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Well you've answered your own question and as long as you are happy with the outcome thats great, it is those who spend everything then bitch about the fact they are broke that get up my nose.
Well you've answered your own question and as long as you are happy with the outcome thats great, it is those who spend everything then bitch about the fact they are broke that get up my nose.Why would you want them to save??
We have established you either gamble on investing eg the stock exchange or the horse races (at this point I can't tell the difference except the race track has a high standard of dress code and you get to catch some sunshine while the stock exchange you are locked up in your basement feverishly obsessing over some graphs you pretend you understand and can predict) or you spend every cent you earn soon as you get and buy things you need and enjoy because saving is stupid.
Well you've answered your own question and as long as you are happy with the outcome thats great, it is those who spend everything then bitch about the fact they are broke that get up my nose.
Yes, as long as we all get pay rises etc commensurate with it.Dumb question but doesn't inflation make debt go away in the sense that the average income was $100 and you have a debt of $10 then due to inflation you now have an income of $1000 so the original $10 is "less" money comparative to your current income.
It's why everyone laughed in Austin Powers when the out of touch bad guy stuck in the old days threatened world leaders with a ransom of a million dollars and they all laughed in his face at the once astronomical ransom value has become an unimpressive figure - the leaders all talk in trillions now.
In theory that's absolutely true.Dumb question but doesn't inflation make debt go away in the sense that the average income was $100 and you have a debt of $10 then due to inflation you now have an income of $1000 so the original $10 is "less" money comparative to your current income.
In theory that's absolutely true.
It's the in practice detail where difficulties arise and there's a few issues there.
First is simply bracket creep. As your gross income goes up x%, your take home income after Income Tax goes up by a lesser % simply because you're moving up the scales into a higher bracket. Unless government constantly raises the income thresholds, which it almost certainly won't or at least not without a considerable lag, that in due course captures everyone.
Second is that pay rises will usually lag inflation in practice. In large businesses and the public service CPI itself is often an input to pay rates. They'll look at last year's CPI and apply that to next year's pay rise +/- anything that's been negotiated. That's extremely common in situations where there's a large workforce of people all at the same grade / level which pegs them to a particular pay rate with no room for individual negotiation.
Small business well it's often the case that getting a pay rise means getting a new job and that of itself ensures that it lags for most workers.
End result, in practice, is real take home pay growth fails to keep pace with inflation for most when prices are rising quickly.
Then there's the compounding of CPI itself using that same approach. Eg councils and utilities very often apply a CPI price increase automatically. The higher CPI goes, the higher they raise charges.
sadly , what you say has a modern logic and wide acceptanceWhy would you want them to save??
We have established you either gamble on investing eg the stock exchange or the horse races (at this point I can't tell the difference except the race track has a high standard of dress code and you get to catch some sunshine while the stock exchange you are locked up in your basement feverishly obsessing over some graphs you pretend you understand and can predict) or you spend every cent you earn soon as you get and buy things you need and enjoy because saving is stupid.
YEP , worse than the hay-fever season ( at least the hay-fever season is only a few months a year )Well you've answered your own question and as long as you are happy with the outcome thats great, it is those who spend everything then bitch about the fact they are broke that get up my nose.
I have never borrowed money in my life, until recently I thought this is reasonably normal, seems notsadly , what you say has a modern logic and wide acceptance
back when both my parents were alive ( mid 1960s ) the only major debt the family had was home mortgage , the family car was second hand bought for cash ( the last one funded by the savings caused by paying the house mortgage several years early )
a new ( old ) fridge you saved up for , car ( saved up for ) etc etc , and even today i have never had a credit card in my life ( saving up for a special item has been a family trait )
now i am not practitioner in the charts , but that doesn't make them useless , you can still see the trends and the changes in trends ( volatility )
I have never borrowed money in my life, until recently I thought this is reasonably normal, seems not
Not yet, but that is the planYou paid cash for a house??
Not yet, but that is the plan
they won't accept it, tried it lol they will tell you anywhere between 2k to 10k is the max a business will take. Maybe for a private sale you will get lucky. Don't know about now, 10 years ago I bought a car with 25k cash and nobody said nothing, bank gave it over the counter and the seller took it. 10 years forward you will probably be looked at as a crim ?I am thinking about buying my next car with cash, I mean literally wads of paper dollars. The car is a D-max probs around $50k+.. do banks even have that much cash to handover the counter??
I reckon the car salesman will wet his pants. I will pull out the pile dollars in a brief case or whatever and say.. I want a bull bar, sports bar, tub lining to all for free. I am paying cash. Dude won't be able to control himself.
Taking my dog and an baseball bat with me in case someone tries to rob me.
yes i did once , i took out a ( sub-prime ) mortgage on a block of land , NOW i look clever ( the land value has risen 4000% ) but that mortgage in the mid 1970's/1980's had me wondering if i did the right thing at allI have never borrowed money in my life, until recently I thought this is reasonably normal, seems not
yes i did once , i took out a ( sub-prime ) mortgage on a block of land , NOW i look clever ( the land value has risen 4000% ) but that mortgage in the mid 1970's/1980's had me wondering if i did the right thing at all
i still maintain a very low-debt life-style ( once bitten , twice shy )
besides i discovered lay-by to acquire those 'must-have items' ( pay installments FIRST take it home later )
you had better check with your bank first ( some of them need a couple of days warning ) , AND those folks worried about money-laundering and crime ( the government didn't commit ) tooI am thinking about buying my next car with cash, I mean literally wads of paper dollars. The car is a D-max probs around $50k+.. do banks even have that much cash to handover the counter??
I reckon the car salesman will wet his pants. I will pull out the pile dollars in a brief case or whatever and say.. I want a bull bar, sports bar, tub lining to all for free. I am paying cash. Dude won't be able to control himself.
Taking my dog and an baseball bat with me in case someone tries to rob me.
about 1982 it sure didn't feel like it ( good debt or a wise investment ) , just saying 17.5% fixed isn't the best debt to have in an uncertain job-marketA mortgage is a exception, definately good debt and investment into your future. However my path in life has not allowed me one, been walking the big uphill road on my own always, hence my nick
A mortgage is only good debt, when it is weighed against what it costs, take for example someone who works in a city and rents an apartment for $600/week.A mortgage is a exception, definately good debt and investment into your future. However my path in life has not allowed me one, been walking the big uphill road on my own always, hence my nick
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