents are baby boomers that were able to retire because of good life choices.