Reply #28: I agree that living beneath your means is great if it's possible [View All]

[renate]

"Nickeled and Dimed" really opened my eyes to why it's so expensive to be poor. I always used to wonder why people living in those expensive but run-down rent-by-the-month hotels didn't just put their money towards an apartment in a safer part of town--now I know it's because they don't have the security deposit for an apartment, but the hotels don't require one. Why do they eat at fast-food restaurants when it's so much cheaper to eat at home? Because the hotels won't allow them to have a hot plate to cook on. And so on and so on.

But I agree that for more fortunate people it's much much much more enjoyable to live below our means. My husband and I were both raised by families who were careful with money, so we didn't get accustomed to new cars every three years, designer clothes, etc. We've never carried credit card debt--we only borrow money for cars and the house. We're very very lucky, however, and on top of that we're still living in the same small home we bought 14 years ago, so the mortgage is low. These days housing is so expensive, even starter homes, that it's easy to see how people get in over their heads without being reckless with their money.

If it's doable, though, I couldn't recommend living below one's means more highly. Life can be stressful enough without a debt monkey on your back. But I have a lot of sympathy for those who just can't manage it.