Mar 25 2009
Try to save your raises and bonuses
Another way of phrasing this recommendation is “try to spend the same amount of total dollars each year.” If you can put an upper limit on your expenses you have the opportunity to become wealthy very rapidly. It just takes some effort, discipline, and creativity.
We all love our toys, but do you really need to buy more simply because you make more? And although prices of some items rise over time, others become less expensive. It wasn’t long ago we were paying thousands of dollars for a 100 Meg (not Gig) hard drive. Now I have trouble finding internal hard drives smaller that 200 gig (not meg).
Cap your spending for a few years and save your raises, bonuses, stimulus checks, and inheritance checks. Even if you do this for three years you’ll be steadily saving money every single month for life (meaning you could start spending future raises but continue to save your past 3-years raises each and every year).
