Thursday, November 9, 2006

Attention New Grads!

Saving money is one of the cornerstones of personal finance. According to Liz Pulliam Weston from MSN Money, one way to save is to, "live cheaply as long as you can." Says Weston:

"Newly-minted adults tend to overestimate how far their paychecks will go and blow too much on apartments, cars, wardrobes, eating out and all the other trappings of grown-up life. A smarter approach: keep living like a broke college student for a few more years. You'll get a better handle on what you can really afford and be able to free up more money for real adult goals, like retirement and health insurance."

I theory. But you're a year too late Liz! With one hand, I am alloting 50% of my paycheck to Automatic Savings; meanwhile, the other is whipping out the Mastercard to charge my "perfect[ly expensive] bag" where, one year ago, I would have simply sighed, averted my eyes, and moved on.

It's a marathon where the saving-me is neck-to-neck with the me suffering from the I-want's. And the saving-me doesn't always win. (I blame the "trappings of grown-up life.") But as long as I continue to save systematically, I just tell myself that I deserve a small reward every now and then to satisfy the occasional itch of the I-want's.

...And I believe it too.


GolbGuru said...

Well with 50% plus going into savings, you could do what you want with the rest..:)

WH said...

Thanks for the encouragement. With only a starter salary, it always seems as though I should be socking away 50%+...except I like eating too much! =)