Welcome to 2017 everyone!! Hope everyone had a great break. It’s been a while since I posted. Things have been hectic and I had to move across the country (again) for a permanent position with my current company. Lots has happened to my life that everyone could learn from, which I will incorporate all of the juicy details into my posts. One thing that I will let my readers know is that I received a promotion! It came with a big fat (fattest raise I’ve ever seen) raise, which I am not complaining about at all.
Can you believe it’s already December?! I don’t want a lot for Christmas. There’s just one thing I need. I need to know how I’ve done this year! It’s the season for celebrating with family, drinking a little eggnog, and for going over how I did financially. I’ve been working at my job for 5 months now, longer than any employer I’ve ever worked for (full-time, at least). With the 40 hours a week that I invest in my employer, I want to see some returns and have something to show for it. I want it to contribute to the thousand mile journey of becoming a millionaire. .
Saving money is more impactful to reaching the millionaire status than making more money. Therefore, why not save more? Saving money meaningfully changed my life for the better. It wasn’t always easy to save but I’ve made it a habit of doing it. I take 5 seconds of reflection before making EVERY purchase to make sure I’m spending money on things that add value to me. These 5 seconds have made a lifetime of difference for me. It’s made it easier for me to save ten dollars when I’m making a purchase.
The United States has a wealth inequality problem. It’s not a secret. Wealth inequality exists because of the way capitalism is designed to be. In economic theory, employers will never hire if the employee costs more than he or she benefits the company. If the person generates 5 units of value (arbitrary number) then the employer will only pay at most 4 units of wages. When there’s a huge disconnect between those values, an employee either has leverage to negotiate a higher pay or will get fired. The bottom line is that the employer HAS to benefit.
I’ve detailed in an earlier post how I’m building net worth, but losing cash every month. This is a result of me putting a lot of my savings into my 401k. The problem with it is that 401k’s are illiquid. I don’t even know if I should even factor in 100% value of my 401k into my net worth because of the immediate 10% penalty that comes with it. Maybe I should value it at a 10% discount until I’m 59.5. I don’t know. Anyways, the high amounts I’m putting into my 401k is creating a cash crunch problem. Meaning that unless I can come up with a solution in the next month, I will have to rely on paying credit card interest (gasp!).
Thanksgiving has come and gone (at least, if you’re living in the United States). After every Thanksgiving holiday, we seem to have less money than when the holiday started. Spending time with family and friends is a wonderful time. Now it’s time to see how you did financially and whether you’ve done better than the average family in the U.S.
Everybody has an invisible employee. Some seem to have more invisible employees than others, but the great thing is, everyone has them. This particular employee doesn’t have any feelings to consider for, will never complain, and you legally control it like a slave. What employee am I talking about? Time.
It could happen. You could suddenly win the lottery, win over-the-top health insurance money, or any of the other things that could give you a pile of money. I potentially could be put in that situation where I come out $50,000 richer.
As I mentioned in my last post, I’ve traveled from Alabama back to my home state of Texas. With that travel came with 10 hours driving on the highway. I’ve noticed a few peculiarities during my road trip that is very transferable to personal finance and getting ahead in life.
First, I want to apologize. I haven’t had enough free time to devote to blogging this past week because I moved from Alabama back to the good old state of Texas. I’m almost settled in to the new city so I will have time to up my time to blogging more. I will never quit or stop blogging so do not worry about that! A lot of things happened in the past week (ahem, Trump) and I have a few opinions about Trump’s rise to presidency.