Stacking Pennies . . .

Something I've noticed in some of the financial blogs I read is that some people who have their money "figured out" are quite arrogant about it. I notice it more so in the comments than in the actual bloggers. It's sure nice to pay your credit card in full every month and to be sitting on a pile of savings and able to live within your means. It's practically essential for happiness, I think. But just because someone hasn't been able to do this, doesn't mean they are a worse person, it means they either started in a worse position or made a series of poor decisions (or both). I applaud anyone who has their finances under control, but those who do not aren't going to improve by us judging them. Of course, I tend to be slightly liberal and fall subject to the "bleeding heart" stereotype occasionally.

One opinion I came across personally offended me, because it was essentially calling me a worse person because I didn't follow their rules. This is the opinion that advocates never taking on debt and ridding yourself of debt before investing. At first glance, that seems reasonable. However, my life hasn't worked that way, and I don't think that I did it (or am doing it) "wrong".


I understand most people agree that education and houses are "good debt", but there are those that think there is no such thing.

I financed my entire college education on student loans. Oh sure, I had jobs. They helped out, but you can only make so much money working part time and summers. Some would say that was a mistake, that I should have went to work full time until I could save up enough to afford to pay for college in cash. There are people who do this, and it is admirable. However, education was very important to me, I was always a bright student, and I knew that i wouldn't be happy if I didn't go to college. I picked a major I enjoyed that would allow me to earn a good living, and put my heart into school. For the most part, my loans were subsidized and accrued no interest until I graduated. A year before I graduated, I received a job offer of a respectable 55k + benefits in an low cost area, and took my final semester abroad. Financially, it wasn't responsible for me to go to Asia for my last semester. Still, I don't regret it. I knew that it was on borrowed money, but it was the only time in my life that I would have the time to do something like that. So I did it. I don't regret it.

Since then, I've been working on paying my debt down. I've paid about 6k so far, and have slowed down now that the interest is subsidized again (since I am taking classes part time while working). I have about 20k left. If I had waited until I could afford college, I would have wasted years of my life in a low paying job when I am capable of more.

Also, I'm investing even though I still have debt. I'm not just investing enough to get the company match--I'm investing 10% as well as maxing out a Roth. At the end of the year, I know that the 4000 I have in my Roth could be 4000 less on my loans. I think this is a good move, given the low interest rate on my loans (and no interest for now), and time is on my side for compounding interest. Even though the loans are accumulating interest each month, it isn't compounding.

Debt can be repaid, but time, you can never get that back.

Something I've noticed in some of the financial blogs I read is that some people who have their money "figured out" are quite arrogant about it. I notice it more so in the comments than in the actual bloggers. It's sure nice to pay your credit card in full every month and to be sitting on a pile of savings and able to live within your means. It's practically essential for happiness, I think. But just because someone hasn't been able to do this, doesn't mean they are a worse person, it means they either started in a worse position or made a series of poor decisions (or both). I applaud anyone who has their finances under control, but those who do not aren't going to improve by us judging them. Of course, I tend to be slightly liberal and fall subject to the "bleeding heart" stereotype occasionally.

One opinion I came across personally offended me, because it was essentially calling me a worse person because I didn't follow their rules. This is the opinion that advocates never taking on debt and ridding yourself of debt before investing. At first glance, that seems reasonable. However, my life hasn't worked that way, and I don't think that I did it (or am doing it) "wrong".


I understand most people agree that education and houses are "good debt", but there are those that think there is no such thing.

I financed my entire college education on student loans. Oh sure, I had jobs. They helped out, but you can only make so much money working part time and summers. Some would say that was a mistake, that I should have went to work full time until I could save up enough to afford to pay for college in cash. There are people who do this, and it is admirable. However, education was very important to me, I was always a bright student, and I knew that i wouldn't be happy if I didn't go to college. I picked a major I enjoyed that would allow me to earn a good living, and put my heart into school. For the most part, my loans were subsidized and accrued no interest until I graduated. A year before I graduated, I received a job offer of a respectable 55k + benefits in an low cost area, and took my final semester abroad. Financially, it wasn't responsible for me to go to Asia for my last semester. Still, I don't regret it. I knew that it was on borrowed money, but it was the only time in my life that I would have the time to do something like that. So I did it. I don't regret it.

Since then, I've been working on paying my debt down. I've paid about 6k so far, and have slowed down now that the interest is subsidized again (since I am taking classes part time while working). I have about 20k left. If I had waited until I could afford college, I would have wasted years of my life in a low paying job when I am capable of more.

Also, I'm investing even though I still have debt. I'm not just investing enough to get the company match--I'm investing 10% as well as maxing out a Roth. At the end of the year, I know that the 4000 I have in my Roth could be 4000 less on my loans. I think this is a good move, given the low interest rate on my loans (and no interest for now), and time is on my side for compounding interest. Even though the loans are accumulating interest each month, it isn't compounding.

Debt can be repaid, but time, you can never get that back.

Something I've noticed in some of the financial blogs I read is that some people who have their money "figured out" are quite arrogant about it. I notice it more so in the comments than in the actual bloggers. It's sure nice to pay your credit card in full every month and to be sitting on a pile of savings and able to live within your means. It's practically essential for happiness, I think. But just because someone hasn't been able to do this, doesn't mean they are a worse person, it means they either started in a worse position or made a series of poor decisions (or both). I applaud anyone who has their finances under control, but those who do not aren't going to improve by us judging them. Of course, I tend to be slightly liberal and fall subject to the "bleeding heart" stereotype occasionally.

One opinion I came across personally offended me, because it was essentially calling me a worse person because I didn't follow their rules. This is the opinion that advocates never taking on debt and ridding yourself of debt before investing. At first glance, that seems reasonable. However, my life hasn't worked that way, and I don't think that I did it (or am doing it) "wrong".


I understand most people agree that education and houses are "good debt", but there are those that think there is no such thing.

I financed my entire college education on student loans. Oh sure, I had jobs. They helped out, but you can only make so much money working part time and summers. Some would say that was a mistake, that I should have went to work full time until I could save up enough to afford to pay for college in cash. There are people who do this, and it is admirable. However, education was very important to me, I was always a bright student, and I knew that i wouldn't be happy if I didn't go to college. I picked a major I enjoyed that would allow me to earn a good living, and put my heart into school. For the most part, my loans were subsidized and accrued no interest until I graduated. A year before I graduated, I received a job offer of a respectable 55k + benefits in an low cost area, and took my final semester abroad. Financially, it wasn't responsible for me to go to Asia for my last semester. Still, I don't regret it. I knew that it was on borrowed money, but it was the only time in my life that I would have the time to do something like that. So I did it. I don't regret it.

Since then, I've been working on paying my debt down. I've paid about 6k so far, and have slowed down now that the interest is subsidized again (since I am taking classes part time while working). I have about 20k left. If I had waited until I could afford college, I would have wasted years of my life in a low paying job when I am capable of more.

Also, I'm investing even though I still have debt. I'm not just investing enough to get the company match--I'm investing 10% as well as maxing out a Roth. At the end of the year, I know that the 4000 I have in my Roth could be 4000 less on my loans. I think this is a good move, given the low interest rate on my loans (and no interest for now), and time is on my side for compounding interest. Even though the loans are accumulating interest each month, it isn't compounding.

Debt can be repaid, but time, you can never get that back.

Something I've noticed in some of the financial blogs I read is that some people who have their money "figured out" are quite arrogant about it. I notice it more so in the comments than in the actual bloggers. It's sure nice to pay your credit card in full every month and to be sitting on a pile of savings and able to live within your means. It's practically essential for happiness, I think. But just because someone hasn't been able to do this, doesn't mean they are a worse person, it means they either started in a worse position or made a series of poor decisions (or both). I applaud anyone who has their finances under control, but those who do not aren't going to improve by us judging them. Of course, I tend to be slightly liberal and fall subject to the "bleeding heart" stereotype occasionally.

One opinion I came across personally offended me, because it was essentially calling me a worse person because I didn't follow their rules. This is the opinion that advocates never taking on debt and ridding yourself of debt before investing. At first glance, that seems reasonable. However, my life hasn't worked that way, and I don't think that I did it (or am doing it) "wrong".


I understand most people agree that education and houses are "good debt", but there are those that think there is no such thing.

I financed my entire college education on student loans. Oh sure, I had jobs. They helped out, but you can only make so much money working part time and summers. Some would say that was a mistake, that I should have went to work full time until I could save up enough to afford to pay for college in cash. There are people who do this, and it is admirable. However, education was very important to me, I was always a bright student, and I knew that i wouldn't be happy if I didn't go to college. I picked a major I enjoyed that would allow me to earn a good living, and put my heart into school. For the most part, my loans were subsidized and accrued no interest until I graduated. A year before I graduated, I received a job offer of a respectable 55k + benefits in an low cost area, and took my final semester abroad. Financially, it wasn't responsible for me to go to Asia for my last semester. Still, I don't regret it. I knew that it was on borrowed money, but it was the only time in my life that I would have the time to do something like that. So I did it. I don't regret it.

Since then, I've been working on paying my debt down. I've paid about 6k so far, and have slowed down now that the interest is subsidized again (since I am taking classes part time while working). I have about 20k left. If I had waited until I could afford college, I would have wasted years of my life in a low paying job when I am capable of more.

Also, I'm investing even though I still have debt. I'm not just investing enough to get the company match--I'm investing 10% as well as maxing out a Roth. At the end of the year, I know that the 4000 I have in my Roth could be 4000 less on my loans. I think this is a good move, given the low interest rate on my loans (and no interest for now), and time is on my side for compounding interest. Even though the loans are accumulating interest each month, it isn't compounding.

Debt can be repaid, but time, you can never get that back.