I just read a very though provoking article on msn about Suze Orman, go here to read the full article. I do not watch her on tv, but I did download her latest book for free when Oprah was offering it. I haven't read it yet. There is so much information out there about finances it is sometimes difficult to discern what is accurate and what is not.
Although study after study has shown that personal bankruptcies are caused primarily by catastrophic events like divorce, job loss and, above all, medical bills, and that most of us are struggling with a gap between our income growth and the soaring cost of necessities like housing, Suze tends toward psychological causes that invariably blame the victim. Who is struggling these days, according to Suze? "People who grew up without much money and later earn a comfortable living sometimes spend too much to make up for what they didn't get as children. . . . People who feel entitled to the good life, or are unconsciously copying a mother or father who lived beyond her or his means. . . . If you feel the need to impress people with what you have rather than with who you are, you are at high risk for credit card abuse."
I would tend to agree to a point that these psychological issues can be a problem. But I think the real problem is that we live in a society that wants instant gratification. If we have to wait too long in the drive thru at a fast food restaurant we get annoyed. We think we should be able to get everything we want right now. That's not always the case, if we want something we need to pray about it before we buy it, and we also need to save our money-not use a credit card.
I am trying to read Dave Ramseys book and work on his baby steps in our life. I personally know a lot of people who have gone the classes at their church and it has made a difference in their life. One of my goals for 2009 is to gain a better understanding of budgeting and implementing it into my life and also to pay off debt and save up money. So, I am trying to learn all that I can right now about finances because being informed is the best way to tackle a problem.
How are your financial goals for 2009 going?