Thursday, May 3, 2012

LIfe Plans

Someone asked me once, if we had plans when we got married. I said, “Yes I did, but later we had to make some real plans. Income and savings.”  We lived off what we made. When either of us was promoted, we continued to live the way we had and saved the increase. After two raises we would raise our standards one pay raise, etc. US Savings bonds was our way of saving. Payroll withdrawal was the method of buying the savings bonds.  We just increased  the bond the next amount of the bond values. $25 to $50 etc.

Now I warn you,  If you buy bonds, and accumulate a lot of them, be prepared to sign and date them, When you have a few hundred bonds it takes a long time..

We laugh at our first budget, at the end of a pay period we had on the average $1 left for outside entertainment. That bought us a round of miniature golf and a banana split. We have never required a lot.

On a side note, we have attended two major league games. One foot ball at Miami to see the Dolphins and the Buffalo Bills, and once to see a Red Skins pre season game in D.C.  A man in front of us had 5 children to take in. I was amazed that anyone could afford to take 5 kids to a major league game and buy drinks and hot dogs too! To me that would be a fortune. To be honest, I enjoyed the two games, but I liked them just as well on TV, but I am not a sports fan.

In life you must decide if you want ‘stuff’ early in life and be willing to borrow to pay for it, or do without the things your  peers must have, and save something for a rainy day.

We were in our late 50’s before we bought a new car. We have actually bought 2 new cars now, but never again. Used has always served us well. I have never felt the need to impress folks with a new truck in construction, used worked fine.

Over the years living debt free has worked for us. We bought one house with a 30 yr loan. The first year Sherry was very angry. looking at the yearly report sent out by ‘Lomas and Nettleton’, we had paid exactly $204 on our house, the rest was interest. If you are paying attention, as Sherry did, by paying $204 dollars on the principal, she could cut the loan down a YEAR!  So she started saving and adding to the payment, ‘To Be Applied to Principle only!’ In other words, her first extra payment of $204 saved us like$2400 in interest.

In a few years she had the loan down to 13 years. Then the payments started cutting into the principal.

I am over time. Thanks for coming by the log.

Nite Shipslog

PS:

More Church bulletin bloopers:

For those of you who have children and don't know it, we have a nursery downstairs.
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1961CorvairRampsidePickup

1961 Corvair Side ramp, We owned a 1961 Corvair car. That sucker leaked more oil than the Arabs produced.  But I loved to drive it.  hahahaha

11 comments:

Louis la Vache said...

hee hee....
It seems ALL Corvairs leaked more oil than the Arabs produce! A puddle of oil under the car was standard equipment on all Corvairs!

Paula said...

Where did all the sensible people go? We paid more for our first new car then we paid for our house and you can bet we saved the money before we bought either.

shirl72 said...

I agree if you don't have the money
don't buy it. As we grow older
we figure these things out.
When we were young live it up and
get what you want and pay later.
Life really changes with age, I
like to think I am wiser.(MAYBE)

Shirl

That corgi :) said...

So agree about living within ones means and to pay cash as much as possible and not to acquire debt. It is amazing too when you look back and see how much you will pay over a 30 year house loan, almost scary indeed!!

hope Sherry you are being a good patient :) And Jack I hope you are patient taking care of Sherry :)

betty

I'm mostly known as 'MA' said...

It's Friday morning and I'm sitting here at my camper with my good cup of coffee and thinking how great life is. With a lot of help from the good Lord, I live debt free now. But when I think about the interest paid out over the years it's scary. I've never owned a new car. Always had used and yes, they have been good cars too. I was able to pay cash for the last 2 that I had. It is a good feeling. I raked leaves most of yesterday here. Camping in the woods means a lot of leaves fall after the season ends and then we have to clean them up when Spring comes. Hopefully today won't bring quite as much work.

TARYTERRE said...

Words of wisdom, for sure. Advice to live by. When we tried to pay down our mortgage here our bank refused to take the money and apply it like that. I KID you not. PS)I'm behind in my commenting. Lots of things happening in my lfe I can't talk about online. Just know i'm thinking about you all. TAKE CARE.

Theanne said...

whoops I think I knew when I had a child ;)

to bad my ex didn't think the way you and Sherry did...his idea was to spend every dime he could get his hands on! Don on the other hand was a conservative money spender for which he has my eternal gratitude!

how's Sherry doing?

Chatty Crone said...

You know my husband and I have lived that way all our life - except the house - we had a mortgage too. I wish the kids of today would understand that!

I agree about the cars - saving - buying what you need only - it sure is a different world.

I hope Sherry is going okay.

Sandie

Robert Geiss said...

no plan over here, yet works now for already ten years.
please have a good weekend you all.

DD said...

Very good!

Ken Riches said...

After being near bankruptcy in 2000, we have climbed back to be debt free for everything but the house, my wife retired at 45, and we are paying extra every month on our house. Next goal is my retirement - lack of debts is the only way to go.