Why is it scarier to spend money when you have it, then when you dont?

Quote from peilthetraveler:

This is what i notice...broke people love to spend money and put everything on their credit cards. By broke i mean people living paycheck to paycheck. Now I have 10s of thousands just in my savings, and im scared to make any luxury purchase over 300 dollars. I mean i really have to think about it for a long time before i decide. For instance...i've been wanting a new computer for a some time. It would only run me about what...700 dollars? I can afford it, but I would feel like i just threw that money away.

Anyone else with a decent savings in the bank do the same thing?

Maybe chris rock was right....rich people save their money so they can be rich. Poor people spend their money so they can LOOK rich.
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the reason the poor people are poor is because they spend all of their money the reason you are not poor is that you do not spend your money on wasteful things. the poor people spend money without thinking because it is their mentality and they are poor as a result.

most people are poor because of their mentality anyway. they will blame it on other people or the system, which can be the case but everybody has the choice to work and to save and opportunities come with education. in the western world no one can complain about education if they are taught to read due to their being libraries in every populated area. it is peoples decisions whether they go to the library, or save money or work hard. if people do these things if they do not succeed it is usually their own fault not all the time but a lot. the only place where it is not on mass is countries without free education up to reading level and libraries.
 
I have two things to say

#1 I don't know why you guys would assume that a majority of rich people are genuine. Have any of you ever riddin first class on an airplane, the average rich person in my opinion is pompous and thinks that they are somehow more holy than the average joe. They think they deserve more because they are higher in the game of earning money. I truely respect rich people that live frugal, because they understand that life is not about one upping the next guy with a nicer car, or a bigger house, it's being content with who you are and what you have.

#2 I have noticed that most rich people that are frugal hoard their cash and save thier money not for themselves but for others. Almost all rich people that save money don't save it for themselves but for they're children.

I think that most genuine rich people would live the same if they had 5 million, 10 million, 100 million, or a billion. They might buy nicer stuff, a bigger house, a bigger boat, but they would still be just as content.

Its all a game, the game of how high you can get your net worth, and I think for most rich people its a factor of keeping busy, getting better, acceling at something in life that makes you happy. It is fun for them, a game. Or else everyone who lives frugal would quit at 5 or 10 million.

I make money, live semi-frugal, and save my money not for myself, but for my children. I have fun trading, yes I make money and it helps me to live lavishly, but I save my money for my family, so that my children can choose to do whatever they want. So they have the choice to serve in a public nature, or choose to take a job that makes 20k a year just because they love it, and I would gladly support them. Cause that's what life is all about, finding something you love and acceling at it.
 
I digressed, the question was.

"Why is it scarier to spend money when you have it, then when you dont?"

I think the answer lies in how the money is made.

When you make money you understand how difficult the road was to make money, price tags are not in terms of $, but in terms of how long it would take you to accumulate it. Its scarier to spend 100k on a car if you worked for 10 years making 50k a year, than spending 100k on a car if you are given 500k from a super rich relative, IMO.

Poor people buy I-fones, big screen TV's, and have expensive taste cause what else are they going to spend they're money on. If I were poor, why would I feel good buying cheap crappy stuff all the time, I wouldn't. I would buy nice stuff and feel good about enjoying the same stuff the rich guy down the street buys.
 
Quote from Uncle_Ho:



I don't know why you guys would assume that a majority of rich people are genuine. Have any of you ever riddin first class on an airplane, the average rich person in my opinion is pompous and thinks that they are somehow more holy than the average joe.
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Dont confuse all people in first class as rich people. Sometimes the coach people just use their miles to upgrade, or sometimes the poor people get one of those "last minute upgrade to first class for 25 dollars" deals. Then its those people that act all pompous because they think thats how rich people are supposed to act.

I've seen the same thing in fancy restaurants. You can tell the poor people from the rich people just by their clothes. Even if the poor person is wearing a suit, you will be able to tell he's wearing a walmart jacket with mismatched slacks and a tie that goes either 6 inches above his belt or 6 inches below. And then you see them yelling at the waiter because they have been waiting 10 minutes for their food.

The only rich people I can think of that do act that way, are the ones that were given that money, or the ones that are addicted to drugs.
 
a word of advice--- think your saving for your children??

may i suggest a water tight trust fund and good money training to your protogee's. Otherwise, let the family wars begin at your demise.

surf
 
Quote from TrueProp:

We trade to make money and at the same time we're afraid to take a vacation sometimes because we might miss a big trade --
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that's called an addict, not a trader.
 
Quote from peilthetraveler:

This is an excellent point, but i think it goes deeper than that. I think its the whole "I want it now" attitude. People who want everything now, spend everything now. Its also the reason why poor people are more likely to be adicted to drugs. They want that high feeling now and do not want to wait until they get to a place in there life where they just feel good all the time.
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maybe the underlying trait is the level of impulse control. i would be interested in seeing a study to try and correlate the level of wealth to the level of impulse control.
 
people who make money from capital thinks differently then people who make money from labour/hours

If I spend $300 on an ipod, that $300 can be spent in marketing making me $400, before taxes $470

After awhile you just start spending less and less, or pickup the great deals
like this EEEPc I got for $270 at newegg
use to be $600
Now $270

Man, thats a deal for fine technology
 
Quote from volente_00: It's not what you know but who you know. Use this job to network and you will be surprised where you can go.
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That’s sort of my ulterior motive all along, besides just trying to not deliver pizza anymore. But I’m also not going to depend on some rich guy just randomly saying he wants to talk business with me sometime.
 
Networking is for people who can't trade. Keep sucking someone off and you might get somewhere in life. Uh thanks but no thanks.
 
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