Can you make me 25 again?
My family and others I know made their money by buying Real Estate in the best locations and never selling.
My uncle came from Europe with no education and worked as an upholster and saved every penny, until he was able to buy his first apartment building for $11,000, then he bought another...when he passed he left one to each child, and now in San Francisco in the Marina district they are getting $6,000 a month for a large one bedroom.
Life is good for some, and watching your dollars is the way, or investing in real estate, but of course, those days are over. We also started a trust (college) for our daughter when she was seven and never sold the stocks and paid for college, so thank G__, when we pass, my daughter will be fine, well worth the sacrifice. I do think it more difficult today with the cost of housing, cars and living expenses, it takes two checks to get by from what I see and am told.
Can you make me 25 again?
On August 14, 1935, the day FDR signed SS into law, the Dow closed at 128.27. Had it been set up as a privatized program, with the money invested in Dow stocks, nearly everyone would retire in good shape, there would be no SS funding crisis, the multi-trillion dollar SS liability would not exist, and federal entitlement programs would not be devouring such a large percentage of the federal budget. As it is, payroll tax money is transferred to the general revenue fund and replaced with a special bond created for the purpose and issued by the Treasury Department only to the SS Administration. These bonds pay 2%. This is the SS "Trust Fund" and this is the return that, by law, you get on your SS "investment". As an aside, the Fed's inflation target is 2%, which means that if they hit their target, you break even in real terms. When they miss on the high side, you lose money on your SS retirement account.
So yes, it is up to you.
Tell that to the people who lost everything when the market crashed in 2008. Tell that to the Bernie Madoff investors. Even though the SEC said he was fine, until it all collapsed.
This week I was hungry and impulsed $7.xx at Taco Bell.
I felt guilty afterwards. I could have taken time out to prepare a meal in advance and saved a few bucks.
I heard Dave Ramsey yelling in my head: "There you go again. Impulsing away $20 here, $5 there, and it all adds up at the end of the month. And you wonder where all of your money went!"
Dave Ramsey has wormed his way into your head. He shames, controls, and bullies. Your money is yours to control, not his.All that really happened there was that you made a choice to buy prepared food instead of cooking at home. What did you do with the past time that you now claim you should have spent on a pre-made meal at home? Did you... work? Meditate? Exercise? Commune with God? Sleep? Care for others? Visit nature? Visit a lonely person?
i appreciate that there are ways to save time and money. And... there are so many ways to use and invest time and money!
I think some people genuinely need to hear what Dave Ramsey has to say because they just aren't money smart to figure their financial life out on their own.