Alhamdolilah, I do ok when it comes to money but I was never a money ‘oriented’ individual in my personal life. For work, I am a stickler for cost savings, fairly risk averse, and strategically cautious. When looking a firm’s balance sheet/cash flow statements I am pretty good at identifying the weaknesses and always bring up the worst case scenario. Having said that, I looked at my own books, in awhile and saw some egregious (and inexcusable) spending. If I were a company, I would give myself a C+:
ATM Fees: In the past 3 months, I shelled out close to $200 in ATM fees. The sad part is that I hit ‘OK’ every time the machine prompts me about the fees.
Eating out: I eat out way too often. In the past 3 months, I have spent $2700 while eating out. Of course some of those meals are work related and I will be reimbursed.
Entertainment: Another crazy expense. I see the bank statements stating “club X” or lounge y and I think to myself: How did I blow $120 when I don’t drink alcohol? OJ and Coke should not cost that much. Then I realized that between the cover charge/coat check/tips/buying a round for everyone, it adds up.
Books/Magazines: Even though I am no longer in consulting, I still have the bad habit of picking up books/magazine for the road. Except that I don’t travel as much these days, and when the team does go out to a client site, I am usually huddling with my MD over reviewing the pitchbooks.
Memberships: I am paying $600/month in memberships that I don’t really need. I hit the gym at work (free) but also have a health club membership because my trainer used to work there/they still have some amazing smoothies that I like to have from time to time. I belong to 2 university Clubs – both places I have been to 2 times in this year. I have memberships to societies, museums, and organizations that I don’t have the time to visit. I usually read their newsletters with great interest though.
Besides work, I religiously contribute to my retirement accounts, have a stock portfolio of my own, donate to Islamic causes (beyond Zakat) and have a business of my own. I think my balance sheet is strong, but my quarterly cash flows are terrible due to the short term spending.
So, have you guys looked at your own books? How do you guys cut corners and save?
What on earth do you eat for $2700 in 3 months? is the $900 strictly eating out?
Good question: Many of the meals were with other people at moderately expensive places. Nothing too outrageous but definitely higher then when I eat alone (quick salad/sub).
***U need to learn to apply the management skills that u do at work to your daily expenditures !
I do not keep track of my daily expenditures too......however I've learnt over time that its always best to set yourself a certain "spending budget " that gives you the liberty to spend once in a while and at the same time keep you aware of a constant check on your spending habits , so that you can decide when and where its feasible to spend more or less.........***
Of course the trick is to stay well within that budget !***
***U need to learn to apply the management skills that u do at work to your daily expenditures !
I do not keep track of my daily expenditures too......however I've learnt over time that its always best to set yourself a certain "spending budget " that gives you the liberty to spend once in a while and at the same time keep you aware of a constant check on your spending habits , so that you can decide when and where its feasible to spend more or less.........***
Of course the trick is to stay well within that budget !***
You are so right, the sad part is that I love doing this stuff. I am doing a debt restructure deal right now for a regional manufacturer. My excuse for not doing this? Lack of time/being tired.
I think the spending budget is a great idea. I might open up a separate bank account and leave some funds there. I think the trouble is that money flys out the door and your wonmdering “where did my money go?” I mean my big bills like mortgage, utilities, condo fees, debt service on the equipment for the business are all automatically debited so I never worry about making those payments. I don’t use credit cards, so there is no debt issue, leaving me with spending money :D
I don’t even check my stock portfoilio, just keep buying :)
Not sure about marriage right now. I don’t have a house but own a condo, that still hasn’t straightened me out
Truth be told, I am LOVING the life. The money flexibility, the fact that I can check out the newest restaurants, and buy “things.”
I do try to balance out by increasing donations to the right causes, but I still feel guilty. I mean I work hard, but so do millions of people. The difference is that they have families, need the money to survive, and are pretty much being paid horrible wages.
You know that during the latest economic meltdown, I-Banking was hit pretty hard, a lot of layoffs, people worried. I was pretty calm about it all because I realized that even if I were let go, I have a business on the side and would be able to devote more time to the real estate development venture with my uncle. I have been working since I was 16, so having an involuntary break in work wouldn’t have been so bad. I had even checked out a few year long Islamic studies fellowships in Saudi Arabia, but alas they kept me on
You know, just because you CAN afford it doesn't mean that you should throw away money... i mean on memberships that u dn't use? might as well take a $100 bill and light it on fire.
You know, just because you CAN afford it doesn't mean that you should throw away money... i mean on memberships that u dn't use? might as well take a $100 bill and light it on fire.
Better yet send it to me and I will manage it :)
The memberships were brought in some sort of a passionate frenzy to support an organization or a museum.
if you dont mind, may i ask y do u have a membership for museums?
ps. cancel these useless membership, cuz you can always get em back.
See here is the rationale at the time of my purchase: I go out museums once in awhile, and if I have a membership, I don't have to pay entrance fees and when my parents/guest from out of town visit, i can take there as well. Sounded good at the time, but I now realize that the break even point for some museums is 2-3 visits. I went there 0 times hah!
we used to spend a lot on eating outside. this i realized at the end of tax yr.a burger here a there but it keeps piling n the net result shocks u. so we put a check to this. also we used to take several short vacations through out the yr( its a long weekend lets go somewhere blah blah) spending thousands on hoteling n dining. now we take only one or two trips around canada in a yr n those within limits. we paid off our cars last yr n cancelled unnecessary credit cards keeping only one or two now. so yes small unplanned spendings which seem harmless at the moment r actually quite scary at the end of yr.
Alhamdolilah, I do ok when it comes to money but I was never a money 'oriented' individual in my personal life. For work, I am a stickler for cost savings, fairly risk averse, and strategically cautious. When looking a firm's balance sheet/cash flow statements I am pretty good at identifying the weaknesses and always bring up the worst case scenario. Having said that, I looked at my own books, in awhile and saw some egregious (and inexcusable) spending. If I were a company, I would give myself a C+:
ATM Fees: In the past 3 months, I shelled out close to $200 in ATM fees. The sad part is that I hit ‘OK’ every time the machine prompts me about the fees.
Eating out: **I eat out way too often. **In the past 3 months, I have spent $2700 while eating out. Of course some of those meals are work related and I will be reimbursed.
Entertainment: Another crazy expense. I see the bank statements stating “club X” or lounge y and I think to myself: How did I blow $120 when I don’t drink alcohol? OJ and Coke should not cost that much. Then I realized that between the cover charge/coat check/tips/buying a round for everyone, it adds up.
Books/Magazines: Even though I am no longer in consulting, I still have the bad habit of picking up books/magazine for the road. Except that I don’t travel as much these days, and when the team does go out to a client site, I am usually huddling with my MD over reviewing the pitchbooks.
Memberships: I am paying $600/month in memberships that I don’t really need. I hit the gym at work (free) but also have a health club membership because my trainer used to work there/they still have some amazing smoothies that I like to have from time to time. I belong to 2 university Clubs – both places I have been to 2 times in this year. I have memberships to societies, museums, and organizations **that I don’t have the time to visit. **I usually read their newsletters with great interest though.
Besides work, I religiously contribute to my retirement accounts, have a stock portfolio of my own, donate to Islamic causes (beyond Zakat) and have a business of my own. I think my balance sheet is strong, but my quarterly cash flows are terrible due to the short term spending.
**
So, have you guys looked at your own books? **How do you guys cut corners and save?
You have already answered yourself so what is the point of asking the queation sir?
Being humble is a virtue of its own.
Thanks for sharing your personal info. (wink wink) ;-)
A wise man once said, "when one finds oneself using the words "I," "me," "my," in more than 43 times in a post , one should immediately stop typing and google narcissistic personality disorder".
)…n we will find you a nice kuri