
Yeah. I've been thinking, about saving. You could be making 3000 per month, and getting into debt, and you could be making 1500 per month, and having extra money. It all depends on how you handle money. If you handle it as if you could never run out of it, you're going to run out of it. And viceversa.
There's always two approaches: the guy who refuses to look at his bank account balance, and that's been me until now, and the guy who monitors it carefully, and that's me since a month ago. It's a fascinating topic, and you could divide all humans into these two categories.
I think the first ingredient of money management should be that you do not want to run out of money. And in many cases, like in mine, people are lacking the sense that money is precious and limited. First of all, because they never ran out of it before, second of all because they have a feeling that someone will be there to take care of their problems if they do... this mechanism keeps us from really keeping track of our finances. Only if you have to really pay for your money management mistakes, do you realize what money means. Like right now I am not sleeping under a bridge, but I am certainly unable to quit my job, and this because of lack of capital, which is completely my fault. I wasted thousands in the past few years, actually ever since I've had a job, in 1997. Actually ever since I was given an allowance by my parents. I've never been stingy, as everyone should be. One should never spend everything he has, which is what I've been doing until now. I've always spent everything I had. Didn't have money? I even stopped eating. Had money? I treated people to the restaurant. You have instead to be prepared for when you won't have money by saving when you have it.
Now that I am clearly at an office where I don't want to be, I am regretting all the money I wasted. And the compulsive gambling came directly from that same feeling of not running out of money.
In other words, saving money by walking to the cab station rather than calling it from home, is going to have beneficial effects not just on my saving capability in general (I certainly won't treat people to the restaurant if i walked to the cab to save 2 euros) but also on my money management for trading, and the general capability of managing all my resources, including time and even health.
But the truth is that it's not the act of walking to the cab that enables all these positive consequences. They are both the consequence of my determination to save, which is so strong that it will involve all my choices.
It all began when I realized that I cannot find any additional sources of income. I can't really teach... I could do it but I don't want to. I can't sell. I can't ask for a raise. I can't pretty much do anything to increase my income. So I then realized that the only thing I can do right now is save and build up capital, and in the meanwhile study math. And that's what I'm doing.
It was really fun when this friend of mine, who caused me 3000 dollars of expenses at the restaurant during the last 3 years, has asked me a week ago to go to the restaurant, and i refused because i am saving, and she reacted by insulting me and trying to make me feel cheap. I really laughed with satisfaction: if i have to lose a friend because, after 3 years, I stop treating her to dinner, I am very satisfied to lose such a friend. And I hope it will happen more frequently that I will lose friends because i stop treating them to dinner. It was my biggest achievement of this week, losing such "friend".