Posted on 12/29/2007 5:48:14 AM PST by Oshkalaboomboom
” How to Overcome a Crap Job, Stingy Parents and a Useless Degree to Become a Millionaire Before (Or After) Turning 30.”
......”stingy parents”......oh brother!....like his parents didn’t give him everything he wanted; when he wanted.....sounds like they did him a favor.....made him get off his butt and start doing for himself.
I know a lot of them as well. People where both spouse earn $100K yet they are continually struggling keep their heads above water. Season tickets to Hurricanes, 4 wheelers for when he goes deer hunting. Hunting and fishing trips all over. New cars and pickups every couple years. Tons of gadgets. Got suckered into a $35,000 time share and now travel all over the place.
Its tough to watch sometimes.
In 1955 if you had a million you were a real millionaire. Compare what 1 million would have bought you in 1955 to a million today. $12,000 bought you a house, $1500 bought you a car. Milk was 18 cents a quart, bread 11 cents a loaf, sodas and candy bars were 5 cents. I’m suppose to be impressed that he is a millionaire today?
“Wow, there are a lot of envious people on this thread. Hey, the kid’s got a house worth over a million and only owes $300K. He’s living frugally — not spending the equity — and you say he could be financially ruined?
Sounds like a hard-working and pretty interesting guy. Wish I’d been more like him.”
Very much agree...
Some have trouble knowing the difference between "wants" and "needs". I suspect most regulars on FreeRepublic has learned this lesson. It is better to learn it while you are young then older, but the road to financial security begins the day you learn it.
He is much too extreme for my taste so I will never be "wealthy" like he is but I will be content to be "comfortable".
Although I see your point if he owns a house in New York city the chances of it losing value is pretty slim.
Graduated college with $10,000 in the bank. At 28, he has $200,000+ in stocks, 30K equity in a bar, 700K equity in a house and over 2K a month profit in rental income...except for the subsidized housing part, I’d say this guy has done something right, financially.
I agree. Thrift and savings is what we want to teach our children. If they can exercise self-restraint, they will have the resources to take advantage of the opportunities life grants them.
When I first started out, I lived pretty frugally. I never bought into all the stuff other people were telling me I could afford. Then when it came time to buy a house, I had a big chunk of change to put down on it. The rest is history.
I favored the “Big Shovel/Little Shovel” approach to financial management when I was young. You put the money into the bank with the Big Shovel and you take it out with a Little Shovel. That way you always have money in the bank. This worked for a long time, when I did not have much finances to manage.
It becomes clear pretty early on that you want your Big Shovel to be as big as possible. If I had to fault this kid for one thing, it would be that he has not maximized his earned income. Earned income is the firm foundation, because it is something you have created yourself, that nobody can take from you.
The other thing this guy did right is he (apparently) made a list of his goals. That may not seem like a big deal, but it is something most people don’t bother to do. I have found that having a list of things to accomplish is a huge asset in actually making those things happen. I can’t prove it, but I think keeping things are your mental radar screen helps you work toward it (both consciously and subconsciously) and stay directed.
Except the government.
I know many tightfisted people.
We always make sure NOT to call them to attend social gatherings, golf trips and sporting events.
Losers all.
They get their cut up front. I consider earned money to be the money I get to keep. The rest of that money is the protection money I pay the racket in order to be allowed to work.
Oh, and this guy should have a plan to give away some of this money, too. Everybody should have a charitable giving plan, and pay that bill first.
Don’t balance your checkbook. You’ll err on the conservative side and periodically move the excess to savings.
Keeping a budget and keeping track of your goals is key. I also set savings goals in my budget, which I almost always exceed. I have made a lot of $$ in real estate, but have paid for it with sleepless nights.
I wonder if he pays his taxes?
"There is the legitimate and moral way to work your way up and use thrift to do it...and then there is this dirtbag."
This kid is just a fast learner. There's nothing in the world more important than having money, lots of it, and letting those close to you know about it so they can learn from your example. If more people were like this kid the world would be a better place. That's one of the things that's wrong with this generation; they haven't learned to work or to invest.
/s FIL rant.
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