Friday Quote

“The best things in life are free,
the second best are really expensive.”

CoCo Chanel

A full cabin is better than an empty castle

The bigger the house, the bigger the monthly mortgage payment. The newer the cars , the more likely they are leased or charge for many years. No worker is immune to termination in a bad economy. The more they owe the harder they fall. A full cabin is better than an empty castle source: Get Rich Slow, Tara McAleese, CFP

I remember when I went to my in laws house a couple of years back. They gave a barbecue. They have a $600,000 home. I never been inside of a house that expensive, so I was anxious to see the inside. The house was immaculate outside. However upon stepping inside, it looked like the inside of an $100,000 house. The furniture did not fit the house and two rooms (on the lower level) was empty. The furniture they had in the den look like furniture from a 1 bedroom apt.

I didn't understand. I was totally turned off. When you buy a house (or sign up for a house payment) that huge, have decent furniture to match. I said to myself maybe they just moved in, therefore they have not finished buying furniture, but that was not the case.

A full cabin is better than an empty castle

I like my full cabin!!

Have whatever you want, over time, using a budget

Debt isn't a tool. It's a product that is being marketed to the middle class and the poor as a way for them to feel like they are rich without having to go through the hard work of saving and investing like most rich people do [dr]

So I guess Dave, everyone has to get things the slow way.

This is kind of a devil's advocate/rant post.


The problem is that people love using (imaginary) money, If you run out of money, borrow some more!!!!

I know people that had the best time of their lives on CREDIT. Weddings, honeymoons, parties and Vegas excursions and so on.

DEBT only affects people that take it seriously.

I know a guy that has filed BK twice and have a house. Not sure how long he will own the home ( I'm positive he got a sub prime mortgage) but, the main thing he has what most working class people own without following the rules:

Live on a budget
save money
fund your retirement

The problem is that this culture makes it easy to get what you want without the sacrifice. Yeah, you'll be in debt but YOU HAVE WHAT YOU WANT.

There's no real punishment.


What is the difference between two people having fun in HAWAII, one financed the whole trip (loans or credit cards) the other paid cash.

They both accomplished their goal.

"....without having to go through the hard work of saving and investing like most rich people do"

But Dave, what if you don't want to be rich? some people just want what they want and the debt doesn't matter, as long as they reached their goal!!!!!!!!!! LOL


I do agree with Dave Ramsey quote about credit cards. Because very few people that carry a credit card balance actually have the funds in their bank account to pay it off.

Do you know anyone in debt but still getting what they want? of course you do.

The New ETF for Africa

Van Eck Global is offering a new frontier market exchange traded fund called the Market Vectors Africa Index ETF.


The AFK is unique in that it follows the Dow Jones Africa Titans 50 Index, covering 50 stocks from 11 different African markets, including

Nigeria (32.5% weight total, 25.2% onshore, 7.3% offshore),

South Africa (26.2% total, 24.7% onshore, 1.5% offshore),

Egypt (13.1%), Morocco (11.4%),

Equatorial Guinea (6.2% offshore),

Zambia (3.4% offshore),

Angola (2% offshore), Mali (1.7% offshore),

DR Congo (1.5% offshore),

Kenya (1.2%),

and Ghana (0.7% offshore).

The ETF is traded under the symbol AFK.

It's harder for people with high-paying jobs to live frugally

Yeah I said it.



I can say I had less debt when I had a lower paying job, actually it was easier for me to live on a budget.

Now I find it harder to live frugally.

I just find it harder for someone making $100,000 a year to live frugally than someone making $30,000.

When you make $30K a year, you're likely to have a 1 bedroom apt. When you make $100K, you're likely to have a mortgage, nicer furniture and more toys.

As your income increased, did your debt also increased?

Share your thoughts? Is it harder for people with high paying jobs to live frugally?

More money doesn't make problems go away,
it just makes your problems more expensive

-Michelle Singletary

Splurging Is Good for Your Health

Buying overpriced indulgences may feel good in the short term, but you pay the price later. Or at least that’s the conventional wisdom.

But a study by a couple of business-school professors says splurging now makes you happier later. Even more surprising: Not splurging now gives you pangs of regret later.


One of their studies polled college students and alumni on the subject of spring breaks. Regret about not having spent more money or traveling during breaks increased with time, whereas regret about not having worked, studied, or saved money during breaks decreased with time.

The authors write: “We saw a similar pattern in a study of how businesspeople perceived past choices between work and pleasure. Over time, those who had indulged felt less and less guilty about their choices, whereas those who had been dutiful experienced a growing sense of having missed out on the pleasures of life.” (As the old saying goes, nobody dies saying “I wish I’d spent more time at the office.”)[wsj]

What are your thoughts? Do you agree?

I think you must have a career as well as fun in your life. People that goof off and not enroll in college and expect a well paying job in return will not always be rewarded with one.

I studied in college because I knew later it will pay off. But, I actually had the best times of my life in college as well.

I think you must balance everything. I have talked to some past colleagues that was super smart in school but never had fun, and it's true, they tell me they missed out of being spontaneous and having fun. Yes, you must have goals in life, just don't have a one track mind, balance it with a little fun along the way.

All work and no play is not healthy!!


This is not about finances, this is simply about the pleasures of life.

I don't think the study meant for you to go out and buy a Mercedes, I just think it meant when little events come up, you don't have to pass up each and every one of them!

Friday Quote

You are not wealthy because you sport a large house and a large mortgage. You are wealthy when you have money.

Tara McAleese, CFP