Today I had a big test in Machine Learning (it’s a class about computer algorithms). The test was 25% of my grade so I studied hard, on an unrelated note there will be no new comic this week (just kidding). When the test was over I left feeling very good about it. I thought, “I’ll get a snack from the food court to celebrate.”
With junk food in mind I pulled out my wallet counted my money and calculated how many tanks of gas I could buy before I was flat again. I then put my wallet back in my pocket and ate a delicious lunch of pulled pork at home.
That’s right my fad diet is simple, be broke.
Now the skeptical reader may think, “but I have a steady job with money in the bank, I have money to spend.”
So do I. I have income, I have savings, but that doesn’t mean I want to blow it on junk food. More accurately I want to, but I can’t bring myself to.
I encourage you to follow the same procedure I do, before you buy food. Calculate your income and your expected expense. Be sure to include things like regular food, gas money, oil money, room and board, laundry detergent, dish soap, and other necessities. Once you know your income vs. expenses you should see if you have enough in reserve for emergencies. This amount will vary directly with your responsibilities (if you have more people depending on you you’ll want more money). Next look ahead, do you have money for Christmas gifts? What about birthdays? Do you own a car? a house? Do you want to? What if something happens to your home or car, can you replace them? What about books, phones and laptops? Are you married if not how much money do you want in the bank when you get married, if so better plan for another dependent.
If after all this you still feel like you can afford an unnecessary snack, donate to charity, you have way too much money.