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Archives for May 2015

Homelessness Is Everyone’s Problem

By Frugaling 16 Comments

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Snowplow Street

I stood there, harboring a chip on my shoulder and feeling like I was carrying a burden in my chest. School was entering the toughest part of the year, and I was still trudging along in sub-zero, arctic-like temperatures of Iowa. Stressed out and pissed off, the snow pummeled and angled for my eyes.

Over a foot of snow accumulated in two hours. I couldn’t see the concrete. Roads and pedestrian paths disintegrated. Cars revved and swerved with each degree shift of the wheel. I feared I’d be the accidental recipient of an absentminded or reckless driver.

A face mask crystallized my condensed breath. I blinked and shards seemed to puncture my eyelids. Although, without it, my nose would likely fall off. I could barely breathe – artificially choked by the restrictive layer like an asthmatic marathoner.

Snow drifts and plows lined the sidewalks. My momentum couldn’t carry me over the hills, so I looked like a football player running through tires. The tendons in my knees stretched and torqued under the trot. I could tell they weren’t happy with me — every time I stopped they screamed and ached.

What was I running to? My place of work: the homeless shelter. A beacon and bastion of hope – the warm solace where my weathered feet might warm. Even more, I was motivated by the fact that my brief discomfort was another’s quotidian life. The punishing cold and snow was an unfortunate norm to the population I came to serve. The homeless were suffering far more at the worst part of the season. I needed to get there and try to make a difference.

An academic year — summer to summer — passed since I started working at the shelter. I saw the seasons change, turnover in residents, and demographic shifts. People with pennies to their name would come in and seek shelter — some would be turned away for lack of room. Some would be paired with case managers, find work, and a fresh start in a new apartment. Sometimes the system worked, and sometimes it failed. Some homeless people were self-starters, and others needed additional help.

As a white guy from a middle-class neighborhood in the Denver area, my experience in life seemed to differ from many of the residents of the shelter. My parents worked hard, but also made time for me. They are still married after 30 years. And they consciously decided on neighborhoods with strong schools. Many residents came from broken families and piss poor educations.

I was born white, and with it, I gained an unearned privilege. Police would pay less attention to me. Teachers would pay more attention to me. Honors and advanced placement (AP) courses were always available, and I was encouraged to take them. Life was easy in these respects. I had difficulties growing up – often feeling like an outsider – but these paled in comparison to systemic racism, segregation, and lost opportunities.

In many ways, I grew to appreciate that shelters are society’s measly attempt at righting systemic wrongs. They focus on the bare necessities usually: a place to sleep and a daily meal. Occasionally, there’s a pair of shoes or gloves that will prevent frostbite.

How do we let people ever get this low? How do we fail to provide for those in need of greater assistance? Unfortunately, answers are complex. It requires changing the dialogues we have with others and in our own heads about poverty, income/wealth inequality, and homelessness.

On my last day, I hugged the staff goodbye and shook the hands of some residents I had gotten to know. My eyes welled up with sadness. A year of counseling and communication with one of the most vulnerable populations… It was overwhelming. I had continuously reached my limits as a counselor – newly defined due to this experience. Sometimes I couldn’t help as much as I wanted because basic needs were unmet. My role at that point became to assist in whatever way I could.

Today, I write about this experience in the hope that you’ll listen and advocate for those in need. The financial burdens of people without homes is great, but the systemic problems that lead to this place are even greater. Advocacy is the only option, and it goes beyond serving food at a soup kitchen or counseling. Change necessitates sociopolitical involvement, which requires us to write, vote, and get upset about it.

We live in a perplexing time of great wealth with horrific poverty. How the two exist and continue is a consequence of systemic, legal, and political action. To change it, we must use the same tools.

In Salt Lake City, there’s a movement afoot to change this paradigm. It’s called, “housing first.” Instead of judging people and calling them “lazy addicts,” Salt Lake provides housing to the homeless. Radically simple, isn’t it? They provide housing, which clears and cleans the streets, and it turns out that it’s cheaper than letting people freeze to death and/or suffering horrific injuries that need the emergency department as a primary means of care.

When you provide housing first, you stop judging someone for all their faults, and start seeing a person that is from a community – who had varying opportunities to succeed. And best of all, it’s affordable.

The sun is beaming down and a breeze passes through my hair. It’s pleasant. And then I think, what will it be like for those out there on the streets tonight? I never used to think that, but now I do almost every day.

Filed Under: Social Justice Tagged With: homeless, homes, housing first, Income, inequality, poverty, Wealth

Frugal Articles of the Week

By Frugaling 4 Comments

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Reading Nook Photo

Every week I like to feature a few frugal articles that caught my eyes. Curl up in your favorite reading nook and enjoy. Hopefully these encourage you to live frugal lives!

Most millionaires say they’re middle class by Robert Frank
There’s something strange about money. No matter how much people have, it never seems to be enough. Take this recent article from CNBC highlighting millionaires who say they’re middle class. It’s possible, but only if you compare them to the richest in Manhattan. Middle class on a global scale is an income in the tens of thousands of dollars per year. With a million or two, you’d be sitting pretty in most of the world.

Your stock picks say a lot about your age by Barbara Kollmeyer
As a shareholder of Tesla (TSLA) stock, this article spoke to me. Tremendous variations in stock ownership by age groups are present. Younger people tend to own technology companies and older adults choose stalwarts such as General Electric. From an investment perspective, it says a lot about future wealth and generational changes in stock market valuation.

Is Frugality Sustainable Without A Goal? by Mrs. Frugalwoods
Oh, I love this one! Mrs. Frugalwoods highlights the importance of goals and planning for frugality. She notes that there was a time before frugality where she was adrift and spending more than she should, but then there was an awakening.

I secretly lived in my office for 500 days by Terry K.
This story either represents the ultimate simple life/minimalist or someone in intense desperation. With skyrocketing housing prices in Los Angeles, one person took to living in their office for 500 days. He explains how this “financial fix” became a “lifestyle.”

Filed Under: Save Money Tagged With: articles, Frugal, market, Millionaire, Minimalism, stock, Sustainable, Tesla, week

Shatter Your Definition Of Success

By Frugaling 9 Comments

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McMansions

Tell me about successful people and you might be inclined to rattle off resumes. Perhaps these people work hard and make sizable sums of money. Maybe they are moving into multiple-thousand square foot homes with ample room. They could even have the prestigious title of doctor or chief executive.

In our highly individualistic society that hails “hard work” and “grit” and “responsibility” and “choice,” we learn early on what success looks like. Different cultures have variations of vocational prestigiousness, but many share in the desire to own land, property, and make more money than most. To be accomplished, one must follow this tattered path.

The ability to captivate through material possessions and titles is dangerous. Real success and accomplishment seems lost amidst this cavalcade of crap. Worse, these measures of success are not afforded to everyone. Minorities and those from disenfranchised backgrounds are not offered the same opportunities to “succeed” in these traditional ways. For example, faculty at institutions of higher learning are overwhelmingly white men, and that’s a problem for everyone.

Our ideas and definitions of success are decrepit. We need new measures, and we’re long overdue. If success cannot be afforded with greater equality, why do we continue to allow these narrow ideas to continue? What exactly are we doing with these antiquated ideals? Why do we trumpet individual achievement that only goes to consume and perpetuate inequities?

Society benefits in the propagation of materialism and consumption. And current measures of success conveniently fit this modality. Buy the home, buy a bigger one. Buy the car, buy a more luxurious one.

We need better, less financially dependent measures of successes. Education is out of reach for many. Material possessions are tired and tried methods of achievement. Income disparities are nearing Gilded Age levels again. Larger homes consume more fossil fuels to heat and cool. Luxury vehicles tend to burn through gasoline. And prestigious titles seem reserved for those born and ascribed status.

Just because “success” works for capitalism doesn’t mean it works for the collective. Let’s craft something a little different. Perhaps we can live in a world that defines success flexibly. Perhaps we can see success in the helping hand, time, and dollar given to anyone/someone in need. Perhaps we can see success in the mother that raises children who respect the planet and find ways to help others. Perhaps we need to break out from formal strictures that rule over our lives, and consider that consumption cannot equal achievement.

Disbanding this present thinking provides for a future with hope for the masses. Achievements needn’t be through prescribed methods and lists of prestigious professions. We need a world with janitors, plumbers, assistant to the assistant managers, and everything in between. We need a world where someone making $35,000 per year, retiring with little, but helping find foster homes for children is seen as a hero (and heck, would it hurt to pay that person a little more?).

Humans are incredibly creative; yet, we have allowed these to persist. We are flawed, but have great potential. It’s time to shed archaic messages. They were convenient for marketers, but harbored horrific messages to those who couldn’t meet the prescribed rules.

How would you define success? Who are your role models? What do you think about income, vocation, and education as measures of success?

Filed Under: Social Justice Tagged With: achievement, Career, Gilded Age, Income, Income Inequality, jobs, rich, Success, vocation, Wealth

Two-Year Anniversary Of Frugaling!

By Frugaling 15 Comments

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Manhattan Beach, California

Discomfort: The catalyst for change

Two years ago, I sat in my then-girlfriend’s apartment in Manhattan Beach, California. Only a couple blocks from the Pacific Ocean, I felt like it was heaven on Earth. Frankly, I hadn’t found any place more relaxing and beautiful.

But that May 4th, 2013 was complicated for me. I was powerfully distracted by student loans. The numbers continued to worsen, and I wanted to stop the bleeding. The debt was hurtling towards $40,000. I was afraid I couldn’t or wouldn’t be able to reduce it as a graduate student.

Everybody in my life said they were proud of me — of making it to a Ph.D. program and helping others through counseling psychology. And yet, I felt hopeless to do anything about my financial situation. Doing good didn’t mean money followed suit.

I told my then-girlfriend that I was nervous. I told her I didn’t know what to do. I told her that when I was younger I used to write, blog, and share my thoughts. Maybe I could do that again?

Neither of us truly believed that writing could suddenly pay off my student loans and credit debt. I was green and naive, but my eagerness and openness pushed me into action.

The start of something good

With trepidation and giddiness, we sat down and talked about the idea of starting a website.

She asked, “What would you call it?”

We played around with some ideas — back and forth. Nothing really stuck. Or, when we liked something the domain name was invariably taken. Darn it! Maybe I was just too late in the game to join the personal finance community?

Then, as we decided to table the discussion, I suggested “Frugaling.” The name danced across my vocal cords and tongue with a playfulness, which also acknowledged finances. And there it was: available. I bought it immediately.

Energized, I sat down at the kitchen table and coded the basic structure of the website. I found a theme and we designed a header logo. The site was rough around the edges and certainly wouldn’t have won any design awards. With her help and my passion for personal finance, I wrote my first article. Half a day had rolled by, but it was live!

Would you marry me?

Initially, I asked my readers, “Would you marry me?” The question was bouncing around in my head ever since I was asked how much debt I had. I worried that having tens of thousands in student loans might hinder my chances at a loving, long relationship. Questions such as, “How would you provide for children?” or “How would you afford a mortgage?” stopped me in my tracks. I felt awful. After all, monetary concerns often break up marriages.

When I published that first article, I had four readers: mom, dad, bro, and Lisa. Each of them read the article, and supported my decision to start this website. Albeit, there was definitely some skepticism from them.

When I hit that “publish” button, I was awash with a familiar, but dormant, feeling. It was a rush of excitement and energy, which reminded me of a brief foray into opinion-editorial writing at my college newspaper. It had been years since I wrote publicly, and I was instantly hooked back in.

Over the coming months, a torrent of articles flew through my fingertips and onto the screen. I loved the feeling of being a writer, editor, publisher, and advertiser. I was doing it all in the cracks of free time that graduate school occasionally presented. And few even knew I existed. The love was in the process of writing, not the paycheck.

Shifting ideals, writing styles

To summarize and contain two years of thoughts, critiques, and articles is nearly impossible. The time period is collected and framed on this site for all to see. It’s a time when I hurt immensely, and saw few ways out of tens of thousands in debt.

My first articles were rudimentary. Inspiration came from other personal finance websites and, mostly, well-tread territory. Sadly, I’m not sure that I was providing earth shattering revelations.

Despite my skill level (or lack thereof), I enjoyed the process of sharing openly about debt. For the first time in my life, I wasn’t embarrassed, ashamed, and guilty about my choices in life. I was finally facing my demon.

As I continued to write, two things happened unintentionally:

First, my writing improved and developed a voice. I could write faster, and with greater clarity. My audience grew with every additional article. I learned how to write better by treating this process like a science. What worked? What didn’t? How could I improve my titles? How could I attract more diverse audiences?

Second, I noticed a missing element in the personal finance world. It centered on diversity. Many of the financial gurus and role models for debt-free living were white, middle-class, and had terrific educations. They didn’t represent the common person struggling with outsized credit and student loan debt. Writing about simple methods to save didn’t have the same caché. I wanted to appeal to an audience of disenfranchised and underrepresented. Suddenly, I took on more of a social justice role.

Look at how much I just made!

Steamboat Spring, Colorado

In late summer 2013, I climbed a popular trail in Steamboat Springs, Colorado. I looked down off the majestic mountain and saw only beauty. The summer sun basked upon me, and I soaked up the moment.

I had been writing Frugaling articles for about 6 months, and was enjoying a nice break from everything — school included. But there was a surprise awaiting me when my cell service came back. I was $500 wealthier.

Something must’ve gone wrong, I thought. How’d I just make about $500?! What happened? I checked my website and saw increased traffic to some key articles. People were actually taking up my advice and buying a product I was recommending. Four people had actually used my links!

I freaked out, and called the company that handled my ads. I immediately questioned the staffer, “Is this number right? Do you see this amount? Is this real money?” He calmly replied, “Yep, it looks good. We’ll just have you fill out some tax information because you’re going to be earning more than $600 this year.”

Over the next 12 months or so I would go on to make tens of thousands of dollars, repay my student loan debt, begin investing in retirement accounts, and create an emergency fund. My life was and will continue to be forever changed by this money. It felt like winning the lottery, and was completely unexpected.

The amount of money felt comical. Here I was, a naive, green graduate student with this crazy idea to start a website and write about my student loan debt. And the endeavor had rewarded me.

My out-of-debt mood

When the debt was squashed, my mood lifted. I saw my future with greater clarity, but more importantly, I recognized the importance of the present — this moment. The debt was this cloud that followed me around. I hated owing companies money.

Freedom comes to mind, but that’s too simple. Getting out of debt cemented a logic and rule change: don’t ever lend someone your future. I never want to be beholden to a behemoth bank again. From mortgages to car loans, I’m done.

Take your “age-old” advice and wisdom and shove it. That’s not for me. I’m a Millennial that has been caught up in a business-based system of higher education for too long. The debt that can incur is dangerous and restrictive. I don’t see “good” debt anymore. No, I just see debt.

If you forego the “features” and “great benefits” of debt-inducing products, life can be a bit more reserved and boring. I don’t travel often, I sold my car, and I tend to eat out once a month. Before my journey began, I was a crisscrossing world traveler, with a stunning car (and hefty loan), and ate out for the majority of my lunches. All on the take — with the interest running against me.

Debt is too frequently a cyclical problem that people unintentionally enter — myself included. Without debt, the cyclical problem cannot occur. Life will be restrictive for certain, but I won’t be working countless hours to pay back the moments I have now. And that’s worth focusing on.

Featured and published in big-time blogs

In time, Frugaling picked up steam. The traffic and subscribers increased as a result of featured articles and influential writers. Additionally, a massive viral article made the rounds of Reddit. There were over 100,000 views in a day! But even greater was the incredible honor of being shared by two of my favorite sites over these two years: Becoming Minimalist and The Minimalists. They were both inspirational in my writing.

The site is now growing exponentially. It’s rare to see a day with less than 1,500 visitors. There was a clear shift that occurred, where 5,000-visitor months became 5,000-visitor days.

I have an incredible group of over 1,000 email subscribers who contribute, comment, and email me. They’re involvement and commentary is vital — they keep me going. From Facebook to Twitter, people write their responses and experiences with depth and clarity. I’m impressed by their input, and humbled that they care to share.

Looking to the future of Frugaling

Frugaling has constantly been my “work in progress.” It’s never finished, I’m always tweaking the site and my writing style — trying to see what works and sounds best. The future of Frugaling is something that brings me great joy to think about.

Over the coming months, I will be announcing my biggest project yet for the website. I’m hoping you’ll subscribe to see what happens next, and help share the news when I announce it.

I’m excited and grateful to have an outlet like this, where I can share my thoughts, opinions, and lessons with an incredible audience. Thank you for being one of them. It’s a home for me to sharing about social justice, making and saving money, and avoiding the traps of debt.

We only have so much time in our days and lives. Your time is precious. I want to thank you for taking the time to read, subscribe, and comment.

Your friend,
Sam

Filed Under: Save Money Tagged With: anniversary, debt, graduate school, Income, Life, money, Student Loans

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