It Doesn’t Matter How Much Money You Make
Letter from the Editor
BY Melissa Tosetti
Why do we believe that only people who don't have a lot of money need to be mindful of their finances? Whether you make $45k or $145k if you are spending more than you make, you're in trouble.
David Bach, financial advice expert and author of The Automatic Millionaire had his own epiphany about living beyond his means. In his “past financial life”, he was a successful businessman making well over six figures. He had a beautiful apartment that he rented. He drove a brand new car that he leased. He bought gadgets, dined out most the time and lived extravagantly. To maintain this lifestyle required that he spend almost every penny he made. His epiphany came when he realized that despite his big paycheck, he didn't actually own anything.
I am grateful that Bach did see the light as I have personally benefited from the knowledge I’ve gleaned from his books, articles and television appearances.
On the other end of the spectrum is Amy Dacyczyn, the author of The Tightwad Gazette newsletter and books. In 1989, Amy and her husband realized their long time dream of purchasing a rural pre-1900 New England farmhouse. They managed this on one income of less than $30,000. Did I mention she had four kids at the time? How did Dacyczyn do it? She became a self professed “compulsive tightwad”. Even her depression-era relatives expressed concern that she was too thrifty.
I am grateful to Dacyczyn for her books that taught me inventive ways to save.
Being mindful of your finances doesn't mean having to go dumpster diving or never eating out again. There is a balance between being overly frugal and spending compulsively.
The philosophy of Budget Savvy is simple: to save money on the things that aren't important to you so you can afford to spend money on the things that are. This allows you to enjoy life, realize your dreams and still be financially responsible – no matter what your income.
So please, let us show you how to save so you can focus on spending on the things that are truly important to you.
Warmest regards,
Melissa Tosetti
Editor/Publisher
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