evearael said:
It is upsetting to see so many of my peers living wildly above their means. Some have ended up in their predicament through unfortunate events and others are spending money frivolously far quicker than they make it. I thought it would be good to brainstorm to find ways to help more people become financially stable. Here are some questions to get started. Feel free to elaborate as much as you wish.
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Do you live within your means, at your means or above your means?
Within (probably too much within).
Whe we first got married, my wife was the one who was thrifty (having had to organise her parent's finances from the age of 12).
I, working for a bank, was just above the average salary level(although we did have a small 'perk' of having cheaper mortgages). We never went out, I used to brew our own wine (some of it was drinkable; I also had a go at beer which was awful - it was so bad I tipped it all out over a rose bush - that bush was the best one in our garden from then on!)
In ever bought new clothes (except for underwear); we had hand-me-downs from my parents, and I bought all my work suits from charity shops. When I retired, I paid off the mortgage on the house (by then the interest rate the bBank was charging me was above that for ordinary customers).
The trouble is, that having lived so thriftfully for so many years, it is difficult to change. We only go the see a movie when we get free preview tickets, and fingd it hard to spoil ourselves.
Maybe we should start 'SKI-ing' ) (Spending Kid's inheritance); but at least we know that if they have trouble buying a house, we can help then (as we helped them with their living expenses while both were at UNI). We don't actually spend our income - even with me being retired.
What circumstances prevent someone from living within their means?
I blame a lot of this on schools; schools are there to teach the teenagers on what adult life is all about - and, I think, far more should be done to tech them how to budget, and to learn to save before buying. The only thing we have ever borrowed for was the house. Everything else was always out of savings.
I guess the media is also responsible; whenever I see the permanent adverts for loan consolidation, and "why wait, buy it now, pay leter" certainly don't help - people even borrow to go on lavish holidays.
Are there resources or organizations that can help someone in their position?
Here, we have 'The citizen's advice Bureau' to whom most people turn for advice - but that is when they are already deep in trouble; the impetus must come from the schhols. (No point in asking parents to deal with it, for one, they probably don't know how to manager their own money, and kids are notoriously good at doing the exact opposite from what they are told).
What circumstances enable someone to live within their means?
Common sense, an ability to budget, and a refusal to pander to the "buy, buy, buy" advertising on television, and the ability to live thriftfully.
