Why We Earn and Why We Save

Life has been enjoying kicking me in the nuts lately. At first, it is a shocking and painful. And, of course, then comes the worse part of the aching sickness. There’s that pain in between one’s belly and one’s penis that just doesn’t pass as quickly as a kick anywhere else. It really is not that funny despite what the home videos of suburban America suggest.

I have taken some major financial hits lately. They leave me sick because it seems like time and progress have been lost (and I assume this all reminds me that I am mortal and am going die, which is upsetting). One gets a similar feeling when a house of cards falls or when one nearly makes it to the end of a video game only to die on an ultimate or penultimate hurdle. Its all wasted time, wasted potential and wasted life, which are limited.

Perhaps I am not being fair with life. After all, there are lessons to be learned with every financial hit and methods learned on how to protect finances in the future.

Not only that, but protection from the unexpected is the one of the major reasons we earn money and save it. I once spoke with Soulless Hedonist about money and asked him what he or I should do with extra cash. Besides taking a few trips or buying a guitar, he couldn’t come up with anything. I couldn’t come up with anything either, so my extra money went right into investment and his went into that guitar. Perhaps in the future, I’ll think of something to buy.

Many people see extra money and think of extra stuff. But, do I want a larger TV, a better car or fancier clothes. Maybe some of these items are desired, but if I were to buy too much nice merchandise, I wouldn’t fit in with my peers. My friends are not exactly the type that enjoy bling or respect others with showiness. Besides, owned items take time to maintain. One has to lock them up, keep them clean and worry about them getting broken.

Others may suggest that money allows one to have a nice house. But these kinds of massive debts do not mean much in day-to-day life. Housing equity is very frozen and any eventual profits are usually tax deferred until death. A few square feet here and there don’t add too much to one’s existence. Additionally, the enjoyment of a large house is offset much by maintenance.

What about working less? Well, more jobs require one to work 40 hours. More vacation? There’s only so many days one can get away with being on vacation in an office. Retiring early. This leads to boredom and a depression in people. When it comes down to it, work time is fairly fixed.

So, besides eating out more, paying for one’s kids’ fancy private schools and giving to charity, there’s not much to spend money on (assuming one’s earning more than $30,000 per year).

Perhaps lately I have been spending my money on the best thing to buy- protection from the unexpected.