Money, Finances, and Debt – Supporting an Aspiring Doctor

I’m sure that others can relate when I say that the holiday season causes the urge to give (and spend money). People want to give their time, money and goods to help others so that we can all have a wonderful holiday season. Lots of people like to give, but it can be difficult depending on their financial situation.

I have found that “my heart is bigger than my wallet“ on many occasions. There are people in my life that I want to give to, but I can’t afford to do so on the intended level. That being said, it doesn’t stop me from giving what I can to those around me in my life.

The Bottomless Wallet

The “bottomless wallet” has the power of mind control. It calls to the owner, taunting them to open it. Soon after being coaxed, they are put in a trance that blinds them from sound thinking and judgement. The bottomless wallet has the power to take us down before realizing what we have done.

This is obviously a bit of humor, but it is how it feels sometimes. When I get out my wallet, there are times that I feel I should make a purchase. Sometimes I lose sight of exactly what I should be buying for, and the kind of items that I am purchasing. We have lots of influences in our lives swaying us to buy products and it can be hard to keep our cards and cash in our pocket.

Every year around the holidays the amount of purchases seems to climb. I tend to make some larger purchases while I hope to get a good deal. I rediscover the influence that the items for sale have on my life. It’s not something that we tend to notice, but we get attached to a certain lifestyle or particular item in our life.

A Christmas Budget Struggle

Every year I set a budget and make the attempt to stick to it for gifts. Since I started making the goal for myself, about 6 years, I have not once kept myself from overspending. There are just too many things for sale during the holiday season that seem to catch my eye. There are gifts available for my wife, our parents (my wife’s and mine) and my siblings. It can be hard not to buy things, especially when the items seem to be the “perfect gift”.

Though my bank account has a limit, my wallet seems to be bottomless. When making purchases I can just swipe and swipe and swipe without any obstacles in my way. This is especially relevant when the expenditures are charged to a credit card, instead of my debit card. I’m sure that you have had some of the same situations in your life. It can be hard not to spend money, especially when we can see that our bank account has a balance.

This is exactly what is intended for consumers and it can be hard not to fall into the trap. Items go “on sale” bringing people into stores giving them the sense that they are getting a deal on goods. It can be difficult to hold back from spending, but it can be the difference between hitting your budget or overspending. With the growing amount of online retailing in the United States, I have found it easier to stick to a budget. Once I get my little grubby paws on something tangible, it can be much harder to put it back on the shelf.

The Broken Budget

In order to hit my set goal for spending I have often asked myself a few questions:

Is my budget too small?
Should my budget be larger?
Do I need more self control?

For the most part I lean toward having a lack of self control. It is really hard to get gifts for our families and friends without going over budget. Even when setting a dollar limit, it’s hard to choose how much to spend the money. It doesn’t matter what I set my limit to be, I will usually go over. I’m sure that others are in the same boat, and it can be frustrating from the standpoint of our personal finances.

It’s not that I don’t think that the recipients of my gifts deserve less, but there are times where I can’t afford the gift that might be “perfect” for them. This is something that I have to accept when considering how much to spend on others and overall during the holiday season. I have not figured out exactly how much to spend during the holidays and probably won’t find a perfect number.

I have found that being generous with others shouldn’t (or can’t) be measured. I don’t think that we can look at two people and measure how generous they are and pick who is a better person. The amount of money that we spend during the holidays in not indicative of how much we love those around us. There is much more to our relationships with others than a price tag. We may not have to spend a lot on those around us, but I think there are times that warrant larger transactions. I tend to lean toward the idea of larger transactions being necessary to help someone fulfill their needs, not wants.

Final Thought

The main focus of this post is to be proactive and generous with others. We should try to put others before ourselves, though it is a hard task. This doesn’t mean that we shouldn’t care for ourselves (that is the wrong idea) but we aim our sights on helping others first. I have failed many times, and often, at putting others before myself. Trying again each year with a consistent record of falling short. Maintaining outward focus is hard, especially when we have wants of our own.

Would you think I’m crazy if I told you that you could eat steak 2 times per day, and it would be cheaper than fast food? Well I guess I am a little crazy, but it’s true. When compared to a meal from fast food chains, you CAN eat cheaper and better at your own home. It just takes a little time and planning.

Fast Food. I know for me when I stop in at a fast food chain I prefer to order a meal and not off the dollar menu. The quality of the food is much better, but the meals end up costing upwards of $8. I would say that $10 is a good estimate on how much a meal would cost for myself. Now, let’s compare that to cooking at home.

If we estimate that an average person eating out everyday for 3 meals would spend between $10 per meal, that’s about $10,950 per year ($210.50/week)! A huge chunk of change.

Now, if that same person were to go out for 2 meals per day (instead of 3) and cooked their 3rd meal at home every day for $5, they would spend about $9,125 per year ($175.50/week).

If a person were to eat breakfast at home, go out for lunch, and eat dinner at home every day ($5/meal), they would spend about $7,300/year ($140.50/week). Still an astonishing amount of money.

If the same person were to make all of their meals at home ($5/meal) and go out 1 time per week, they would spend about $5,735/year ($110.50/week).

Something interesting is my wife and I BOTH eat for under $110 per week with going out together 1 time.

Eating at home. Another way to look at this is if a person were to spend an average of $10 per meal eating at home, they could be eating shrimp and steak at nearly every meal. Shrimp usually runs between $5-$10/lb, and a steak like NY Strip is around $8/lb. Even a high quality fillet minion is around $20/lb and can be divided into four 4oz steaks, making each steak about $5 before cooking. The experience is dependent on learning how to cook properly, but most of the basics of cooking are not hard. It just takes practice.

Now, I understand that a person may not have very much time for making meals everyday, so I suggest making meals for the next day or two. If a person has time at lunch on a Monday, make food for Tuesday and Wednesday. Depending on what food item is being made, it will still be good on Tuesday or Wednesday. There are some other meals that can be prepared in a slow cooker, but I enjoy the freshness of food being baked or cooked off the stove. Proper warming of food that has been cooked earlier in the week is also crucial for the experience. If I am warming something like steak, or another food that wouldn’t fair well in a microwave, I will warm it in the oven. The oven doesn’t boil the fat and water out of food cooking it more, and it’s easier to control when it’s warm enough.

I get that eating steak only would probably not be the healthiest for your body. It might be a little bit rough on your digestive tract as well if there is nothing but fat and protein. What I am trying to show is that we can buy ingredients and spend a little bit of time cooking, and save quite a bit of money. My wife and I try to buy items like vegetables, fruit, cereal, and dairy products on our weekly budget in addition to different meats. Keeping our budget fairly low it’s down on the purchase of nonessential items, and makes it possible for us to be spontaneous at times. We have room in our budget to go out with friends if we want without going over budget. We can buy new clothes, tools, or swing through somewhere for dessert without having to worry about our budget.

Tips for the reader.

Set up a budget. Figure out how much you would like to be able to spend on nonessential items and savings, and work your food budget around it.

Practice patience. With how American culture is based on “GO, GO, GO“ it can be difficult to take the time to cook your own meals. Be patient and make time to cook. This is also great time to spend with your spouse.

Keep it as cheap as possible. We like to travel and as you may know, it’s expensive. If you can keep your variable costs down, you will have more room in your budget for traveling and fun activities.

Do what you can afford. You may be able to eat out at every meal (I don’t know your budget), but I find it best to keep it reasonable and make sure that I can meet my other life goals.

Buy in bulk. Bulk pricing will get you a better deal most of the time. Purchase in larger quantities and store (freeze what can be) and use it later.

Category: Money, Finances, and Debt

The Brazen Rediscovery of the Bottomless Wallet

The Bottomless Wallet

A Christmas Budget Struggle

The Broken Budget

Final Thought

Eat Steak, Not Fast Food