MATH on MY side!

[fartface]

You should buy things you need at the time you need them most. I borrowed money to buy a motorbike. I borrowed money to go live in a faraway country to marry the person I loved. I borrowed for various things that gave me great joy, like taking a month off and riding a motorbike in Ladakh for 18 days.

All in all I have been in constant credit card debt since the past 10 years.

BUT my income has always been enough to cover my payments, and while I may have paid a premium of 20% or so overall due to interest and fees, my income has grown by a factor of 10 or 1000% since 2003, so the math works in favor of buying now and not worrying later. Had I postponed my purchases until I had ‘saved up’ it would have been much too late and a huge waste of time.

-by Vivek Nagarajan
The Surprising Downside of Debt
2014 BADASS "ONION" EDITION

[arebelspy]

Why is this under "Share Your Badassity" and not "Antimustachian Wall of Shame and Comedy"?

No reason to postpone the purchases, but also no need to go into debt for them.  Prioritize your spending - at the time I'm sure there  was ways he could have cut spending to afford a month off and riding a motorbike for 18 days.  The false dichotomy is ridiculous.

[minority_finance_mo]

Yes, because everyone's income grows by a factor of 10 or 1000% in 10 years....

Factor of two is more likely, both at work and through investments.

[SofiaBourbon]

Interesting Post. My Family seems to be on the side of Enjoy Now pay later. Example, my mother lived in very expensive areas while she was younger, enjoyed life to the fullest. Drink expensive Champagne and had a good time. She is older now and has no debt. She said "had I saved the money, I wouldn't have the memories and would be old and have some money" Also "with inflation and the huge change in our currency (not US), she said that money will be worthless right now" she said she is glad for the experiences and upset that I am always saving and not enjoying life going on trips and having social life, more experiences. So, I am working on the finding balance the next year.

[Retired To Win]

You should buy things you need at the time you need them most. I borrowed money to buy a motorbike. I borrowed money to go live in a faraway country to marry the person I loved. I borrowed for various things that gave me great joy, like taking a month off and riding a motorbike in Ladakh for 18 days.

All in all I have been in constant credit card debt since the past 10 years.

BUT my income has always been enough to cover my payments, and while I may have paid a premium of 20% or so overall due to interest and fees, my income has grown by a factor of 10 or 1000% since 2003, so the math works in favor of buying now and not worrying later. Had I postponed my purchases until I had ‘saved up’ it would have been much too late and a huge waste of time.

Sorry, but that is not the whole story.  Have you got any money SAVED?  Are you progressing towards financial independence? Or are you "drinking and be merrying" away your entire ten-times-what-it-was income?

(And, have you got any notion of what you could have done with that 20% interest premium you say you paid??!!)

[Calvin]

-by Vivek Nagarajan
The Surprising Downside of Debt
2014 BADASS "ONION" EDITION

Took me a second to find the bottom, haha! Probably best in the Antimustachian forum though (to avoid confusion).