I should know because that was me. I proudly lived within my means the majority of my adult life. Investing initially intimidated me, but by my late twenties, I had a 401k, a ROTH IRA and was even awarded some super cool stock options at work for a job well done. Clearly, I was one financially savvy gal who knew where she was going and was making smart choices with her money.
Except I wasn’t. Far from it, in fact.
I got caught up in the belief that if you lived within your means, then everything was fine. To an extent, there is some truth to that belief. Living within or below your means is certainly better than living beyond your means. But just because you live within your means doesn’t mean that you are making good choices with your money either.
Continue reading at Vosa.
Hi Tanya
What a thought provoking post. Many people spend their whole life by living within their means and at the end of their life they just have to look at social security.
No doubt it is good to live within your resources but spending all on consumption is not wise move in any way. It is the rule of economics if you earn $100 you must spend $66 on your needs and save the rest. But don’t save just for the sake of saving but do invest it in a safe option as you pointed out in this post. Once you start investing then your income will rise and you can increase your consumption expenses.
Thanks for sharing this wonderful post that’s really an eye opener for those who proudly claim they are living within their resources but saving nothing.
Great topic, thanks for sharing! I’m heading off to Vosa to read the rest now!