How we think about money

[czub]

Happy people are those whose desires fit within their means.

 

[basstracker89]

Happy people are those whose desires fit within their means.

Well said....

 

[GeauxLSU]

Happy people are those who fit their desires within their means.

Slight adjustment.

 

[thevalueman]

I'll tell you....never are there sooo many successful folks as a group than the ODT....we are the Gods others just dream about!!!
The key to wealth....enter the world of the ODT!!!

 

[Fatal_Bert]

I'll tell you....never are there sooo many successful folks as a group than the ODT....we are the Gods others just dream about!!!
The key to wealth....enter the world of the ODT!!!

I bet you're a lot of fun at parties.

 

[basstracker89]

I'll tell you....never are there sooo many successful folks as a group than the ODT....we are the Gods others just dream about!!!
The key to wealth....enter the world of the ODT!!!

I like that

 

[GFB]

I'll tell you....never are there sooo many successful folks as a group than the ODT....we are the Gods others just dream about!!!
The key to wealth....enter the world of the ODT!!!

The point of the original post is that seeking status is an unnecessary way of thinking that can be detrimental to one’s personal finances.

 

[thevalueman]

I bet you're a lot of fun at parties.

I've been told that before....

 

[czub]

Slight adjustment.

That's being financially responsible, perhaps even content, but not necessarily happy.

I started thinking about this from reading and following reviews on cars. To paraphrase, stuff like this:

• "This car costs $35k so it's for someone just getting started out in their careers."
• "If your salary is x per year, then you are probably looking for a car that costs y."
• "You might as well lease a car because most people only keep them 3-4 years."
• "I just graduated college and I need a brand new, loaded vehicle because I have to have reliable transportation."

I keep mentioning cars because it's a key offender in status-chasing, but there are many other areas. And, of course, there are people out there who can afford seemingly lavish purchases without becoming overextended. Just food for thought regarding keeping up with the Joneses.

Seeking status will always be financially ruinous because regardless of what you make it'll never be enough if you're flexing hard to pretend you're making even more.

Cars are usually the prime object to splurge on if you're trying to signal success. Your coworkers and acquaintances likely won't know how expensive your house / crappy your shared apartment is or how expensive/cheap plated your jewelry is, but they see what you drive.

There are also people that simply like cars and don't mind spending more than they probably should, because that's what they enjoy. It's a hobby and not necessarily something they do to impress others.

Fortunately we have options. Being a car guy but also a finance guy (financially conservative aka cheap) I want to drive something that's fun and interesting. But it doesn't have to be new or expensive. My daily driver is pushing 30 years old and I would still rather drive it than most other cars I see parked at the office.

 

[WallsGa]

That sounds pretty crazy to think of it now.

I am sure I read that book years ago but don't have much recollection of specifics. Even great minds and helpful books are likely to have some points that don't hold up. Even Milton Friedman had some notions that turned out to be probably not so correct.

The gist of the book is that the millionaire is frugal. They’re more likely drive an older Honda Accord than a Mercedes. Don‘s waste your money on stupid ****.