I was commenter #31 as well, but thought of an additional point to make... I happen to be on food stamps now (and am working with Vocational Rehabilitation to go to school to be able to find work that my disability will "allow" me to do, to try and dig out of it... ... BUT, when I was not on food stamps, you might've still seen me using a card. Why? Because I do my Grandmother's shopping as well. She's not able to get out herself. I think it's "normal" for women in her generation to be in a place where they need food stamps. So, even during times when you see someone young like me using them, know that they may either have hidden health issues, and/or they may be shopping for an elderly relative/friend/neighbor. You really never know someone's back-story by looking at them.
I'm an avid cook, but also a big fan of keeping things simple in the kitchen. You can cook just as easily without all the latest gizmos and all the expense that goes with them.
I'm remind of a less than thrifty roommate that came home (very excited) with a $20 contraption to hard boil eggs. I think I'll stick with a pot of water for that!
Great post. I come across a post like this every so often, something that makes me think about my little world and how easily I can get wrapped up in it.
After reading this post, I took a few minutes away from the keys and reflected on how lucky I am to have my health, family, friends and a lot of positve influences in my life.
Thanks for the insight, it brightened my day (night;)
Reviewed it on SU. You got to get on there Phil, it's a great site.
I had followed a system for shopping Target for years. Then after my 4th was born, I became severely homebound. It never occurred to me until today that anyone else would find this info useful. I still have dreams of finding that perfect buy at Target!
These are some fantastic tips! I forwarded your article to my wife and she planning our attack to find some great deals! Thanks for putting this together.
I completely agree with Alyson's recommendation (including difficulties with his cheesecake recipe). His refusal to use uni-taskers is an example I have taken to heart.
Target in my area always has some clothing at a serious markdown. It's probably overstock, not post-holiday. Recently, I got pants at 75% off. Often, the clearance rack is the only place I look.
I've been reading a few blogs regarding MMA and HELOC use, and this is my observation.
There are two drivers to any acceleration system, the extra principal payments, which the spreadsheets can easily calculate.
The HELOC portion is a bit tougher to get a grip on. Assume you are paid $5000 on the first of the month, and it's not due to pay any bills until the 31st. Well, you basically have $5000 just sitting there (at 0%, the MMA folk would want to claim). By getting a return equal to your mortgage rate, you gain $5000*.06 or $300/yr (wahoo!!). If that $5000 is applied to one's mortgage as principal, it turns into quite the sum, over $25,000 in the 30th year. Where the HELOC comes in is when the bills are due earlier, say the 24th. Now, you owe $5,000*(say 8%)*1/4 = $100/yr since it's only borrowed for 1 week per month. And it's certainly stretching the point, but that $100/ yr has still gained you $25,000 by year 30. You realize if you are getting a high rate on your checking, this explanation is rendered moot. The MMA people focus on putting all your money against principal. Yea, I want to destroy any liquidity I have by paying down my mortgage. Just my observation.
JOE
if you want to find multiple uses for things and he HATES uni-taskers (crepe pans, food dehydrators, egg separators, etc). He often teaches ways to utilize kitchen tools in new and different ways to eliminate the want for uni-taskers and he'll do segments on which types of things he thinks best (what kind of veggie peelers you should have in your kitchen and why). Slotted spoons for separating eggs, works great, just break into the spoon and the whites fall through and the yolk stays in the spoon. I love him, although his cheesecake has been harder than he let on.
or actually a couple just like them. They sold property in Atlantic City, NJ before gambling was legalized and the casinos were built. All their family members struck it rich! I met them in my 20's and have not forgotten the focus on loss. I may have a couple of "I shoulda dones" but thinking of them has made me realize that I don't want to be defined by what I don't have or what once was. Nice post.
A small (1 gal per min minimum)electric pump at your water heater, delivering water to the hot water faucet furthest from the heater will result in nice warm water to each faucet in the house. No more washing your hands in cold water or waiting for the water to get hot. The initial installation will cost around $100.00 depending on how much of the installation you do yourself. The side benefit is the water doesn't go down the drain while waiting for the shower or sink water to get hot. We use a low amp timer in series with the pump so it shuts off at night and comes back on in the a m before the hot water is needed. The lamp timer available at the hardware store ($5.00) works fine.
I am one of those people who receive food stamps and disability. I am embarrassed every time I use my food card. Believe me if I could work I would. I have Tourette's Syndrome and Lupus and I don't receive enough money or food stamps to keep me going, after rent I have 60.00 cash left a month plus my food stamps without them I would starve. We should all try not judge anyone, you never know when you may get in a car accident or get a life treating disease and be disabled and not able to work and you yourself will have to rely on some of the Government programs. I hate the looks I get when I use my food card. I can almost read their minds your to young, you don't look like you need it. So until you walk in someone else's shoes try not to judge. Patricia
I too was pushed to higher education instead of going with my beloved profession which did not require college. Although I would've finished college at the minimum, I was not allowed to start working and finished law school on my family's wishes.
Then I struggled for years working as a lawyer, a job which I despised every single second I spent on it. Adding insult to injury, all my friends who started working right out of college were making by that time (4 years later), more than I make, and without the huge law school debt. Some had already bought a house and had been enjoying life while I was a struggling grad student barely able to eat McDonalds.
My friends all worked in fields where a BA was more than fine, e.g. accounting, consulting, engineering, police, etc.
Since I have an undergrad in Economics, I did the math for the opportunity costs which came out roughly to this sad truth:
$45,000/yr. x 4 years earned by friends while I was in grad school = $180,000
Total law school debt = $70,000
Total cost for my grad school endeavour = $250,000
So... as I worked and made more money, they still had a quarter million headstart on me. Accounting for the relative differential in current earnings to chip away at their lead, I can reasonably catch up to be EVEN with them in 10-15 years? I didn't even account for the additional expense of paying for my student loans every month which take away the real net income for comparison purposes so it's more like 20-25 years for me to catch up after I pay off the loans. By that time, I'll be close to 55 and hopefully dead. This also did not count into the years of growth any 401(k) or other savings might have accrued in their accounts while I was earning debt.
For a realistic comparison, my college buddy went to work after graduation for the police department. No student loan debt. Got his 2 masters degrees paid for by the department. Bought 2 houses already. 3 cars. All the toys he wants since he made admin and clocks a good 6 figure salary, pension, benefits, all the while on a 4 day compressed work schedule. Did I mention he has no debt? By comparison, I got tons of debt, 1 house, work a full schedule, and barely started to make what he's making.
It's not just college v. trades, you see. Please think it through before forcing your kids to do anything for your own edification.
Very Few realize the system is doesn't make sense and won't be fixed until the whole system breaks down.
Why?
Those who receive entitlements now outnumber those who pay for those entitlements (taxpayers). People vote their own interest .... so, those with the voting power - entitlees - will always vote for more government assistance, more programs. The deficit will grow to unsustainable levels and the dollar collapses. Financial and social chaos ensues.
As an avid Target fan, this is a great article for me. Maybe too great. I just know I'll spend more money in there now! Thanks Linsey, stellar post. Worthy of a Digg.
He does mention housing; it's a parenthetical remark, though, not a bullet point. I see now that I misread it though. He says they are planning to sell their house and buy a new one; I thought he meant they were going to buy their first house.
The more I think about it though, selling a house they own free and clear--if I'm interpreting the statement that they pay only taxes on it correctly to mean that they do own it free and clear--to buy a new house when they have all that debt seems even crazier to me than buying a first house when they have all that debt. (At least in the latter case I can understand an emotional attachment to the idea of owning rather than renting.) Me, I'd be working on getting rid of the other debt first before taking on any new debt, and not needing to pay a mortgage OR rent would make that so much easier. That's a good thing I'd be sticking with. I might consider selling to buy a cheaper house so I could use the proceeds to pay off debt, but I don't get the impression that's what they intend.
But then to me, debt is slavery. I'll volunteer for it for a few reasons, like I did to go to school, but generally speaking I'd rather be free. Then again, that's an attitude I have found has only strengthened the longer I go without debt. When I still had student loans and a car loan (at which time I'd had thousands of dollars in debts for my entire adult life) I didn't realize what a burden debt was. The longer I go without it the more insane it seems to me that people voluntarily take it on right and left.
Gratitude is a wonderful habit to get into. I did, and it's really turned my life around. Yes, negative things still happen, but you still have a choice in that - to dwell on them or not.
Gasoline at Texaco: 2001=$0.67 2007=$2.99 pii=346%
Idaho Potato at Walmart: 2001=$0.27 2007=$0.95 pii=251%
I've looked for some old receipts left in packing boxes. This clearly is a little more than the 3.5% Social Security increase.
If I collect enough of them, and amortize over the intervening years, I expect something like 25% per year. But, it hardly seems worth the effort. The politicians who make our laws don't buy any of these things. Their employees do. They get a sense of distress from their constituents, but can't really connect.
Good post, when I get a sense of "why me?" I remember my mum's response to that question from when I was younger "why not you?" I've never been able to come up with a good counter argument and that helps me to accept whatever the issue is and move on.
On a different matter your photos are beginning to make me homesick- I used to have a great view of Calton Hill from my living room, this is a very nice shot.
I was commenter #31 as well, but thought of an additional point to make... I happen to be on food stamps now (and am working with Vocational Rehabilitation to go to school to be able to find work that my disability will "allow" me to do, to try and dig out of it... ... BUT, when I was not on food stamps, you might've still seen me using a card. Why? Because I do my Grandmother's shopping as well. She's not able to get out herself. I think it's "normal" for women in her generation to be in a place where they need food stamps. So, even during times when you see someone young like me using them, know that they may either have hidden health issues, and/or they may be shopping for an elderly relative/friend/neighbor. You really never know someone's back-story by looking at them.
Great Post!
I'm an avid cook, but also a big fan of keeping things simple in the kitchen. You can cook just as easily without all the latest gizmos and all the expense that goes with them.
I'm remind of a less than thrifty roommate that came home (very excited) with a $20 contraption to hard boil eggs. I think I'll stick with a pot of water for that!
Peanut butter and bleu cheese... Might be good. I was scared to try a reuben sandwich for years, so I guess I should give it a try!
Great post. I come across a post like this every so often, something that makes me think about my little world and how easily I can get wrapped up in it.
After reading this post, I took a few minutes away from the keys and reflected on how lucky I am to have my health, family, friends and a lot of positve influences in my life.
Thanks for the insight, it brightened my day (night;)
Reviewed it on SU. You got to get on there Phil, it's a great site.
I had followed a system for shopping Target for years. Then after my 4th was born, I became severely homebound. It never occurred to me until today that anyone else would find this info useful. I still have dreams of finding that perfect buy at Target!
These are some fantastic tips! I forwarded your article to my wife and she planning our attack to find some great deals! Thanks for putting this together.
I completely agree with Alyson's recommendation (including difficulties with his cheesecake recipe). His refusal to use uni-taskers is an example I have taken to heart.
Target in my area always has some clothing at a serious markdown. It's probably overstock, not post-holiday. Recently, I got pants at 75% off. Often, the clearance rack is the only place I look.
I've been reading a few blogs regarding MMA and HELOC use, and this is my observation.
There are two drivers to any acceleration system, the extra principal payments, which the spreadsheets can easily calculate.
The HELOC portion is a bit tougher to get a grip on. Assume you are paid $5000 on the first of the month, and it's not due to pay any bills until the 31st. Well, you basically have $5000 just sitting there (at 0%, the MMA folk would want to claim). By getting a return equal to your mortgage rate, you gain $5000*.06 or $300/yr (wahoo!!). If that $5000 is applied to one's mortgage as principal, it turns into quite the sum, over $25,000 in the 30th year. Where the HELOC comes in is when the bills are due earlier, say the 24th. Now, you owe $5,000*(say 8%)*1/4 = $100/yr since it's only borrowed for 1 week per month. And it's certainly stretching the point, but that $100/ yr has still gained you $25,000 by year 30. You realize if you are getting a high rate on your checking, this explanation is rendered moot. The MMA people focus on putting all your money against principal. Yea, I want to destroy any liquidity I have by paying down my mortgage. Just my observation.
JOE
if you want to find multiple uses for things and he HATES uni-taskers (crepe pans, food dehydrators, egg separators, etc). He often teaches ways to utilize kitchen tools in new and different ways to eliminate the want for uni-taskers and he'll do segments on which types of things he thinks best (what kind of veggie peelers you should have in your kitchen and why). Slotted spoons for separating eggs, works great, just break into the spoon and the whites fall through and the yolk stays in the spoon. I love him, although his cheesecake has been harder than he let on.
or actually a couple just like them. They sold property in Atlantic City, NJ before gambling was legalized and the casinos were built. All their family members struck it rich! I met them in my 20's and have not forgotten the focus on loss. I may have a couple of "I shoulda dones" but thinking of them has made me realize that I don't want to be defined by what I don't have or what once was. Nice post.
A small (1 gal per min minimum)electric pump at your water heater, delivering water to the hot water faucet furthest from the heater will result in nice warm water to each faucet in the house. No more washing your hands in cold water or waiting for the water to get hot. The initial installation will cost around $100.00 depending on how much of the installation you do yourself. The side benefit is the water doesn't go down the drain while waiting for the shower or sink water to get hot. We use a low amp timer in series with the pump so it shuts off at night and comes back on in the a m before the hot water is needed. The lamp timer available at the hardware store ($5.00) works fine.
I am one of those people who receive food stamps and disability. I am embarrassed every time I use my food card. Believe me if I could work I would. I have Tourette's Syndrome and Lupus and I don't receive enough money or food stamps to keep me going, after rent I have 60.00 cash left a month plus my food stamps without them I would starve. We should all try not judge anyone, you never know when you may get in a car accident or get a life treating disease and be disabled and not able to work and you yourself will have to rely on some of the Government programs. I hate the looks I get when I use my food card. I can almost read their minds your to young, you don't look like you need it. So until you walk in someone else's shoes try not to judge. Patricia
I heard recently someone say, 'God answers all prayers. But the answer isn't always Yes.'
Hey, I'm an endcap cruiser, too! I didn't know about markdowns happening on certain days of the week, though, so THANKS!
Cool, I work right across from a Target. I could seriously camp out there everyday.
I too was pushed to higher education instead of going with my beloved profession which did not require college. Although I would've finished college at the minimum, I was not allowed to start working and finished law school on my family's wishes.
Then I struggled for years working as a lawyer, a job which I despised every single second I spent on it. Adding insult to injury, all my friends who started working right out of college were making by that time (4 years later), more than I make, and without the huge law school debt. Some had already bought a house and had been enjoying life while I was a struggling grad student barely able to eat McDonalds.
My friends all worked in fields where a BA was more than fine, e.g. accounting, consulting, engineering, police, etc.
Since I have an undergrad in Economics, I did the math for the opportunity costs which came out roughly to this sad truth:
$45,000/yr. x 4 years earned by friends while I was in grad school = $180,000
Total law school debt = $70,000
Total cost for my grad school endeavour = $250,000
So... as I worked and made more money, they still had a quarter million headstart on me. Accounting for the relative differential in current earnings to chip away at their lead, I can reasonably catch up to be EVEN with them in 10-15 years? I didn't even account for the additional expense of paying for my student loans every month which take away the real net income for comparison purposes so it's more like 20-25 years for me to catch up after I pay off the loans. By that time, I'll be close to 55 and hopefully dead. This also did not count into the years of growth any 401(k) or other savings might have accrued in their accounts while I was earning debt.
For a realistic comparison, my college buddy went to work after graduation for the police department. No student loan debt. Got his 2 masters degrees paid for by the department. Bought 2 houses already. 3 cars. All the toys he wants since he made admin and clocks a good 6 figure salary, pension, benefits, all the while on a 4 day compressed work schedule. Did I mention he has no debt? By comparison, I got tons of debt, 1 house, work a full schedule, and barely started to make what he's making.
It's not just college v. trades, you see. Please think it through before forcing your kids to do anything for your own edification.
Very Few realize the system is doesn't make sense and won't be fixed until the whole system breaks down.
Why?
Those who receive entitlements now outnumber those who pay for those entitlements (taxpayers). People vote their own interest .... so, those with the voting power - entitlees - will always vote for more government assistance, more programs. The deficit will grow to unsustainable levels and the dollar collapses. Financial and social chaos ensues.
Just wait until the Democrats take power!
As an avid Target fan, this is a great article for me. Maybe too great. I just know I'll spend more money in there now! Thanks Linsey, stellar post. Worthy of a Digg.
Hi Xin,
He does mention housing; it's a parenthetical remark, though, not a bullet point. I see now that I misread it though. He says they are planning to sell their house and buy a new one; I thought he meant they were going to buy their first house.
The more I think about it though, selling a house they own free and clear--if I'm interpreting the statement that they pay only taxes on it correctly to mean that they do own it free and clear--to buy a new house when they have all that debt seems even crazier to me than buying a first house when they have all that debt. (At least in the latter case I can understand an emotional attachment to the idea of owning rather than renting.) Me, I'd be working on getting rid of the other debt first before taking on any new debt, and not needing to pay a mortgage OR rent would make that so much easier. That's a good thing I'd be sticking with. I might consider selling to buy a cheaper house so I could use the proceeds to pay off debt, but I don't get the impression that's what they intend.
But then to me, debt is slavery. I'll volunteer for it for a few reasons, like I did to go to school, but generally speaking I'd rather be free. Then again, that's an attitude I have found has only strengthened the longer I go without debt. When I still had student loans and a car loan (at which time I'd had thousands of dollars in debts for my entire adult life) I didn't realize what a burden debt was. The longer I go without it the more insane it seems to me that people voluntarily take it on right and left.
Beautifully written.
Thank you!
Gratitude is a wonderful habit to get into. I did, and it's really turned my life around. Yes, negative things still happen, but you still have a choice in that - to dwell on them or not.
I estimate my cost of living index as follows.
Milk at Walmart: 2001=$1.77 2007=3.23 pii=82%
Gasoline at Texaco: 2001=$0.67 2007=$2.99 pii=346%
Idaho Potato at Walmart: 2001=$0.27 2007=$0.95 pii=251%
I've looked for some old receipts left in packing boxes. This clearly is a little more than the 3.5% Social Security increase.
If I collect enough of them, and amortize over the intervening years, I expect something like 25% per year. But, it hardly seems worth the effort. The politicians who make our laws don't buy any of these things. Their employees do. They get a sense of distress from their constituents, but can't really connect.
17
Good post, when I get a sense of "why me?" I remember my mum's response to that question from when I was younger "why not you?" I've never been able to come up with a good counter argument and that helps me to accept whatever the issue is and move on.
On a different matter your photos are beginning to make me homesick- I used to have a great view of Calton Hill from my living room, this is a very nice shot.
There's a Jedi inside all of us. Better still, find your Jedi props on eBay - remember, there's nothing wrong with being a frugal do-gooder.