Connect with us

Digm Piece (Op-Ed)

The Perils of Being Cheap and Tips on Frugality

Finding comparable substitutes is admirable; it’s a good attribute to possess. Let’s discover what cheap and frugal truly are and how to be more financially savvy when it comes to both.

Published

on

Would you consider yourself cheap or frugal? There is a fine line between the two. Yes, some things you just can’t skip on like cheese, shoes, and airplane tickets. You don’t want to find yourself on a flight with cattle, 3 layovers, arriving miles away from your destination.  The saying you get what you pay for is true considering your purchase. Finding comparable substitutes is admirable; it’s a good attribute to possess. Let’s discover what cheap and frugal truly are and how to be more financially savvy when it comes to both.

To be frugal is to make purchasing decisions sparingly. Buying out of necessity first and then out of desire. And even when checking off your wish list of wants, you still consider prices and seek to find the best deal possible. That’s not being cheap! Cheap, on the other hand, is settling for less quality and even going without altogether.

The dangers in being cheap is that you end up paying more in the long run. Replacing that $5 – dollar phone charger from the corner store; spending twice as much on the leaky ceiling to repair the original issue and the one you caused while trying to patch it yourself; or taking back that tacky (and cheap) outfit you bought just because it was on sale. A cheap mentality doesn’t get you far.  In fact, it holds you back from making money and rich memories.

Moving forward be frugal; consider your options and seek quality for a good price versus just a low price. In doing so, you’ll have better experiences and more money to show for it.

Tashima Jones is co-founder of Tashima Jones Media, an online television platform & advertising company connected to the independent creative. She is also the author of Being Broke Made Me Rich, a financial memoir likened to Paulo Coelho’s The Alchemist based on personal experiences and the lessons they taught on being rich. Visit www.TashimaJones.com for more.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Digm Piece (Op-Ed)

Do What You Love for Free – Here’s Why

Published

on

This is ParadigmMoney.Com, right? So, speaking about a paradigm shift should come as no surprise. In science and philosophy, a paradigm is a distinct set of concepts or thought patterns, including theories, research methods, postulates, and standards for what constitutes legitimate contributions to a field. When speaking about money, most believe it is something you work for and not something that works for you. In all truth, the one percenters understand this concept quite well. In order, to wake up and do what you love, you too must shift your thoughts when it comes to finances.

Doing what you love for free allows you to create freely. You can come up with disruptive, out of this world, never seen before creations that will rock this planet. Take Elon Musk from South Africa, founder of X.com which went on to become PayPal and sold to eBay for 1.5 billion dollars. Musk is also the CEO of SpaceX which designs, manufactures and launches advanced rockets and spacecraft. The company was founded to revolutionize space technology, with the ultimate goal of enabling people to live on other planets. You may say, of course, he can do this, he is a billionaire and co-founder of Tesla.

Not true. PayPal, Tesla, and SpaceX are all products of Musk doing what he loved. As a child, he was an avid reader and taught himself computer programming leading to the creation of X.com. He dropped out of college to start a company with his brother and here’s what he had to say about that PayPal deal… “My proceeds from the PayPal acquisition were $180 million. I put $100 million in SpaceX, $70m in Tesla, and $10m in Solar City. I had to borrow money for rent.” Elon Musk’s current net worth is estimated to be at about $13.3 billion. No bad at all.

The reality of the matter is the less you are attached to money the more money flows to you. Pay more attention to creating things that move the culture forward. Starting at doing what you love with ultimately position you for financial success and happiness.

Continue Reading

Digm Piece (Op-Ed)

How Much Does College Cost?

Published

on

Photo credit iStock by Getty Images

How much does college cost these days? If you’re preparing to go to college and will need to find a way to finance your own education, this is one of the first steps to figure out.  Then you’ll want to find out all of your options and create a plan. Here’s a quick breakdown on the typical cost of college. (more…)

Continue Reading

Digm Piece (Op-Ed)

My Biggest Financial Mistake

Published

on

Happy Financial Literacy Month…the month where we shine a spotlight on financial education and the importance it plays in our lives. I talked before about my financial bounceback and received a few messages from readers about how that story showed them that anyone can have financial hardships.

Now it’s time to be even more transparent. To kick off Financial Literacy Month, I want to share my biggest financial mistake to date in hopes to further inspire people.

Whenever I want to accomplish something, I start with a plan and follow it no matter what. Some people called it stubbornness, but I like to call it persistence. One day, my persistence bit me in the ass-et, causing all kinds of grief and hardship. Having a plan can be great, until it’s not.

At one point in my life, I decided to leave a great-paying job to become a full-time entrepreneur. I was on a quest to follow my dreams. I knew the pitfalls and risks that came with my decision, but I felt like I was immune because, well it was my calling. Within a few months of taking the leap, I fell behind on my mortgage and almost lost my home.

Letters from the bank — and ultimately, their lawyers — came pouring in. In no time, my family was facing foreclosure. This was the first time anything of this magnitude had ever happened to me. I didn’t know where to start or what to do.

My family and I braced ourselves for what seemed like the inevitable: we packed our bags with nowhere to go. Just when I thought all hope was lost, I learned about less extreme ways of handling and resolving missed mortgage payments.

One option was a short sale. I could sell my home for less than I owed on the mortgage, if my lender would approve the transaction. The outstanding balance would then be forgiven. Another option was a deed in lieu of foreclosure. This would allow me to voluntarily give up my rights to the property instead of going through the stressful and costly legal foreclosure process.

Ultimately, I didn’t have to do either because I found one more option. At the time there was a federal government program called the Making Home Affordable Program which helped homeowners avoid foreclosure. I was able to do a loan modification where my lender changed the terms of my loan to allow me to make lower payments so my family could stay put. It made staying in our home a reality.

The loan modification began with a three-month trial period. After I successfully made the first three payments on time, the modification became permanent. While that was great news, the delinquent payments remained a blemish on my credit report. However, time does heal all. As I continue to make on-time payments toward my mortgage, the delinquencies will eventually fall off. Lesson learned. The next time I follow a dream, I’ll do it a lot more carefully.

Now that I put all my skeletons on the table, what is your biggest financial mistake? Use the comments below to tell us about your biggest financial mistake, what you learned from it and how you overcame it.

Continue Reading

Trending