Stop looking fabulous...and being broke!

Stop looking fabulous...and being broke!

Everyone has one of those friends...the guy or girl that has the flashy car, cool clothes and always the latest iPhone. In fact, you may know several of these type of people since, let's face it, we're not becoming LESS materialistic as a culture these days.

I recently did a very non-scientific poll of my friends to see what their biggest expenses were each month, outside of rent. Not surprisingly, the majority of it was car payments and credit card bills.

The car payments were a large portion of their monthly spending. A crazy amount actually. And when you consider that it's a depreciating asset the minute you drive it off the lot, it doesn't make a lot of sense.

Believe me, I would much rather drive a 2018 Lexus than my shitty 2002 Honda Civic any day, but I'm just not willing to spend a good portion of my paycheck to make that happen. To me, I need reliable transportation that is going to get me from point A to point B. That's it.

And what did they rack up their credit card bills with? A lot of eating out: bars, restaurants, Starbuck's. There's nothing wrong having drinks with friends or going out to a nice restaurant occasionally, but I try to limit that to once or maybe twice a week.

You see, the worst thing you can do is to try to live beyond your means when you can't afford it. You know that guy in that BMW M4? It's probably leased. That girl with the Prada handbag? She's likely in debt.

Do you know when I actually started to save money and gain a sense of financial freedom? When I stopped trying to imitate the lifestyles of people that have less financial security than I do.

Someone once said to me, "It's not only how much you make, but also how much you SPEND." That was like a revelation to me. The moment I heard that I vowed to minimize my expenses while still enjoying my life.

For me, everything is about moderation and priorities. My biggest priority right now is building wealth so that I don't have to worry about day to day bills.

So as I sit here with my home brewed coffee (sorry Starbuck's, you don't get my $5.00 today), I know that I'm on my way to building the kind of wealth and financial freedom where my days of being broke are a thing of the past!


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