Just some fun statistics about changes to my driving habits as a result of dating. I personally manage my finances, so I have built nice little spreadsheets and visual depictions over the year, so these were already available to me. I’m not pointing fingers or putting blame, I just found the statistics interesting and thought some of you might like a laugh 😛
As you can tell, the high cost of gas clearly reflects upon these figures. Bebe only has affected me (so far) 150 KM of additional mileage, compared to figures of the previous year when I wasn’t dating her regularly 😀 Although it is only a mere 150KM of difference, if you look at the COST of the gas, that’s $141 difference between the two years (and only 27 litres of gas!!!!) when I’ve driven only a 150KM surplus. My statistics are based off my every record of gas and odometer display and also these figures are derived only for usage from Jan-Apr of 2010 and 2011.
Anyways, just something mid-week for me to post, my eyes rolled at the price difference despite how little “extra” I’ve driven. I mean, obviously this doesn’t account for increase/decrease in personal driving or for work, so that would of course affect these numbers, but it’s cool to see that from my “normal driving habits” – that bebe’s impact on my gas bills have not been much 😆
Anyways, this was all just for fun tidbit and I’m not complaining or anything, psh!
This entry is definitely not “on-topic” of my blog theme, but after reading it, I really thought it was worthy of being posted. Please note that everything between the quotes have been dumped directly from the news article and I take no credit for the contents. A lot of the times, I consider my financial situation. I ask myself, am I making enough? Am I saving enough? Am I reducing my quality-of-life by being too frugal? If I spend more, does that equate to my happiness? Am I spending on the right things? Do I think too much before I spend? Do I have money for a rainy day? Am I truly keeping reliable spending records? Am I overestimating how much I really have available to use?
I’m sure I’m not the only person who thinks of these things on a regular basis. Suffice too say, I am not in a situation where I must watch every penny that goes out, but certainly, it is a wise thing to be wary of where a person spends their money. Unlike one point in my life, I know that earning money is quite difficult. Maybe for some, you can sit on your ass and money is being earned every second, but that is not the case for me. Every dollar I earn is from sweat, blood and tears (metaphorically).
Feel free to check out the original entry on MSN.CA by clicking on the link which I embedded into the title of the article below. This is amazing… I really wish I could live a comfortable lifestyle and only spend that much! Imagine how much money I could put away every year – sheesh. Right now, I’m pretty content with living within my means, but I always want to strive and become more efficient. After all, there’s always space for improvement!
By Liz Pulliam Weston, June 16, 2010
Meet three people who live on that amount (or much less) while following their dreams. They’re thrifty, sure, but also content.
The term “low-income” is usually a synonym for “poor.” But I just interviewed three people who wouldn’t use that word to describe themselves, even though they live on $18,000 a year or less — in two of the cases, much less — without going into debt.
Their ages are 25, 44 and 60. They’re all college-educated and have chosen to live frugally so they can pursue their own interests.
Their stories are relevant for a couple of reasons. First, they show what’s possible when you let go of consumerism and the hamster wheel of spending too much and then having to work to pay off your debts.
Second, their thrifty habits offer lessons on how you may wind up having to live if you don’t get cracking on building up your retirement savings. That figure, $18,000, is about what you’d get over a year if one were to draw average U.S. Social Security benefits (now about $1,200 a month) and tapped 4% of a $100,000 nest egg.
(Four percent is usually considered a “sustainable” withdrawal rate, meaning you’re unlikely to run out of money before you die. The $100,000 nest egg at retirement age may be a stretch for some; Employee Benefit Research Institute surveys indicate half of all U.S. workers have less than $25,000 saved (.pdf file).)
Here’s who these three frugal folks are:
Tyler Tervooren, 25. Until recently, Tervooren earned $56,000 a year as a construction manager. But he lives so thriftily in Portland, Ore. — his expenses are about $14,000 a year — that he was able to save the bulk of his salary. He’s now enrolled in a state program that allows people to collect unemployment benefits while they launch their own businesses — in Tervooren’s case, a blog called Advanced Riskology that encourages people to take more risks in their lives.
“Since I earned so much but spent so little, the amount of unemployment insurance I get covers all of my living expenses and actually allows me to still save a little bit,” Tervooren explained. “My savings cushion can support me for almost four years — (even) until I’m 30, if I need it to — before I have to start earning money again.”
Nancy Tudor, 44. Tudor earns about $10,000 a year from two part-time jobs, and she says it’s enough to meet her needs. She’s earned more in the past — she recently returned from a job teaching Renaissance history in London that paid about $30,000 a year — but prefers her simpler life in Albuquerque, N.M.
“I had the apartment overlooking the Thames and the flat-screen TV. It just felt really empty,” Tudor said. “I decided to come home to the desert and be a lot simpler.”
Carol Holst, 60. Once upon a time, Holst was married to a corporate executive and raising two daughters in Beverly Hills, Calif. When the marriage ended two decades ago, she turned down the court-ordered alimony, figuring she didn’t need the money but that he did.
“It would have reduced his lifestyle and wouldn’t have changed mine,” Holst said. “I’d still be living in a one-bedroom apartment in Glendale, and he’d be cursing me.”
Holst said she’s figured out how much is “enough” and lives happily on the $18,000 she nets from her part-time job as an office administrator. She enjoys the work but really likes the time it allows for her true passion, which is sharing what she’s learned about voluntarily simplicity. From the bedroom of her apartment, Holst runs the website Postconsumers.com, which promotes the idea that you don’t have to buy to be happy.
All three credit their parents for helping to instil the ideals of thrift and careful money management. Tudor also remembers grandparents who talked about the Great Depression and a prevailing ethic “that if you wanted something, you saved up for it.”
That includes education. Tervooren attended an in-state university with inexpensive tuition for residents, and he worked several jobs to pay for it. Tudor got a master’s degree on a scholarship that included student housing and a $1,000-a-month stipend, which was enough to cover her expenses and those of her now-grown daughter.
Tudor asked the girl, who was 6 at the time, to identify what was most important to her, explaining that they didn’t have money to buy everything they wanted.
“She wanted money to buy books . . . and to take dance lessons,” Tudor remembers. So Tudor carefully budgeted money to cover those expenses. Tudor believes that explaining their financial situation and soliciting her daughter’s input staved off demands for more stuff.
“She understood,” Tudor says. “It wasn’t ‘I want, I want, I want’ all the time.”
The three have other things in common that allow them to live, and save, on tiny incomes:
Cheap housing. Holst has a one-bedroom apartment in downtown Glendale, Calif., that costs her $780 a month. Tervooren shares a four-bedroom home with his girlfriend and four friends, splitting the $1,200 rent six ways. Tudor rents a room in a retired couple’s home, sharing the upstairs bathroom with another tenant, for $400 a month including WiFi and utilities.
By contrast, the typical single person spends $1,074 a month on housing, while couples spend an average $1,521 and families with kids spend $1,947, according to the latest Consumer Expenditure Survey of the federal Bureau of Labor Statistics.
Renting is often a lot cheaper than owing, and sharing a home with other people can lower your costs still further. Homeownership is tough to pull off on a low income unless your mortgage is equally tiny or paid off. You also would need to be protected from big property-tax increases, either because home values don’t grow much in your area or because such taxes are capped, as they are in California. Even then, you have to find a way to pay for repairs and maintenance, which can total thousands of dollars a year.
Cheap transportation. Holst owns an 8-year-old, paid-for Prius that costs her about $1,500 a year, including insurance, maintenance and fuel. Tervooren has a 20-year-old pickup that he’s learned to maintain and repair himself, but he says he usually walks or bikes wherever he needs to go, spending less than $1,200 a year on transportation. Tudor doesn’t own a car and instead uses Albuquerque’s bus system.
By comparison, the typical American household spends $8,604 a year to finance, fuel, repair, maintain and insure a car or cars, according to the Consumer Expenditure Survey.
Cheap thrills. The three keep a handle on the other costs that tend to bust the budget, including clothing, technology and food. Clothes come from thrift stores, and all three cut their own hair. Holst has broadband Internet access and cable TV but no cell phone. Tervooren does without television.
“I make a hobby out of finding hobbies that I can do for free,” Tervooren said. That keeps him “from having any need for the distraction of a TV and its expensive cable service.”
Eating out is not a big part of the budget for the two women. Holst budgets $30 a week for food. Tudor spends even less — $99 a month — deducting the costs of dinners out from the total so she knows how much she has left to spend.
Tervooren’s spending on food — about $350 a month — is closer to the U.S. average spent by single people. He and his girlfriend take advantage of local theatre pubs that offer drinks, dinner and a movie for a reasonable price.
“I don’t try to cut a lot of costs on food,” Tervooren said. “I like it too much.”
The trio diverge in how they handle another budget buster for many U.S. households: health care.
Holst has health insurance through her part-time job but doesn’t have dental insurance; she budgets $1,000 a year for dental care. Tudor is lucky enough to live next to a teaching university, which offers dramatically discounted health care to low-income residents.
“A visit to the doctor costs $5. A visit to the emergency room costs $25,” Tudor said.
Tervooren had health insurance at his job, but now goes bare and hopes he doesn’t get sick. It’s a risky choice, because one accident or illness could result in crippling bills.
You may not want to live like these folks, but you could still learn a few things from them. Such as:
* You’ve got to know where the money is going. All three know exactly how much they spend on housing, utilities, transportation, food — you name it. Their money doesn’t slip through their fingers but instead is carefully and consciously deployed. Tracking what you spend is a great way to become conscious about your money and whether your spending reflects what you really want most from life.
* A lot of the costs we think of as “fixed” really aren’t. If you want to improve your finances in the long run and save more for retirement, then consider reducing big expenses like housing and transportation.
* Debt can be a trap. A moderate amount of home or student loan debt can help you get ahead, but those who want to live on less tout the importance of being debt-free so they’re not shackled to payments. At the very least, you should be getting rid of your toxic debt, such as credit card balances, because they erode your financial well-being.
* A lot depends on your attitude. I emerged from these interviews with a big smile on my face. These three people were so delighted with their lives — and excited about the future — that it was positively contagious. I don’t think I’ll ever live on as little as they do, but knowing how happily they do so makes the prospect of living on a shoestring a lot less scary.