9 years ago investor profiles92Jake

Investor Profile: David at MyTwoDollars

Today I had the modest and wise guy who runs My Two Dollars blog to answer a bunch of questions. One of the questions is intentionally very dumb and there is no prize for guessing which one is it. David’s blog is quite balanced and written with a lot of reason so I tried to check if he is as reasonable in his real life.

So, let’s hear David speaking:

SI: Your blog often discusses saving money. Does it work well for you so far? Don’t you regret sometimes for all the things you are not buying because of saving for the future?

David: Yes, we try to save as much as possible while still having a life. I never regret not buying something because I am saving, as they are just things. Retirement and a house are the two things I save for; nothing else is that important. Why waste good money on a bunch of stuff I won’t want in a year or two just for the instant gratification? For us, it doesn’t make sense. We spend our money on experiences, not just filler for our home.

SI Note: Spending on experiences is a topic I plan to discuss some day too. What I can say in very short is that I don’t remember most of the expensive things I have bought (if any at all), but I do remember all the trips and other great experiences we have had. So what looks more “real” – experiences or things?

SI: What’s the smartest financial decisions that you ever made?

David: Paying off my credit card debt. I got into debt in college buying music, gadgets, etc., thinking I would pay them all off when I graduated and got a real job. No one bothered telling me that my first job would not pay much, and I would then have expenses I hadn’t thought of – housing, car, gas, insurance, food, etc. It took forever and a day to pay them off once I started doing it, but to this day I would not trade that decision for anything.

SI Note: I’ve never had a credit card debt, so I have missed to make such a smart move. But seems most Americans do have credit card debt, so it’s the time to ask: Did you pay yours? Or said in other way: Don’t ask what your credit card can do for you. Ask what you can do for your credit card *grin*

How to get rich quick?

David: You don’t, unless you win the lottery. Everything else anyone would do “get rich” takes work, whether it is working at a career and saving your money or starting a company and getting bought out for millions years later. There really is no such thing as getting rich quick, and honestly, I am not sure I would want to even if I could. The money would not be rewarding at all and would not make you a happier person in the least, without having to work for it.

SI Note: So here is one more blogger who seems to say that those $97 “get rich quick” e-books don’t work. Are you still buying any?

If you want to read more from David, make sure to subscribe via RSS or email. And pay special attention to this article.

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Jake