I don't understand people who "save" money

[taiyuu_otoko]

Gosh, I wish we could stop beating each other up and arguing from our own, limited viewpoints. I sometimes wish maybe there was some kind of data to reference. Like maybe if somebody had done some research or something.

WAIT! THERE HAS BEEN SOME RESEARCH BY GOLLY!!!

I think some dude even wrote a book about it:

The Millionaire Next Door

In The Millionaire Next Door, read by Cotter Smith, Stanley (Marketing to the Affluent) and Danko (marketing, SUNY at Albany) summarize findings from their research into the key characteristics that explain how the elite club of millionaires have become "wealthy." Focusing on those with a net worth of at least $1 million, their surprising results reveal fundamental qualities of this group that are diametrically opposed to today's earn-and-consume culture, including living below their means, allocating funds efficiently in ways that build wealth, ignoring conspicuous consumption, being proficient in targeting marketing opportunities, and choosing the "right" occupation. It's evident that anyone can accumulate wealth, if they are disciplined enough, determined to persevere, and have the merest of luck. In The Millionaire Mind, an excellent follow-up to the highly successful first analysis of how ordinary folks can accumulate wealth, Stanley interviews many more participants in a much more comprehensive study of the characteristics of those in this economic situation. The author structures these deeper details into categories that include the key success factors that define this group, the relationship of education to their success, their approach to balancing risk, how they located themselves in their work, their choice of spouse, how they live their daily lives, and the significant differences in the truth about this group vs. the misplaced image of high spenders. Narrator Smith's solid, dead-on reading never fails to heighten the importance of these principles that most twentysomethings should be forced to listen to in toto. Highly recommended for all public libraries.

Living Below Their Means

Allocating Funds Efficiently

Choosing The Right Occupation

Balancing Risk

How They Live Their Daily Lives

Their Choice of Spouse

 

[Tenacity]

BeTheChange is just like the typical guy in the online Investment Community, where if you aren't shouting, "Invest In Stocks and Real Estate!" all day then they start calling you names.

I laid out in very clear detail for the guy that I don't make 2% - 3% returns, my returns are well over 500%. Instead of taking my money and investing in stocks or real estate, I invest it back into my Sales Office (a business). I told the guy this, yet he still wants to make snarky comments about a 2% - 3% return. There is no greater investment returns than having a profitable business. Stocks nor Real Estate appreciation do not come anywhere CLOSE.

It's common knowledge that most people in the Investment community online are pretty much AGAINST owning a business as well as fixed income investments, both of which I love and only utilize because it gives me something as an Investor that the other vehicles don't give me....CONTROL.

But back to the entire premise of this thread, as I stated earlier, the entire premise makes no sense. In a day and age where the MAJORITY of people in this country are living paycheck to paycheck, the majority have no significant amount stashed away (stashed away anywhere) and where retirees are at the age of retirement and the vast majority of them do NOT have a significant amount stashed, the entire concept of someone saving money being stupid....is in itself stupid.

The notion of "well, they are stupid because they aren't putting the money to work" only assumes that the person knows how to put the money to work. But then the same people spitting out this non sense will tell the person that they have "money they can afford to lose so why bother"? Nobody has money they can lose, it took blood, sweat and tears to make every damn penny so how do you justify someone having a particular "amount" they can lose just so they can fulfill this notion of not being "stupid" because their money isn't working for them? If one day the money is sitting in an account doing "nothing" and the next day it's being lost in paper value through stock market trading, how in the hell is the money "working" for them?

And when you ask these Internet Investment Community gurus these hard-hitting questions, they do exactly what BeTheChange just did, they call you names and walk off, because they truly have no answers. All they are, are programmed sheep who follow the standard investment advice which does NOTHING but pad the pockets of financial advisers and equity traders through commissions.

 

[prison/con.net]

about half of small biznesses don't make it thru their first year of operation, and about 90% dont make it to 5 years. It's NOT a foregone conclusion that a biz will make any profit at all. if you make 500%, it's on a VERY small investment.

 

[Fatal Jay]

I mean, I know you're supposed to. I'm just not wired like that all. I don't so much "save money" as much as I just don't spend it.


I don't understand the guy who makes 50k a year and thinks he's getting ahead by putting back 100 dollars a month in some IRSBR whatever the ****


I'm not talking about me per say, I have enough money where I don't have to worry about saving it, I'm just saying, I think it's pitiful advice.


On top of that you're living like a ****ing monk trying to be frugal and **** lol. Take your money and do something real with it. Build some **** lol. Create something new. That will make you more money. Then take that money and make something else that will make you more money.


I got a client who a year ago was dirt ****ing poor. scraped together 500 dollars, without knowing jack **** about web programming or anything, figured out he liked to talk to clients, found websites where he could bid on web projects, outsources them (pretty much all to me lol) and takes a 20% cut off all work. Dude makes about 5k a month now.
500 dollars, year later, 5k a month. Work ethic. Wouldn't know HTML if it hit him in the face lol. He went from basically working out of a one bed room apartment to having employees and **** in a year. Now he's about to take the 5k a month and open up a store front to sell websites and a call center to cold call companies to sell more websites. By this time next year he'll be clocking 20k a month


My dad when I was what.. about 11-12 years old working as basically a janitor at the hospital took a few hundred dollars and an old beat up truck and started cleaning up a bank when he got off work. Saved his money bought more sophisticated equipment, added Skippy peanut butter factor in east little rock which is huge. takes 1 person 3 hours to clean. 5 days a week. took the extra money, hired someone else (his brother, my uncle who just died) to clean up another bank. took that money he made off of that, hired someone else to clean up another bank. and on and on and on. my dad basically now cleans up one building a day now, about 2 hours worth of work and makes about 10k a month managing 20 or so other buildings that are being cleaned up. my dad could not work at all and clear 4-5k a month


But you take your 500 dollars and you are all happy and **** becuase now it's 700 dollars in your IRA yay!

That's called the art of flipping.

Making money and putting right back in your business. At the age of 29 I'm getting out of my parents teachings about sitting on money, and getting into the art of flipping.