Comments on: what if saving was stupid http://www.bripblap.com/what-if-saving-was-stupid/ thoughtful personal finance, career and health advice Sun, 05 Feb 2012 07:46:58 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Shane http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-29686 Shane Tue, 07 Apr 2009 20:28:26 +0000 http://www.bripblap.com/?p=886#comment-29686 Good point, you can work around this though by saving money up, and every half year, take a large chunk to apply to the principle. That way you will always have the emergency money, and still be paying down.<br><br>But honestly, you shouldn't be paying down your house anyway unless you have a well established emergency fund.<br><br>When I think of saving money, I don't think about how much I'm going to make off it, I think about being financially prepared for the unexpected. Investing is where you make the money and should be concerned about earning more than the rate of inflation. Good point, you can work around this though by saving money up, and every half year, take a large chunk to apply to the principle. That way you will always have the emergency money, and still be paying down.

But honestly, you shouldn't be paying down your house anyway unless you have a well established emergency fund.

When I think of saving money, I don't think about how much I'm going to make off it, I think about being financially prepared for the unexpected. Investing is where you make the money and should be concerned about earning more than the rate of inflation.

]]> By: Shane http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-27644 Shane Tue, 07 Apr 2009 13:28:26 +0000 http://www.bripblap.com/?p=886#comment-27644 Good point, you can work around this though by saving money up, and every half year, take a large chunk to apply to the principle. That way you will always have the emergency money, and still be paying down.<br><br>But honestly, you shouldn't be paying down your house anyway unless you have a well established emergency fund.<br><br>When I think of saving money, I don't think about how much I'm going to make off it, I think about being financially prepared for the unexpected. Investing is where you make the money and should be concerned about earning more than the rate of inflation. Good point, you can work around this though by saving money up, and every half year, take a large chunk to apply to the principle. That way you will always have the emergency money, and still be paying down.

But honestly, you shouldn't be paying down your house anyway unless you have a well established emergency fund.

When I think of saving money, I don't think about how much I'm going to make off it, I think about being financially prepared for the unexpected. Investing is where you make the money and should be concerned about earning more than the rate of inflation.

]]> By: Should I Pay Off My Mortgage? | Frugal Dad http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-27298 Should I Pay Off My Mortgage? | Frugal Dad Tue, 24 Feb 2009 11:01:18 +0000 http://www.bripblap.com/?p=886#comment-27298 [...] is basically what Steve was alluding to in a post that caught my eye some time ago, “What If Saving Was Stupid?” One of the more profound statements was that “money in the market isn’t saved - [...] [...] is basically what Steve was alluding to in a post that caught my eye some time ago, “What If Saving Was Stupid?” One of the more profound statements was that “money in the market isn’t saved – [...]

]]> By: streammx http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26882 streammx Mon, 29 Dec 2008 05:57:33 +0000 http://www.bripblap.com/?p=886#comment-26882 It is so important to be saving money. While no one likes to think about the possibility that they will lose their job, become disabled, or have some other sort of disastrous financial crisis, the fact of the matter is that it happens to people all of the time. It is so important to be saving money. While no one likes to think about the possibility that they will lose their job, become disabled, or have some other sort of disastrous financial crisis, the fact of the matter is that it happens to people all of the time.

]]> By: streamalliance http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26881 streamalliance Mon, 29 Dec 2008 05:53:54 +0000 http://www.bripblap.com/?p=886#comment-26881 The costs for private and public education are rising every year, and it's getting tougher to meet these demands. So, we must save money and deposit in good banks. The costs for private and public education are rising every year, and it's getting tougher to meet these demands. So, we must save money and deposit in good banks.

]]> By: China Market http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26880 China Market Mon, 29 Dec 2008 05:44:23 +0000 http://www.bripblap.com/?p=886#comment-26880 We'll need money set aside for Emergency cushion,Retirement etc.These emergencies to avoid going into debt to pay for what we need . We'll need money set aside for Emergency cushion,Retirement etc.These emergencies to avoid going into debt to pay for what we need .

]]> By: Lindsay http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26879 Lindsay Mon, 29 Dec 2008 04:39:13 +0000 http://www.bripblap.com/?p=886#comment-26879 Personally I'd rather invest my cash back into my business than save it, pay extra on my mortgage, or stick it on the stock market any day. I think the only folks who are going to survive and thrive if there is an economic crash are those who create or buy assets they can continue to profit from no matter what the monetary system looks like (real estate, business, intellectual property, etc.).<br><br>Regarding the pay-off-the-mortgage-quicker scenario... If you believe inflation, or even hyperinflation, is the future, then all your debts will be paid off for you as the dollar is worth less and less anyway, so if your home loan is at a good rate, what's the hurry? Plow some money into building up your alternative income wealth streams :) Personally I'd rather invest my cash back into my business than save it, pay extra on my mortgage, or stick it on the stock market any day. I think the only folks who are going to survive and thrive if there is an economic crash are those who create or buy assets they can continue to profit from no matter what the monetary system looks like (real estate, business, intellectual property, etc.).

Regarding the pay-off-the-mortgage-quicker scenario… If you believe inflation, or even hyperinflation, is the future, then all your debts will be paid off for you as the dollar is worth less and less anyway, so if your home loan is at a good rate, what's the hurry? Plow some money into building up your alternative income wealth streams :)

]]> By: Weekend Roundup- Quick Holiday Edition | Think Your Way to Wealth http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26878 Weekend Roundup- Quick Holiday Edition | Think Your Way to Wealth Mon, 29 Dec 2008 04:11:42 +0000 http://www.bripblap.com/?p=886#comment-26878 [...] What if saving was stupid? at Bripblap [...] [...] What if saving was stupid? at Bripblap [...]

]]> By: Weekend Link Love And Carnival Roundup - Amateur Asset Allocator http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26872 Weekend Link Love And Carnival Roundup - Amateur Asset Allocator Sat, 27 Dec 2008 21:59:37 +0000 http://www.bripblap.com/?p=886#comment-26872 [...] Brap asks, What If Saving Was Stupid? He raises a good point: Soviet citizens thought “nothing that bad could ever happen [...] [...] Brap asks, What If Saving Was Stupid? He raises a good point: Soviet citizens thought “nothing that bad could ever happen [...]

]]> By: bripblap http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26867 bripblap Sat, 27 Dec 2008 13:51:32 +0000 http://www.bripblap.com/?p=886#comment-26867 Stephen, that's a good point - the "money is gone forever" argument doesn't really work, since (usually) homeowners can use a HELOC to get that equity back out if they need to. The terms are probably worse, and therefore the paying-early strategy isn't worth much if you have to get money back out through a HELOC, but if you use it as you describe, as a "just in case" fund, then it's a very valid point. Stephen, that's a good point – the “money is gone forever” argument doesn't really work, since (usually) homeowners can use a HELOC to get that equity back out if they need to. The terms are probably worse, and therefore the paying-early strategy isn't worth much if you have to get money back out through a HELOC, but if you use it as you describe, as a “just in case” fund, then it's a very valid point.

]]> By: bripblap http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26868 bripblap Sat, 27 Dec 2008 13:49:29 +0000 http://www.bripblap.com/?p=886#comment-26868 Just to clarify one point, since I think Ruth covered what I would have said otherwise - my father-in-law was a civil engineer, not an army officer. He worked to rebuild bridges and agricultural installations in occupied areas and was not a soldier at all. Just to clarify one point, since I think Ruth covered what I would have said otherwise – my father-in-law was a civil engineer, not an army officer. He worked to rebuild bridges and agricultural installations in occupied areas and was not a soldier at all.

]]> By: Ruth http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26865 Ruth Sat, 27 Dec 2008 13:36:44 +0000 http://www.bripblap.com/?p=886#comment-26865 George : Having read Steve's blog almost from the beginning, I think I can say with some degree of certainty that he (a) knows Russian history (b) isn't defending communism or any of its methods (c) is a capitalist (although not a right-wing total free market kind of capitalist) and (d) was making a very particular statement about one experience, not a general statement about millions of experiences. <br>More to the point, from my perspective, I think it's true that even when things are going badly for people, they will cling to the familiar, regret the loss of the familiar, and fear a different life, no matter how much better it may be. Lord Byron, in his poem, "The Prisoner of Chillon," perhaps said it best:<br>My very chains and I grew friends,<br>So much a long communion tends<br>To make us what we are:-even I<br>Regain'd my freedom with a sigh.<br><br>My father quoted this to me frequently until he died. He was the kind of guy who left home early, saw many horrible things as a young man during the Depression and for six years as an infantryman from 1939 to 1945. Some of the horrible things were epic (a concentration camp) and some were petty (seeing a friend brutally beaten just so someone could get that guy's last few dollars). Human beings, either alone or en masse, can be wonderful, or they can be unspeakably cruel. And that's all Steve was saying, that one family at one point in time, didn't have it all that bad, at least compared to those around them. That's all he said. Really, Steve's one of the good guys! George : Having read Steve's blog almost from the beginning, I think I can say with some degree of certainty that he (a) knows Russian history (b) isn't defending communism or any of its methods (c) is a capitalist (although not a right-wing total free market kind of capitalist) and (d) was making a very particular statement about one experience, not a general statement about millions of experiences.
More to the point, from my perspective, I think it's true that even when things are going badly for people, they will cling to the familiar, regret the loss of the familiar, and fear a different life, no matter how much better it may be. Lord Byron, in his poem, “The Prisoner of Chillon,” perhaps said it best:
My very chains and I grew friends,
So much a long communion tends
To make us what we are:-even I
Regain'd my freedom with a sigh.

My father quoted this to me frequently until he died. He was the kind of guy who left home early, saw many horrible things as a young man during the Depression and for six years as an infantryman from 1939 to 1945. Some of the horrible things were epic (a concentration camp) and some were petty (seeing a friend brutally beaten just so someone could get that guy's last few dollars). Human beings, either alone or en masse, can be wonderful, or they can be unspeakably cruel. And that's all Steve was saying, that one family at one point in time, didn't have it all that bad, at least compared to those around them. That's all he said. Really, Steve's one of the good guys!

]]> By: gpbakalov http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26860 gpbakalov Sat, 27 Dec 2008 04:04:58 +0000 http://www.bripblap.com/?p=886#comment-26860 Fair enough Steve! I am not attacking you or your wife's family. But I do get pretty fired up when it comes to history and the realistic portrayal of what went on in Russia and the Communist camp for so man years. I'm really honestly quite puzzled that you have studied Russian history "extensively"...makes me wonder from which books exactly? But again, American leftism has been around for quite a while. <br /><br />Again, Russian history since 1917 has been nothing but one mega tragic tale of suffering, violence and exploiation. <br /><br />And oh, yes - we know what kind of people got Volgas at that time. Even though these Volgas were a piece of TOTAL CRAP compared to what a decent car is supposed to be! Just like the food and clothes and the 45 sq. m. living space in the crappy apartments...You know Steve, I'm an insider too...hard to sell this idyllic story about did you call i "their life wasn’t that different from life here in the West"... Your father in law is probably not talking too much about Afghanistan, about his position in the army, etc. I understand. As you say, they followed the rules! Wow! And they were some rules! <br /><br />I'm sorry, but again - it's a VERY dishonest thing to do - to spread this story of how people in Communist Russia had it not so different from the West. Especially with a father in law who was in the army and mind you - he wasn't a foot soldier, you can bet he was a high ranking officer. <br /><br />This of course explains the high level of tolerance for Communism in that family. <br /><br />But let's change the subject - if you believe in free market Capitalism (which I'm not sure you do since you haven't this yet), how can you even COMPARE centrally planned economy (what a IDIOCY THAT WAS!) with free market? <br /><br />Even today, my friend - the reason Putin got so arrogant wasn't because they have a true free market economy in Russia, it was because of Putin's petro-dollars, bullying regional states into becoming economically dependent, etc. <br /><br />Putin's KGB mafia has been killing innocent people, including journalists. <br /><br />Now when the prices of oil collapsed, what do we have all of a sudden? A collapse of the Russian economy of course - <a href="http://www.washingtonpost.com/wp-dyn/content/article/2008/10/03/AR2008100301976.html" rel="nofollow">http://tinyurl.com/43w369</a><br /><br />The average Russian man lives 59 years, while the average American man I think it's now 79 years. <br /><br />It doesn't add up Steve. Things weren't "almost" the same back then and they are certainly not "almost the same" today.You build a nice life for yourself, etc, - great! But do you know, sir, that ALL of your wonderful qualities and hard work might have not been worth even a DIME in the good 'ol USSR? And if you were born there you weren't going to write blogs today giving your opinions about achieveing financial prosperity, but you might have been driving a cab somewhere in Communist Russia, depending on how loyal or daddy and you were to the Party, not how smart and hard working you are. Fair enough Steve! I am not attacking you or your wife's family. But I do get pretty fired up when it comes to history and the realistic portrayal of what went on in Russia and the Communist camp for so man years. I'm really honestly quite puzzled that you have studied Russian history “extensively”…makes me wonder from which books exactly? But again, American leftism has been around for quite a while.

Again, Russian history since 1917 has been nothing but one mega tragic tale of suffering, violence and exploiation.

And oh, yes – we know what kind of people got Volgas at that time. Even though these Volgas were a piece of TOTAL CRAP compared to what a decent car is supposed to be! Just like the food and clothes and the 45 sq. m. living space in the crappy apartments…You know Steve, I'm an insider too…hard to sell this idyllic story about did you call i “their life wasn’t that different from life here in the West”… Your father in law is probably not talking too much about Afghanistan, about his position in the army, etc. I understand. As you say, they followed the rules! Wow! And they were some rules!

I'm sorry, but again – it's a VERY dishonest thing to do – to spread this story of how people in Communist Russia had it not so different from the West. Especially with a father in law who was in the army and mind you – he wasn't a foot soldier, you can bet he was a high ranking officer.

This of course explains the high level of tolerance for Communism in that family.

But let's change the subject – if you believe in free market Capitalism (which I'm not sure you do since you haven't this yet), how can you even COMPARE centrally planned economy (what a IDIOCY THAT WAS!) with free market?

Even today, my friend – the reason Putin got so arrogant wasn't because they have a true free market economy in Russia, it was because of Putin's petro-dollars, bullying regional states into becoming economically dependent, etc.

Putin's KGB mafia has been killing innocent people, including journalists.

Now when the prices of oil collapsed, what do we have all of a sudden? A collapse of the Russian economy of course – http://tinyurl.com/43w369

The average Russian man lives 59 years, while the average American man I think it's now 79 years.

It doesn't add up Steve. Things weren't “almost” the same back then and they are certainly not “almost the same” today.You build a nice life for yourself, etc, – great! But do you know, sir, that ALL of your wonderful qualities and hard work might have not been worth even a DIME in the good 'ol USSR? And if you were born there you weren't going to write blogs today giving your opinions about achieveing financial prosperity, but you might have been driving a cab somewhere in Communist Russia, depending on how loyal or daddy and you were to the Party, not how smart and hard working you are.

]]> By: bripblap http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26859 bripblap Sat, 27 Dec 2008 02:22:16 +0000 http://www.bripblap.com/?p=886#comment-26859 George, I've studied Russian history extensively but obviously we're on different pages here. I only wanted to make the point that my wife's family had a fairly benign lifestyle in the USSR that disappeared, and that the same was possible here. No more. I'm not defending Communism, far from it. And yes, they had a Volga, my father-in-law served in Afghanistan and so had a few extra perks. My wife's grandfather was in the gulag so they weren't exactly free, and I understand that. <br><br>I hope you understand that I was just warning of the potential disappearance of a stable lifestyle. No more, no less. My wife's family were happy enough while they were there, at least as far as they've told me. They had their troubles - my father-in-law went to Afghanistan (and because of that he got a Volga), his father was in the gulag (but survived), they didn't always have it easy - but they didn't starve, they lived their lives as best they could, my wife does not have a horrific childhood to look back on. If that seems like I'm defending communism, sorry - I'm not. I just meant that they had a life they did not hate, and they lost it and regret it. Please don't read anything more into the post than that. George, I've studied Russian history extensively but obviously we're on different pages here. I only wanted to make the point that my wife's family had a fairly benign lifestyle in the USSR that disappeared, and that the same was possible here. No more. I'm not defending Communism, far from it. And yes, they had a Volga, my father-in-law served in Afghanistan and so had a few extra perks. My wife's grandfather was in the gulag so they weren't exactly free, and I understand that.

I hope you understand that I was just warning of the potential disappearance of a stable lifestyle. No more, no less. My wife's family were happy enough while they were there, at least as far as they've told me. They had their troubles – my father-in-law went to Afghanistan (and because of that he got a Volga), his father was in the gulag (but survived), they didn't always have it easy – but they didn't starve, they lived their lives as best they could, my wife does not have a horrific childhood to look back on. If that seems like I'm defending communism, sorry – I'm not. I just meant that they had a life they did not hate, and they lost it and regret it. Please don't read anything more into the post than that.

]]> By: gpbakalov http://www.bripblap.com/what-if-saving-was-stupid/comment-page-1/#comment-26856 gpbakalov Fri, 26 Dec 2008 22:35:29 +0000 http://www.bripblap.com/?p=886#comment-26856 Furthermore, let's examine your other "arguments" which they really aren't such: <br /><br />What really gets me going is the HISTORIC REVISIONISM going on here...<br /><br />Now, if your wife's parents were functionaries of the Communist Party, yes, they might have had it better. But if they were ordinary people, than I ask: <br /><br />"They had clothes" - what kind of clothes and how much? Did you know how much you could trade your Levi's for a pair of pants from the 70s Russia or any other Commie country? Wanna try a pair of shoes? <br /><br />"They had a car..." - Steve, this get hillarious, if it wasn't tragic...HERE, you really MISSPOKE (or you really are a paid propagandist of Volodya Putin). So, ready? Steve, wanna trade an old Chevy from the 50s, 60s, 70s or the 80s for a LADA?????? <br /><br />Did your wife's parents have a LADA or a ZAZ? <br /><br />Watch this to inform yourself now in the area of COMMUNIST CARMAKING: <a href="http://www.streetfire.net/video/top-gear-communism-made-decent-cars-part-1_204476.htm" rel="nofollow">http://videos.streetfire.net/video/Top-Gear-Com...</a><br /><br />"They were able to eat?" - really? How much and what kind of food? You mean radioactive tomatoes from Chernobyl? <br /><br />Or others foods that came to market due to the exploitation of the agrarian class. <br /><br />Alright, this is getting too long. And again, who knows, you might be a real apologist of Russian supremacy. <br /><br />God bless! Furthermore, let's examine your other “arguments” which they really aren't such:

What really gets me going is the HISTORIC REVISIONISM going on here…

Now, if your wife's parents were functionaries of the Communist Party, yes, they might have had it better. But if they were ordinary people, than I ask:

“They had clothes” – what kind of clothes and how much? Did you know how much you could trade your Levi's for a pair of pants from the 70s Russia or any other Commie country? Wanna try a pair of shoes?

“They had a car…” – Steve, this get hillarious, if it wasn't tragic…HERE, you really MISSPOKE (or you really are a paid propagandist of Volodya Putin). So, ready? Steve, wanna trade an old Chevy from the 50s, 60s, 70s or the 80s for a LADA??????

Did your wife's parents have a LADA or a ZAZ?

Watch this to inform yourself now in the area of COMMUNIST CARMAKING: http://videos.streetfire.net/video/Top-Gear-Com…

“They were able to eat?” – really? How much and what kind of food? You mean radioactive tomatoes from Chernobyl?

Or others foods that came to market due to the exploitation of the agrarian class.

Alright, this is getting too long. And again, who knows, you might be a real apologist of Russian supremacy.

God bless!

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