MONEY

Gee Ain't it funny how MONEY keeps slipping away? Seems like this is a topic that keeps popping (or pooping) it way to the top of the news list almost hourly. Heck, the local talk radio channel brings Dave Ramsey's program into reruns for almost three hours daily. Over and over, people that are paying what he calls the stupid tax call in wanting an instant answer to their money woes.

A lady called in yesterday (or sometime, with reruns you never are sure of the date someone called) and said that with an income of about $5,000 a month they can't seem to make ends meet. She said that she never buys anything that is not on sale or reduced in price. Dave asked her what she was buying? Hello, lesson number one income must exceed or be equal to outgo. She didn't think she could keep a budget for a month or two to see what she was doing. He tried to explain the simple envelope program to break down the money and she was almost clueless. Yep, sounds like a person headed for no where fast.

If there was a simple way to keep track of what you spend, perhaps people might be better able to get it together. Is there a pocket sized scanner out there that can read cash register tapes? I am almost afraid to say use a debit card because the experts show that time and time again people using debit or credit cards spent 10 to 20% more because it isn't the same as CASH.

One extreme example today was the couple that bought a lake front lot for $135,000 as a speculation. Want to speculate who can't pay what is owed on it today? After three years of paying on it, it is valued at 75% of what they bought it for and they owe almost 100% of the purchase value. No, that was a bare lot with no house and they signed up for the entire loan with 100% financing, nothing down and thought they could make money on the deal. With taxes and a maintenance fee they have to fork over almost $2,000 a month. Want to guess who is about to be laid off? Even in good times that sounds like a stupid deal to me.

Money isn't rocket science. Work hard, spend as little as you have to, save and find some good investments. There is also a good rule that if it sounds too good to be true, it probably is.

MUD