cnn profiles some mustaches

[sol]

"News" article profiling people seeking wealth via frugality:  http://money.cnn.com/galleries/2012/pf/1207/gallery.making-a-million.moneymag/

[arebelspy]

Preposterous!

I actually enjoyed this article. Not because I learned anything, but because they didn't try to present what these people are doing as too ridiculous. There needs I be more mainstream coverage like this, so maybe the general public will get the idea that saving money is okay.

[Jamesqf]

I don't see much frugality there.  Only the last one mentions it at all, in the context of living in a smaller house than he can afford.  The rest are trying to get rich by investing, landlording, increasing salary, etc.

[grantmeaname]

I thought that the second couple seemed pretty frugal. The article de-emphasized it in favor of mentioning the expense ratios of their funds, but you don't get to half a million net worth at 44 and 38 by low expense ratios alone.

they didn't try to present what these people are doing as too ridiculous. There needs I be more mainstream coverage like this, so maybe the general public will get the idea that saving money is okay.

Agreed!

[igthebold]

I thought that the second couple seemed pretty frugal. The article de-emphasized it in favor of mentioning the expense ratios of their funds, but you don't get to half a million net worth at 44 and 38 by low expense ratios alone.

And as a public school teacher at that. I was impressed with that couple's story.

Interesting to note that the very de-emphasizing you mention downplays what is likely their bigger achievement: managing expenses. That's a *lot* harder than watching expense ratios.

[grantmeaname]

Oh, I missed the school teacher part. That's ridiculously impressive!

[tooqk4u22]

I thought that the second couple seemed pretty frugal. The article de-emphasized it in favor of mentioning the expense ratios of their funds, but you don't get to half a million net worth at 44 and 38 by low expense ratios alone.

And as a public school teacher at that. I was impressed with that couple's story.

Interesting to note that the very de-emphasizing you mention downplays what is likely their bigger achievement: managing expenses. That's a *lot* harder than watching expense ratios.

What stories....they don't really say anything.  Obviously nobody has enough data to know the real story, but here is some (1) the teacher bought a house in 1994 for $115k, and over that time after factoring in the downturn that area is up 2.5x so that would be $173k increase in net worth not factoring any loan payments and assuming they didn't refi out money along the way, and (2) they bought a property in 2003 for $175k and sold in 2006 for $365k resulting in $190k potential increase in NW.  Basically they bought after the recession of the early 90's (great time to buy if could and were around) and did it again before the real run up to the bubble. 

So lets not attribute it solely to being frugal or as the article claims due to managing investment expenses - still they are doing a good job because he makes about $75k a year in a very high cost area. Plus you don't if the wife, who may be stay at home now, may have had a career prior to doing so.

[arebelspy]

You're right tooqk4u22, we don't know enough details to say one way or the other.

But just the idea that saving money is okay, investing is good, etc... that's much better than the typical "I can't save any money on my giant salary" article.

[sol]

much better than the typical "I can't save any money on my giant salary" article.

That's what struck me as well.  Not that these people are particularly frugal when compared to forum members here, but they are being featured at all in a mainstream article for being fiscally responsible.  Not "woe is me, life is so hard" and not "look how we all got rich quick" but rather "we're all making ordinary and sound fiscal decisions and are well on our way to wealth and prosperity." 

It's hard to sell an article without a catchy hook (like woe is me or get rich quick) so this one tries to use the concept of "soon to be millionaries" to grab eyeballs.  Less sexy from an advertiser's perspective, but much more meaningfully achievable to most readers and so I commend cnn, for a change, for their work.

[tooqk4u22]

I agree, it is a good message to get out there.  Saving/debt reduction should be more mainstream.   Just to be clear, the numbers in my last post are actual numbers not hypothetical ones that I made up. 

[menorman]

I don't see much frugality there.  Only the last one mentions it at all, in the context of living in a smaller house than he can afford.  The rest are trying to get rich by investing, landlording, increasing salary, etc.

That was pretty much my take as well. I see possible frugality in the teacher as well, but that's about it. First guy wanting to draw monthly almost half of what MMM lives on yearly definitely isn't frugal (sounding). Neither is battery guy who draws almost $10k/month out of his company. HR VP is a toss-up, but it sounds like he also just more so makes a lot than is really frugal. Still, I do agree that it's a bit of a change from the woe-unto-me stories of people "barely making it" on $250k/year.