I heard a guy say recently, “don’t let your yearnings overtake your earnings.” Another person I know said, “if your outgo exceeds your income, your upkeep will be your downfall.” Both of these sayings express the same wisdom, live within your financial means.
There is no end to the number of smart people who let ego, pride, arrogance, and lack of common sense get the best of them. Its not just people, it is also large corporations like Bear Stearns, Lehman Brothers, Sears just to name a few. I know a guy in my line of work who some years ago started wearing five-thousand-dollar suits, driving exotic sports cars and even bought a jet. Well about two years later, we found out he committed fraud and was sentenced to 11 years in prison.
Regardless of the media noise on all sides, every single one of us know the difference between right and wrong and we also know if we are spending more than we bring in. It is referred to as getting ahead of your skis. I water ski (sometimes) and I can tell you it hurts when you lean too far over your skis trying to go faster. Its face plant city and it will slap you back to common sense. Same thing is true financially.
Our national debt represents basically what I am saying here. We are going further in debt every day because as a country, we are spending way more (every day) than we are bringing in. National debt aside, we as citizens are forced to live on what we earn or we go into debt and sooner than later as the debt increases, it causes a downfall.
Having come through a deep financial crisis when I was a young husband and father, I can tell you, it ages you quickly. The stress can be found in many heath areas, and it seems to affect almost every area of your life. Especially your rest and peace. So, if you are about to make a financial decision to impress someone else. Don’t do it. KT