March 10, 2010. Mexico. Money.

Some folks manage money very well while others seem to spend every penny they earn then complain that they have no money to travel. The question is how do people learn about the handling of money? Certainly money management is not taught at school at almost any level, although I have read recently that in some elementary schools, classes are being held about the subject of money. It is my guess that the parents are the ones that teach money management, and probably from example.

I guess it is habits that are so useful for a lifetime. Small habits such as saving a bit of every dollar you earn, and not frittering away the money that you have. Small amount of money add up over time. Delayed gratification is a requirement too and never buying an object you can not have money to cover in the bank. What is not easy is not having any money at all, but I commented in the earlier years of our marriage when we had no money that we managed very well, but that a person must be well organized and bright to manage to live well on limited income. It is amazing to me when Starbucks are full of people buying a cup of coffee they could get for free at work. And I know of the two dollar cokes from the convenient stores when their refrigerator is full of cokes costing twenty five cents a piece. It is the little habits that will work for a lifetime that pay off. But the truth is that some people are always broke even though they earn big salaries.

Depression era people never really recovered from the experience and it is my guess that the recent recession will teach lessons to all of us about our expenditures and savings. We will see.