Our Thinking of Money Matters is Way Too Complicated
If this is your first time visiting, check out the story behind this blog. Otherwise, please join the others by subscribing to my RSS feed or get updates via email so you don't miss any personal finance articles!
One morning while I was saying something to my wife, I realized that perhaps the way we think about wealth is way too complicated. It happened when I was telling her that for the first month in a long time, I spent more money than I made. We were going through the list of expenses for June when I said “It’s just simple. You save money when you make more than you use.”
Money management is just as easy as that isn’t it? Make more in a given time period than you spend and you will be ahead. No complications, no 101 list of ways to do this and that, no messy calculators and no need to use complex software.
I wasn’t even thinking too much about it when I made the statement, which meant that I knew this golden and simple fact all along. As a PF blogger, I am guilty of complicating the personal finance subject all the time. I think about another 45 ways to save that extra dollar, 32 ways to invest in the next stock and find the next 87 ways to motivate myself to make more money. I let all these minor issues cloud the main focus, which is really to just make more money than I spend.
With about 150 personal finance blogs, 15 PF magazines out there and tons more ways to read about money matters, it is so easy to get consumed in the little things that we forget about what’s the most important.
Today, I want to alert and remind everyone of something we all know about money managment.
Make more money than we spend. It’s as easy as that.
You can now follow me on twitter! Alternatively, subscribe to my RSS feed or get blog posts through email if you enjoyed this post. You might even win a prize or two by doing so!
Bankruptcy is a serious measure and should be treated as the last resort debt solution. Get impartial and expert debt advice on how to become debt free with an IVA, (Individual Voluntary Arrangement), or a consolidation loan.19 Responses to “Our Thinking of Money Matters is Way Too Complicated”
Leave a Reply
Pingbacks/Trackbacks
-
Carnival of Financial Goals Financial Freedom Edition | Military Finance Network on July 3rd, 2008 at 4:50 pm Says:
[...] presents Our Thinking of Money Matters is Way Too Complicated posted at Money Ning, saying, “Keep it [...]
-
This and That on July 3rd, 2008 at 5:29 pm Says:
[...] Around the Personal Finance Network: Squawkfox developed a nifty mileage calculator and put together a little video tutorial. Money Ning boils down all money management to a single rule. [...]
-
Weekly Roundup: PFN Edition at Clever Dude Personal Finance & Money on July 4th, 2008 at 6:22 am Says:
[...] thinks we complicate money matters too much. Click through to see what his answer to simplifying your [...]
-
Declaration of Financial Independence | Military Finance Network on July 4th, 2008 at 9:17 am Says:
[...] presents Our Thinking of Money Matters is Way Too Complicated posted at Money Ning, saying, “Keep it simple!” I think too many people try to [...]
-
Banana Roundup : Week 27 : Personal Finance on July 6th, 2008 at 12:08 pm Says:
[...] have to agree with Money Ning on Our Thinking of Money Matters is Way Too Complicated. I found myself thinking too much about money issues the past two years until a few months ago when [...]
-
The Carnival of Personal Finance: American Flag Edition | Mighty Bargain Hunter on July 6th, 2008 at 11:58 pm Says:
[...] Ning advocates keeping things simple. (Is it a coincidence that ning means [...]
-
Carnival of Money Stories #67 - 7/8/2008 — The Baglady on July 7th, 2008 at 9:45 pm Says:
[...] means. See Having an income sufficient for your basic needs and comforts posted at Moneymonk and Our Thinking of Money Matters is Way Too Complicated posted at Money [...]
-
Carnival of Debt Reduction » Blog Archive » Help My Cash Grow has posted the Carnival! on July 7th, 2008 at 9:56 pm Says:
[...] Money Ning on how our thinking about money matters is way too complicated [...]
-
Carnival of Personal Finance #160 on July 11th, 2008 at 11:38 am Says:
[...] MoneyNing emphasizes keeping things simple. Amen to [...]
-
Carnival of Personal Finance - Time to Give Lots of Link Love! | Fix My Personal Finance - Personal Finance Advice - Money Management Advice on July 29th, 2008 at 1:03 am Says:
[...] Ning advocates keeping things simple. (Is it a coincidence that ning means [...]
-
Everything Finance on August 4th, 2008 at 6:28 am Says:
Carnival of Everything Finance: # 20…
Welcome to the August 4, 2008 edition of Carnival of Everything Finance.We had over 100 really good articles submitted for this edition. Unfortunately I ……
Loading ...
Hmm… Thanks for the article. I need to think about whether I spend too much time thinking and complicating my finances too.
Calvin, I am going to do the same
Hi Calvin, I totally agree with you. There are 2 ways to accummulate wealth, control spending or make more money. I prefer the later
Great Post David!
I believe this is an important corollary to another oft forgotten tenet of Personal Finance: Spend less than we make.
magnesium and Invest Money Lab: Hopefully the three of us will be rich!
If that happens we can thank MoneyNing later.
I’ll have to partially disagree with you on semantics…You stated: “I let all these minor issues cloud the main focus, which is really to just make more money than I spend.”
Like Joe above, I prefer to think of it as “Spend less than I make”….
I think looking at it this way puts the focus on spending less, instead of on needing to make more money
And I’m all about not spending, and not on making more money… 
Good post! And yes, it IS just that simple!
As a financial neophyte, I have to say…
DUH.
This kind of reminds me of a SNL skit:
http://consumerist.com/consumer/clips/snl-skit-dont-buy-stuff-you-cant-afford-252491.php