tag:blogger.com,1999:blog-64821306550928930992024-03-13T11:28:34.405-07:00Ten Bob MillionaireDefinition: Someone who is spending to impress rather than paying the bills. AKA Ten Cent Millionaire.Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.comBlogger16125tag:blogger.com,1999:blog-6482130655092893099.post-40972748065852585922012-02-10T07:26:00.000-08:002012-02-10T07:26:27.251-08:00Humoring J Money<br />
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<span class="Apple-style-span" style="color: #333333; font-family: Verdana, sans-serif;"><span class="Apple-style-span" style="line-height: 20px;"><a href="http://www.budgetsaresexy.com/2012/02/5-for-friday-random-question-day/" target="_blank">5 For Friday: Random Question Day</a></span></span></div>
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<li style="margin-bottom: 0px; margin-left: 0px; margin-right: 0px; margin-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; padding-top: 0px;"><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">What was the last thing you purchased? <i>Groceries... how exciting is that?!</i></span></li>
<li style="margin-bottom: 0px; margin-left: 0px; margin-right: 0px; margin-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; padding-top: 0px;"><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">How about the last thing you returned? <i>I don't even remember it's been so long since I did. I used to be returning/exchanging some dumb unnecessary purchase every week. </i></span><span class="Apple-style-span" style="font-family: Verdana, sans-serif;"><i>That's being a smart/frugal shopper for you!</i></span></li>
<li style="margin-bottom: 0px; margin-left: 0px; margin-right: 0px; margin-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; padding-top: 0px;"><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">How much is in your wallet/purse right now? <i>$140 and some change.</i></span></li>
<li style="margin-bottom: 0px; margin-left: 0px; margin-right: 0px; margin-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; padding-top: 0px;"><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">What would you do with an extra $100 in cash? <i>Put it in my cash savings envelope... sometimes I like to just hold a stack of cash... fantasizing that one day I'll have [the legally earned version of] <a href="http://www.hoax-slayer.com/images/mexico-drug-money5.jpg" target="_blank">this</a>.</i></span></li>
<li style="margin-bottom: 0px; margin-left: 0px; margin-right: 0px; margin-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; padding-top: 0px;"><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">What’s your favorite album right now? <i>Don't have a favorite album right now as I'm mostly listening to NPR or podcasts. All Things Considered - yeah!!</i></span></li>
<li style="margin-bottom: 0px; margin-left: 0px; margin-right: 0px; margin-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; padding-top: 0px;"><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">**EXTRA CREDIT** Who was the last person you kissed? <i>It was my dog. I got a lot of tongue. </i></span></li>
</ol>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com1tag:blogger.com,1999:blog-6482130655092893099.post-15364832932585858062012-02-08T11:46:00.000-08:002012-02-08T11:46:55.102-08:00Paralyzed by Fear<div class="MsoNormal" style="margin: 0in 0in 10pt;">
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<span style="font-family: Verdana, sans-serif;">I have been struggling with fear. I have been experiencing panic attacks. This is all related to my work, and it is completely irrational. </span></div>
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<span style="font-family: Verdana, sans-serif;">I’m working in a new area and I thought that I was feeling adrift because I don’t know what I'm doing. I have kept putting obstacles in my own way and it seemed to be the easiest thing to write off my anxiety to my own lack of knowledge and laziness (I even <a href="http://tenbobmillionaire.blogspot.com/2012/01/my-own-worst-enemy.html" target="_blank">blogged</a> about it!). “If I only do some research and get a bit more knowledge, I’ll be OK.” “If I only complete this other project and focus, I’ll be OK.” I’ve struggled to do either of these things. It is more logical and more palatable to call myself lazy than it is to call myself fearful. </span></div>
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<span style="font-family: Verdana, sans-serif;">I’ve been operating under the assumption that there is this whole new topic I need to learn and once I get it, everything will become clear. The truth is that there is nothing of such significance for me to learn. There is no clarity to come. I know what the work is and I can do it. I have done far bigger and scarier things in my career, and I have delivered results I would not have imagined I could possibly deliver. I have been anxious about projects, I’ve been stressed, and I’ve been nervous about certain situations, but I have never been so completely paralyzed by fear. Why is this happening to me? This is clearly going to be an evolving conversation.</span></div>
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<span style="font-family: Verdana, sans-serif;">I’ve worked hard over the last number of years and having never had much ambition, suddenly found I actually do have the desire to progress. I am a step below senior management and I want to get there. I am so close yet have never felt so far away from it. The reality of my financial situation and desire to be debt free with replenished retirement funds and savings has put extreme focus on my income, plus the need to increase it. I am ashamed to admit there is a small amount of ego and “I deserve it” in the equation, but the bigger truth is this is just about money and making more of it. </span></div>
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<span style="font-family: Verdana, sans-serif;">I try desperately not to lose sight of the fact that had I not been moved into this new position, due to the state of the economy and reality of the business I was in, it was more likely that I would lose my income completely (job elimination) than it was for me to move up. I am unbelievably fortunate and grateful to be given this new opportunity, and yet I can’t sleep at night.</span></div>
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<span style="font-family: Verdana, sans-serif;">My fear seems to be stemming from the perception (real or not) that I have gone backwards. I don’t find this work particularly challenging. I don’t really find it interesting. I am not seeing the path to progression here. That said, the only obstacle to me succeeding is my own anxiety. </span></div>
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<span style="font-family: Verdana, sans-serif;">For some reason, I have completely lost confidence in my ability to do [what I consider to be] a lesser job. I am comparing myself to others in the group and coming up with nothing but an inferiority complex. For the first time ever, I actually feel that I am not good enough. </span></div>
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<span style="font-family: Verdana, sans-serif;">I seem to be trapped in a vicious circle. I want to show everyone how good I still am but with every opportunity I panic and end up feeling even more like a failure. I get angry and frustrated because I know I’m better than that and I visualize how things will play out next time. I can’t do anything with that amount of pressure but panic again. <span style="mso-spacerun: yes;"> </span></span></div>
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<span style="font-family: Verdana, sans-serif;">I keep repeating that this is completely irrational. I am my only barrier to success. The overwhelming pressure to perform is only coming from me. I am getting nothing but support and positive feedback from my boss, and her boss, and her boss… Yet, four times in the last few weeks I have experienced a panic attack in the most innocuous of meetings or on conference calls to the point where I can't breathe and I can't speak. Fortunately, through pretending to have a coughing fit or pretending I am otherwise sick, I have managed to cover it up. </span></div>
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<span style="font-family: Verdana, sans-serif;">What is the worst that can happen on a conference call or in a meeting?</span></div>
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<span style="font-family: Verdana, sans-serif;">I need to defer to someone else or admit I need to find out the answer and get back to the group.</span></div>
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<span style="font-family: Verdana, sans-serif;">That's all! Nobody is going to point and laugh. I know how to describe my position and the objectives of our team. I know the current status of all my current projects. There is no logical reason that I should be intimidated or frightened to speak on any of these topics. </span></div>
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<span style="font-family: Verdana, sans-serif;">What is the worst that can happen if this position does not lead me to the next level?</span></div>
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<span style="font-family: Verdana, sans-serif;">I stay employed and keep my income, medical insurance, benefits etc. </span></div>
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<span style="font-family: Verdana, sans-serif;">I learn additional skills that can be applied to future opportunities</span></div>
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<span style="font-family: Verdana, sans-serif;">I gain a broader perspective on the world</span></div>
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<span style="font-family: Verdana, sans-serif;">There is no conclusion or solution to end with. It’s a jumble because I still can’t make sense of it or figure out how to overcome. I am just trying to dig through the problem and hope to get through my work day without a panic attack. </span></div>
</div>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com0tag:blogger.com,1999:blog-6482130655092893099.post-52278118747557497462012-02-05T10:00:00.000-08:002012-02-05T10:00:03.643-08:00Bonus<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">It's beginning to look a lot like my favorite time of year. Obviously that isn't Christmas. ;) </span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">No, it's the beginning of March, which means annual increase and bonus time! That extra $100+ in my bi-weekly paycheck and a bit fat chunk of money means bumper spending time!!!! This time last year I had the best intentions in the world. The bonus would mean I could pay off a small chunk of my AMEX balance (which was around $24K at the time if I recall) but instead, I found myself running to the Apple Store with Platinum in hand before the payment had even hit my bank account. I remember still feeling GOOD about it all though. I had a new laptop, iPad, software, digital camera, etc. etc. and I'd got it all WITHOUT going into more debt!!! The bonus had completely cancelled out all my new purchases!!! Woohoo!!!!! </span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I can't imagine I was ever that dumb.</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">So, March 2012 is around the corner, and the increase and bonus are again on their way. This time, I'm sending 50% of the bonus to my 401(k). Two reasons: </span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">1. The bonus is very heavily taxed so the 401(k) contribution halves the taxable gross (I would prefer to send even more but my company only allows contributions up to 50%).</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">2. I had to liquidate my 401(k) last summer to pay the initial chunk of money to AMEX (see <a href="http://tenbobmillionaire.blogspot.com/2011/08/4002805.html" target="_blank">($40,028.05)</a>) and my goal is to make the full $17,000 contribution this year.</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">As for the annual increase, I'll be upping my bi-weekly 401(k) contributions from 8% to 12%.</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Once my 401(k) gets paid, the rest will be going to my debt. I'm not sure how big the bonus will be yet so I don't know how much will be remaining, but I hope to at least be able to bring my credit card balance below $10,000. I will also be settling a small loan I have with a family member. </span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I must admit I've never been more excited to receive a bonus in my life.</span></div>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com2tag:blogger.com,1999:blog-6482130655092893099.post-61350619683493917572012-02-04T09:20:00.000-08:002012-02-04T09:58:14.562-08:00Happy Saturday<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">There is no better way for me to start a Saturday morning than with a cup of coffee and my financial spreadsheets! I love putting my financial house in order before getting on with the day. There may come a time when I am debt free and slightly less fanatical, but I can't ever imagine starting another weekend with my head firmly buried in the financial sand like I used to.</span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I'm also making an attempt at my very first side hustle, so it's an exciting day! </span></div>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com1tag:blogger.com,1999:blog-6482130655092893099.post-44995838734118097622012-02-01T07:34:00.000-08:002012-02-04T09:58:26.785-08:00January Net Worth Update<span class="Apple-style-span" style="font-family: Verdana, sans-serif;"><span class="Apple-style-span" style="color: red;">$(8979.98) </span>is my net worth for this month:</span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Debt: <span class="Apple-style-span" style="color: red;">$(11,875)</span></span><br />
<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Savings: <span class="Apple-style-span" style="color: #38761d;">$531.00</span></span><br />
<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Retirement: <span class="Apple-style-span" style="color: #38761d;">$2,364.02</span></span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Just looking at those numbers makes me think "pitiful". That is until I give it some context:</span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">December 31: <span class="Apple-style-span" style="color: red;">$(12,006.89)</span> net worth</span><br />
<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">November 30: <span class="Apple-style-span" style="color: red;">$(15,361.68)</span> net worth</span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I only started fanatically tracking it in November but trust me, the numbers for the preceding months were significantly worse!</span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">So, instead of thinking "pitiful", I'm saying "AWESOME!!!" My net worth is below $(10,000) for the first time in roughly 3 1/2 years! </span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">It's a big pat on the back for today and some serious motivation to keep going. </span>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com1tag:blogger.com,1999:blog-6482130655092893099.post-73747092797550251672012-01-28T20:58:00.000-08:002012-02-04T09:58:48.939-08:00My Own Worst Enemy<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I've been a little down this past few days and can only attribute it to my job. I moved into a new role recently (not by choice) and I feel somewhat adrift. I was moved into a growth opportunity and away from what I'm convinced would have been an eventual lay-off so I am very grateful, but I've been having trouble getting settled and up to speed. </span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">A lightbulb suddenly went off today and I realized my problem is not the new job. My problem is... laziness!!! I know exactly what I need to do to improve my situation but for some reason I'm not getting down to it. It's the same as when I complain that I'm out of shape but I'd rather sleep an extra half hour than get up and work out in a morning.</span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Laziness with my finances was just one of the many reasons I got into debt and it's now the single biggest obstacle to the issues I'm feeling towards my new job. I hope that now I've identified the problem I can start working on a fix. Just like I did with my credit card debt.</span>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com0tag:blogger.com,1999:blog-6482130655092893099.post-43954814924626924292012-01-27T14:28:00.000-08:002012-02-04T09:59:08.643-08:00Addiction<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Love this post today: <a href="http://www.fabulouslybroke.com/2012/01/am-i-the-only-one-who-does-this/">http://www.fabulouslybroke.com/2012/01/am-i-the-only-one-who-does-this/</a></span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Glad I'm not the only one with a spreadsheet addiction!</span></div>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com0tag:blogger.com,1999:blog-6482130655092893099.post-89434339420118699342012-01-26T21:44:00.000-08:002012-02-04T09:59:42.766-08:00January Report<br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I don't believe in New Years Resolutions, but I am pursuing a few goals for 2012:</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">1. Pay off credit card debt ($11,875 to go)</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">2. Max out Traditional IRA contributions (currently at 10% of $5K target)</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">3. Max out 401k contributions (currently at 2% of $16.5K target)</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">4. </span><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Learn a second language (Rosetta Stone on it's way - funded by a Christmas gift card!)</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">There's more stuff in general that falls under "Personal Development" - listening to NPR in a morning instead of the iPod, practicing yoga a few times a week, keeping up with my personal finance education etc. etc. - </span><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">but this is not a list of resolutions (that we all know we break).</span><span class="Apple-style-span" style="font-family: Verdana, sans-serif;"> I'm sticking to the few hard goals and we'll see where they take me.</span></div>
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I have started focusing on seeing some growth in retirement in savings as well as the shrinkage of debt. I'm starting small and certainly the largest part of my disposable income is still being thrown at the debt but I've increased my 401k contributions back up to 6% (they'll jump to 9% once my annual increase hits in March) and I've started to fund an IRA. I'm also making small contributions to savings. </span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Even though they're small numbers, seeing them grow is hugely motivating. I got crazy inspired by <a href="http://www.budgetsaresexy.com/category/net-worth/">http://www.budgetsaresexy.com/category/net-worth/</a> and started tracking my net worth. It's still a negative of course but the last two months have both delivered over 20% increases on the prior month! </span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Buying shoes was never this satisfying... even when they were Louboutins. </span><br />
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<br />Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com2tag:blogger.com,1999:blog-6482130655092893099.post-16894702059841686612011-12-30T05:31:00.000-08:002012-02-04T10:00:53.614-08:00(13,500)<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">So happy I felt that needed to be a heading of it's own. :)</span>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com0tag:blogger.com,1999:blog-6482130655092893099.post-17392913814611288312011-12-30T05:16:00.000-08:002012-02-04T10:01:22.647-08:00Grateful... and a New Year<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Thankfully I have turned out to be a better financial planner than I am a blogger! I started this blog as a small attempt to keep myself honest, but as it's turned out, I haven't needed to keep honest to anyone but myself.</span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">What started as an act of desperation to whittle down $40K+ of debt has become a new way of life that is many millions of times more satisfying. I have been telling my money where to go instead of wondering where it went, and in that process found my desire for mass consumption has all but gone. Crazy as it sounds this wasn't actually something I was trying to achieve when I set out, and because of that it's only recently that I have even become aware of it. If I'm being really honest back when I started this in August, in the back of my mind I knew I was just putting consumption on hold for a while until I could go and pay cash for a flashy handbag or similar. Debt free meant strolling into Neiman Marcus and throwing down cash for a new Balenciaga instead of flashing the plastic. After 5-months of changed financial behavior and gaining a whole hell of a lot more knowledge about personal finance, I have naturally become aware of making smart choices. Crazy thing is the smart choices are the ones I actually WANT to make! I've also stopped wearing or carrying a lot of the luxury brand items that I have; I'm turned off by the notion of "looking" rich. </span><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">But enough rambling...</span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I am ending the year with $13,500 debt left, which is unbelievably ahead of the schedule I set back in July when I first developed my debt elimination plan. I had originally hoped to owe around $20K by the end of the year, which then went down to roughly $16,500 when I realized I could afford to send a bit more money each month. </span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Then an amazing thing happened. I moved banks and in order to qualify for a deposit at home feature I was required to apply for a credit card. I was terrified that I'd be rejected and was literally shaking as I clicked submit on the application. To my complete amazement I was approved in seconds with a high limit and a 6.9% APR. I then realized that the saving grace of my AMEX debt was that it reported as installment debt rather than revolving credit, and as a result my credit score has always remained in the 780's. </span><span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I did a balance transfer of $18,500, which has been a MASSIVE saving in interest compared to AMEX's 15.2%. </span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">That still left me with a balance of $4,600 on the AMEX but I suddenly found myself with a debt snowball and I killed that AMEX balance in a couple of weeks. I have never experienced motivation like that before. Talk about gazelle intensity!</span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">I've had a couple of unexpected visits from Murphy, but I've made it this far and am finishing up the year in a much better place. I have an aggressive plan to eliminate the $13,500 by April 20th - over two months ahead of the original schedule - and then an aggressive plan to start building wealth and security. </span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Far from the anger I felt towards AMEX back in August, I am now eternally grateful for the wake up call. I feel truly blessed to be on this path to financial peace. </span><br />
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<span class="Apple-style-span" style="font-family: Verdana, sans-serif;">Happy New Year! </span>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com0tag:blogger.com,1999:blog-6482130655092893099.post-18055311340286827182011-09-12T13:19:00.000-07:002012-02-04T10:01:51.603-08:00Adaptation<span style="font-family: Verdana, sans-serif;">I am in the middle of a couple of weeks of "out of the ordinary" with a few trips and a few visitors in town. I've been stressing over how much additional money these special events are going to cost. For the past 2 months I've been saving a special fund plus allocating money gained from eBay sales and I've been fretting it won't be enough. In the last week of August, I had a hard time falling asleep at night because my mind wouldn't stop calculating the money I had vs. the money I was going to need and trying to figure out how to cut costs without cutting enjoyment. Budgeting is certainly not fun if you allow it to drive you crazy.</span><br />
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<span style="font-family: Verdana, sans-serif;">Here I am in the midst of it though, and it's amazing how quickly it is becoming second nature for me to use cash and use it wisely. I haven't scrimped on anything or denied myself anything I would have had under the old American Excess routine. What I have done is made better choices. I haven't felt the need to impress with a $400 dinner when a tasty $30 grill at home was fantastic. I haven't felt we needed a $175 spa day to enjoy time together, when a $35 pedicure was the perfect way to relax and have fun with friends. </span><br />
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<span style="font-family: Verdana, sans-serif;">Most importantly I'm not stressing about a potentially more expensive few weeks and I'm amazed to find everything is much more enjoyable when I'm not over-spending. I have only the lingering pleasure of the activity and none of the unavoidable guilt of another few hundred charged to a card. </span><br />
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<span style="font-family: Verdana, sans-serif;">Just 2 months into my new financial world order, I'm proving (for myself at least) life is better when it's paid for. </span>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com0tag:blogger.com,1999:blog-6482130655092893099.post-28438832816803485992011-08-31T14:53:00.000-07:002012-02-04T10:02:24.073-08:00Milk Toast Billing<span style="font-family: Verdana, sans-serif;">Checking out my credit card balance on the American Express website is very painless. It's easy to ignore the high numbers owed when it's such an exclusive, slick looking interface. It reminds me how special I am and that I have access to tropical beaches and premiere entertainment and Membership Rewards First.... Plus it reminds me in giant letters that I can SHOP!!!! A couple of painless clicks to pay the minimum and I even get a "thank you".</span><br />
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<span style="font-family: Verdana;">The thing to do though is look past the pretty webpage and click the PDF that is the real billing statement. That PDF is not pretty at all. There's nothing exclusive about the front and center black type informing me that it will take 36-years and $74,412 to clear the balance if I keep making only the minumum payments. </span><br />
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<span style="font-family: Verdana;">Page 5 is where it gets really slick... I've paid $2,878.43 just in interest so far in 2011 - WTF!! That is almost a full month's rent! All for privilege of owing money! Don't even get me started on the helpful "APR Information". Wow, American Excess really is not my friend. </span><br />
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<span style="font-family: Verdana;">It occurs to me we need a return to the scary looking statements dropping through the mailbox once a month and wean off the pretty website or fancy iPhone app. The reality of debt shouldn't come with a nice font and a reminder to shop. </span>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com0tag:blogger.com,1999:blog-6482130655092893099.post-54375295291276766452011-08-31T11:44:00.000-07:002012-02-04T10:02:41.106-08:00Not Adding Up<div class="MsoPlainText" style="margin: 0in 0in 0pt;">
<span style="font-family: Verdana, sans-serif;">It's very surprising to me how resistant I am to saving. If all goes to my debt elimination plan I am still 9-months away from being able to start seriously saving, but it is shocking how my perception of saving over the years is so skewed. </span></div>
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<span style="font-family: Verdana, sans-serif;">I have wasted tens of thousands of dollars over the past few years. Literally, WASTED. I once wrote an $18,000 check as a down-payment on a new car (along with a trade in and a loan) and that value essentially evaporated the second I drove the car off the lot; I've sold items on eBay for not even a tenth of what I originally paid for them. I've definitely experienced firsthand the difference between cost and ultimate worth. </span></div>
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<span style="font-family: Verdana, sans-serif;">And yet, I've recently realized that my perception of contributing a high percentage of my income to my 401(k) or sending a significant amount to a savings account or IRA (even though I wouldn't think twice about wasting that same amount or sending it to American Express) has always been negative. I can't fathom how the never ending cycle of borrowing and repaying on credit cards has seemed more favorable than paying myself and having control of my own money.</span></div>
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<span style="font-family: Verdana, sans-serif;">I'm very rational and very logical, but when it comes to money I just don't add up. It's amazing what a little research and a good budget can teach you about yourself.</span></div>
<span style="font-family: Verdana, sans-serif; font-size: x-small;"></span>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com0tag:blogger.com,1999:blog-6482130655092893099.post-4480651012597843032011-08-29T15:04:00.000-07:002012-01-26T21:46:27.288-08:00Not quite vaulting over the first fence<span style="font-family: Verdana, sans-serif;"> <span style="font-family: Verdana, sans-serif;"><span style="font-family: Verdana;">I'm doing pretty good with the budget and the cash in my wallet. I just replaced a typical $50 Bloomingdales “necessity” with a perfectly good $15.76 version from Walgreens instead. However, there is an item that does generally fall more into the "need" over "want" category that caused a bit of a scuffle at the first real test of my newly reformed ways.</span></span><br />
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<span style="font-family: Verdana, sans-serif;"><span style="font-family: Verdana;">I need to get a safe for my house. I'm not overflowing with valuables and I'm certainly not keeping wads of cash lying around, but I do have certain documents and things that could use a bit more security. It's one of those purchases that I've put off (in favor of <em>real</em> needs such as a Burberry trench coat) but now with a vacation coming up, I'm getting a bit itchy about the fact I don't have one. </span></span><br />
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<span style="font-family: Verdana, sans-serif;"><span style="font-family: Verdana;">I've done the research and finally settled on the purchase (for anyone interested in a home safe, consensus tells me this is a solid choice: </span> </span><a contenteditable="false" href="http://www.amazon.com/First-Alert-2096DF-Waterproof-Digital/dp/B000WUJ5X6/ref=sr_1_3?ie=UTF8&qid=1314652650&sr=8-3" title="http://www.amazon.com/First-Alert-2096DF-Waterproof-Digital/dp/B000WUJ5X6/ref=sr_1_3?ie=UTF8&qid=1314652650&sr=8-3" unselectable="on"><span style="font-family: Arial;"><span style="color: #606420; font-family: Verdana, sans-serif; font-size: x-small;">http://www.amazon.com/First-Alert-2096DF-Waterproof-Digital/dp/B000WUJ5X6/ref=sr_1_3?ie=UTF8&qid=1314652650&sr=8-3</span></span></a><span style="font-family: Verdana, sans-serif;">)<span style="font-family: Verdana;">. I'm really blown away by a cool fantasy of the future when I'm debt free and can envision a James Bond-style safe with stacks of 50's and a couple of different passports. So, having looked again on Amazon last night I decided this was definitely a need and a $367.77 charge to Platinum (current balance only $24,999.38) was completely justified. </span></span><br />
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<span style="font-family: Verdana, sans-serif;"><span style="font-family: Verdana;">After 10-minutes of guilt and feeling like I literally jumped off the horse as soon as I saw the first fence (let alone sat tight until I fell) I went back into my Amazon account and cancelled the order. It was a great relief but I still felt shitty for the rest of the night.</span></span><br />
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<span style="font-family: Verdana, sans-serif;"><span style="font-family: Verdana;">Accountability is important in this process (hence this being a blog and not a private diary) so I told my mum (in a round about sort of way) that I'd identified the purchase and was saving up until I could afford it. God bless her, she called me this afternoon and she's buying it for me. She’s impressed by my will to save up until I can afford it, but equally she feels I need that added bit of security. I'm thrilled of course but can't help feel disappointed in the instant gratification of it all. Saving up and really earning the safe would have been a good lesson. I am telling myself at least the instant gratification isn’t shoes, or bags or clothes this time, and ultimately I'm very grateful to have a solid piece of equipment in my quest to build wealth. Hopefully it won't be too long until my new safe will be James Bond-style after all, and in the absence of available stacks of 50’s, in the meantime my passport will have a really secure (albeit lonely) new home.</span></span><br />
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</span>Ten Bob Millionairehttp://www.blogger.com/profile/15047074221053897167noreply@blogger.com0tag:blogger.com,1999:blog-6482130655092893099.post-30618237871780910362011-08-28T22:05:00.000-07:002012-02-04T10:03:09.767-08:00($40,028.05)<span class="Apple-style-span" style="color: #666666; font-family: Verdana, sans-serif;">On July 23, 2011 my former best friend (aka American Express Platinum Card) turned against me. After 3 years of a comfortable $1,500-ish minimum payment, suddenly Platinum was requesting $7,975.47 of the outstanding $40,028.05 (that we'd thoroughly enjoyed spending I might add!) by August 16.</span><br />
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<span class="Apple-style-span" style="color: #666666; font-family: Verdana, sans-serif;">I drive a BMW, I wear a Rolex, I carry a Dior wallet inside a Balenciaga bag (nothing but the best to hold my dearest Platinum) but I make PAYMENTS. I don't have savings or investments or $7,975,47 in "disposable" income each month. I thought Platinum knew that? So I had to wonder if perhaps this was just a ploy all along? Perhaps Platinum secretly knew I was addicted to consumption and status symbols? Perhaps Platinum was really just stringing me along, staying "Approved" and laying in wait for me to charge $8,420.22 to an already sizable balance so Platinum could pounce? Hitting me with a massive monthly minimum in the hope I wouldn't be able to make it. Then Platinum could really have it's way with me - hitting me with a late payment fee when I couldn't cover the whole amount, thereby justifying skyrocketing my interest rate and really making me "one of our most valuable Platinum cardholders".</span><br />
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<span class="Apple-style-span" style="color: #666666; font-family: Verdana, sans-serif;">Well I'm sorry Platinum but you're not going to win this one. I'm going to be shittiest Platinum cardholder there is because I'm not going to be your slave anymore. You're being replaced in my Dior wallet with something much more valuable: a small amount of cash that won't offer me unlimited credit or Rewards First points and that won't get me access to the Admiral's Club. But, a small amount of cash that will buy my groceries, gas my fleeced (oops - I mean leased) BMW and actually pay for all the other simple needs in my life until I can rejoice in owing you $0.00. </span><br />
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<span class="Apple-style-span" style="color: #666666; font-family: Verdana, sans-serif;">This is not an original story. I have a plan, and I'll stick to it.</span><br />
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