Are You on the Rich List?

According to the Global Rich List, if you make 25,000$ a year or more you are in the top ten percent of the world's richest people.

That is a powerful statement. It's easy to forget the difference between a need and a want in a nation where you can seemingly have anything. Did you ever say, "Mom, I NEED new clothes for school?"

It's easy to forget that you are rich when you compare yourself to celebrities in this country. TV allows us to see inside the most luxurious homes in the world.

It's easy to overlook the fact that (many of) our "poor" in America have shelter, clothing, food, hot showers, television, phones, transportation, toilet paper, access to medicine, education, internet access, etc. Some of our so-called poor are not in the same state of poverty as others are in this world.

Some days it's easy for me to have a bad attitude because of all the things I don't have. That's when I need some perspective.

The rich list helps me remember how much I really have in this life. It helps me to realize that I am rich and that I should have a grateful attitude instead of a sour one.

When I traveled to Nicaragua for a medical mission trip I gained perspective on how much I have. People walked miles and waited in the heat all day just to see a doctor. These same people walked in the dirt without shoes, didn't get to take many showers (let alone hot ones), and had to work very hard to feed their families. Many of them had grateful attitudes that their child was getting to see a doctor for the first time ever. They were grateful to have something treated that took only 5 minutes (and cheap pills) to fix, but would have taken the life of their child if gone untreated.

They also showed me it's possible to be joyful in a situation where you don't have all your NEEDS met.

On this Gratituesday I realize that I'm rich, and my attitude and actions (giving to others) should reflect that. Are you rich?

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Please join my other friends for Gratituesday at Heavenly Homemakers!

Post College Expectations

If you are anything like me, then you also had GREAT expectations for what it would look like when you finished college.

My expectations included some of the following descriptions. I planned to have a large house, maybe not immediately, but surely by 27 (the age I am now). I'd be able to decorate it with matching pieces of furniture. I planned to buy nice clothes (like Banana Republic, etc.). I thought that I would be wearing those nice clothes to a nice paying job that I would enjoy. I assumed I'd find a husband, but wasn't that positive about my hopes for marriage (which have changed greatly and will be addressed in another post.) I figured I'd be able to eat out regularly at fancy restaurants if I wanted to (I didn't know how to cook until age 25ish). I thought I could afford a nice car as well. I figured I'd be making slightly under 100K (before 30:) and be successful at work. I always planned to work outside the home and be able to pay a sitter. I figured I'd travel across the county often and take lots of "little" side trips to the neighboring states.

Ohh, foolish me. What I didn't anticipate was my debt or how my major in sociology would effect my ability to get paid 100K. Somewhere in my mind I thought I'd make enough money to outrun my excessive spending, simply because I'd be getting paid a lot. I figured I'd slowly pay off student loans/mortgage while I quickly made a lot of money.

How do things stack up now that I've been done with graduate courses for two years? I don't make 100K. I actually made better money delivering pizzas (tips included) in high school. I made about 10$/hr to deliver pizza and then made anywhere from 2-15$/hr in tips. Wow, maybe I should look into that again. Ok, really I love being a crisis counselor. I love to help people in need. But, people in need can't afford to pay for services. So most of my income comes from the government and grants. I make about 11$/hr at my morning job. My afternoon job pays a bit better at 13.75$/hr. OUCH. That is not what I expected to be making at 27.

I do have a house (that we can afford), but it's filled with my families second hand stuff. My house actually looks like my grandma's living room twenty years ago:) I can't afford to buy new pieces so nothing matches. Or, perhaps I should say it's "eclectic"?? My closets are filled with clothes from since I was 16. My new clothes are generally second hand from Plato's Closet. I don't have a new car, but I did purchase my Buick from my grandparents. I can't complain for a second about my car. Traveling has happened some for us. We got free plane tickets (thanks to getting booted off another flight) so we have visited our friends in Colorado. We also saw some friends in New York buy signing up for a credit card that gives you free tickets (I don't recommend this).

I learned how to cook. Actually my husband I both learned from the Food Network. We don't have cable anymore, but we did have cable for our first two years of marriage. I loved watching and ultimately my  hubby and I learned to cook. Which is a good thing because it is so much cheaper to make your own food at home. This also allows for leftovers. We can't afford to eat out very much.We have actually become very picky about our food and where it comes from.

I did find an amazing man and have changed many of my (previously bitter) views about marriage.

What happens when expectations don't meet reality? Well, I'm working on learning to be content with what I have. I have always had a creative mind. I have ideas flowing out of me. For example, I plan to write a book someday about relationships and am using this blog as a way to practice my writing. I can easily see how I could sell a million books and be successful financially. On the other hand, I have not sold a million books yet and need to live with my 20$ couch from Craigslist for the time being. I am trying to balance contentment with the possibilities of tomorrow. It's a slippery slope balancing dreams of tomorrow with the reality of today. It takes practice and some days that balancing act gets the best of me.

How do you balance contentment today with setting goals for tomorrow?

Billy's Bakery - my favorite one in New York City

Emotional Spending

I wanted to share my struggles with emotional spending. I only began to understand how it affected me when we started working our budget. Our budgeting plan has helped me to reduce emotional spending. I completely underestimated how much budgeting would change my inner thoughts and processes on matters of spending.

Before using our budget, I would shop because I was upset or overworked or underpaid or needed to feel better about something. I didn't realize how powerful this emotional spending component was until I was restricted in my spending (aka: not using the ever-flowing fountain of student loan money and only using what we budgeted). I didn't buy expensive things. I didn't think I was going overboard. I found good deals, which was another emotional high, and had enough money to pay the bills each month in college. I felt very sure that my new purchase was both something I deserved and something that I could afford.

After a big test in college, I would go shopping. I felt better about buying something because I worked hard to study for the test. I also felt better because I had something that looked great on me. Even if it was just a new 5$ scarf, I would feel prettier and happier.

I would shop with my friends and family. If I wanted to hang out with someone or have them hang out with me we would often shop at the mall. It felt like we were both getting "something" done and finding something to wear for the weekend. I would also shop with my family when they came to town. Many mother-grandmother-daughter relationships consist of shopping. Mine did as well. Together-time happens when mom takes child to a place of business and purchases something for them. The talking/bonding happens presumably while on the hunt for a good deal or something that looks great.

It's probably not necessary to say that I still go to places of business to buy things. I can't make my own clothes or shoes or toilet paper. I do still buy items I don't need...since I'm human and have flaws. The difference is that my buying is intentional. I don't just find myself driving to target. I don't just see something in the store and think that I must have it. A light triggers now when I look at something and want it. It's a light that didn't have time to turn on in the past. In the past I would look at something, want it, decide that I deserved it and then buy it. That flawed process is broken now with the help of my envelope system. Emotionally speaking, I try to disconnect my wants from my needs. I try to disconnect the fact that there are pretty things in the store that I want with the fact that I worked hard yesterday doing something difficult in another area of my life (like finding a job or cleaning my house or giving a friend great support). I try to separate my purchasing from any feelings of unhappiness or self worth. This is not something that can happen overnight. I myself have a long ways to go.

Budgeting has changed my thought process. I DO think about how much I'm going to have left in my envelope after I buy this item. This helps me to stop and think...do I really want this item? Is this item really something I'm willing to spend my money on? What if I find something I want more later in the month? There are other perks. If a salesmen of any kind is pressuring you...you can say things like "I don't have any money left in my envelope this month" or...."I check with my husband before spending money not in my budget."

At the beginning of the month I think ahead about what activities will be happening that month. For instance this month we are taking a weekend trip to Galena, IL, my friends and I will tailgate for the University of Iowa football game, and several members of my family have birthdays (this comes out of our gift envelope). A few months ago I had 60$ left in my fun envelope at the end of the month. I paper clipped and set aside this money. This month I used that extra money to spend on groceries for our Galena trip. I have been saving my fun money this month to spend on food/fun when my friends come to town.
This is not easy, but worthwhile. It also opens the door to let other positive emotions come into your life.

                                 Thought this sign, outside a lovely Galena shop, was appropriate:)

The Big Fish - The Job That Got Away

During the few months I was working part time, I was looking for full time work. I had actually been helping out a few hours a week at an office where a position became available. I applied for the job. The strange thing was that they published the salary in the ad for the position. I thought that I would be a likely candidate for the job since I had made connections in the office. I was also excited because of the amazingly high salary the position was offering. It was a government job with a 60,000$/year income. I was very nervous for the interview, but my husband helped me prepare by quizzing me nightly with interview questions. I did some research as well. I could continue talking about how I prepared for my interview, but this post is not about preparations for an interview.

This post is really about my greed. During my interview preparations and the week following the interview I started to drift in perspective. I started to dream about all the amazing things we could buy with so much extra income. It would have been a significant jump in income, from my low paying (10$/hr) part time gig to this huge salary. I started to think about how I deserved such a great paying job since I have a graduate degree. I reasoned that my hard work in grad school would all be worth it, if I got this job. I imagined what an awesome jump this job would lead to in my career path. There would be no where to go but up... in income after this job. 

I thought about how I would "need" a new wardrobe. After all, someone that gets paid so much money should dress like they get paid so much money. Of course, I would be "reasonable"...maybe spend 500$-1000$ on new clothes over the course of 3 months. I started telling family how fast we would pay off debt if I got this job. Which is interesting considering I was coming up with the idea to spend so much of the extra income on things we didn't need.

I also experienced guilt. I thought about how fast we would pay off debt and how it wouldn't be much of a struggle. How would I counsel others, who were struggling to pay off their debt, when I wasn't sacrificing at all? Since all my friends and family know we are on a budget, what would they think of my new clothes or new purchases of nice things in our home..while we still had debt to pay off?

All this happened in just the few weeks that I studied for my interview and while waiting to hear back if I got the job. What a tremendous shift in thinking. Before I heard about the job...and the salary...I was so set on sticking to our written budget, no matter what job I got. But, immediately I started imagining how I would spend the money on things I didn't need.

It all came crashing down when I didn't get offered the position. It was difficult to hear. I threw a small tantrum. I cried to my husband and to my friends. All my hopes about how I would spend the extra income were gone. My ideas about the extra clothes and nice things were ripped from my head.

What I was left with started to make me realize how greedy I had been. I was left with a wonderful home full of stuff, a wonderful husband, a fun part time job, time to talk to great friends, good health, time to workout, time to see my family, time to make great food, and still enough money from the part-time job to make extra payments each month. It's amazing how the thought of extra income morphed my hopes and dreams for a few weeks.

Here I am a few months later waiting to hear back about a new and exciting full time job. Luckily, I didn't know what the pay would be until the day of the interview. It's less, but that's not a problem because it will still be a significant amount to put towards extra payments! I also haven't made any plans for spending the extra income on things we don't need. Lesson learned.