When I was a teen, I had a job as an overnight dishwasher in a high-end restaurant. It was honest work and the only thing I could find to make money in the middle of a persistent recession. Me and the boss used to talk about current events and all manner of other subjects when he'd come in in the morning. One day we started talking about money.
He'd just bought a new car, and I congratulated him on the purchase and being able to afford such a sleek machine. that's when he taught me something I never forgot. He said that yes, as the general manager he made more money than anybody else, but there was a problem. "The more you make the more you spend, so you never climb out of the hole." Hearing this from him was a revelation as he'd always seemed to have things together, but in the end was just like everyone else, struggling to make ends meet day to day.
"Imagine money as a large room that you can enlarge as more funds come in, now picture expenses as a gas that fills the room no matter how large you make it, that's the problem most people have with money." That setting was exactly what my young mind needed to see and it has stayed with me ever since. This "together" guy couldn't help but have the latest shiny new thing and ended up spending himself out of prosperity.
Many people do the same thing. Get paid, pay bills first (hopefully) but never set anything aside such as dividend paying stocks or crypto, in order to secure their future. He didn't "need" the new car he bought. he wanted it. See the difference there? The lesson that I learned from all of this is that if we can live within our means, we can invest now and enjoy later.
LEO and HIVE are basically "On Sale" right now. This is an excellent time to put off getting that shiny new thing and stock up on some value crypto, RIGHT NOW. I don't have any extra funds at the moment, but I will soon and plan to dive on in and build for the future. When I have no money, it's usually when the price is down. The moment funds come in, the price shoots up! lol! Someday I'll hit the cycle just right.
However, it's interesting when a person shows up in your life, and drops some crucial wisdom before departing. The lesson of seeing my manager spend himself into financial oblivion, was something I'll never forget. He was my mentor for only a short while, but gave me lessons that will last a lifetime. Have you ever had someone like that in your life?
Thank You So Much!
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That was a nice read, thanks for sharing your learning from your experience. Indeed Net Disposable Income of an individual should always be = Earnings - Savings. Best Wishes & Keep Hiving.
Exactly, pay yourself first. Otherwise, you will always consume and never begin the process of building wealth.
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Experience they say is the best teacher,you surely learnt so much things via your personal experience,thanks for the writeup
It's sad that that manager could give me wisdom, but could never stop spending himself. I just wish he'd been able to put into action, the lessons he was teaching me.
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Yeah i understand your point @evernoticethat
Well I think my childhood with little to no allowance gave me that mindset. It wasn't like I had a bunch so I was kind of frugal when it came to what I used it for. So yes money is important but if you don't think before you spend, it would be tough to get ahead in life.
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